How Much Does It Cost to Start a Business in Chattanooga, TN?
Population: 182,799 | Cost of living: 89.8% | Sales tax: 9.25% | Min wage: $7.25
Startup Costs by Industry in Chattanooga
| Industry | Estimated Startup Cost | National Average | Local Difference |
|---|---|---|---|
| Accounting Firm | $15,000 - $62,000 | $15,000 - $60,000 | +3% |
| Acupuncture Practice | $7,000 - $43,000 | $10,000 - $60,000 | -29% |
| Affiliate Marketing Business | $2,000 - $12,000 | $500 - $5,000 | +155% |
| After-School Program | $17,000 - $99,000 | $20,000 - $100,000 | -3% |
| AI Consulting Business | $6,000 - $49,000 | $2,000 - $50,000 | +6% |
| Airbnb Rental Business | $9,000 - $50,000 | $10,000 - $50,000 | -2% |
| Amazon FBA Business | $7,000 - $65,000 | $5,000 - $50,000 | +31% |
| App Development | $15,000 - $99,000 | $15,000 - $100,000 | -1% |
| Aquaponics Farm | $16,000 - $130,000 | $20,000 - $150,000 | -14% |
| Arcade & Gaming Center | $80,000 - $470,000 | $100,000 - $500,000 | -8% |
| ATM Business | $4,000 - $53,000 | $3,000 - $30,000 | +73% |
| Auto Detailing | $8,000 - $61,000 | $5,000 - $75,000 | -14% |
| Auto Repair Shop | $51,000 - $263,000 | $50,000 - $300,000 | -10% |
| Axe Throwing Venue | $36,000 - $185,000 | $50,000 - $200,000 | -12% |
| Bakery | $49,000 - $211,000 | $60,000 - $250,000 | -16% |
| Bar | $77,000 - $311,000 | $100,000 - $400,000 | -22% |
| Barbershop | $36,000 - $133,000 | $50,000 - $150,000 | -16% |
| Beauty Supply Store | $19,000 - $91,000 | $30,000 - $150,000 | -39% |
| Bed & Breakfast | $88,000 - $437,000 | $100,000 - $500,000 | -13% |
| Beekeeping Business | $11,000 - $55,000 | $10,000 - $50,000 | +10% |
| Bike Shop | $19,000 - $119,000 | $30,000 - $200,000 | -40% |
| Auto Body Shop | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Bookkeeping Service | $3,000 - $17,000 | $2,000 - $10,000 | +67% |
| Bookstore | $38,000 - $158,000 | $40,000 - $200,000 | -18% |
| Boutique | $41,000 - $201,000 | $50,000 - $250,000 | -19% |
| Bowling Alley | $372,000 - $2,314,000 | $500,000 - $3,000,000 | -23% |
| Brewery | $181,000 - $1,019,000 | $250,000 - $1,500,000 | -31% |
| Campground | $88,000 - $834,000 | $100,000 - $1,000,000 | -16% |
| Candy Shop | $19,000 - $93,000 | $20,000 - $100,000 | -7% |
| Car Rental Business | $50,000 - $474,000 | $50,000 - $500,000 | -5% |
| Car Wash | $70,000 - $450,000 | $75,000 - $500,000 | -10% |
| Carpentry Business | $18,000 - $92,000 | $15,000 - $75,000 | +22% |
| Carpet Cleaning Business | $4,000 - $27,000 | $5,000 - $30,000 | -11% |
| Catering Business | $23,000 - $120,000 | $20,000 - $125,000 | -1% |
| Chiropractic | $77,000 - $278,000 | $100,000 - $350,000 | -21% |
| Christmas Tree Farm | $22,000 - $129,000 | $20,000 - $100,000 | +26% |
| Cleaning Service | $6,000 - $44,000 | $5,000 - $50,000 | -9% |
| Clothing Store | $16,000 - $91,000 | $25,000 - $150,000 | -39% |
| Coding Bootcamp | $7,000 - $65,000 | $10,000 - $100,000 | -35% |
