The Rising Costs of Scaling a Startup
It’s becoming more and more expensive to scale a startup in San Francisco. In fact, it’s twice as costly to operate a startup in 2014 as it was in 2009.
According to data from Jones Lang LaSalle, office prices in San Francisco have nearly doubled in five years from $36 per square foot per year to $63. Typically businesses allocate about 150 square feet of office space per employee. Given the market rate for office space and annual salaries, hypothetical 20 person Series A startup will spend about $200k per year per employee in 2015.





