At ProjectionHub we help entrepreneurs create financial projections without using Excel. Over the last 6 months we have had thousands of business owners use our tool to create their financial projections. Out of the thousands of users, we chose 800 accounts that we believe have realistic data. We took this aggregate data and found some interesting trends and numbers that we wanted to share related to expenses. Approximately 80% of our users are startup companies, so here are some average expenses numbers that you can compare to your startup to help you determine if you are spending too much.
Also, just keep in mind that not every business actually had each of these expense categories, we calculated the average only based on the companies who actually projected spending something in that category. For example, not everyone had legal expenses, but those who did, spent $1,006 per month on average over the first 3 years. Here are several other average expense categories over the first 3 years of business.
Accounting – $482
Advertising – $2,767
Insurance – $298
Licenses – $262
Maintenance – $504
Office Supplies – $142
Rent – $1,800
Salaries – $16,700
Telephone – $356
Utilities – $190
Website – $689
Keep an eye out for additional blog posts as we continue to release interesting data related to startup finances. Also, make sure to test out our financial projection tool at ProjectionHub.
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