Today, a web entrepreneur has two way to estimate the cost of his project. First, by asking an IT engineering-consulting firm to audit his business plan; second, by estimating the cost by himself with his own IT and business skills, which requires him to know his exact needs, and the price of items. Budgeting a project is always a challenge, especially for first-timers or non-tech entrepreneurs.
Start-up Wallet is an online tool for web entrepreneurs to calculate the total start-up cost of getting their idea off the ground. It includes all the fix and variable costs of necessary items that might or not come to the entrepreneur’s mind: such as hardware equipments, rents, license fees, recruitment costs, travel costs, etc. An entrepreneur can select among these items to drag and drop in his Virtual Wallet. Finally, he can see how they sum up to a total start-up cost.
What Start-up Wallet includes:
The home page has three menu items:
A. Who cares (shows why foundations, investors, and your supporters like to know about your budget)
B. Browse (includes a library of popular websites' start-up story with their costs)
C. Find out (lets the newbie entrepreneurs find out an estimated budget for depending on their location, the kind of web site they want to launch,etc.)
How the 'find out' function works:
There are several types of costs depending on the field of the business. In the current budgeting templates, the types of costs are not dedicated to web businesses and they are categorized with business terms. Start-up Wallet provides the users with a couple of easy to use ways to set up their budget plan.
c.1.By going through a set of questions,
‘Where do you live?’
‘Can you design your website?’
‘Can you work from home?’
the tool can display how their answer changes the cost, so helps the entrepreneurs with items they need to drag in their Wallet.
c.2. By dragging and dropping from a list of expenses: The expenses can be listed in different formats. For instance, an entrepreneur who has a small budget can list the items according to their price. He can see which are the big expenses, and decide what to cut down on. Another entrepreneur can list the items in urgency order and see which are the most the necessary to put in the budget.
c.3. By selecting among templates: such as ‘a shopping website as a home business,’ ‘an online game developed by a team,’ ‘an online platform which can be run by international administrators.’
After completing the fist phase, the tool generates an estimated budget sheet which can be downloaded and shared with possible supporters and foundations.
The user can also turn on the `Hustle mode` on to try to cut down his costs by 20%. The tool can send him back to the first phase, marking which items are fexible to be changed to lower the burn rate: for instance, if the user delays renting an office for now and works from home.
Start-up Wallet can grow to help both entrepreneurs and several foundations to have a common language. It can even become a required tool to be used when applying for EU web start-up funds.