Colorado is one of the top states in the country when it comes to catering to small businesses. Or at least so says a new ranking by the Small Business & Entrepreneurship Council, which publishes an annual list of states based on their “entrepreneur-friendly policies.” The ranking—produced by the nonprofit, small business advocacy group—considers a variety of factors in each state, including 22 different taxes, various regulations, and government spending on debt. Colorado ranks 14th on the list.

“Policy reforms that bolster small business startup and growth are mostly being implemented at the state level,” said Karen Kerrigan, president and CEO of the Small Business & Entrepreneurship Council, in a statement. “Unfortunately, federal policy and uncertainty remains an overall negative for entrepreneurs and small businesses. But states vary widely in terms of their policy approaches. The top states on the Small Business Policy Index 2013 are streamlining government and lifting burdens like excessive taxation and regulation. They are passing responsible budgets, and living within their means. The worst ranked states keep treating small businesses and entrepreneurs as piggy banks to fund higher spending and bankrupt programs.”

Here, the top five and bottom five states on the list.

Top 5

1. South Dakota

2. Nevada

3. Texas

4. Wyoming

5. Florida

Bottom 5

46. Hawaii

47. New York

48. Vermont

49. New Jersey

50. California

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