Another company splits anti-biz CA for TX

u-haul2June 26, 2013

By John Seiler

Despite the so-called California recovery, companies keep leaving:

Daegis Inc., the Roseville-based electronic discovery and information-management firm, said today in its quarterly financial report that it will relocate its headquarters to Dallas.

Tim Bacci, CEO of Daegis, said in the report: “As we evaluate the business and optimize our cost structure to accelerate on strategies where we see the most opportunity, we have decided to open an office in Dallas, Texas, and relocate the company’s headquarters there.

“Texas is a strong territory for our businesses, and we view this move as an opportunity to increase the company’s operational efficiencies and access an additional talent pool, as needed.”

“cost structure” and “operational efficiencies” mean Texas has much lower taxes and fewer absurd regulations.

In the past, California also was an essential place  of business because of its excellent pool of highly trained employees. That has changed. Other states, such as Texas, have increased in that area, what Daegis calls “an additional talent pool.” By contrast, California’s schools remain ranked among the worst in the country.

(Correction: A Steve points out below, it looks like taxes were not the consideration for the move. I guess I got carried away. I’ll leave the post up anyway with this correction. Thanks, Steve.)

Tags assigned to this article:
CaliforniaDaegis Inc.John SeilerTexas

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