29 Easy Steps to Setting Up Your Own Coffee Shop

Steps to Setting Up Your Own Coffee Shop

Steps to starting a coffee shop

 

Setup Your Own Coffee Shop

29 Easy Steps to Starting Your Coffee Shop Business

Thinking about setting up your own coffee shop? Perfect! You're at the right place. Nowhere else will you find more information on how to start a coffee business than right here at Coffee Shop Startups – the leading online resource for opening a coffee shop business.

This article will discuss the steps to start your coffee shop business. Whether you plan to start a coffee shop, a coffee kiosk, or a coffee drive-thru stand, our resources are here to help.

Opening a coffee business is always challenging and takes a lot of thoughtful planning and execution to be successful.

We aim to help you break down the process by the numbers to understand better what you need to do to plan, prepare, and finally take some action toward your coffee shop startup goals.

Certainly, we refer to the following list as “Easy Steps” to set up your coffee shop.

In reality, each step can require a bit of time and attention. 

Additionally, taking easy steps doesn’t mean being careless when starting your coffee business. Proper planning is essential. After all, there is a lot at stake, including your money, time, and energy. The lack of planning often leads to a coffee business failing or struggling needlessly.

A Dedicated Coffee Business Resource For Aspiring Coffee Shop Owners

Here at Coffee Shop Startups, we've dedicated ourselves to providing you with relevant coffee shop resources to help you start your coffee shop or drive-thru coffee stand.

As you probably already know, no two coffee shop entrepreneurs will start their coffee shop in the same way. The differences in your geographic location, target market, experience, existing competition, real estate market, budget, financial needs, etc., will all influence the road you will be taking to set up your coffee shop business.

This is good news for you!

This means that each of you – regardless of your background, experiences, and financial history- can start a coffee shop successfully.

So, while we aim to provide you with a direct and familiar “1-2-3 step-by-step” process to starting your coffee shop, you will have to weigh your own situation carefully and take steps in the way that works best for you, your coffee shop budget development, and ultimately, your coffee shop business.

 

Further Reading: Requirements to Start a Coffee Shop

 

The steps to setup your coffee shop business

 

How to Start a Coffee Shop

Step #1:

Learn as much as you can about retail coffee

Before getting started with planning your coffee business, I believe it’s important to learn as much as you can about the retail coffee industry.

Of course, you may not be able to submerge yourself in your local coffee culture fully, but you should at least be acquainted with trends, coffee beverages, and the state of your local competition. Additionally, you will want to brush up on your accounting and marketing skills.

Can you imagine a wine shop owner setting up a wine shop and not knowing anything about wine? Nope. 

When you are a small business owner, there’s a lot that you should know about and even more that you should be at least familiar with.

You might not have to be a specialist in anything to move forward. Still, you should be dedicated to finding out as much as you can about selling coffee, as well as business administration, and how other people have successfully achieved their own success with their coffee shops.

How to Start a Coffee Shop

Step #2

Decide to move forward… and start your coffee shop

Deciding to move forward is no easy thing. To be honest, this is where we feel many would-be coffee shop owners get stuck in the mud.

Starting means… well, actually doing something!

Starting a coffee shop is not easy. It takes effort, dedication, money, and guts – the courage to move forward. Without a doubt, starting a coffee shop means that you could fail. But the more you plan, the more likely you'll succeed.

However, things will start with diligent planning once you decide to move forward despite your fears.

The biggest decision is actually deciding to move forward. Once you do that, everything else becomes easier. Once you say “Yes,” you can then focus on starting your coffee shop. Things become clearer as you go through the items on this list or an action plan (and you should add your own items to this list, too!).

 

 

How to Start a Coffee Shop

Step #3:

Start organizing your life to prepare for your coffee business

After you decide to move forward and start your coffee shop or drive-thru coffee stand, you will need to assess your life in general.

What actions will you take to manage your time better? How will you organize your finances to ensure you have enough reserves to pay your bills, housing, food, and obligations?

