opening a coffee house

Prepare a Business Plan for Coffee Shop Success

July 8th, 2010

A lot of times when new coffee shop owners first start the process of opening a coffee shop they prepare a coffee house business plan that accounts for the exact cost of every item they plan to install or use in their coffee house. These planning stages are extremely important to making their small business successful and one false move could mean disaster.

When working with customers who are considering opening a coffee shop business the most important tip we give is to double the costs in your coffee house business plan. In any small business project there are unexpected costs so by doubling the amount of money you think you will spend on your coffee house you are preparing yourself for these surprise investments. Additionally, if you are down to the penny in your coffee shop business plans how will you handle the costs that come AFTER you open? How will you afford to market your coffee shop or hire employees so you can get out in the community? These are the questions most people opening a coffee house don’t ask themselves.

In our years of business we have rarely heard anyone say they spent less than they budgeted in their coffee house business plan. The reality is opening a coffee shop (or any small business) is expensive and time consuming, but the reward of working for yourself and your community are well worth the investment.

One Myth About Opening a Coffee House

June 3rd, 2010

Me Opening a Coffee House with Armando and Chris

Many new coffee house owners we work with have misconceptions about the work running and opening a coffee house takes.  One of the most prevalent myths is when you open your coffee house doors you will be inundated with business. If I had $1 for every person opening a coffee house who said to me, “Everyone is excited about me opening a coffee house and they all say they will hang out at my coffee shop once it’s open” I’d be sitting on a mountain of money.

Here’s the problem; when anyone starts a new endeavor they begin by talking to those people closest to them. Of course friends and family are going to be excited you are opening a coffee house. Unfortunately, this excitement often creates a false sense of enthusiasm, which leads to a false sense of marketing responsibilities. In my experience only 1 out of 100 new coffee house owners actually get the amount of traffic they thought they would after opening their coffee house.  The other 99% has to work on it.

When opening a coffee shop business it’s crucial to get the community at large excited about your business, not just your friends and family.  The only way to do this is by setting up a marketing plan that takes the focus out of your coffee shop and into the streets of your community.  In our opinion, grassroots marketing is so critical that we teach our new customers tactics how to build and implement a marketing plan when running a coffee shop. If you are considering opening a coffee house and would like some more information on marketing check out the last post I wrote on Networking with Businesses in Your Community, visit this section of our website, or contact us using the form to the left.