Top 5 Business Startup Costs
Essential to the startup effort is the creation of a business plan – a detailed map of the new business to be created.
RESEARCH EXPENSES
Careful research of the industry and consumer makeup must be conducted before starting up a business. Some business owners choose to hire market research firms to aid them.
INSURANCE, LICENSE, PERMIT FEES
In most areas, businesses are expected to submit to obtain certain business licenses and permits, insurance, and authorizations.
EQUIPMENT & SUPPLIES
Every business type requires some form of equipment and basic supplies. Before adding equipment expense to the list of startup costs, a decision has to be made: to lease or to buy.
MARKETING
Marketing the business is much more than ad placement. It also includes branding, social networking, and promoting – everything a company does in order to attract clients to the business.
BORROWING COSTS
Starting up any kind of business requires an infusion of capital. There are two ways to acquire capital for a business: equity financing and debt financing.
