Cost of Doing Business Calculator
Calculate the daily operating cost for your business and analyze efficiency metrics
Calculate Cost of Doing Business
Total operating expenses for the entire year
Number of operating/working days per year
Quick Presets for Working Days:
Cost Analysis Results
Periodic Costs
Business Metrics
Formula: Cost of Doing Business = Total Annual Cost ÷ Billable Days per Year
Calculation: $0 ÷ 0 days = $0.00 per day
Business Efficiency Analysis
Example Calculation
Company Alpha Example
Business Type: Service company with standard office operations
Total annual cost: $600,000 (rent, salaries, utilities, supplies, etc.)
Billable days per year: 200 days (working days minus holidays)
Operating hours: 8 hours per day
Results
Daily Cost = $600,000 ÷ 200 days = $3,000 per day
Hourly Cost = $3,000 ÷ 8 hours = $375 per hour
Monthly Cost = $3,000 × 30.44 days = $91,320 per month
This helps the company understand operational efficiency and pricing strategies.
Cost Benchmarks
Low (<$1,000)
Small businesses, lean operations
Reasonable ($1K-$2K)
Medium-sized businesses
Moderate ($2K-$5K)
Established companies
High (>$5K)
Large enterprises, heavy operations
Working Days Guidelines
Cost Optimization Tips
Track and categorize all business expenses
Optimize fixed costs like rent and utilities
Evaluate staffing efficiency and productivity
Review and negotiate supplier contracts
Compare costs with industry benchmarks
Focus on cost per revenue dollar
Understanding Cost of Doing Business
What is CODB?
The Cost of Doing Business (CODB) is the total operating cost of a business measured on a per-day basis. It represents the amount of money required to run a business for one day, including all fixed and variable expenses.
Key Components
- •Fixed costs (rent, insurance, salaries)
- •Variable costs (utilities, supplies, maintenance)
- •Administrative expenses
- •Marketing and operational costs
Calculation Formula
CODB = Total Annual Cost ÷ Billable Days per Year
Daily operating cost calculation
Why It Matters
- •Pricing strategy development
- •Budget planning and forecasting
- •Competitive analysis
- •Operational efficiency measurement
Pro Tip: Compare your CODB with industry competitors to identify optimization opportunities and competitive advantages.