This step is where you will choose to begin to organize your finances, savings, and time management – not only for the upcoming expenses but also for the time requirements needed to lay the foundation for your coffee business.

It takes time to research even the small things that are essential to know. If you have children or you are caring for a family member, you will want to figure out how to schedule their needs during this time.

Research and planning for your coffee shop can be a robust part-time job and can be taxing in many ways to your weekly schedule. Before starting your coffee shop, consider what areas in your life will be impacted before you jump in with both feet – and make some adjustments.

 

Further Reading: How to Start a Mobile Coffee Truck

 

 

How to Start a Coffee Shop

Step #4:

Research coffee shop locations

We all know that location matters. But what does that mean exactly? For us, an ideal location for a coffee business is the optimal place where you will reach the most potential customers. 

You need customers to sustain your business. Where will you place your coffee shop to maximize your position and reach your customers' maximum amount?

Start looking for your coffee shop's location early and thoroughly analyze them to see if they will work for you. It takes time to look for the perfect spot to open a coffee shop. If you are unsure where to begin, simply start with areas you’re familiar with and move outward from there. 

Are there any commercial space vacancies in your area or neighboring town? Is there any significant competition around? What’s the foot and vehicular traffic like?

If you need help, consider connecting with a commercial real estate broker to help you. However, you can and should do some of the leg work yourself. Check online, drive around, and do some leg work. If you decide to start a coffee truck or coffee trailer, you'll have more

Determine a few basics: For example, find out the price of rent per square footage in your area. What’s your “gut” telling you about a specific area or location? Would you want to set up and invest in this particular area or part of town?

The earlier you start to look for the “perfect” location, the more likely you’ll find the spot without getting too desperate.

This is particularly true in areas where the real estate market is tight. Once you settle in on a particular location, you'll have a more thorough analysis in front of you, like counting customers, checking out the tax and labor code, and other important information for that particular area.

 

find the space to start a coffee shop

How to Start a Coffee Shop

Step #5:

Research your target market

Taking steps to research your target market before opening a coffee shop will be essential to your success.

Who will be your customer? What hours would they want you to be open? What items do they want you to have on your menu?

Will your coffee shop customers be a part of the early-morning-rush-hour-crowd? Will there be study groups coming before or after class? Are they coming by foot, car, bus, train, metro subway, etc.? Why are they coming to your coffee shop?

As you set out to start your coffee business planning, learn about your target market, and write your coffee shop business plan – never stop learning! Markets change over time. You would be surprised just how fast your demographics can shift right from under you if you aren't watching.

Always keep your fingers on the pulse of your community, and you will have time to make the appropriate changes.

 

How to Start a Coffee Shop

Step #6:

Look at the existing labor laws

Starting a coffee business will require you to hire people – good people. Depending on your state or country, things can get complex with hiring employees.

Hiring people requires you to be knowledgeable about labor and tax laws. Therefore, you will also want to explore your state, county, and city laws and regulations for hiring rules.

Things get a little more involved when hiring minors. So, if you intend to hire someone who is still in high school or under 18, you will want to double-check your local and state regulations.

Consider cities like our hometown of Seattle. There are many coffee shops, and you will find various state and local laws that aim to protect workers. You'll eventually want to hire some amazing baristas and train them. 

Some coffee shop owners feel that the existing regulations, hiring rules, and laws are too restrictive and even burdensome to small business owners. Whatever your feelings about the law and rules for hiring are in your locale, you need to be aware of them. Preferably before you decide to move forward with your business.

Fortunately, the internet makes things a lot easier. You can research the laws of your state and city pretty easily. Such rules and regulations may require you to rethink your coffee shop location options. For example, if you start a coffee shop in Seattle, at the time of this writing, you will see your labor wages go up, property taxes go up.

All this should be considered before you sign your lease for your coffee shop. Setting up a coffee shop business will be much easier if you know what laws and regulations you are getting into right from the beginning.

