Many people imagine that the main cost incurred in running a FM station is that of paying for frequencies. But the truth is that there is more to running a FM station, in terms of expenses, than just paying the frequency rentals.
For one, in running a FM station, huge labor costs are incurred. The presenters, technical staff and administrative staff in these sorts of stations tend to demand that they be paid like royalty, and labor costs can end up being very huge.
Secondly, in running a FM station, huge house rent (or property tax) costs are incurred. This is, of course, with the exception of a situation where the station happens to be a community station, housed in buildings owned by the community sponsoring it.
Thirdly, in running a FM station, huge insurance costs are incurred. The buildings housing the station, for instance, have to be insured. Then the station’s automobiles have to be insured. And as you can see, upon requesting for a free insurance quote from this website, such automobile insurance costs can be very considerable. Yet the alternative to operating without incurring them is that of having the vehicles run around without insurance which is imprudent, as it can land the company behind the FM station into legal problems.