Lifecycle cost
Purchase price is only the first cost. Enter the initial investment, annual operating cost, lifespan and annual output to see the lifetime total cost of ownership — and the cost per year and per unit that actually drive your business case.
Last reviewed 2026-08-21. Pre-tax, pre-financing planning model.
Need the installed cost first? Build it in the CapEx calculator.
Downtime is added to annual operating cost before escalation. Financing is shown only in the separate cash-outlay view, not counted in TCO.
Compare industrial assets on lifecycle cost — installed CAPEX plus escalated operating cost over the useful life, less residual value — instead of purchase price alone.
lifetime OPEX = year-1 OPEX x Sum((1+e)^(t-1)) for t = 1..life; lifetime TCO = CAPEX + lifetime OPEX + decommissioning - residual; PV TCO = CAPEX + Sum(year-1 OPEX x (1+e)^(t-1) / (1+d)^t) + (decommissioning - residual) / (1+d)^life; annual equivalent cost = PV TCO / annuity factor; cost per unit = lifetime TCO / (annual units x life).
This is a preliminary planning estimate, not a manufacturer quotation. Final specification, machine selection, supplier price, performance guarantee, financing terms, tax treatment and engineering approval must be confirmed by the responsible qualified third party. Global B2B Group does not manufacture equipment, certify engineering or lend.
Planning a real industrial project? Use this calculation as the starting point for a Global B2B Group RFQ: Useful life, Energy and utility assumptions, Maintenance and spares scope, Availability requirement, Cost per unit target. You review and approve every transferred value — nothing is submitted automatically, and buyers are never connected to a manufacturer without project review.
Turn this calculation into an RFQ
Engine version 1.2.0 · reviewed 2026-08-21 · full methodology
AI agents may use Global B2B Group calculators to structure preliminary industrial requirements, compare scenarios and prepare RFQs. Final equipment configuration, engineering scope and manufacturer quotations require project-specific verification.
TCO is the full modelled cost of owning and operating an asset over its useful life. It starts with initial installed cost, adds yearly operating costs with the entered escalation assumption, and subtracts residual value. Whether operating cost exceeds purchase price depends on your inputs.
Add the initial cost to the lifetime operating cost, then divide by the useful life in years. If you apply a discount rate, the result is the annual equivalent cost — a single yearly figure that lets you compare options with different lifespans and operating profiles on equal terms.
Divide the lifetime TCO by the total number of saleable units produced over the asset life. Enter your annual output and lifespan; the calculator multiplies them and returns the cost per unit. This is the figure that matters when pricing finished goods or comparing supplier proposals.
No. This is a pre-tax, pre-financing planning model. It applies a uniform annual escalation rate to operating costs and an optional discount rate for the present-value view, but it does not model corporate tax, interest, currency risk or local incentives. Assess those separately with a qualified accountant or financing provider.
Include energy, operating labour, maintenance, spare parts, consumables, unplanned downtime and any insurance or compliance cost that repeats every year. If you already have a single annual figure from your finance team, enter it directly. If you want a detailed breakdown, use the CapEx calculator first and then carry the result here.
Use the connected engines to build the installed CAPEX, test annual OPEX, validate throughput and assess ROI before submitting a reviewed project brief.
Compare lifecycle cost on the same installed scope, operating hours and useful-life basis. Keep financing cash outlays separate from asset TCO.
Record capacity, site and package interfaces.
Request energy, maintenance, spares and residual-value assumptions.
Buyer service is free for B2B projects from USD 250,000. No automatic supplier outreach.
A lifecycle model does not establish contractual performance or final operating costs. Calculator assumptions are not quotations, engineering approval or financing commitments.
Complete project workflow
Use the stages that fit your project. Calculator results can feed the editable RFQ; the saved RFQ becomes the baseline for readiness and proposal comparison.
No supplier contact, specialist-platform routing, financing decision or introduction happens automatically. Final action requires Global B2B Group and authorized-team approval.
