Capital expenses. The financial aspects of a commuter bike station include the capital costs in building the structure, which can range in the hundreds of thousands of dollars, depending on the size and location of the structure. For example, the Long Beach Bike Station cost $500,000 to build. But bike stations can cost very little to start, taking advantage of a previously existing enclosed, secure area. With a couple of poles secured to a few saw horses, and some ticket stock to give to bicyclists as a claim check, a bike station can be up and running at a very small cost. This frugal method is used especially when providing bike parking on a temporary basis, such as at a concert or city event.

Operating expenses. The operating costs of running the bike parking facility typically include the following: payroll (currently $10/hour for attendants in the Bay Area), overtime, payroll service, bookkeeping, coalition dues, brochures, postage, locks and cables, phone bills, internet access, computer equipment, filters, water, lock system, keys, office supplies, printing, general liability insurance, worker's compensation, marketing, administration fee, contingency fee, and lost bike pool monies.

Additionally, there is a $10,000 to $20,000 start-up expense, necessary for getting the bike station started (hiring employees, preparing signs, and getting the necessary materials). Marketing expenses can range up to $20,000 for advertising, signage, postage, and reproduction of materials. To operate the actual bike station, funding of $60,000 to $150,000 is usually needed annually.

Sources of income. Possible revenue sources to cover the expenses of starting and operating a bike station include foundation grants, sponsorship from local government agencies, and membership dues. Business ventures of the bike station, such as bicycle repairs and rentals, sales of bicycle parts and accessories, overnight charges, and parking fees are some other ways to provide operating income. The majority of the operational costs are usually covered by the sponsoring transit agency near the location of the bicycle station. The BikeStation Coalition is a good source to find out exact costs of opening a new station as well as guidance in the operation procedures.
 

Bike stations can undertake business ventures (such as bicycle repairs and rentals, sales of bicycle parts and accessories, and overnight parking charges) to help defray their operating costs. (Source: Palo Alto Bike Station)

Who typically sponsors such a program? Transportation organizations, cities, congestion management agencies, smog reduction agencies, air quality districts, metropolitan planning organizations, local districts, universities, and business districts are examples of organizations that have either provided grant money to begin implementation of a bike station or have served as a sponsor for the continued operation of the bike station. Specific financiers have included the City of Long Beach, the Long Beach Redevelopment Agency, CALSTART/WestStart, the Long Beach Energy, Giant Bicycles, Denver RTD, Denver FTA, The Bicycle-Friendly Berkeley Coalition (BFBC), Bay Area Air Quality Management District (BAAQMD), the City of Berkeley, WestStart/Calstart, King County Metro Transit of Seattle, Flexcar, City of Los Angeles Community Redevelopment Agency, City of Pittsburgh, Regional Transit District of the City and County of Denver, Puget Sound Regional Council, Bay Area Rapid Transit District, City of Cambridge, South Coast Air Quality Management District, and the City of Santa Barbara.