 

How to Start a Coffee Shop

Step #7:

Review your local health and building codes

Starting a coffee shop means working with your local health department, buildings department, and others.

Most health and building departments want you to be successful with your coffee business. If you get to know the people involved, chances are you will realize that they are there to protect you and others. You must enter your new relationship with any city department with good energy and a positive attitude.

Take the time to call your local health department and building departments before you sign a lease or long before deciding on a location.

Your local departments will often have already prepared pamphlets or information on their website to help you determine their requirements for each specific type of business. If you live in a medium-to-large city, your health department is most likely already expecting you!

Drop by, introduce yourself, pick up any pre-printed materials, and ask for any necessary contacts (names and phone numbers). By being proactive and positive, you will be doing yourself a favor in the long run. Before you sign anything (lease, rental agreement) for your coffee shop or even your coffee drive-thru stand, get the thumbs up approval from your local building and health department.

You can’t set up your coffee shop or opening your coffee stand alone. You will need help from agency employees from the health department, building department, or revenue office. Earnestly work with them, and you will be just fine.

 

How to Start a Coffee Shop

Step #8:

Give Your Coffee Shop a Name

Choosing a name for your coffee shop is important – it brings life to your dream! But deciding on the right name for your new coffee business might be harder than you think.

Of course, you will want a name you personally identify with and which others will easily identify. But you also want to check to see if your name isn’t already taken. You can do a quick search online and check with your state’s trademark office.

When deciding on your coffee business name, make it memorable, clear, and concise. Far too many coffee shops choose names that are either too generic or too specific that most target audience misses.

I often like names that are meaningful to a community or a locale. When determining your coffee shop name, think about the long-term branding options you will have with it.

Additionally, use your friends and family as a sounding board for deciding on your final name. Choosing a business name can be an emotional and personal decision. You might love a particular name for your coffee shop, but if your friends or family members have doubts about it, do a little more thinking.

Take the time to see if anything is out there with that specific name. Look at the availability of a website domain or social media accounts. Visualize what the branding would look like – and if it just “feels right” before making the final decision.

 

 

How to Start a Coffee Shop

Step #9:

Decide on a coffee shop concept that you'll love

When starting your coffee shop, you might have a few thoughts kicking around your head about your specific business concept. Catch them!

The best and most challenging thing to do is write down your coffee shop business concept ideas in a comprehensive paragraph or two. Writing things down forces you to flesh ideas out. By the way, this is one of many reasons why having a business plan is a good idea.

Develop your coffee business concept and create a coffee shop business plan around it. Don't be afraid of changing or adapting your concept to the changing realities of your budget.  Put it all down in a coffee shop business plan.

Writing your coffee shop business plan doesn't mean that your concept is set “in stone.” It simply helps you focus your priorities, and it allows you to determine everything else around the same concept.

Your business concept may go through several “lives” before you come to a good understanding of what you want for your coffee shop. This is natural. This is okay. Allow for a little flexibility as you learn, develop, and grow in your own understanding.

Keep your hand steady on the proverbial “wheel,” and you will keep your costs lower, and you will end up with a coffee shop that you originally had envisioned. Your coffee shop business concept will impact the cost of your coffee shop business.

Even if you have a substantial coffee shop budget to work with, you will still need to keep an eye on the costs, as they can easily and quickly run away from you.

 

 

start your coffee business, set up your coffee shop, how to open a coffee business

 

How to Start a Coffee Shop

Step #10:

Decide on your coffee shop menu

When it comes to setting up your coffee shop, your coffee shop menu is the lynchpin. As Mr. Lebowski once said about his infamous rug – which also pertains to your coffee shop – your menu “ties the room together.”

Seriously folks, what you serve matters to your customers, and it ties everything you do together – your coffee equipment, design and layout, coffee shop budget, and health permit, chief among them.

The development of your coffee menu requires certain things. These include physical space, equipment, labor, vendors, and approval from the health department and even your property manager! With the time you put into developing your actual business concept, take a few minutes and write down exactly what you plan to serve your customers.