| Coffee Roastery | $20,000 - $248,000 | $20,000 - $300,000 | -16% |
| Coffee Shop | $55,000 - $216,000 | $80,000 - $300,000 | -29% |
| Computer Repair Business | $4,000 - $27,000 | $5,000 - $30,000 | -11% |
| Concrete Business | $29,000 - $152,000 | $30,000 - $150,000 | +1% |
| Construction Company | $57,000 - $490,000 | $50,000 - $500,000 | -1% |
| Consulting Business | $9,000 - $62,000 | $5,000 - $50,000 | +29% |
| Convenience Store | $40,000 - $259,000 | $50,000 - $350,000 | -25% |
| Courier & Delivery Service | $7,000 - $55,000 | $5,000 - $50,000 | +13% |
| Coworking Space | $59,000 - $286,000 | $100,000 - $500,000 | -43% |
| Cybersecurity Firm | $7,000 - $65,000 | $10,000 - $100,000 | -35% |
| Dance Studio | $24,000 - $114,000 | $30,000 - $150,000 | -23% |
| Daycare | $39,000 - $159,000 | $50,000 - $300,000 | -43% |
| Demolition Company | $60,000 - $280,000 | $50,000 - $250,000 | +13% |
| Dental Practice | $289,000 - $713,000 | $350,000 - $750,000 | -9% |
| Digital Marketing | $9,000 - $52,000 | $5,000 - $50,000 | +11% |
| Distillery | $75,000 - $689,000 | $100,000 - $1,000,000 | -31% |
| Dog Daycare | $29,000 - $201,000 | $40,000 - $350,000 | -41% |
| Dog Grooming Business | $9,000 - $51,000 | $10,000 - $50,000 | Avg |
| Dog Training Business | $3,000 - $23,000 | $2,000 - $20,000 | +18% |
| Dog Walking Business | $2,000 - $10,000 | $500 - $5,000 | +118% |
| Donut Shop | $40,000 - $192,000 | $50,000 - $250,000 | -23% |
| Driving School | $23,000 - $99,000 | $25,000 - $100,000 | -2% |
| Drone Business | $4,000 - $39,000 | $3,000 - $50,000 | -19% |
| Dropshipping Business | $2,000 - $17,000 | $500 - $10,000 | +81% |
| Electrical | $17,000 - $92,000 | $15,000 - $100,000 | -5% |
| Embroidery & Custom Apparel | $7,000 - $38,000 | $10,000 - $50,000 | -25% |
| Escape Room | $40,000 - $259,000 | $50,000 - $300,000 | -15% |
| Etsy Shop | $2,000 - $11,000 | $500 - $5,000 | +136% |
| Event Planning Business | $7,000 - $36,000 | $5,000 - $30,000 | +23% |
| Excavation Business | $86,000 - $383,000 | $80,000 - $350,000 | +9% |
| Farm | $40,000 - $442,000 | $50,000 - $500,000 | -12% |
| Fast Food Franchise | $115,000 - $1,688,000 | $100,000 - $2,500,000 | -31% |
| Fencing Business | $7,000 - $38,000 | $10,000 - $50,000 | -25% |
| Financial Advisory Practice | $7,000 - $38,000 | $10,000 - $50,000 | -25% |
| Fitness Studio | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Flooring Business | $12,000 - $73,000 | $10,000 - $60,000 | +21% |
| Flower Shop | $27,000 - $144,000 | $30,000 - $175,000 | -17% |
| Food Delivery Service | $14,000 - $80,000 | $10,000 - $75,000 | +11% |
| Food Truck | $57,000 - $213,000 | $50,000 - $200,000 | +8% |
| Franchise Business | $34,000 - $914,000 | $20,000 - $1,000,000 | -7% |
| Garage Door Business | $7,000 - $38,000 | $10,000 - $50,000 | -25% |
| Gas Station | $146,000 - $1,119,000 | $250,000 - $2,000,000 | -44% |
