Startup Costs

Start A Web Development Business

Startup Costs

Wondering how much it costs to start a web development business?

  • The minimum startup costs for a web development business: $6,017
  • The maximum startup costs for a web development business: $38,694
  • The average startup costs for a web development business: $22,355

Here's a detailed list of a web development business startup costs:

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 Min Startup Costs Max Startup Costs
Small Business Insurance $500 $2,000
Permit and License Fees $50 $700
Trademarking $0 $700
Lawyer Fees $0 $1,500
A Patent ➜ $5,000 $15,000
Set up business: LLC & Corporations $50 $500

Software Expenses

Your web development business 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 Min Startup Costs Max Startup Costs
Design Programs & Software $0 $50
Email marketing tool $0 $100
IT Support ➜ $150 $2,000
Accounting & Invoicing Software $0 $50
CRM Software ➜ $0 $250
Project Management Software $0 $25
Internal Communication Tool $0 $20
Social Media Management Tools $0 $50
Payroll Software $0 $200
Online data storage $0 $299

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 web development business grows.

Cost Min Startup Costs Max Startup Costs
Rent $0 $2,000
Utility Costs (office space) $0 $150
Office Supplies $25 $1,000
WiFi $10 $100

Employee & Freelancer Expenses

Cost Min Startup Costs Max Startup Costs
Payroll $0 $4,000
Other Employee Expenses $0 $1,000
Employee Reward Ideas $0 $500

Website Costs

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

Cost Min Startup Costs Max Startup Costs
Website builder $15 $100
Web Design ➜ $200 $6,000
A Domain Name ➜ $12 $200
Email hosting $5 $75
Server Hosting $0 $50
Website chat function $0 $75