“The [FinTech] ‘crazy sauce’ has messed the place up!”
In the world of disruptor sectors like FinTech, InsureTech, Blockchain, and similar industries requiring a highly-talented software development workforce that is now in higher demand than ever before, the usual major metro area suspects including New York, Chicago, San Francisco, and London have one major problem on their hands according to executives: High cost of living.
More and more executives spoken to by Camoin 310 are starting to agree that while the availability of talent is most definitely a major driver, if not their #1, lowering the cost of living while still maintaining a high quality of life is starting to play a more important role in retaining said talent. One executive at a start-up developer of online and mobile investment software currently based in San Francisco recently told us, “The [FinTech] ‘crazy sauce’ has messed the place up!”
He went on to lament, “a 25-year old software developer in the Bay Area making $80,000, even up to $125,000 per year, can’t even afford to rent a two-bedroom apartment in the city. It’s ridiculous!” He then admitted that while he is currently only in the San Francisco area to access the plentiful venture capital resources, once the company hits a certain point he is considering relocating to an area (or areas) with lower cost yet still high quality of life.
Thankfully, this has become a realization to some more moderately-sized localities’ economic developers and they have already begun aggressively pursuing these sectors.
.....just as long as they have the right assets to stand a chance….