Lynsi Snyder, the owner and CEO of In-N-Out Burger, is packing up and moving from California to Tennessee. She announced it earlier this month on the Relatable podcast with Allie Beth Stuckey.
While In-N-Out isn’t leaving California altogether, Snyder’s personal move has kicked off a big conversation, especially in conservative circles.
It fits a pattern that’s becoming more and more familiar: successful people and businesses leaving blue states like California and heading for red states like Tennessee and Texas.
Snyder explained her reasons pretty clearly: “There’s a lot of great things about California,” she said, “but raising a family is not easy here. Doing business is not easy here.”
She didn’t get into every detail, but folks who’ve lived in or done business in California didn’t need her to. They’ve felt it firsthand; higher taxes, more rules, and sky-high living costs.
Now, to be clear, In-N-Out is not ditching California completely. Their headquarters will stay in Baldwin Park, where the chain was founded back in 1948. They’re even consolidating West Coast operations there by shutting down their Irvine office by 2030.
But the company is growing east. A new office is opening in Franklin, Tennessee, and they’re planning 35 new restaurants across the state.
So while the main base stays in California, the growth is happening somewhere with fewer government roadblocks and more breathing room.
Tennessee doesn’t charge income tax. That’s right – zero.
Compare that to California, where top earners pay 13.3% in state income tax. Tennessee’s corporate tax rate is 6.5%, lower than California’s 8.84%.
That difference adds up fast when you’re running a business or, in Snyder’s case, worth an estimated $7.3 billion.
This isn’t the first time Snyder and her company have butted heads with California regulators.
Back in 2021, one of her restaurants in San Francisco was shut down for refusing to check customers’ vaccine cards. Snyder stood her ground then and seems to be doing it again now.
And she’s not alone.
Elon Musk moved Tesla and SpaceX out of California and into Texas. Chevron and Oracle also packed up and left.
According to the Hoover Institution, it’s not just about taxes. It’s also about endless regulations, high labor costs, and housing that’s too expensive for most workers to afford.
Snyder echoed that last point in her interview. Tennessee, she said, gives her employees a real shot at owning a home and raising their families without breaking the bank.
Some Californians are accusing her of turning her back on the state that made In-N-Out famous. Others say she’s just trying to dodge taxes.
Snyder quickly responded, saying she’s not abandoning California at all. The company is staying put, and she’s grateful for the customers who made In-N-Out what it is today.
Governor Gavin Newsom’s office also pushed back, downplaying the move and insisting California remains open for business. That definitely didn’t stop conservative media from picking up the story and using it as a symbol of what’s going wrong in the Golden State.
In-N-Out’s expansion into Tennessee was planned years ago. This isn’t some spur-of-the-moment decision to flee California. Snyder’s personal move doesn’t mean In-N-Out is pulling up all its roots.
But that doesn’t mean the concerns she raised aren’t real. When a well-known business leader says California makes it hard to raise a family or grow a business, people pay attention.
In the end, Snyder’s move is part of a bigger story. It’s about where America’s job creators feel welcome – and where they don’t.
This article was written with the assistance of AI. Please verify information and consult additional sources as needed.
