Amazon FBA Business Startup Cost Comparison
Chicago, IL vs New York, NY
Chicago, IL
$12,000 - $73,000
COL Index: 107.8
VS
New York, NY
$13,000 - $91,000
COL Index: 187.2
Detailed Cost Comparison
| Expense | Chicago, IL | New York, NY | Difference |
|---|---|---|---|
|
Business Registration & Licenses
|
$5,600 - $10,900 | $5,300 - $17,100 | -26% |
|
Amazon Seller Account & Fees
|
$200 - $1,000 | $200 - $1,000 | Same |
|
Initial Product Inventory
|
$1,000 - $20,000 | $1,000 - $20,000 | Same |
|
Product Research & Development
|
$500 - $5,000 | $500 - $5,000 | Same |
|
Branding & Packaging
|
$500 - $5,000 | $500 - $5,000 | Same |
|
Shipping to Amazon Warehouses
|
$500 - $5,000 | $500 - $5,000 | Same |
|
Amazon PPC & Marketing
|
$1,000 - $10,000 | $1,000 - $10,000 | Same |
|
Working Capital (3 Months)
|
$2,200 - $16,200 | $3,700 - $28,100 | -42% |
| Total Estimated Cost | $12,000 - $73,000 | $13,000 - $91,000 | -18% |
Local Market Factors
| Factor | Chicago | New York |
|---|---|---|
| Cost of Living Index | 107.8 | 187.2 |
| Commercial Rent ($/sqft/yr) | $25 - $65 | $40 - $120 |
| Labor Rate Index | 1.15 | 1.45 |
| Sales Tax | 10.25% | 8.875% |
| Minimum Wage | $15.80/hr | $16.00/hr |
| LLC Filing Fee | $150 | $200 |
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