Manufacturing Business Startup Cost Comparison

Austin, TX vs Houston, TX

Austin, TX

$68,000 - $1,165,000

COL Index: 105.2

VS

Houston, TX

$63,000 - $1,078,000

COL Index: 96.5

Detailed Cost Comparison

Expense Austin, TX Houston, TX Difference
Licensing & Compliance
$2,000 - $15,000 $2,000 - $15,000 Same
Manufacturing Space
$16,700 - $334,800 $13,700 - $273,900 +22%
Manufacturing Equipment
$15,000 - $400,000 $15,000 - $400,000 Same
Initial Raw Materials
$5,000 - $100,000 $5,000 - $100,000 Same
Insurance & Compliance
$5,000 - $30,000 $5,000 - $30,000 Same
Production Staff & Training
$5,500 - $55,000 $4,600 - $46,000 +20%
Sales & Distribution
$3,000 - $20,000 $3,000 - $20,000 Same
Working Capital (3-6 Months)
$15,800 - $210,400 $14,500 - $193,000 +9%
Total Estimated Cost $68,000 - $1,165,000 $63,000 - $1,078,000 +8%

Local Market Factors

Factor Austin Houston
Cost of Living Index 105.2 96.5
Commercial Rent ($/sqft/yr) $22 - $55 $18 - $45
Labor Rate Index 1.1 0.92
Sales Tax 8.25% 8.25%
Minimum Wage $7.25/hr $7.25/hr
LLC Filing Fee $300 $300

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