Dreaming of launching your own startup in India?
Whether you’re a tech enthusiast, a service-based entrepreneur, or a small-town dreamer with big ideas, the question always comes down to this: “How much does it really cost to start a startup in India?”
Starting up in India has become easier with policies like Startup India, growing digital penetration, and increased funding opportunities. But beyond the glamour, there’s a real, tangible cost to turning your idea into a business.
In this post, we break down every cost you might encounter — from government registration and legal compliances to tech setup, hiring, and marketing.
Section 1: Initial Legal and Registration Costs.
One of the first steps is to legally register your business. Here’s a breakdown of costs based on the type of entity you choose:
In India startup registration cost may vary state to state but for most it is similar.
| Type of Company | Registration Cost (INR) | Time to Register |
|---|---|---|
| Sole Proprietorship | ₹1,000–₹2,000 | 5–7 days |
| Partnership Firm | ₹2,000–₹5,000 | 7–10 days |
| LLP (Limited Liability) | ₹7,000–₹11,000 | 10–15 days |
| Private Limited Company | ₹7,000–₹15,000 | 15–20 days |
| One Person Company (OPC) | ₹6,000–₹12,000 | 10–15 days |
Additional Costs:
- Startup India Registration: ₹0 (if eligible)
- GST Registration: ₹0 (if done yourself), ₹500–₹2,000 via CA
- Trademark Registration: ₹4,500–₹9,000
- Professional Fees (CA/CS/Lawyer): ₹5,000–₹15,000
Section 2: Technical Infrastructure & Website Development.
Whether you’re building an e-commerce platform, SaaS tool, or a simple service business — you need a digital presence in this age to reach wide audiance.
| Item | Estimated Cost (INR) |
|---|---|
| Domain Name (per year) | ₹500–₹1,000 |
| Web Hosting (shared/VPS) | ₹3,000–₹15,000 |
| Website Development (basic) | ₹10,000–₹30,000 |
| App Development (if needed) | ₹50,000–₹10,00,000 |
| Tech Stack & Tools (monthly) | ₹2,000–₹10,000 |
Cost-saving tip: Use low-code/no-code tools like Webflow, WordPress, or Bubble if you’re bootstrapped. This will save your cost by large margin.
Section 3: Team & Salaries.
You might start solo, but even early-stage startups need some help:
| Role | Monthly Salary (INR) |
|---|---|
| Intern (Part-Time) | ₹5,000–₹10,000 |
| Developer (Junior) | ₹25,000–₹50,000 |
| Digital Marketer (Fresher) | ₹25,000–₹60,000 |
| Digital Marketer (Experienced) | ₹60,000–₹1,60,000 |
| Operations Assistant | ₹10,000–₹25,000 |
Do not cheap out in marketing otherwise new businesses tank easily.
Bootstrapped hack: Offer ESOPs (Employee Stock Ownership Plans) instead of high salaries. But it is hard to handle experienced ones with ESOPs.
Section 4: Marketing & Branding.
This is where many startups either make it big or burn out. You need visibility!
| Channel | Estimated Cost (Monthly) |
|---|---|
| Social Media Ads (Meta/Google) | ₹5,000–₹50,000 |
| SEO Tools (Ahrefs, SEMrush) | ₹5,000–₹10,000 |
| Branding & Logo Design | ₹2,000–₹20,000 (one-time) |
| Influencer Marketing | ₹5,000–₹1,00,000+ |
| Email/CRM Tools | ₹1,000–₹5,000 |
Free traffic strategy: Focus initially on all types of content marketing, LinkedIn storytelling, and organic SEO.
Section 5: Office & Operations.
Remote work is growing, but some startups still need a physical setup:
| Setup | Monthly Cost (INR) |
|---|---|
| Coworking Desk | ₹4,000–₹15,000 |
| Office Rent (small city) | ₹10,000–₹30,000 |
| Utilities & Internet | ₹2,000–₹5,000 |
| Office Supplies | ₹1,000–₹3,000 |
Remote tip: Use tools like Slack, Notion, and Zoom to manage virtual teams.
Section 6: Funding Options for Indian Startups.
Worried about expenses? Looking for startup funding options?
Here’s how you can raise funds:
1. Bootstrap.
- Self-funding from savings.
- Full control, but high personal risk.
2. Friends & Family.
- Low interest or no repayment.
- Can strain personal relationships.
3. Angel Investors.
- Individual investors who back early-stage startups.
- Investment: ₹5 lakhs to ₹2 crores.
4. Venture Capital (VC).
- Suitable for scalable tech businesses.
- Typically after product-market fit.
5. Startup India Seed Fund.
- ₹5 lakh for validation; up to ₹20 lakh for commercialization.
6. Bank Loans / MSME Schemes.
- Credit Guarantee Scheme, MUDRA loans, etc.
Summary: Minimum Cost Estimate for a Simple Startup.
| Category | Minimum Cost (INR) |
|---|---|
| Legal & Registration | ₹8,000 |
| Website & Hosting | ₹10,000 |
| Basic Marketing | ₹5,000 |
| First Hire/Intern | ₹10,000 |
| Tools & Tech Stack | ₹5,000 |
| Total (Monthly) | ₹38,000 – ₹50,000 |
Most Searched Questions Answered:
Q1: Can I start a startup in India with no money?
Yes, but it requires lean startup strategy, a digital-first approach, and no-code tools. Monetize early. It will be difficult to survive if competition is too high.
Q2: Is ₹1 lakh enough to start a startup in India?
Yes, especially for service-based or digital businesses. Product based startups may need more and that depends totally on type of their product.
Q3: What are the biggest hidden costs in startups?
Legal compliance, poor hiring decisions, marketing failures, and underestimating time-to-market. So invest more time on such things to avoid hidden costs.
Q4: Do I need an office to start?
No, remote is acceptable and often preferred by early-stage investors.
Pro Tips for First-Time Founders:
- Build an MVP (Minimum Viable Product) — Don’t waste money on full-fledged development unless you see a clear way to the final stage.
- Focus on solving a real problem, not just making an app or website.
- Validate early with real users — free or paid trials.
- Start building an audience now — even before you launch.
- Keep burn rate low — track every rupee spent.
Conclusion.
India is a thriving land of opportunity for startups — but success doesn’t come cheap. Knowing the real cost of starting a startup in India gives you an edge. Whether you’re bootstrapping from your bedroom or raising funds in a coworking space in Bengaluru, plan your budget wisely. Your startup journey is not just about money, it’s about clarity, execution, and hustle.
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