| General Contractor | $32,000 - $192,000 | $30,000 - $200,000 | -3% |
| Ghost Kitchen | $19,000 - $93,000 | $20,000 - $100,000 | -7% |
| Gift Shop | $27,000 - $129,000 | $30,000 - $150,000 | -13% |
| Glamping Business | $13,000 - $119,000 | $20,000 - $200,000 | -40% |
| Graphic Design Business | $6,000 - $26,000 | $3,000 - $20,000 | +39% |
| Greenhouse Business | $23,000 - $185,000 | $30,000 - $200,000 | -10% |
| Grocery Store | $89,000 - $1,139,000 | $80,000 - $2,000,000 | -41% |
| Gym | $75,000 - $369,000 | $50,000 - $500,000 | -19% |
| Hair Salon | $50,000 - $183,000 | $60,000 - $200,000 | -10% |
| Handyman | $9,000 - $46,000 | $5,000 - $40,000 | +22% |
| Home Health Care Agency | $44,000 - $302,000 | $40,000 - $350,000 | -11% |
| Home Inspection Business | $6,000 - $33,000 | $5,000 - $25,000 | +30% |
| Hostel | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Hotel | $455,000 - $4,158,000 | $500,000 - $5,000,000 | -16% |
| HVAC | $26,000 - $130,000 | $20,000 - $150,000 | -8% |
| Ice Cream Shop | $47,000 - $245,000 | $50,000 - $300,000 | -17% |
| Insurance Agency | $18,000 - $76,000 | $20,000 - $80,000 | -6% |
| Interior Design Business | $4,000 - $27,000 | $5,000 - $30,000 | -11% |
| IT Services | $15,000 - $95,000 | $15,000 - $100,000 | -4% |
| Jewelry Store | $30,000 - $147,000 | $50,000 - $250,000 | -41% |
| Juice Bar | $34,000 - $164,000 | $40,000 - $200,000 | -18% |
| Junk Removal Business | $4,000 - $38,000 | $5,000 - $50,000 | -24% |
| Landscaping | $13,000 - $78,000 | $10,000 - $80,000 | +1% |
| Language School | $7,000 - $51,000 | $10,000 - $75,000 | -32% |
| Laundromat | $131,000 - $706,000 | $200,000 - $1,000,000 | -30% |
| Lavender Farm | $13,000 - $65,000 | $20,000 - $100,000 | -35% |
| Law Firm | $37,000 - $169,000 | $50,000 - $200,000 | -18% |
| Liquor Store | $75,000 - $292,000 | $100,000 - $400,000 | -27% |
| Locksmith Business | $4,000 - $27,000 | $5,000 - $30,000 | -11% |
| Managed IT Services | $7,000 - $51,000 | $10,000 - $75,000 | -32% |
| Manufacturing Business | $55,000 - $937,000 | $50,000 - $1,000,000 | -6% |
| Marketing Agency | $15,000 - $85,000 | $10,000 - $75,000 | +18% |
| Martial Arts Studio | $24,000 - $116,000 | $30,000 - $150,000 | -22% |
| Masonry Business | $18,000 - $95,000 | $15,000 - $80,000 | +19% |
| Massage Therapy Practice | $4,000 - $38,000 | $5,000 - $50,000 | -24% |
| Meal Prep Business | $15,000 - $74,000 | $15,000 - $100,000 | -23% |
| Med Spa | $187,000 - $534,000 | $250,000 - $600,000 | -15% |
| Medical Practice | $84,000 - $472,000 | $70,000 - $500,000 | -2% |
| Microgreens Farm | $3,000 - $21,000 | $2,000 - $15,000 | +41% |
| Mini Golf Course | $72,000 - $402,000 | $100,000 - $500,000 | -21% |
| Mobile Mechanic | $7,000 - $52,000 | $5,000 - $50,000 | +7% |
| Moving Company | $26,000 - $130,000 | $20,000 - $150,000 | -8% |
| Mushroom Farm | $9,000 - $67,000 | $10,000 - $80,000 | -16% |
| Music School | $23,000 - $109,000 | $25,000 - $120,000 | -9% |
