Companies are "disinvesting" in California at a rate five times greater than just two years ago, said Joseph Vranich, a business relocation expert based in Irvine. This includes leaving altogether, establishing divisions elsewhere or opting not to set up shop in California.
"There is a feeling that the state is not stable," Vranich said. "Sacramento can't get its act together...and that includes the governor, legislators and regulatory agencies that are running wild."
The state has been ranked by Chief Executive magazine as the worst place to do business for seven years....
After 15 years in Monterey Country, Calif., Feel Golf relocated its headquarters to Florida earlier this year after it acquired Pro Line Sports, which was based in the Sunshine State.
"The whole state is a bureaucratic Santa Claus," said Lee Miller, chief executive of the golf equipment company, of his former home. "There's a very high cost of doing business."
In Florida, he found a better work pool, lower operating costs and no personal income taxes.
"Overall, it's just a better environment," he said.
PayPal opened a new customer services and operations center in Chandler, Ariz., in February, bringing 2,000 jobs to the area. The San Jose, Calif.-based tech firm, along with its parent eBay, also added 1,000 jobs in Austin, Texas, and expanded operations in Utah.
"They have business-friendly environments," said Kathy Chui, a spokeswoman for eBay....
Tuesday, July 12, 2011
PayPal, Ebay, Feel Golf: Buffeted by high taxes, strict regulations and uncertain state budgets, a growing number of California companies are seeking friendlier business environments outside of the Golden State.
◼ California companies fleeing the Golden State - CNN Money