Do you want to know exactly how much it cost to start a makeup line business? If YES, here is a detailed cost analysis for starting a makeup line and raising finance.

Having provided you with a:

  1. Makeup Industry Overview
  2. Market Research and Feasibility
  3. Makeup Line Business Plan
  4. Makeup Line Marketing Plan
  5. Makeup Line Name ideas
  6. Makeup Line Licenses and Permits
  7. Cost for Starting a Makeup Line
  8. Makeup Line Marketing ideas

We will consider how much it cost to start a makeup line business from scratch including the operating costs.

How Much Does It Cost to Starting a Makeup Line?

Makeup line business can be profitable but it is much more complicated than making a lotion in your kitchen and selling the product to a demanding public. When you figure in the costs of product development, business, and marketing you realistically need about $10,000 – $15,000 to invest up front.

Once you start making sales you can make that money back but understand that this is the minimum amount you are going to need to get started.

  • The Total Fee for incorporating the Business in United States of America – $750.
  • The budget for Insurance, permits and license – $5,000
  • The Amount needed to rent a suitable lab facility with enough space in the United States of America (Re – Construction of the facility inclusive) – $50,000.
  • The Cost of Launching an official Website – $700
  • Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
  • Other miscellaneous – $1,000

Going by the report from our research and feasibility studies, we will need about $75,000 to set up a small scale make up line in the United States of America.

On the average, you would need over 200,000 US dollars to start a medium scale make up line in the United States of America. If you choose to start a large scale make up line, then you should look towards budgeting about 2 million US dollars and above. This money includes scientists that will be on your employee / payroll.

Tips for Financing Your Makeup Line

If you choose to start your make up line on a small scale, you might not need loads of resources to launch the business, but if you decide to start on a large scale, you will sure need to raise the required start – up capital to launch the business.

If you are starting your make up line on a large scale, you will need a decent office facility, office equipment and furniture, and money budgeted for the payment of salaries and utility bills for at least a period of 3 months and you will also need money to purchase or lease a laboratory. In essence you are expected to generate your start – up capital.

When it comes to financing a business, one of the first thing and perhaps the major factors that you should consider is to write a good business plan. If you have a good and workable business plan in place, you may not have to labor yourself before convincing your bank, investors and your friends to invest in your business.

Here are some of the options you can explore when sourcing for start – up capital for your new makeup line;

  • Raising money from personal savings and sale of personal stocks and properties
  • Raising money from investors and business partners
  • Applying for loan from your bank / banks
  • Pitching your business idea and applying for business grants and seed funding from donor organizations and angel investors
  • Source for soft loans from your family members and your friends.