What are the 100 Best Startup Companies to Work for in 2020?

Here's what AngelList's Best Startup Companies To Watch Out For in 2020, Forbes America's Best Startup Employers, 2020 and LinkedIn's 50 Hottest Startups to Work for Now had to say. Point to a company name to learn a little about them, or click on the home icon to go to their website.

 

AngelList (not in ranking order) Forbes (in ranking order) LinkedIn (in ranking order)
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What is a Startup Company?

 

A Startup company is a young organization in the early stages of development. Usually started by one to three people, these firms are created to either offer something new or to offer something in a fundamentally different way. How long startup companies remain known as startups varies widely from industry to industry. Though the terms startup and small businesses are often used interchangeably, a startup company is quite different from a small business. 

Table of Contents  


  1. Creating a List of the Best Startup Companies in 2020
  2. Best Startup Companies with Open Jobs
  3. Best Startup Companies to Invest in: 2020
  4. Startup Companies in the U.S.: Numbers
  5. When are Startup Companies no Longer Considered Startups?
  6. Startup Companies vs. Small Businesses
  7. Best U.S. & International Startup Companies to Watch In 2020
  8. Startup Tech Companies Guide
  9. Related Articles on Startups

 

Creating a List of the Best Startup Companies in 2020

While there is no single source that can provide a complete list of the best startup companies, there are several different types of sources you can leverage to compose lists. 

Fundz provides the most competitively priced solution for staying up to date and exporting lists of startup companies that have received funding. For only $10/month, Fundz provides real-time updates of new startup fundings, customized to your industries, locations and funding ranges of interest. You can also perform unlimited exports to CSV, 500 records at a time. The database also adds in contact emails and domain info, when able to be verified.

Accelerators

In the U.S., one third of companies that receive a Series A Funding came from an accelerator. Here are portfolios of some of the leading accelerators.

 

 

Best Startup Companies with Open Jobs

 

AngelList, LinkedIn & Indeed are all great sources to leverage if you are looking to land a job at a startup company. Here are hundreds of thousands of startup jobs currently listed on their respective websites:

 

List of Startups Actively Hiring During COVID-19

Jai Sajnani of New Enterprise Associates has created this very helpful list of hundreds of startups actively hiring in the midst of the pandemic.

 

Best Startup Companies to Invest In: 2020

The vast majority of money invested in startup companies comes from Angel Investors (Accredited Investors), Venture Capital Funds, Institutional Investors and Corporations. Only one third of one percent comes from non-accredited investors, via equity crowdfunding portals. 

If you're looking for startup companies to invest in outside of the public markets and are an accredited investor, you have a wide range of options. To be an accredited investor, a person must have an annual income exceeding $200,000, or $300,000 for joint income, for the last two years with expectation of earning the same or higher income in the current year.

If you don't meet the criteria of an accredited investor, you can still invest in startup companies through certain equity crowdfunding portals, but your options are more limited.

Some of the top Unaccredited Investor platforms to invest in include:

 

Some of the top Accredited investor platforms to invest in include:

 

You can also review Fundz' directories of hundreds of Angel Investor Groups and Venture Capital firms.

 

 

Startup Companies in the U.S.: Numbers

While there are no exact numbers on the number of organizations that can be strictly considered "startup companies" at any one point in time, outside financing, beyond friends & family, is a milestone that most startups will look towards achieving.

If we only qualify a company as a startup upon reaching this milestone, between 10k - 20k new startup companies in the U.S. reach this criteria every year. 

 

 

When are Startup Companies No Longer Considered Startups?

 

Generally speaking, a startup moves from being known as a startup to becoming known as an enterprise when it has:

  • A scalable, repeatable business model
  • A product that is ready to serve a large addressable market
  • The resources and team to succeed in serving a large addressable market

As you can imagine, the bigger the opportunity, the longer a company may still be called a startup. For example, in the transportation industry, it may take years and billions in funding for a company to be able to ready to take market share away from major competitors. 

Conversely, some companies with disruptive technology have scaled to Enterprise status in a fraction of the time and with far less capital.

