Manufacturing Business Startup Cost Comparison
Detroit, MI vs Houston, TX
Detroit, MI
$56,000 - $952,000
COL Index: 89.5
VS
Houston, TX
$63,000 - $1,078,000
COL Index: 96.5
Detailed Cost Comparison
| Expense | Detroit, MI | Houston, TX | Difference |
|---|---|---|---|
|
Licensing & Compliance
|
$2,000 - $15,000 | $2,000 - $15,000 | Same |
|
Manufacturing Space
|
$8,300 - $165,200 | $13,700 - $273,900 | -40% |
|
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
|
$4,300 - $42,500 | $4,600 - $46,000 | -8% |
|
Sales & Distribution
|
$3,000 - $20,000 | $3,000 - $20,000 | Same |
|
Working Capital (3-6 Months)
|
$13,400 - $179,000 | $14,500 - $193,000 | -7% |
| Total Estimated Cost | $56,000 - $952,000 | $63,000 - $1,078,000 | -12% |
Local Market Factors
| Factor | Detroit | Houston |
|---|---|---|
| Cost of Living Index | 89.5 | 96.5 |
| Commercial Rent ($/sqft/yr) | $10 - $28 | $18 - $45 |
| Labor Rate Index | 0.85 | 0.92 |
| Sales Tax | 6% | 8.25% |
| Minimum Wage | $10.33/hr | $7.25/hr |
| LLC Filing Fee | $50 | $300 |
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