Case Study: Cost Structure (Lean Canvas)
One cost even experienced business-builders overlook.
In many ways, it’s never been cheaper to start building a business.
You don’t have to:
Learn how to write code to build a website.
Sign a lease for floorspace to sell general merchandise.
Buy and install a server to host your e-commerce store.
Plant a vineyard and winery to sell non-alcoholic wine.
Build every part of an automobile to start an electric vehicle company.
Most elements of a business, even ones with substantial physical assets and components, can be purchased fractionally (e.g. monthly cloud computing) or built by outsourcing all but critical components. (Tesla built their first car on mostly outsourced parts.)
But there is one cost component that almost all Average Entrepreneurs underestimate: The Go-To-Market (GTM) cost.
This cost can cost you the whole business!
Let’s dive into the last chapter of the Codepassport case study to learn how to correctly calculate costs…beyond the obvious components of labour and materials.
