How to Start a Coffee Shop Business: Plan, Cost and Other Requirements

Coffee is what helps make some people happy enough to spend several dollars for a cup. If you love coffee or know a lot of people who do or see the potential of such a business in the locality, then, by all means, open a shop. The following are the easy steps to starting a coffee shop.

How to Start a Coffee Shop

  • Is there a need to franchise a popular coffee company or just start your own company? This decision is important because franchising a popular brand could mean more sales but will need a larger capital to pay for the franchising or licensing fees. On the other hand, setting up a new company could be very risky because customers might not want to try something new.
  • Identify the target customer.
  • Obtain the necessary permits.
  • Obtain the equipment and supplies necessary for setting up the shop.
  • Find investors or host a fund raising activity to have enough money to start up the business.
  • Create a company name and logo.
  • Create advertising materials and present them to friends, neighbors, family, and other people who might be interested.

What You Need to Start a Coffee Shop

Opening a coffee shop does not mean just opening one, selling coffee, and that’s it! No! It is actually hard work because there are plenty of things to consider. The following are some of the stuff necessary to start a coffee shop.

  • Workers who know how to make good coffee.
  • One or more coffee machines.
  • An excellent coffee recipe for the house specialty.
  • There should be more than 1 coffee product offered on the menu. Most coffee shops offer both hot coffee and cold coffee where the latter is often topped with whipped cream and other delicious toppings.
  • A good business plan is also important.
  • Another must-have before starting the shop is the permit and license to operate a particular business in the locality.
  • Remember, coffee also goes great with sweet treats so make sure that the coffee shop will also serve items other than coffee. These items could include cakes, pastries, breads, and other items.

How Much Does It Cost To Start a Coffee Shop

  • To Start a Coffee Cart, appromximate cost would be between $18,000-$27,000.
  • For Opening Drive-Thru, you will need anywhere between $70 – $200k, But if you plan it properly, you can still manage to start Drive Thru somewhere between $35k to $50k
  • Sit-Down Style Shop would cost anywhere between $225k to $400k, cost is higher because you will require minimum 1,000 to 1500 sq. ft. coffee bar.
  • There is a way you can start a coffee shop with no money, you will some invest to be done to kick start this business.

One thought on “How to Start a Coffee Shop Business: Plan, Cost and Other Requirements

  1. A B Reply

    I am planning to open a coffee shop here in London. I am wondering either to set up my own or buy a franchisee? If I open my own coffee shop what all stuffs would I need and If I buy a franchisee, which one would be a right choice- Cafe Coffee Day or Baskin Robbins?

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