Cities where startups are thriving

Say "startup" and most think Silicon Valley, Austin or Boston. But investors and entrepreneurs say a new group of startup cities is emerging -- some in unlikely places.

Des Moines, Iowa

gallery startup cities des moines ia

Des Moines is far from a hotbed yet, but it's on the way. Entrepreneurs can thank online payment provider Dwolla, which has managed to make it big, paving the way for others and inspiring a community.

"When you have a company that becomes a symbol, that really gives people a sense it can be done. It removes that chip on the shoulder," said Dane Stangler at the Kauffman Foundation.

Entrepreneurs in the Midwestern city also benefit from organizations like StartupCity De Moines, which provides working space, money and networking. Another program is Startup Iowa, part of the Startup America umbrella that hosts educational events and provides networking opportunities.

  @Jose_Pagliery - Last updated November 27 2012 07:59 AM ET

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