| Nail Salon | $31,000 - $124,000 | $40,000 - $150,000 | -18% |
| Notary Business | $2,000 - $14,000 | $1,000 - $5,000 | +167% |
| Plant Nursery | $24,000 - $142,000 | $25,000 - $150,000 | -5% |
| Oil Change Shop | $38,000 - $208,000 | $40,000 - $250,000 | -15% |
| Online Coaching Business | $3,000 - $23,000 | $1,000 - $10,000 | +136% |
| Online Store | $3,000 - $44,000 | $2,000 - $30,000 | +47% |
| Painting | $9,000 - $52,000 | $5,000 - $50,000 | +11% |
| Pawn Shop | $30,000 - $119,000 | $50,000 - $200,000 | -40% |
| Personal Training | $12,000 - $81,000 | $10,000 - $100,000 | -15% |
| Pest Control | $15,000 - $78,000 | $10,000 - $75,000 | +9% |
| Pet Boarding Facility | $38,000 - $317,000 | $50,000 - $500,000 | -35% |
| Pet Sitting Business | $2,000 - $9,000 | $500 - $5,000 | +100% |
| Pet Store | $48,000 - $241,000 | $60,000 - $300,000 | -20% |
| Pharmacy | $248,000 - $1,288,000 | $250,000 - $1,700,000 | -21% |
| Phone Repair Shop | $7,000 - $38,000 | $10,000 - $50,000 | -25% |
| Photography Business | $12,000 - $68,000 | $10,000 - $50,000 | +33% |
| Physical Therapy Clinic | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Pilates Studio | $19,000 - $91,000 | $30,000 - $150,000 | -39% |
| Pizza Shop | $58,000 - $225,000 | $75,000 - $300,000 | -25% |
| Plumbing | $16,000 - $89,000 | $15,000 - $100,000 | -9% |
| Podcast Studio | $14,000 - $73,000 | $15,000 - $80,000 | -8% |
| Pool Construction Business | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Pool Cleaning & Service | $4,000 - $24,000 | $5,000 - $25,000 | -7% |
| Preschool | $62,000 - $239,000 | $80,000 - $300,000 | -21% |
| Pressure Washing Business | $3,000 - $24,000 | $3,000 - $20,000 | +17% |
| Print-on-Demand Business | $2,000 - $14,000 | $500 - $8,000 | +88% |
| Printing Business | $43,000 - $214,000 | $50,000 - $250,000 | -14% |
| Property Management Company | $5,000 - $30,000 | $5,000 - $50,000 | -36% |
| Real Estate Agency | $24,000 - $103,000 | $25,000 - $100,000 | +2% |
| Real Estate Investment Business | $21,000 - $364,000 | $20,000 - $500,000 | -26% |
| Recording Studio | $38,000 - $179,000 | $50,000 - $200,000 | -13% |
| Restaurant | $74,000 - $290,000 | $75,000 - $250,000 | +12% |
| Retail Store | $37,000 - $198,000 | $50,000 - $250,000 | -22% |
| Roofing | $26,000 - $137,000 | $20,000 - $150,000 | -4% |
| SaaS Company | $23,000 - $195,000 | $25,000 - $200,000 | -3% |
| Security Company | $16,000 - $103,000 | $10,000 - $100,000 | +8% |
| Self-Storage Facility | $283,000 - $3,205,000 | $500,000 - $5,000,000 | -37% |
| Senior Care Facility | $92,000 - $858,000 | $100,000 - $1,500,000 | -41% |
| SEO Agency | $9,000 - $53,000 | $5,000 - $50,000 | +13% |
| Sign Shop | $13,000 - $65,000 | $20,000 - $100,000 | -35% |
| Smoke Shop | $19,000 - $91,000 | $30,000 - $150,000 | -39% |
| Solar Installation Business | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Spa | $75,000 - $284,000 | $100,000 - $350,000 | -20% |
