The costs of running a business can really add up, but where you run your business can make a big difference too. SmartAsset did a study of 80 cities to determine which had the highest and lowest startup costs, and its finding revealed some trends.
Cities with the Lowest (and Highest) Startup Costs
![interior-header-2 startup costs by city](https://www.headwaycapital.com/blog/wp-content/uploads/sites/5/2018/03/interior-header-2.jpg)
Tennessee Can Keep the Costs Down
Of the top 10 cities with the lowest startup costs, three of them are located in the state of Tennessee.
![tn-flag Tennessee flag](https://www.headwaycapital.com/blog/wp-content/uploads/sites/5/2018/03/tn-flag.png)
Big Cities Cost Big Bucks
While living and working in a big city can be rewarding for networking and certain market opportunities, it comes at a price.
![cityscape cityscape](https://www.headwaycapital.com/blog/wp-content/uploads/sites/5/2018/03/cityscape.png)
10 Cities With the Lowest Startup Costs*
![1](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/01p.png)
Chattanooga, TN $225,442
![2](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/02p.png)
Wichita, KS $232,057
![3](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/03p.png)
Greensboro, NC $232,326
![4](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/04p.png)
Columbia, SC $232,541
![5](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/05p.png)
Knoxville, TN $232, 620
![6](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/06p.png)
Little Rock, AR $233,877
![7](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/07p.png)
Memphis, TN $234,524
![8](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/08p.png)
Lexington, KY $234,945
![9](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/09p.png)
Orlando, FL $236,513
![10](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/10p.png)
Winston-Salem, NC $237,983
10 Cities With the Highest Startup Costs*
![1](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/01p.png)
San Jose, CA $439,831
![2](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/02p.png)
San Francisco, CA $422,455
![3](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/03p.png)
Washington, DC $395,017
![4](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/04p.png)
New York, NY $384,389
![5](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/05p.png)
Boston, MA $378,436
![6](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/06p.png)
Bridgeport, CT $356,853
![7](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/07p.png)
Oakland, CA $346,241
![8](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/08p.png)
Seattle, WA $345,615
![9](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/09p.png)
Trenton, NJ $336,611
![10](https://www.headwaycapital.com/blog/wp-content/uploads/2017/03/10p.png)
Newark, NJ $328,396
![bottom-map map of the USA](https://www.headwaycapital.com/blog/wp-content/uploads/sites/5/2018/03/bottom-map.png)
*Costs account for filing fees, office space, utilities, legal & accounting, and payroll.
References
Dixon, A. (August 10, 2016). The Cities with the Lowest Startup Costs — 2016 Edition. Retrieved March 8,
2017 from https://smartasset.com/mortgage/the-cities-with-the-lowest-startup-costs-2016-edition