Amazon FBA Business Startup Cost Comparison

Philadelphia, PA vs Chicago, IL

Philadelphia, PA

$10,000 - $90,000

COL Index: 114.5

VS

Chicago, IL

$12,000 - $73,000

COL Index: 107.8

Detailed Cost Comparison

Expense Philadelphia, PA Chicago, IL Difference
Business Registration & Licenses
$3,600 - $26,600 $5,600 - $10,900 +83%
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)
$2,300 - $17,200 $2,200 - $16,200 +6%
Total Estimated Cost $10,000 - $90,000 $12,000 - $73,000 +18%

Local Market Factors

Factor Philadelphia Chicago
Cost of Living Index 114.5 107.8
Commercial Rent ($/sqft/yr) $20 - $55 $25 - $65
Labor Rate Index 1.12 1.15
Sales Tax 8% 10.25%
Minimum Wage $7.25/hr $15.80/hr
LLC Filing Fee $125 $150

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