What are the typical costs associated with launching a startup?
What should a bootstrapping early stage startup consider? Which costs are good investments?
It really depends on what type of business you're planning to set up.
As a VA, for me the initial costs were:
- a reliable computer - most people already own this but didn't when I started in 1994
- a reliable printer - ditto above
- suitable software for the services you provide. Microsoft Office is still the standard. But there may be other software you need
- a good bookkeeping program. I use Quickbooks online but many are using Xero these days.
- you will need back up storage. You can get Dropbox for free for up to 2GB but there are other services around too. I believe you get 15GB with Google Drive
- a domain name for your business (around $35.00AUD for 2 years) and possibly a registered business name too.
- and a website but you can start with a freebie at WordPress.com and then go from there.
- Social Media is a must these days too.
The biggest one is going to be your own living expenses to begin with. If you are living at home and have no expenses, then you're down to laptop and internet connection. On the other hand, if you need to cover the costs of running a family with two kids, start at $10K per month and see how long your savings will last before you start getting money in the till from sales.
Get your legals and financials in place first. The structure of your business is most important along with contracts for your business, so liability is clear. The other parts of your business maybe more exciting or interesting but if you don't get the basics right you wont have a business for long.
Launching a start up can varying in pricing. Depending on what you're launching and how you want to launch it. Some businesses can be launched with very minimal cost under $500 specifically if they're online businesses. It all depends on what services you use to start your business. Going cheap isn't always effective, as it's a bit of buyers beward.
Happy to chat about what you're planning to launch and what potential costs could be involved. Feel free to reach out to me.
Depends what you're starting. A restaurant..you have the lease, the equipment, furnishings, stock, staff.. That's thousands upon thousands.