Bar Startup Cost Comparison
Rochester, MN vs Los Angeles, CA
Rochester, MN
$83,000 - $338,000
COL Index: 101.5
VS
Los Angeles, CA
$117,000 - $487,000
COL Index: 166.5
Detailed Cost Comparison
| Expense | Rochester, MN | Los Angeles, CA | Difference |
|---|---|---|---|
|
Business Registration & Liquor License
|
$2,000 - $15,000 | $4,000 - $15,000 | -11% |
|
Commercial Lease (First + Last + Security)
|
$8,600 - $50,200 | $22,500 - $131,300 | -62% |
|
Bar Equipment & Fixtures
|
$15,000 - $60,000 | $15,000 - $60,000 | Same |
|
Initial Liquor & Beverage Inventory
|
$8,000 - $25,000 | $8,000 - $25,000 | Same |
|
Interior Build-Out & Renovation
|
$25,000 - $100,000 | $33,800 - $135,000 | -26% |
|
Sound System & Security
|
$5,000 - $25,000 | $5,000 - $25,000 | Same |
|
Business Insurance (Annual)
|
$4,000 - $12,000 | $4,000 - $12,000 | Same |
|
Working Capital (3 Months)
|
$15,200 - $50,800 | $25,000 - $83,300 | -39% |
| Total Estimated Cost | $83,000 - $338,000 | $117,000 - $487,000 | -30% |
Local Market Factors
| Factor | Rochester | Los Angeles |
|---|---|---|
| Cost of Living Index | 101.5 | 166.5 |
| Commercial Rent ($/sqft/yr) | $14 - $30 | $30 - $85 |
| Labor Rate Index | 1 | 1.35 |
| Sales Tax | 7.375% | 9.5% |
| Minimum Wage | $10.85/hr | $16.78/hr |
| LLC Filing Fee | $155 | $70 |
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