{"id":1188,"date":"2019-06-03T03:22:05","date_gmt":"2019-06-03T03:22:05","guid":{"rendered":"https:\/\/startmycoffeeshop.com\/?p=1188"},"modified":"2023-01-31T15:07:29","modified_gmt":"2023-01-31T15:07:29","slug":"costs-involved-starting-coffee-shop","status":"publish","type":"post","link":"https:\/\/startmycoffeeshop.com\/costs-involved-starting-coffee-shop\/","title":{"rendered":"Costs Involved With Opening A Coffee Shop"},"content":{"rendered":"

Coffee is one of the greatest joys in life. From the early morning burst of caffeine to the late-night after-dinner espresso, there are not too many problems a coffee can\u2019t solve. That\u2019s why owning a coffee shop can be quite a lucrative enterprise. While a coffee shop can bring the money in after it\u2019s been established, it\u2019s important to be aware of the many costs associated to get it off the ground. This article will explain the costs involved in starting a coffee shop.<\/p>\n

Starting a coffee shop requires more than just some beans and hot water. To start a coffee shop, you first need to invest in commercial-grade equipment, permits and licensing, point of sale systems, as well as rent, utilities, payroll, marketing and more.<\/p>\n

\"Costs<\/p>\n

The following is a basic list to get you started in your preparation of opening a coffee shop:<\/strong><\/p>\n

High-Quality Espresso Machine<\/strong> \u2013 Choosing the right commercial-grade espresso machine<\/a> is going to depend on multiple factors that meet the criteria of speed and capacity. Your espresso machine is your lifeline in a coffee shop, so buying cheap isn\u2019t recommended.<\/p>\n

Industrial Coffee Grinder<\/strong> \u2013 Depending on the size of your coffee shop and the amount of coffee you plan to produce is going to determine the size of coffee grinder you need. You can expect to grind several pounds of beans per day, so a high quality grinder is essential.<\/p>\n

Refrigeration System<\/strong> \u2013 Providing a variety of options for cream is a pertinent aspect to any coffee shop owner. This means you\u2019ll need to invest in some sort of refrigeration system to keep the milk and cream stored at proper temperatures during and after business hours.<\/p>\n

Containers, Pumps, Miscellaneous Utensils<\/strong> \u2013 Containers to hold coffee beans, grounds, and tea bags are necessary for organization behind the counter. You\u2019ll also need to consider flavored pumps of syrup, napkins, lids, stirring spoons, straws, and other components to serve coffee.<\/p>\n

Ovens, Toasters, Devices used for cooking<\/strong> \u2013 Nothing goes better with coffee than a delicious treat such as a bagel or croissant. To deliver the best service possible, you\u2019ll want to provide the option for toasting, which means you\u2019ll need to invest in ovens and toasters.<\/p>\n

Coffee<\/strong> \u2013 You need to invest in a lot of coffee to start your coffee shop. It\u2019s important to shop around for the best supplier or roaster available to make sure you can offer your customers the highest quality coffee at an affordable rate that will also allow you to profit.<\/p>\n

Tea, non-coffee items<\/strong> \u2013 Believe it or not, everybody doesn\u2019t find happiness with a perfectly crafted coffee\u2026 I know! I don\u2019t understand either. However, keeping this in mind, it\u2019s important to invest in non-coffee beverages such as tea to keep these customers happy.<\/p>\n

Rent<\/strong> \u2013 Whether you choose to purchase a location for your coffee shop, rent space, or go mobile, you\u2019re going accrue monthly fees to make your coffee shop possible. The more square footage the higher the cost, which should be no more than 15% of monthly sales.<\/p>\n

Permits, Licensing<\/strong> \u2013 Every business in the US is required to have a license to do business legally. Oftentimes this also includes a registration fee of $50 as well as a filing fee of the licensing with prices that can range anywhere from $25 to $500 depending on your state.<\/p>\n

Employees<\/strong> \u2013 Unless you plan on being a one-man (or woman) show, you\u2019re going to need to pay some people for their work. This includes baristas, servers, cashiers and bus boys to keep your coffee shop running. Payroll should account for 30% or less of monthly sales.<\/p>\n

Marketing, Promotions<\/strong> \u2013 While there are several creative and cost-effective ways to market and promote your coffee shop, this is a step that shouldn\u2019t be neglected. The only way people are going to know your coffee shop exists is based on the work you do to promote it.<\/p>\n

Running a coffee shop can be a lot of fun, but it\u2019s still very much a business. In order to be successful, you have to stay on top of your finances and be realistic about the total cost to get started, as well as to continue building profit. Once you\u2019ve determined the totals needed to start<\/a>, including your own personal living expenses, multiply that cost to cover six months’ worth of business before planning on breaking even. This determines your total startup cost.<\/p>\n

\"Costs<\/h3>\n
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