For items you plan to make in-house (waffles, muffins, crepes, etc.), you must write a list of ingredients for your health department. But you can’t do this without your menu. Plan your menu first, and move out from there.

 

 

How to Start a Coffee Shop

Step #11:

Determine Your Coffee Equipment

When you start your coffee shop, you will soon realize that coffee equipment can be expensive. You don’t want to spend more than you have to.

To know exactly what you need and what you are required to have from the health department (again by establishing your menu beforehand), you can set out to shop for your equipment.

Make a list of the coffee shop equipment you will need for your coffee shop.

Go through your coffee shop equipment list, and try to figure out what you can live without. You will need an espresso machine, but it may not need to be a 3-group or 4-group machine. Additionally, you may need two coffee grinders and small wares. You will probably need a dishwasher, a refrigerator, storage space, etc.

Of course, the extras will depend on your concept, your menu, and space availability.

 

 

How to Start a Coffee Shop

Step #12:

Develop your coffee shop budget

Setting up a coffee shop requires a budget. As you slowly go through these steps that we have outlined so far and begin to calculate the costs, you start to see the expected budget for your coffee shop.

Developing your coffee shop budget requires you to ask the hard questions about what you want your coffee shop to be, what you want to offer your customers, and how you intend to deliver your product (and service).

Starting a coffee shop is not necessarily cheap. It requires a financial investment that would be significant for most people. But planning your budget smartly and thoughtfully, adapting it to the realities of your financial situation, and the money you think you can raise can help you keep costs low.

Prepare Yourself For the Coffee Shop Costs

When you set out to open a coffee shop, you may realize the “sticker shock” of the initial costs involved. You might be prone to not focus on the “the numbers” because it’s too much cash.

However, keep in mind that many of the initial costs are often one-time purchases, and once you have them, you can use them to generate good coffee sales.

Nevertheless, your coffee shop budget is organic in the sense that it’s constantly changing, fluctuating, and adapting to your current circumstances, your choices, and actions that you take to reach your vision or business goals.

Our recommendation is to get your costs down on paper and understand the budget for your particular business concept, rent, labor, etc. And see where and how you can make changes from there to best suit your financial needs.

If you feel the anticipatory pain of starting your coffee shop budget crashing up against your coffee business concept, consider starting smaller and working up from there. There are some great lower cost coffee business ideas that you can start on a tighter budget. 

 

 

How to Start a Coffee Shop

Step #13:

Write your coffee shop business plan

As you start your coffee shop business, you should have a coffee shop business plan. Your coffee shop business plan is something that your investors or your bank will want to see (if you decide to have any).

Additionally, a professional property manager or a seasoned property owner will also want to take a look at your coffee shop business.

If you are staying close to the outlined steps that we have mentioned, you probably have already seen the importance of writing things down.

One of the important reasons for writing your coffee shop business plan will be to articulate your thoughts and ideas in the most effective manner. Setting up your coffee shop requires planning; writing a good business plan will help you do this. Additionally, coming up with an effective coffee shop funding mix will help you better set your budgeting goals.

 

Increase Coffee Shop Sales

How to Start a Coffee Shop

Step #14:

Secure the financing for your coffee shop

Want to start a coffee shop?

After the initial answer of “Yes!”… most people immediately start thinking about the money required to start their coffee business.

To adequately secure your coffee shop business's financing through your personal savings, borrowing, etc., you will need to come up with a reasonable funding mix, and budget, and have a business plan. A business plan details how you plan to utilize your budget.

If you plan to borrow money, consider that most people who lend money to invest in a business will want to see a well-thought-out and written business plan.

Your financing will need to be adequate to see you through until your coffee shop is profitable. One of the top reasons for failing coffee shops is not securing enough financing until the business is self-sufficient.

