In a move that’s sending ripples through the business world, Lynsi Snyder, the billionaire owner of In-N-Out Burger, has decided to relocate her family from California to Tennessee. Her decision highlights a growing trend of entrepreneurs and business leaders questioning the Golden State’s livability and business environment.

Snyder, worth an estimated $7.3 billion, didn’t mince words about her reasons. “There’s a lot of really great things about California, but raising a family is not easy here. Doing business is not easy here,” she told a recent podcast. Her sentiments reflect a broader narrative about California’s challenging economic landscape.

Multiple ranking systems support her perspective. When analyzing factors like health, safety, education, quality of life, and economic opportunities, California ranked a dismal 46th among U.S. states. Tennessee wasn’t much better, landing at 37th place.

Interestingly, the migration data tells a compelling story. Between 2021 and 2023, California lost 69,400 residents to Tennessee – representing 11% of Tennessee’s new population. Meanwhile, California’s overall population declined by 90,000 between 2020 and 2024, while Tennessee gained 300,000 residents.

The business friendliness rankings further underscore this trend. California ranked 30th, while Tennessee secured an impressive 4th place. When considering employee factors like salaries and labor protections, California ranked third nationally, but Tennessee lagged at 41st.

These statistics reveal a nuanced picture. While California remains a powerhouse with 38 million residents, its appeal is increasingly challenged by rising costs, complex regulations, and quality of life concerns. Entrepreneurs like Snyder are signaling that the state’s legendary innovation ecosystem might be losing its luster.

For Snyder, the move isn’t just about business – it’s about creating a sustainable environment for her family. Her decision reflects a growing sentiment among California’s business elite: sometimes, the grass really might be greener on the other side.