1 answer

I would like to know how much capital is needed to start up a new game company?

Updated Winterset, Iowa

My friend and I are writing a business plan, in our entrepreneurship class, over a console game company #entrepreneurship #video-games #entrepreneur #startups #start-ups #console-games

1 answer

Frank’s Answer

Updated Ontario, Ontario, Canada

Console Game companies can be more expensive because of the license fee the console manufacturer charges to get the game development license and api.

If you are developing an indy game doing your own code and design you would need around 10,000 dollars for just the fees and company setup.

http://en.wikipedia.org/wiki/Independent_video_game_development#Licensing_fees

If you need to build a team an a develop a big game, it would be 500,000$ up considering a developer salary is around 100K and so is a lead designer and game director.

In a nutshell it all depends on who is developing the game and how much talent needs to be hired.

Updated
That's a lot, but it's even more when we've added the cost of a building
Updated
Why would you need to buy a building? Perhaps you should look at leasing commercial space. It would reduce your startup costs. Also, why do you need a building? When you say "console gaming company", do you mean you want to make games, or you want to make consoles? Maybe you should update ("edit") your question to clarify that a bit.
Updated
console games .... and thanks