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hi everyone in this video Ill teach you how to calculate your startup cost hi Im the father the professor Z your real-life homeless to Ivy League professor attorney and serial entrepreneur before you start your business its important to know how much money you will need when you get started undercapitalization is a huge problem for small businesses without sufficient capital even if you have the best plans and the best business idea you are not going to succeed so its crucial to calculate your startup costs properly so you can set yourself on the right path to success when you calculate your startup costs for the first time I generally recommend breaking them down into five different categories first category cost is raw materials and supplies these are the things that you need to produce your product or services if youre making a product of course you need ingredients you need raw materials they need some supplies that go along with them for example if you run a restaurant you n