 

 

Startup Companies vs. Small Businesses

 

Though sometimes they are similar in headcount, small businesses are quite different from Startups. Small businesses are driven by profitability and stable long-term value. They aren't looking to disrupt the universe, but to operate a cash-flow positive business for the long-term, with minimal risk.

A small amount of startups start operations as a typical small business, then transition to ultimately become a startup company. However, this transition is not typical and usually requires significant changes in go-to-market strategy, financing and team.

There were about 30.7 million small businesses in the U.S. in 2019, according to the Small Business Administration. Of these, about 5.6 million are employer businesses, defined as having one or more paid employee. The other approximately 25 million are non-employer businesses, without any paid employees.

Employer businesses trends:

Over the last 15-20 years, there are only around 30k net new, employer businesses added per year. However, there are about 225,000 employer businesses closing their doors each year and a slightly higher number starting up each year.

In regards to outside funding, only about one half of one percent, or 28k of the 5.6 million employer small businesses. reported raising funding from venture capital firms.

Non-Employer businesses trends:

According to U.S. Census Bureau statistics, the number of non-employer businesses increased by almost 900k in the 2017. Well less than 1/4 of one percent of the 25 million non-employer small businesses leveraged venture capital for their startup capital. Unlike employer small businesses, the number of non-employer small businesses has grown steadily over time, from from approximately 15 million in 1997 to 25 million in 2017.

 

 

Best U.S. & International Startup Companies to Watch In 2020

 

Several other organizations have created lists of startup companies to watch in 2020, including:

 

Startup Tech Companies

If you interested in learning more about tech startups, this startup tech companies guide will help.

 

Related Articles on Startups:

Startup Success Stories: Three Funding Triumphs

Is Government Fiscal Support for Startups on the Horizon?

3 Tech Trends For Startups to Focus On In 2020

Inside Startups: Giuseppe Milazzo on Contapp and its Green Potential

San Francisco Startups: Middesk Removes Loan Processing Bottlenecks

Construction Startups: Focus on IsoTruss Industries

Are Boston Startups Setting the U.S. Standard?

Startups are Still Pivoting Successfully: Here’s The Proof

FoodTech Startups Shake Things Up with Animal Free Dairy

Cannabis Startups Drive Innovation in Agritech

Internet of Vehicles: IoV Startups Impacting the Auto Industry

Fintech Startup Success: Riding Waves of Opportunity

11 Eye Opening Stats on Startups

Telehealth: The Next Gold Rush for Startups

78% of Startups Plan to Hire Externally in 2020

How to Find Startup Companies for Your Next Career Move

From Idea to Implementation: What is a Startup Company?

VCs Look to New Startup Companies Targeting Alzheimers Disease

4 Startup Software Companies Raising Funds to Change the World

How to Find and Maintain a List of Successful Startup Companies

Technology Startup Companies: Investing in Tomorrow

Best Startup Companies to Invest in: What Novices Should Look For

How Good Software Companies Pivot & Invest in a Crisis

Famous Startup Companies - What Do They Have in Common?

 

External References:

https://cdn.advocacy.sba.gov/wp-content/uploads/2019/04/23142719/2019-Small-Business-Profiles-US.pdf

https://www.jpmorganchase.com/corporate/institute/small-business-economic.htm

https://fundwisdom.com/article/brian-thopsey/top-10-equity-crowdfunding-portals-2019

https://www.investopedia.com/terms/a/acchttps://www.fundz.net/blog/biotech-vc-funding-news-highlights-emerging-renaissancereditedinvestor.asp

https://www.census.gov/newsroom/press-releases/2019/nonemployer-businesses.html

https://www.bloomberg.com/graphics/startup-barometer/

https://www.fundera.com/resources/startup-funding-statistics

https://angel.co/job-collections/52-best-startup-companies-to-watch-out-for-in-2020

https://www.forbes.com/americas-best-startup-employers/#793551726527

https://www.linkedin.com/pulse/linkedin-top-startups-2019-50-hottest-us-companies-work-jessi-hempel/