The amount of cash you need to set up is entirely based on your coffee shop concept, your coffee equipment, property lease, etc. Writing a coffee shop business plan will help you determine just how much financing you will need to start a coffee business. It will also answer when your business will reach its break-even point and become a profitable coffee business.

 

start a coffee shop

 

How to Start a Coffee Shop

Step #15:

Discover Local Vendors and Partners

You'll have lots to do when setting up your coffee shop. Among them is finding great local vendors to work with.

This is the fun part!

Like other parts of this list, we recommend that you start early. Depending on what you’ll be serving, you might have to visit a few vendors for each product. For example, you might want to serve bagels, muffins, cookies. Additionally, you will want to serve sandwiches or wraps for the afternoon/lunch crowd.

Finally, you will want to check out and sample coffee roasters. The coffee you serve matters to your customers, so making a sound decision that works for you and your customers will take some thought – and tastings!

We like the idea of staying local with your coffee roasting company choices, but ultimately, you will have to make the decision based on your needs and taste.

Some coffee roasters may require minimum orders or charge for delivery and have other restrictions or terms on training. So be sure to determine their terms before you work with them.

Review our post How to Choose a Wholesale Coffee Roaster for further reading.

Coffee roasters may be able to provide your barista staff with coffee training, too, so be sure to ask what they can provide you with before you choose to buy your roasted coffee through them.

In setting up your coffee shop, we recommend getting familiar with your local coffee roasters. Have fun, too! Visit them. Speak to them. Go to “coffee cuppings” if they offer them to the public.

If they don't have public coffee cuppings, request a personal coffee cupping meeting. Most coffee roasters would love to entertain you with the opportunity to open a new business account.

 

 

How to Start a Coffee Shop

Step 16:

Explore potential coffee shop locations

Where are you going to set up your coffee shop? If there are two or three possible locations that you have been looking at in the vicinity that you have been researching, this might be a good time to check them out. Whether you use a broker or simply pick up the phone and call the property owner or manager, you will want to check out the space available.

While the price is important to consider, you will have to consider other potential costs or delays.  Plumbing, electrical, and carpentry work can add up pretty quickly. Does space require a significant investment that you will certainly lose if you decide to leave the location?

We have a great audio interview in our Complete Coffee Shop Startup Kit that focuses on leasing your coffee shop space. They are certainly worth checking out!

 

 

How to Start a Coffee Shop

Step #17:

Adjust your business concept with available cash

At some point, your coffee shop concept will intersect with your coffee shop budget. Prepare for this special nexus in your coffee shop business.

By this step, many things should be starting to come together now. At this time or juncture, you may want to reexamine your financing as it relates to your concept.

Review your coffee shop business plan, review your financing opportunities, and review your budget. What changes do you need to make to ensure your coffee shop's financial viability or coffee stand? Do you need to change anything at all?

Perhaps you can invest more in your coffee shop equipment, fixtures, or furniture. Or perhaps you might have to make some considerable changes by reducing your ambitions for a larger patio for now. Either way now is a good time to revisit your financial plan and coffee shop concept and see what adjustments can be made.

Setting up a coffee shop concept is a process. Your budget and available cash on hand will always impact the process.

 

How to Start a Coffee Shop

Step #18:

Count customers in your perspective coffee shop locations

After you pin down one, two, or three locations for your coffee business, it’s a good time to dig a little deeper and examine each location's full potential.

Customer availability is among the top elements you will need to consider when choosing your location. The number of customers will be key in determining your break-even point and other pro forma financials. 

Counting customers is an excellent way to determine important data numbers that you'll need to determine many elements of your coffee shop business plan.

Operationally speaking, the numbers also impact your coffee shop equipment needs, vendor ordering, and your schedule planning (and thus, again, your break-even point). So, just how many customers will you have in a particular location, exactly?

Picking the Right Coffee Shop Location 

Determining the numbers is an art and a science. If, at this time, no coffee business currently exists at your proposed location, you can consider the traffic at other nearby locations (competitors and substitute businesses) for you to count potential customers.

