Manufacturing Business Startup Cost Comparison

Los Angeles, CA vs San Francisco, CA

Los Angeles, CA

$89,000 - $1,466,000

COL Index: 166.5

VS

San Francisco, CA

$99,000 - $1,656,000

COL Index: 179.8

Detailed Cost Comparison

Expense Los Angeles, CA San Francisco, CA Difference
Licensing & Compliance
$4,000 - $15,000 $4,200 - $18,500 -16%
Manufacturing Space
$25,000 - $500,000 $32,600 - $652,200 -23%
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
$6,800 - $67,500 $7,600 - $76,000 -11%
Sales & Distribution
$3,000 - $20,000 $3,000 - $20,000 Same
Working Capital (3-6 Months)
$25,000 - $333,000 $27,000 - $359,600 -7%
Total Estimated Cost $89,000 - $1,466,000 $99,000 - $1,656,000 -11%

Local Market Factors

Factor Los Angeles San Francisco
Cost of Living Index 166.5 179.8
Commercial Rent ($/sqft/yr) $30 - $85 $40 - $110
Labor Rate Index 1.35 1.52
Sales Tax 9.5% 8.625%
Minimum Wage $16.78/hr $18.67/hr
LLC Filing Fee $70 $70

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