Spa Startup Cost Comparison
Tempe, AZ vs Los Angeles, CA
Tempe, AZ
$87,000 - $334,000
COL Index: 108.5
VS
Los Angeles, CA
$116,000 - $452,000
COL Index: 166.5
Detailed Cost Comparison
| Expense | Tempe, AZ | Los Angeles, CA | Difference |
|---|---|---|---|
|
Business Registration & Licenses
|
$1,600 - $6,100 | $4,000 - $14,400 | -58% |
|
Commercial Lease (First + Last + Security)
|
$11,700 - $58,700 | $22,500 - $112,500 | -48% |
|
Spa Equipment & Furnishings
|
$20,000 - $80,000 | $20,000 - $80,000 | Same |
|
Initial Product & Supplies Inventory
|
$5,000 - $20,000 | $5,000 - $20,000 | Same |
|
Interior Build-Out & Ambiance Design
|
$26,300 - $94,500 | $33,800 - $121,500 | -22% |
|
Business Insurance (Annual)
|
$3,000 - $8,000 | $3,000 - $8,000 | Same |
|
Marketing & Launch
|
$3,000 - $12,000 | $3,000 - $12,000 | Same |
|
Working Capital (3 Months)
|
$16,300 - $54,300 | $25,000 - $83,300 | -35% |
| Total Estimated Cost | $87,000 - $334,000 | $116,000 - $452,000 | -26% |
Local Market Factors
| Factor | Tempe | Los Angeles |
|---|---|---|
| Cost of Living Index | 108.5 | 166.5 |
| Commercial Rent ($/sqft/yr) | $18 - $42 | $30 - $85 |
| Labor Rate Index | 1.05 | 1.35 |
| Sales Tax | 8.1% | 9.5% |
| Minimum Wage | $14.35/hr | $16.78/hr |
| LLC Filing Fee | $50 | $70 |
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