Amazon FBA Business Startup Cost Comparison

San Diego, CA vs Chicago, IL

San Diego, CA

$11,000 - $88,000

COL Index: 160.2

VS

Chicago, IL

$12,000 - $73,000

COL Index: 107.8

Detailed Cost Comparison

Expense San Diego, CA Chicago, IL Difference
Business Registration & Licenses
$4,000 - $17,700 $5,600 - $10,900 +32%
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)
$3,200 - $24,000 $2,200 - $16,200 +48%
Total Estimated Cost $11,000 - $88,000 $12,000 - $73,000 +16%

Local Market Factors

Factor San Diego Chicago
Cost of Living Index 160.2 107.8
Commercial Rent ($/sqft/yr) $28 - $75 $25 - $65
Labor Rate Index 1.3 1.15
Sales Tax 7.75% 10.25%
Minimum Wage $16.85/hr $15.80/hr
LLC Filing Fee $70 $150

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