How Much Does It Cost To Start A Multi Tool Brand? (In 2023)

How Much Does It Cost To Start A Multi Tool Brand? (In 2023)
Start A Multi Tool Brand

Wondering how much it costs to start a multi-tool brand?

  • The minimum startup costs for a multi-tool brand: $62
  • The maximum startup costs for a multi-tool brand: $47,445
  • The average startup costs for a multi-tool brand: $24,873

Here's a detailed list of a multi-tool brand startup costs:

Learn more about starting a multi-tool brand:

Where to start?

-> How to start a multi-tool brand?
-> Pros and cons of a multi-tool brand

Need inspiration?

-> Other multi-tool brand success stories
-> Examples of established multi-tool brand
-> Marketing ideas for a multi-tool brand
-> Multi-tool brand names

Other resources

-> Multi-tool brand tips

Equipment & Supply Expenses

Starting a multi-tool brand may require purchasing some equipment, whether that's for producing the product or packaging the goods, or equipment needed in the back office.

Cost Required? Min Cost Max Cost
Cleaning Supplies ➜ Optional $63 $200

Retail Business Expenses

If you plan to have a brick & mortar location for your multi-tool brand, you must weigh the costs of your rent, as it may be the most expensive part of running your business.

Rent costs for your multi-tool brand very much depends on your location. This cost will vary by both region and specific areas of town: a lease in the heart of Manhattan could cost over $80,000/month in rent. Meanwhile, a storefront lease in Florida or Tennessee could cost less than $1,000/month.

Cost Required? Min Cost Max Cost
Shop Decor Optional $0 $5,000
Utilities (storefront business) Optional $0 $1,000
Building improvements and remodeling Optional $0 $950
Storefront Property Rent ➜ Optional $1,250 $3,500

Business Formation Fees

There are a few key costs associated with forming your business entity, such as setting up an LLC and getting trademarks, copyrights, and patents sorted.

Cost Required? Min Cost Max Cost
Set up business: LLC & Corporations Required $50 $500

Software Expenses

Your multi-tool brand needs software to run efficiently!

Why spend money on software? Because it can help you save time and automate certain parts of the business, so you can focus on the most important matters. Software and technology can help you grow your business, and save you from expensive personnel costs.

Cost Required? Min Cost Max Cost
File Hosting Service Recommended $0 $299
Project Management Software Recommended $0 $25
Internal Communication Tool Recommended $0 $20
Email marketing tool Recommended $0 $100
Accounting & Invoicing Software Recommended $0 $50
IT Support ➜ Optional $150 $2,000
Payroll Software Optional $0 $200
Social Media Management Tools Optional $0 $50

Office Space Expenses

It will be your call to determine if you need office space. It is not a requirement but may be necessary as your multi-tool brand grows.

Cost Required? Min Cost Max Cost
Rent ➜ Optional $0 $5,750
Utility Costs For Office Space ➜ Optional $0 $1,150
WiFi & Internet ➜ Optional $0 $100

Website Costs

Every business should have a website, and it's worth spending a bit of money to set it up right.

Cost Required? Min Cost Max Cost
Domain Name ➜ Required $12 $200
Website Hosting Costs ➜ Required $0 $300
Business Email Hosting Service ➜ Recommended $1 $15
Web Designer ➜ Optional $200 $6,000

Inventory Expenses

If you sell a physical good, you'll likely have to start with some inventory.

Cost Required? Min Cost Max Cost
Upfront Costs For Inventory Optional $300 $5,000
Inventory Storage Optional $0 $5,000
Package Design ➜ Optional $50 $3,000
Shrinkage Optional $0 $1,000
Distribution costs Optional $0 $750

Advertising & Marketing Costs

Cost Required? Min Cost Max Cost
Business Cards ➜ Optional $0 $50
Customer Research & Surveys Optional $0 $300
Business Signage ➜ Optional $75 $2,486
Direct Campaigns, Printing and Mailing Optional $0 $300
Affiliate Marketing Commission & Fees Optional $0 $250
Influencer Marketing Optional $0 $750
Press Optional $0 $500
Google Ads Optional $0 $300
Facebook & Instagram Ads Optional $0 $350

Pat Walls,  Founder of Starter Story
Want to find more ideas that make money?

Hey! 👋 I'm Pat Walls, the founder of Starter Story.

Get our 5-minute email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.