We recommend that you count customers for several days and at various times of the day. This would include such times as the morning rush hour, lunchtime, and evenings.

Are these numbers guaranteed? No, but counting customers can give you a better idea of the available traffic and, thus, anticipated sales based on a realistic percentage of the traffic visiting your location.

For example, if 10,000 cars pass during the morning rush hour, what realistic percentage of them will visit your easily accessible drive-thru coffee stand?

Assuming that they are aware of the drive-thru coffee stand through well-placed signage and good lighting, social media, etc.? Can you expect 2% of them during the morning rush hour? Possibly? Maybe more? Maybe less?

You will have to make this determination based on the numbers and other location variables. But you can’t really make any assumptions without having numbers (In this case, the number determined would be 200 customers during the morning). 

Of course, IF the coffee stands already exist and are already in business, you can count actual customers that purchase items and realize better numbers to determine your projections by totaling receipts. If the coffee business does not exist at a particular location, you will need to make some estimates based on the counting you do at similar businesses in the area.

Counting customers should play an important role in determining the final decision you will make in choosing a specific location.

 

How to Start a Coffee Shop

Step #19:

Look for good people to help set up your coffee shop

When setting up and running a coffee shop or coffee stand, you’re going to need specialized help. Even if you know how to do many things, you will probably not be able to do it all. This means you will need to look out for carpenters, plumbers, electricians, espresso machine techs, etc.

As you start thinking about embarking on your business planning, put your “feelers” out for plumbers, electricians, carpenters, and bookkeepers.

As with the other items on this list, you’ll want to start early. Ask around. You’ll be surprised how many of your friends, family, or neighbors have a trusted friend or contractor they have worked with. Even consider asking other nearby coffee shop owners.

Reliable contractors are like gold; you can’t have enough of them. Keep your “Rolodex” (contact file or phone) filled with potential people you can call in a pinch. Getting a recommendation from someone who has already worked with the contractor is an added value that should not be overlooked.

 

 

How to Start a Coffee Shop

Step #20:

Stay connected with your health and building department

Starting and running a coffee shop requires partnerships. Get to know the city and county departments you will work with. Write down the names, phone numbers, and emails of people you have worked with and talked to.

Begin to develop consistent communication with them or have a specific “point person” you regularly speak with.

If you have questions, feel free to give them a call or send them an email. You don’t want to call them every day, but you might want to keep a list of questions handy so that you can ask away when you need to call them!

The important thing here is to view employees or inspectors of the health department and building department as a part of your personal business team. Having the view that they are members of your “coffee shop startup team” will empower you (and them) to help your business startup move forward.

 

How to Start a Coffee Shop

Step #21:

Double-check your coffee shop property lease before you sign

Setting up a coffee shop business or starting a drive-thru coffee stand will require you to set up a lease agreement with a property manager or property owner.

Your lease agreement can either support your efforts or really serve to tie you down. You should get a leasing professional's help before you sign your proverbial life away. Therefore, you should always double-check, review, and re-read your property lease before you sign it.

We believe that your lease is so important to your coffee business that we offer an incredibly enlightening interview about the subject. Our very affordable Complete Coffee Shop Startup Kit provides a thorough look at the “leasing” issue.

But even if you don’t use our guide and interview for guidance, we recommend that you get help from someone – preferably an experienced professional, especially if you have never signed a lease agreement before.

 

How to Start a Coffee Shop

Step #22:

Establish your coffee shop business structure

Setting up the legal structure for your coffee shop business before you move forward will now be important.

You may have elected to do this first, and that’s okay—the earlier in the process, the better to help you prevent any “co-mingling” of money.

Like any other business, you will have various options for establishing your business's legal framework. For example, you might consider opening as a partnership or limited liability company (LLC).  Whichever you choose, make sure the choice works for you as tax and liability issues are always at stake. 

Setting up your coffee shop business within, say, an LLC, you will be able to set up a bank account (checking and savings), which will help you put money away and allow you to keep tabs on your spending better. And that brings us to our next step!

