Tel Aviv Seen as Third Best Worldwide for Startups

YERUSHALAYIM -
Long exposure photograph of traffic on the Ayalon Highway in Tel Aviv. (Esther Rubyan/Flash90)

Tel Aviv bills itself as a “Startup City,” and a new study by Nestpick, an international platform for finding affordable housing, lists the city as the third best place in the world for startups. The “startup ecosystem” in Tel Aviv — including access to resources, experts, funding and other necessities involved in starting a high-tech business — puts the city in third place overall, right behind San Francisco and Berlin. The study covered 85 cities and investigated a number of issues that affect both businesses and the people who work in them, including salary, social security and benefits, cost of living, and quality of life.

One of the long-standing beliefs in the high-tech world — that getting work done in Israel was cheaper than in other places — does not seem to be borne out by the study. An experienced project manager in San Francisco earns $122,577 a year, according to the study, making it the most expensive venue. Tel Aviv ranked fourth, with experienced project managers earning $109,903, more than in Seattle, Los Angeles or New York. Experienced tech workers — programmers and others in the tech area were — somewhat more affordable; Tel Aviv came in tenth in that ranking, with experienced programmers earning $98,000 a year, compared to $125,000 in San Francisco and $122,000 in New York.

“Certain cities may offer bigger paychecks, but after considering taxes and living expenses, the return may not be so high. Similarly, professionals should consider quality of life: Will vacation days be adequate to visit home? Is healthcare as accessible as you would like it to be?” commented Ömer Kücükdere, Managing Director of Nestpick. “We believe that time taken researching potential employers should not overshadow understanding the best cities in which to work. We hope that our study helps those looking to work in startups identify the cities which may best suit their needs.”