Has anyone opened a cafe or coffee shop?

sev112

Cafes inside businesses are tendered and won at stupidly cheap rates.  Usually the supplier comes in with great ideas, great menus, snazzy layout and that lasts for a couple of months. Realise they are not making margin, start reducing quality and range of ingredients. Then starts reducing the people coming in, and margins become harder.  Range decreases, prices go up, and eventually the supplier pulls out ready for the next one to try. Same thing happens.  Have seen it for the last 30 years.
some people say get into an office where the employer subsidises. But that is even more competitive.

i like a mobile idea though - scaleable, modifiable, 

good luck

sawyer

Think I've give up on this idea chaps. I'm gonna just have to bite the bullet and get on working for the man for now at least. 16 year to go!Nearly there:(

Jalapeno

With the speaker cabinets you can at least start from a shed, as a spare time thing, with minimal cash up front needed.

sawyer

Yeah ive approached my upholstery mate and hes not keen:( Thought this might have been a goer.  

mgaw

learn how to upholster

Dominic

sawyer said:

Think I've give up on this idea chaps. I'm gonna just have to bite the bullet and get on working for the man for now at least. 16 year to go!Nearly there:(

 Does that perhaps tell you that you're not cut -out to have your own business ? It's certainly not for everybody.
You need to be exceptionally resilient, really persevere , ride the knockbacks , wade through shit ,watch your staff earn more than you for a long time and still keep the ship afloat .......those that succeed are determined not to give up and also have to be a little bit reckless to justify the risk .

hywelg

I'd say don't get into anything that requires your own time to make a profit. You need to be able to sub it out to people you can train and pay less than you. Otherwise, no matter how much you enjoy doing it, you'll never see your way clear to making enough money to stop.

I love my job, I have always enjoyed making things, but unfortunately I can't sell my time three, four five time over. If you want to make money you have to sell what you can buy, not what you can make.

Emp_Fab

A cafe opened up in our village....  the only one... and they do the evening opening too.  They are rammed full - all the time. You can sit in and watch customers come in, fail to find a table and leave.  They are absolutely raking it in.

Their secret?  A: Consistently good quality food and B: Location.  Get either of those wrong and you’ll be struggling to survive.  Get them both right and you’ll be taking wheelbarrows of cash to the bank.

I would put location above food quality actually.  I’ve seen so many businesses fail because they didn’t consider the location to be as paramount as it is.

It must have reasonable footfall, it must have available parking nearby, it must be highly visible, it must have little or no competition.  Don’t go too upmarket - if you only sell organic quinoa burgers and eggs benedict, you’re alienating a huge swathe of customers.  Make the place look clean, bright and comfortable - open kitchens work well too.
Sell what people want to buy, not what you want to sell.

Go for it.  I would.

stickyfiddle

Emp_Fab said:

 Don’t go too upmarket - if you only sell organic quinoa burgers and eggs benedict, you’re alienating a huge swathe of customers.  

Christ, are there people who don’t like Eggs Benedict?? Fuck those guys!! 

Bt srsly, otherwise agreed

Emp_Fab

One caveat; I have never run a retail establishment of any kind so if I’m coming across as a little arrogant it’s only because I am.

Heartfeltdawn

hywelg said:

I'd say don't get into anything that requires your own time to make a profit. 

You wouldn't make it in the hospitality sector then. Starting an indie restaurant always requires your own time.  

fandango

Whether you go mobile or static, please remember that cleanliness is next to godliness. And keep it clutter-free. One thing that puts me off, is staff/managers/owners not *bothering with cleaning and tidying.

* (giving a shyt)

I’m sure there’s some wisdom that says it takes 3-5 years to feel like the business is a success. That couple mentioned in an earlier post who paid off costs after 3 years, but then closed prob knew this and got out at right time.

I will echo the location, location, location advice to set up where the people are.

I would also encourage the OP to develop a USP that’s NOT the same as Costa, Starbucks or Coffee#1, however good one thinks they are.

hywelg

Heartfeltdawn said:

hywelg said:

I'd say don't get into anything that requires your own time to make a profit. 

You wouldn't make it in the hospitality sector then. Starting an indie restaurant always requires your own time.  

No, you missed the point. Yes it requires your time, any business does, but you make profits from the labour of people you employ. If you can only make profit from your own labour then you will never be rich (there are rare exceptions obviously). This comment was addressing the idea of cabinet making.

pintspiller

My wife started one a few years back. Our two daughters were sole employees. We had to let one daughter go as wages was the biggest expense. My wife quit her job and does not get a wage from it.

Trade picked up real slow and there are a couple of girls who get paid in cash but my wife still gets no earnings from it as any profit gets pumped back in.

ThePrettyDamned

As well as all of the above, quality is a big differentiator in coffee shops. You can use locally roasted beans (single origin and blend), and learn (really learn!) how to pull a good shot, including timing, temperature and weight of shot. Artisan coffee shops are generally able to charge a similar price to costabucks but get much higher quality coffee out, and thus loyal customers.

Obviously, footfall is a big deal also. 

It's worth including leaf tea - doesn't need to be absolutely premium, but loose leaf is always best and gives the customer a little enjoyment in the process of pouring also. Big profit per cup here apparently. 

Lastly, in Cambridge some premium coffee shops host jazz nights, board games nights and other events. These are a big part of their success - they are licensed to sell alcohol, though.