How Much Does it Cost to Start a Small Business? | PR Newswire [Video]

The best time to determine startup expenditures is when researching a business plan.

, /PRNewswire/ — For aspiring entrepreneurs, the new year may seem like a great time to start a new business, but before rushing into a new venture, it’s important to plan ahead to avoid common mistakes – such as lack of cash flow and planning – two of the primary reasons businesses fail. As mentors to America’s small businesses, SCORE encourages entrepreneurs to avoid these pitfalls by taking the time to research setup costs, create a business plan and estimate your operating expenses.

Here’s a quick overview of your potential startup expenditures.

Location

Rent, permits and other expenses can vary greatly depending on the required space size and location. Generally, home-based businesses have lower initial and ongoing expenses compared to traditional brick-and-mortar establishments. When calculating startup costs, remember to factor in utilities alongside rent. While rent remains constant, utility bills fluctuate throughout the year.

Business licenses and permits

…