How Much Does It Cost To Start A Home Equipment Business? (In 2024)
Looking to start a home equipment business?
But curious about:
- how much it costs to start a home equipment business?
- what are the typical home equipment business startup costs?
- or the actual cost of starting home equipment businesses?
Well, we have the data to prove it, supported by real home equipment businesses and how much they actually cost to start.
Let's go over it.
Learn more about starting a home equipment business:
Where to start?
-> Pros and cons of a home equipment business
Need inspiration?
-> Other home equipment business success stories
-> Marketing ideas for a home equipment business
-> Home equipment business slogans
-> Home equipment business names
Other resources
-> Home equipment business tips
Equipment & Supply Expenses
Starting a home equipment business may require purchasing some equipment, whether that's for producing the product or packaging the goods, or equipment needed in the back office.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
| Cleaning Supplies ➜ |
Optional |
$63 |
$200 |
| First-aid Equipment ➜ |
Optional |
$3 |
$500 |
Retail Business Expenses
If you plan to have a brick & mortar location for your home equipment business, you must weigh the costs of your rent, as it may be the most expensive part of running your business.
Rent costs for your home equipment business very much depends on your location. This cost will vary by both region and specific areas of town: a lease in the heart of Manhattan could cost over $80,000/month in rent. Meanwhile, a storefront lease in Florida or Tennessee could cost less than $1,000/month.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
|
Shop Decor |
Optional |
$0 |
$5,000 |
|
Utilities (storefront business) |
Optional |
$0 |
$1,000 |
|
Building improvements and remodeling |
Optional |
$0 |
$950 |
| Storefront Property Rent ➜ |
Optional |
$1,250 |
$3,500 |
|
POS System |
Optional |
$0 |
$1,200 |
Business Formation Fees
There are a few key costs associated with forming your business entity, such as setting up an LLC and getting trademarks, copyrights, and patents sorted.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
|
Set up business: LLC & Corporations |
Required |
$50 |
$500 |
|
Small Business Insurance |
Recommended |
$500 |
$2,000 |
|
Permit and License Fees |
Optional |
$50 |
$700 |
|
Lawyer Fees |
Optional |
$0 |
$1,500 |
Software Expenses
Your home equipment business needs software to run efficiently!
Why spend money on software? Because it can help you save time and automate certain parts of the business, so you can focus on the most important matters. Software and technology can help you grow your business, and save you from expensive personnel costs.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
|
Email marketing tool |
Recommended |
$0 |
$100 |
|
Accounting & Invoicing Software |
Recommended |
$0 |
$50 |
|
Internal Communication Tool |
Recommended |
$0 |
$20 |
| IT Support ➜ |
Optional |
$150 |
$2,000 |
|
Social Media Management Tools |
Optional |
$0 |
$50 |
|
Payroll Software |
Optional |
$0 |
$200 |
Employee & Freelancer Expenses
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
| Payroll Costs & Fees ➜ |
Optional |
$150 |
$250 |
|
Employee Hiring Expenses |
Optional |
$1 |
$2 |
| Employee Rewards ➜ |
Optional |
$0 |
$100 |
Website Costs
Every business should have a website, and it's worth spending a bit of money to set it up right.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
| Domain Name ➜ |
Required |
$12 |
$200 |
| Website Hosting Costs ➜ |
Required |
$0 |
$300 |
| Website Builder ➜ |
Recommended |
$10 |
$500 |
| Business Email Hosting Service ➜ |
Recommended |
$1 |
$15 |
|
Website & Live Chat Tool |
Recommended |
$0 |
$200 |
| Web Designer ➜ |
Optional |
$200 |
$6,000 |
Inventory Expenses
If you sell a physical good, you'll likely have to start with some inventory.
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
|
Upfront Costs For Inventory |
Optional |
$300 |
$5,000 |
|
Inventory Storage |
Optional |
$0 |
$5,000 |
| Package Design ➜ |
Optional |
$50 |
$3,000 |
|
Shrinkage |
Optional |
$0 |
$1,000 |
|
Distribution costs |
Optional |
$0 |
$750 |
Advertising & Marketing Costs
| Cost | Required? | Min Cost | Max Cost |
|---|---|---|---|
| Business Cards ➜ |
Optional |
$0 |
$50 |
|
Customer Research & Surveys |
Optional |
$0 |
$300 |
| Business Signage ➜ |
Optional |
$75 |
$2,486 |
|
Direct Campaigns, Printing and Mailing |
Optional |
$0 |
$300 |
|
Affiliate Marketing Commission & Fees |
Optional |
$0 |
$250 |
|
Influencer Marketing |
Optional |
$0 |
$750 |
|
Google Ads |
Optional |
$0 |
$300 |
|
Facebook & Instagram Ads |
Optional |
$0 |
$350 |
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Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
