About the Startup Cost
This startup cost calculator gives you an editable estimate of what it takes to set up a business. Choose one of six templates — retail or kirana store, food processing unit, small manufacturing, services or agency office, cloud kitchen, or tech startup at MVP stage — and adjust each cost line to match your own plan.
It is aimed at first-time entrepreneurs, students and working professionals planning a venture, and at MSME owners adding a new unit. Instead of starting from a blank sheet, you begin with the cost heads that usually apply — deposits, equipment, licences, opening stock, salaries, marketing and a working-capital buffer — and replace the default amounts with your own quotations.
The total is simply the sum of the lines, so it is only as accurate as your inputs. City tier, scale, rent levels and equipment choices change the numbers a great deal. The tool also names your biggest expense and suggests a funding ask, which is the total rounded up to the next ₹1 lakh.
How to use it
- 1Select the business type closest to your plan.
- 2Replace each default amount with your own estimate or quotation; enter 0 for anything that does not apply.
- 3Read the estimated setup cost, the biggest expense and the suggested funding ask.
- 4Use the total as the starting project cost when you explore loans, subsidies and EMIs.
How this is calculated
Estimated setup cost = sum of all cost lines. Suggested funding ask = setup cost rounded up to the next ₹1,00,000. Biggest expense = the line with the highest amount.
Frequently asked questions
Which business types does the startup cost calculator cover?
Six templates are included: retail or kirana store, food processing unit, small manufacturing, services or agency office, cloud kitchen and tech startup at MVP stage. Each opens with six or seven typical cost lines. If your business is different, pick the closest template and rewrite the amounts to suit your own plan.
Are the default amounts accurate for my city?
Treat them as placeholders. The defaults are illustrative figures intended to remind you of the cost heads; actual costs vary widely with city tier, location, scale and quality of equipment. Collect real quotations for rent deposits, machinery and interiors, and overwrite each line before relying on the total.
What is the suggested funding ask?
It is your estimated setup cost rounded up to the next ₹1 lakh, giving a neat figure to begin discussions with a lender or investor. It is not an assessment of what you are eligible to borrow. Lenders will expect you to contribute a share of the project cost from your own funds.
Can I add my own cost heads?
The tool lets you edit the amount on every line, but it does not add new lines. Include any extra cost in the closest existing head or in the buffer line, and set lines that do not apply to zero. For a detailed, lender-ready cost sheet, you will need a full project report.
Why does every template include a buffer or working capital line?
New businesses rarely earn steady revenue from the first month, while rent, salaries and supplier payments begin immediately. The buffer covers these running expenses until sales stabilise. Underestimating it is a common reason early-stage businesses run short of cash, so review this line as carefully as the equipment costs.
How do I use this estimate for a loan or subsidy application?
Use the total as a first draft of your project cost. Then test it in the PMEGP subsidy calculator or the business loan EMI calculator on this site. A formal application will need supplier quotations and a project report; the estimate here is a planning aid, not a document a bank will accept.