| So, you're starting a coffee shop. Congratulations. | | | | shop will require a different location from a drive |
| You'll be tapping into a 330 million cup a day | | | | through. The key is still traffic, however, be it |
| national habit. There is money to be made and | | | | foot traffic or car traffic. Look for locations with |
| success to be had. However, that success will | | | | easy access, egress, and high visibility. People |
| depend on how well you plan. | | | | aren't likely to go out of their way for what is |
| Starting a coffee shop starts with deciding what | | | | usually an impulse purchase. In fact, that impulse is |
| type of coffee shop you want. There are five | | | | generally put in their heads by seeing a coffee |
| basic scenarios to consider: | | | | shop. "Gee. An iced coffee sounds good." Or "Hey, |
| 1. Coffee Kiosk | | | | I could use a pick-me-up right about now." |
| 2. Internet Cafe | | | | The type of shop will also dictate the start up |
| 3. Coffee Shop/Coffee Bar | | | | cost. |
| 4. Coffee House | | | | For a coffee cart, you can expect to spend |
| 5. Religious Coffee Shop | | | | between $20,000 - $25,000. The average cost of |
| The business plan for each of these will vary, so | | | | a kiosk depending on the size and your menu can |
| you need to carefully define your objective and | | | | be $25,000 - $75,000. It is not unheard of for a |
| design your business plan around that objective. | | | | small drive thru to open for less than $35,000. A |
| Take into account the demographics of your | | | | large one can run $80,000 - $200,000. |
| community and your target market. Who is likely | | | | While it can seem like a lot of money (and it is) |
| to come into your business? Who do you want to | | | | it's comparatively low when you consider that a |
| attract? What are they looking for? | | | | small clothing store will cost a cool half million, |
| The type of coffee shop you want to open will | | | | minimum. |
| determine the next decision you make: the menu. | | | | Become a student of the coffee business. Don't |
| That's because the menu will determine what | | | | be intimidated by what you don't know. Ignorance |
| equipment you'll need, what kind of build-out | | | | is curable and there is no substitute for hands on |
| (cabinetry) will be necessary, and to a large | | | | learning. Attend tradeshows and subscribe to |
| degree, the layout of the your shop. | | | | industry periodicals. There are several |
| "Location, location, location." This isn't just a jazzy | | | | comprehensive books on the subject that are well |
| real estate quip. Location can make or break your | | | | worth the time invested in reading. (Perhaps in a |
| coffee business. Do your research. Your location | | | | quiet corner of a future competitor's coffee shop. |
| will depend on your concept. An up-scale sit down | | | | |