setup cost
Starting fee charged
Setup cost is the expense incurred preparing equipment, systems, or processes before production or operation begins.
In manufacturing, it includes labor, materials, and downtime for reconfiguring machinery between production runs: High setup costs make small batch production inefficient.
The term extends to any initial investment required before an activity can proceed—installation fees, configuration time, or onboarding expenses.
- capital investmentFunds for durable assets
- getting startedBeginning an undertaking
- out of pocketPaid from personal funds
- installation feeCharge for putting in
- onboardingNew member integration process
initial investment · tooling · configuration · implementation · bootstrap · ground floor · machinery · initialization · commissioning · front-loaded · barrier to entry · infrastructure · licensing fee · deposit · upfront payment · activation · retrofit · procurement
setup costoperating cost
Expense of daily business
maintenance cost · variable cost · subscription fee · monthly fee · annual fee