What it costs to start a business, and how long your money lasts

There is no single price for starting a business, because it depends on what you sell, where you register and what you pay yourself. The number that matters is your runway: the cash you have, divided by what you spend each month beyond what you earn. List your one-off and monthly costs, plan for at least a year of monthly costs, and expect early losses.

Updated 3 October 2026

What does it cost to start a business?

It depends. The US Small Business Administration (SBA) says it plainly: every business has different needs, and no financial solution is one-size-fits-all. A writer who works from a laptop needs far less than a bakery with an oven.

What the SBA does offer is a list of costs that most businesses face. It says there are common startup costs you are likely to have no matter what. The list includes licenses and permits, insurance, a lawyer and an accountant, advertising and marketing, and making a website. Use a list like this as a prompt, then add the costs that belong only to your business. The free startup budget template gives you the rows to fill in.

What is the difference between one-off and monthly costs?

One-off costs are paid once, to get going. The SBA says one-time expenses are the initial costs needed to start the business, and gives buying major equipment, hiring a logo designer and paying for permits, licenses and fees as examples. Monthly costs come back every month. The SBA names salaries, rent and utility bills.

Keep the two lists apart. One-off costs decide how much you need on day one. Monthly costs decide how long you can keep going.

What does it cost to register a company?

It depends on the country, and the official fee page is the only reliable answer. For example, the UK's Companies House lists the fee to incorporate a company online at £100, and £124 on paper. The page was marked as updated on 25 September 2026 when it was read. The same table lists £50 for a confirmation statement online, and £110 on paper. Other countries charge different fees. Check the registry where you will register, and write the amount in your budget.

What will taking payments cost?

Payment fees can be a share of each sale instead of a monthly sum. For example, the Swedish price page of the payment company Stripe lists 1,5 % plus 1,80 kr for standard cards from the European Economic Area. The same page says Stripe takes out no startup fees, monthly fees or other hidden fees. This is what the page said when it was read. Prices differ by country and by card type, so check the page for your own country before you count on a figure.

How do I work out how long my money will last?

Use this sum, and do it in a spreadsheet or in the free runway calculator:

Add up your monthly costs. Include your own pay, even if it is small, because you have to live too.
Subtract the monthly income you can count on. If you earn nothing yet, this is zero.
The result is your monthly burn: how much cash leaves each month.
Divide the cash you have by the burn. The answer is your runway in months.

For example, say you have 12,000 in savings and spend 1,500 a month with no income. Your burn is 1,500, so your runway is eight months. If you add 500 of income each month, your burn drops to 1,000, and your runway grows to twelve months. These are example numbers, not a forecast.

Count the date, not only the months. Eight months from today is a day you can put in your calendar. Put a second date a month before it, as the day you must decide what to do.

How long should my runway be?

The SBA gives this advice about planning your costs: count at least one year of monthly expenses, but counting five years is ideal. It is a planning rule from a government agency, not a promise about any one business.

Plan for slow early months too. The Federal Reserve Banks publish the Small Business Credit Survey, an annual survey of firms with fewer than 500 employees. Its 2024 report on startup firms, which looks at businesses in business for 0 to 2 years, says more than half of startup firms are operating at a loss. It also says startup firms were more likely than older firms to have received funds from their owners. The sample was a nationwide convenience sample of small firms in the United States, so read it as a warning, not as a measurement of all businesses. The message for you is simple: your own cash is probably your main cushion, so protect it.

What is a quick checklist?

I have listed my one-off costs and my monthly costs on separate lists.
My own pay is in the monthly list.
I checked the official fee for registering where I live or sell.
I know my monthly burn and my runway in months.
I wrote down the date my cash runs out, and a decision date a month before it.
I planned for at least a year of monthly costs, and I do not count on early sales.

Before you spend, it also helps to validate the idea, and then to find your first 10 customers.

Can Easeable help with this?

Easeable helps you structure an idea and take it into execution. Describe yours in the box at the end of this page.