Imagine the capital cities of Australia as friends in your circle. Canberra would no doubt be the friend who engages you in robust political chats, while Melbourne would keep you in the loop for all things cultural. With Sydney, you’d talk business. 

And with good reason. As Australia’s commercial capital, Sydney has plenty to offer anyone with an interest in the field of business. Whether you’re an established company, a startup who’s planning their first office fitout, or simply someone with a brilliant idea that has commercial potential, making Sydney your base camp is a shrewd decision if you want to make a splash in Australia’s economic landscape.

But what specific factors have earned Sydney the title of Australia’s commercial capital? We’ll be answering just this question today by outlining everything that Aussie business owners have to look forward to when making the move to the Harbour City.

A comfortable climate & attractions galore

A city doesn’t become a commercial powerhouse by accident. To be a city that attracts successful and innovative enterprise, it needs qualities that extend beyond the board room. 

Being named the world’s fourth most liveable city, you likely won’t be surprised to hear that Sydney has a lot more going for it than just commerce. It’s already world-famous for its iconic twin centrepieces, the Harbour Bridge and Opera House. But of course, these renowned Australian tourist attractions aren’t reason enough to make this city the ideal place for your business. 

Compared to Melbourne’s gloomy weather and Brisbane’s higher humidity, Sydney is also blessed with a balanced, temperate climate. While summer in the city can get as hot as any other region in Australia, Sydney’s winters are actually quite mild, and both Autumn and Spring are pleasant as well. The city’s comfortable climate is yet another part of what makes Sydney a globally-popular tourist destination and a preferred homebase for millions of Aussie professionals and business owners.

Plenty of housing options & reliable public transport

And speaking of finding your homebase, Sydney also boasts a versatile array of living options, ranging from leafy city suburbs to the Sydney metro region’s quieter outskirts. Whether you fancy the beach lifestyle of Sydney’s eastern and northern suburbs or prefer the close proximity of the Blue Mountains in the Western suburbs, Sydney has the ability to support a wealth of lifestyle choices. And with ferry services running regularly from Circular Quay and all across Sydney Harbour, you can even live across the water by Manly, Mosman Bay, by the Parramatta River, and other destinations and still commute to the city with minimal fuss.

But there’s more to Sydney’s public transport than just a top tier ferry network. You can also catch buses, trains, and even trams (or ‘light rail’ services, as Sydneysiders call them). Sydney’s public transport network and overall metro region is also growing at a rapid rate, making it easier and easier for Sydneysiders to commute to the CBD from wherever they’re based. And with services running regularly on weekdays and weekends, you can work hard and play hard without even having to worry about inner city parking.

Strong foundations

Business will always thrive when it has a fertile and supportive base to build upon. Sydney has long boasted this fertility. In particular, with two areas: the city’s education and financial sectors. 

Tertiary institutions such as the University of Sydney and the University of Technology Sydney consistently rank amongst the world’s best universities. This access to high-quality education is yet another reason why Sydney is seen as the perfect city for those looking to build their skills and commence on an illustrious career. And on top of these two institutes, Sydney also has the Sydney Institute of Business and Technology, which is an excellent pathway provider for those who seek a career in commerce specifically.

Naturally, when a city pairs strong academic foundations with strong financial foundations, it becomes an attractive setting for both new and established businesses, as everyone under the sun can benefit from maintaining a diverse business network. So you won’t be surprised to hear that of the 64 banks in Australia, 60 have established their HQ in Sydney. Moreover, more than 600 multinational companies run their Asia-Pacific operations from Sydney. With these key industry sectors flourishing, the networking opportunities available make Sydney a shrewd location for commercial undertakings.

An eye toward the future

While Sydney is a great home for already established businesses, it’s a brilliant place if you’re looking to launch a new business, or are looking to find other professionals with similar interests. Sydney is also Australia’s startup capital, particularly when it comes to startups in the tech and finance industries.

With communities like the Sydney Startups, entrepreneurs are spoiled with a thriving hub to network, find financial backing, and ultimately, launch the business ideas they’ve had germinating. And if you need evidence that this environment is conducive to commercial success, you only need to see a few of the names who got their start in this community. Tim Fung (founder, Airtasker), Rebekah Campbell (founder, Hey You), Cliff Obrecht (founder, Canva), and Holly Cardew (founder, Pixc) have all been involved with this community. 

Sydney’s reputation for startups extends beyond Australia’s shores. According to The 2023 Global Startup Ecosystem Report, which ranks startup ecosystems based on six criteria (performance, funding, connectedness, market reach, knowledge, and talent & experience), Sydney ranks as the 20th best ecosystem in the world, and the best in the Oceania region. This is yet another reason why Sydney has been named Australia’s commercial capital. 

For a community and network to continue making strides, it also needs solid infrastructure. Thankfully, Sydney is also building for the future in other ways than just nurturing budding enterprises. As we mentioned, the city’s public transport network and metro region is consistently under development and expansion works as well. With two huge light rail projects underway in Sydney (the Inner West light rail extension, which runs from Dulwich Hill to the CBD, and the CBD and South East light rail, which connects Circular Quay with the Eastern suburbs), the NSW Government is making sure that Sydney remains physically connected to add to its superior digital connectivity.

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There’s little doubt that when it comes to commerce and business, Sydney stands above the rest of Australia. With ever-improving infrastructure, well-established finance and education foundations, and a positive and supportive community for startups, Sydney is a fantastic place to base your business, no matter what stage it is at.

Combine that with a city that offers a wealth of lifestyle choices, unrivalled tourist attractions, and favourable weather, and you can see why so many would choose the harbour city as the home for their families and their companies.