Costs of e-commercial startups 💳

The e-commerce industry is evolving at a rapid pace. It is gradually becoming the largest market ever. Therefore, many entrepreneurs aspire to reap the industry benefits and start business in e-commerce. Lately, we’ve made a precise review of e-commerce. However, how much does it cost? Of course, you don’t have to spend tons of money on the rent of a physical store. There are some other expenses, though.

Company registration: $200-$800

When starting business, you will need different licenses and permissions. Depending on the location and type of activity, it can take one day or several weeks. You also have to pay the duties amounting to $1-$1,000. Time and registration cost in different countries:

🇺🇸 The USA — 2 weeks; around $300
🇬🇧 The UK — 24 hours; from £1
🇨🇭 Switzerland — 2-4 weeks; 2,500 CHF
🇮🇪 Ireland — 1-2 days; €1,000

Domain name: $1-$3,000 a year

This is both name and URL-address. A domain name is rented for a year or longer time. Though it’s better to do in advance so that someone else doesn’t take the wanted domain first. If it’s already rented, you can bid on it at the auction.

The price of available domains depend on the domain area. Normally, it ranges from $10 to $50 a year.

Hosting: $5-$1,000 per month

This is the price of placing files on the hosting provider server. Without hosting your website cannot be connected to the Internet or visited.

There are 2 hosting types: virtual and private. Virtual hosting suits startup projects which process about 100,000 visitors a month. Whereas private hosting is needed when launching a website with higher traffic like marketplaces.


If you are intended to launch an e-commerce startup in the industry of production, retail, or wholesale trade, you need a number of stock materials. Its price varies according to the niche, available storage facilities, and sale forecasts. As a rule, $500-$1,000 — enough to test an idea without going broke in case of a failure.

Website/App: $0-$100 at first

Every e-commerce startup implies the launch of its own website or mobile app. They allow selling, providing online services, displaying information about the company, etc. The price depends on the aims and complexity of the idea.

Payment processing: 2-5% of income

Besides expenses for app/website designing, nearly all the e-commercial projects bear the cost of payment processing. Typically, it’s 2-10% of your income that will go to the financial service supplier: banks, PayPal, Stripe, Amazon Pay, and others.

Marketing: 5-10% of the budget

The e-commercial startup policy can include physical ads like cards and magazines or promotion via contextual advertising, SEO, SMM, and email. This is how much money startups spend on each channel:

• SEO — $500 a month/ 6% of the budget;
• SMM — $700 a month/ 7% of the budget;
• Mobile app ads — $600 a month/ 6,4% of the budget;
• Partnership programs — 2-50% of the revenue;
• Email and content marketing — $500 a month/ 6% of the budget.

Salaries: 50% of the budget

This includes wages, salaries, contributions to pension and insurance funds, bonuses, and vacation pay. When developing an e-commerce product, almost the entire budget is allocated for these payments. Only when finishing the first stage, money is spent on marketing and website design.

Would you like to launch an e-commercial startup? Text below ⬇️