| Staffing Agency | $31,000 - $138,000 | $30,000 - $150,000 | -6% |
| Subscription Box Business | $6,000 - $56,000 | $5,000 - $50,000 | +13% |
| Swim School | $30,000 - $175,000 | $50,000 - $300,000 | -41% |
| Tanning Salon | $30,000 - $147,000 | $50,000 - $250,000 | -41% |
| Tattoo Shop | $19,000 - $91,000 | $30,000 - $150,000 | -39% |
| Tax Preparation Business | $9,000 - $44,000 | $8,000 - $40,000 | +10% |
| Tech Startup | $19,000 - $144,000 | $20,000 - $150,000 | -4% |
| Thrift Store | $17,000 - $92,000 | $20,000 - $120,000 | -22% |
| Tire Shop | $49,000 - $232,000 | $50,000 - $250,000 | -6% |
| Tour Company | $12,000 - $85,000 | $10,000 - $80,000 | +8% |
| Towing Company | $50,000 - $261,000 | $50,000 - $300,000 | -11% |
| Trampoline Park | $315,000 - $1,444,000 | $500,000 - $2,000,000 | -30% |
| Travel Agency | $7,000 - $38,000 | $5,000 - $30,000 | +29% |
| Tree Service | $10,000 - $65,000 | $15,000 - $100,000 | -35% |
| Trucking Company | $21,000 - $287,000 | $15,000 - $400,000 | -26% |
| Tutoring Business | $3,000 - $19,000 | $2,000 - $15,000 | +29% |
| Used Car Dealer | $43,000 - $300,000 | $50,000 - $350,000 | -14% |
| Vape Shop | $25,000 - $119,000 | $25,000 - $150,000 | -18% |
| Vending Machine Business | $8,000 - $72,000 | $5,000 - $50,000 | +45% |
| Veterinary Clinic | $239,000 - $1,391,000 | $300,000 - $2,000,000 | -29% |
| Videography Business | $13,000 - $64,000 | $10,000 - $60,000 | +10% |
| Virtual Assistant Business | $2,000 - $13,000 | $500 - $3,000 | +329% |
| Waste Management Business | $35,000 - $422,000 | $30,000 - $500,000 | -14% |
| Web Design Business | $4,000 - $30,000 | $3,000 - $25,000 | +21% |
| Wedding Planning Business | $7,000 - $35,000 | $5,000 - $30,000 | +20% |
| Welding Business | $19,000 - $106,000 | $15,000 - $100,000 | +9% |
| Window Cleaning Business | $3,000 - $21,000 | $2,000 - $15,000 | +41% |
| Winery | $69,000 - $791,000 | $100,000 - $1,000,000 | -22% |
| Yoga Studio | $39,000 - $151,000 | $50,000 - $200,000 | -24% |
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Local Market Factors in Chattanooga
89.8%
Cost of Living Index
$10-$24
Commercial Rent ($/sqft/yr)
0.9x
Labor Rate Index
9.25%
Sales Tax Rate
Local Permit Fees in Chattanooga
| Permit | Cost Range |
|---|---|
| Business License | $50 - $200 |
| Food Service Permit | $150 - $400 |
| Liquor License | $800 - $4,000 |
| General Contractor License | $75 - $300 |
| Home Occupation Permit | $25 - $75 |
About Starting a Business in Chattanooga
Chattanooga pioneered the nation's first citywide gigabit internet network, establishing it as a magnet for tech entrepreneurs and remote workers. The Scenic City's outdoor recreation economy, revitalized riverfront district, and the nation's fastest internet have attracted a wave of startups at a fraction of Nashville's costs.
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