Recruit
Doing Business in Florida
-
Drew Donnelly
- Published
- June 10, 2026
Do you want to expand your business into Florida, or hire employees there? Find out the key things you need to know about Florida expansion below.
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Florida Economy Overview
Currency
US Dollar (USD)
Working hours
40 hours/week
Public/bank holidays
11 public holidays
Capital
Tallahassee
Languages
English (Spanish is also widespread, especially in Southern Florida)
Population
Approx. 22 million
Minimum hourly salary
USD 12.00 (as of 2023, on track to reach $15 by 2026)
Tax year
1st Jan – 31st Dec
Date format
MM/DD/YYYY
Misclassification penalties
Florida’s Department of Economic Opportunity (DEO) enforces worker classification rules along with federal agencies. Employers found misclassifying employees can incur back taxes, fines, and legal action.
Fun fact
Florida is the flattest state in the U.S. and is famed for its amusement parks, beaches, and status as a retirement haven.
Overview of Florida's Economy
Florida’s real gross domestic product (GDP) surpassed USD 1.2 trillion in 2023, ranking among the top U.S. states. The state has nearly three million businesses, ranging from small family-run enterprises to global corporations headquartered in hubs like Miami and Orlando. According to one Florida International University economist, the state’s economic drivers are tourism, real estate, agriculture, and trade.
Sector | Contribution to Florida’s Economy |
|---|---|
Tourism | Generates billions in annual revenue, driven by major theme parks and coastal resort destinations. |
Real Estate | Supported by steady population growth, migration trends, and strong demand from retirement communities. |
International Trade | Major ports in Miami, Tampa, and Jacksonville play a key role in facilitating global commerce. |
Agriculture | Leading producer of citrus, sugarcane, and winter vegetables supplying national markets. |
Tourism remains a powerhouse, with destinations such as Walt Disney World, Universal Orlando, and Miami Beach drawing millions of visitors annually. Meanwhile, the real estate market benefits from a steady influx of new residents, especially retirees and remote workers seeking warmer climates.
International trade also plays a pivotal role, helped by Florida’s proximity to Latin America. Agriculture thrives in the southern part of the state, with Florida leading the nation in citrus production. Technology, finance, and healthcare are additional sectors on the rise.
Taxes
Employer Tax: 7.65% – 14%
Social Security (FICA)
6.2%
Medical Insurance (FICA)
1.45%
Federal Unemployment Tax (FUTA)
6.00% (first $7,000)
State Unemployment Insurance (SUI)
0.10%–5.40% (first $7,000)
Employer tax: 7.65%
Social Security (FICA)
6.2%
Medical Insurance (FICA)
1.45% (+0.9% for employees above $200,000)
Income Tax
Florida is one of the states with no personal income tax on wages.
Overview of Florida’s Business Regulation
Consumer protection laws in Florida fall under the Florida Deceptive and Unfair Trade Practices Act, prohibiting false advertising, pyramid schemes, and other fraudulent activities. The state’s antitrust statutes generally align with federal standards, discouraging monopolistic conduct.
Florida’s usury laws cap most interest rates at 18% annually (or 30% for loans under USD 500,000, with certain exceptions), but many commercial transactions negotiate terms above that threshold. Pyramid and Ponzi schemes face strict penalties, often enforced by the Florida Attorney General’s Office.
Regulatory oversight is split among various bodies, including the Florida Department of Business and Professional Regulation (DBPR), which licenses and supervises numerous industries. Private legal actions, including class lawsuits, are permitted under state law.
What Are the Benefits of Doing Business in Florida?
A major draw is Florida’s lack of personal state income tax, which can attract a broader talent pool and reduce employee-related costs. The strong tourism sector brings a high volume of consumers, driving demand for hospitality, retail, and entertainment services.
Infrastructure is well-developed, especially in coastal cities, with multiple ports that enable international shipping. The state’s roads and airports, including Miami International and Orlando International, offer ample connectivity. Florida also provides various business incentives, such as tax credits for job creation and industry-specific grants.
In recent years, areas like Miami have evolved into tech and finance hubs, dubbed the “Wall Street of the South,” further diversifying the state’s economic landscape.
What Are the Downsides of Doing Business in Florida?
Florida’s climate, particularly the hurricane season, can pose operational risks, requiring contingency planning for storms and flooding. Insurance costs—property, flood, and windstorm coverage—can be steep, especially in coastal regions.
While the absence of state income tax is attractive, other taxes and fees may offset some savings, including higher property taxes and insurance premiums. Moreover, the labor market, though large, can be competitive in certain sectors like hospitality and technology, demanding competitive salaries and benefits.
Finally, Florida’s population boom has led to infrastructure strain in some areas, with congestion and housing shortages around major cities. Companies eyeing expansion should carefully evaluate local market conditions and growth plans.
Business Expansion Options in Florida
Foreign businesses have several pathways to enter Florida’s market, each with its own set of complexities and rewards.
Florida Employer of Record (EOR)
An Employer of Record in Florida manages payroll, benefits, and compliance, acting as the legal employer for your local workforce. This simplifies onboarding and reduces administrative hurdles, particularly around labor regulations.
Recruitment Agencies
Local recruitment firms in Florida help companies source qualified candidates. Remote People, for instance, ensures your hiring process follows state and federal rules, covering everything from background checks to employment contracts.
Florida Professional Employer Organization (PEO)
With a Florida PEO, the PEO provider co-employs your staff, handling HR, payroll, and benefits. This setup can be a stepping stone to a more permanent presence, especially for businesses that want to test the market without launching a full entity.
Subsidiary Incorporation
Incorporating a subsidiary in Florida involves filing articles of incorporation or organization, securing licenses, and registering for relevant taxes. This approach grants autonomy and is ideal for companies planning a long-term commitment.
Branch Registration
Branch registration extends an existing foreign company into Florida without creating a new legal entity. While faster and less costly initially, the parent firm typically faces more direct liability. This option might fit businesses seeking temporary operations or preliminary market exploration.
Business Opportunities in Florida
Florida’s economy, diverse population, and proximity to global markets make it fertile ground for numerous industries.
Business Opportunity | Reason |
|---|---|
Tourism and Hospitality | Consistent demand driven by theme parks, beaches, cruise tourism, and year-round cultural events. |
International Trade and Logistics | Strategic location as a key gateway to Latin America and the Caribbean, supported by major ports and airports. |
Real Estate and Construction | Ongoing population growth and strong retirement migration fuel continuous residential and commercial development. |
Healthcare and Life Sciences | A large and growing elderly population drives sustained demand for healthcare services and medical innovation. |
Technology and Finance | Miami’s rise as a technology and financial services hub attracts startups and established firms alike. |
Expand into Florida with Remote People
Florida’s blend of urban development, tourism, and international connectivity provides a wealth of prospects for foreign investors. With its year-round warm climate and expansive coastline, the state remains an attractive destination for both work and leisure.
Are you about to start doing business in Florida? Remote People can help. Contact us today to assess your business needs and learn how we can assist you in achieving your objectives.
