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So You Want To Start A Coffee Shop...
“Petroleum and coffee had no value a few centuries ago” - Author Unknown
Coffee may only technically be a seed but it is worth its weight in gold (or at least it is to me). Well over half of the adult population in the United States drinks it daily. The coffee drinkers of today have refined our tastes and we know how we take our brew whether it’s black or in caramel mocha macchiato form. There are chains of coffee houses everywhere proving once more that coffee is the real fuel we crave to start (and sometimes end) our day. With that said, one would think that there was no space in the coffee shop market left for the humble but determined entrepreneur. You couldn’t be farther from the truth! Compared to other countries (like Norway and Finland) the United States hardly drinks much coffee at all. So what do you need to begin your highly caffeinated journey into Coffee shop bliss? Other than the typical permits and licensing needed for any food business…well, you’d be surprised how much money you need to start. Here’s a look at what the damages are if you opened a franchise:
If you have chosen to go the do-it-yourself route keep in mind that you’ll probably need a capital of at least $200000 to $375000!
Get trained to do the job. Being a Barista takes much more knowledge than you think! I’ve encountered this very problem when going into coffee shops around here. I’ll walk in, ask for a simple mocha and the owner/barista will seem like they know what they’re doing. Then to my dismay I’ll end up getting something that tastes more like burnt dirt than coffee.
Dealing out cups of coffee to the public nowadays means you’ll get quite a few people wanting specialty coffee drinks that are made with help from blenders, espresso machines, etc. Knowing how to operate them correctly is a business life or death situation. Like I said…dirt coffee; who wants to pay for that regularly? You’re coffee shop will not last more than two months without regulars who want your product.
There are many ways to become educated in the world of the brew. For example you can attend barista workshops or even visit helpful websites like www.coffeeschool.org for classes available. These classes tend to be in the $500-$3000 range (per person). Even though it comes with a cost the power of the knowledge you’ll gain will make your chances of succeeding greatly increase!
It is a general rule for coffee shops to be near where all of the action is. Perfect places for coffee shops tend to be on a busy part of Main Street, near office buildings, or even close to schools (parents dropping of children need their caffeine too!). Before you choose your location also take into consideration that your rent should be no more than 25% of your income. This means if your rent is $2000 you had better be making at least $8000 a month. In other words, the cheaper your rent is the easier it will be to succeed.
“Will you, prospective coffeehouse owner, take your coffee shop to be your spouse? To work in and to stay with them as long as you both shall live?” Many people don’t recognize the great deal of work they’re getting themselves into when beginning a coffee shop. There is a general consensus that most people think it would be as easy as making coffee but there is so much more to owing a coffee shop than meets the eye. Due to the small size of most coffee shops (and the fact that a lot of people stay to enjoy the atmosphere) there will not be a large flow of people buying at first. This means you will probably be a “team member” for a while, working for AT LEAST a shift a day. Trying to afford multiple employees with a small pocket book can be nearly impossible at a brand new coffee shop.
So you’ve learned how to make the coffee…now you just need the supplies to actually begin brewing. First off, find a roaster to buy your coffee beans whole sale. You’ll want to invest in many different types of coffee: Coffee fanatics like seeing quite a bit of product variety in a coffee shop. You’ll want to have breakfast coffees as well as other organic and fair trade coffee blends. For great examples of pricing and product try visiting a few of the coffee roasters websites, like www.quartermaine.com.
It doesn’t matter how rich or vast your coffee supply is if you don’t have anything to brew it with! Below I’ve composed a list of great products that will help you accomplish your caffeinated dream of coffee shop ownership:
Decanters hold your brew!
Disposable Coffee Lids
Just imagine that To-Go coffee in the car without a lid…ouch!
You have to serve your coffee in something!
Coffee Scoop
Scoop that ground coffee like the pro you are!
Once you have all of the necessary supplies, know how, capital, and determination to be successful you will be well on your way to owning your own coffeehouse. Go all the way and make sure to stock up on the cream and sugar! And Good luck from your friends at KaTom!