 

How to Start a Coffee Shop

Step #23:

Open a business bank account

Once you get your business structure established, you will be given a state ID number (a Unified Business Identifier, for example) that you will use to apply for your Employer Identification Number (EIN) provided by the IRS for your coffee shop business. Once you do this, you will want to open up a bank account.

As we mentioned previously, a bank account will be essential for helping you to separate your personal finances from that of your business money. You might have a local credit union or bank that you are familiar with. Still, we always recommend getting a convenient bank account, that has a robust online banking service and has few monthly fees.

Some banks love charging more money for fewer services. For example, it’s easy to pay $250 or more annually for the simple benefit of letting those banks use your money. Consider your options but open your bank account with your business name and EIN. 

 

 

How to Start a Coffee Shop

Step #24:

Choose your coffee shop equipment

Assuming that your coffee menu is finalized and secured and your physical location wrapped up, you will want to now look at obtaining your coffee shop equipment.

Coffee equipment can range from your espresso machine and coffee grinders to small wares and refrigerators (and everything in between).

There is no doubt that your coffee equipment can and will put a significant dent in your budget, so plan. The best way to save money is to spend time learning about the coffee equipment (and other supplies) before you buy.

Take the time to determine what equipment you truly need to deliver your coffee in the manner which best aligns with your business concept. Seek the advice of current business owners or roasters. Ask them questions. Embed that information into your business and budgetary plans.

Like many other important topics when it comes to starting a coffee shop, we offer a great audio interview on the subject of coffee shop equipment that you will probably want to hear before you spend any money.

 

How to Start a Coffee Shop

Step #25:

Establish a date for opening your coffee shop

Setting up your coffee shop requires you to reach a point where you are ready to choose an opening date. You want to make a date realistic, but at the same time, you will want a date that will put enough pressure on you to move your coffee business forward daily.

Setting a date for your coffee shop launch provides you with a little bit of that push you might need.

Establishing an opening date also helps when speaking, dealing, and negotiating with other potential stakeholders. For your coffee shop business startup, this would include property managers, vendors, coffee equipment people, and others who all want to know your approximate deadlines, such as health department officials, building inspectors, electricians, etc.

While this step is listed among the last steps here, you may want to move it up depending on your situation.

 

 

How to Start a Coffee Shop

Step #26:

Plan out your coffee shop promotional efforts

Build it, and they will come? Probably the worst business advice ever. While many independent coffee shop owners don’t invest too much effort in promoting their coffee business, it’s definitely worth it. Reach out to other businesses, local organizations, and neighbors in a proactive way.

Host a “Grind” Opening to get people excited about your new business. Have fun with it. Setting up your coffee shop business will benefit from your promotional and marketing efforts that don’t necessarily need to be expensive.

In the meantime, you may want to start your coffee shop website so you can build your branding and social media following. Additionally, you will slowly garner the local support that you will want as you hold your grand opening.

In our Complete Coffee Shop Startup Kit, you will find hours of interviews with coffee business experts and coffee shop owners. You will also find extra resources, including a special marketing and promotional section for your coffee shop.

 

How To Open a Coffee Shop

 

How to Start a Coffee Shop

Step #27:

Hire your baristas

When you open a coffee shop, you will most likely open with the help of at least some staff. Hiring the right baristas will be important.

The average coffee shop business owner might put off hiring baristas as the very “last thing” to do before their opening day.

This is not a great idea.

Instead, I recommend that you start as early as possible and choose your baristas wisely. If you don’t know where to begin, get to know other baristas at other coffee shops. You may also meet them at coffee or “latte throw-downs” or unofficial barista events.  Baristas often “guest-pour” at other coffee shops to make extra money.

If you live in a small town, start by holding interviews long before you open. Be open to hiring baristas with less experience if their personality matches your company’s culture. Personality is often better than someone who has a lot of pouring experience.

Previously, we’ve written a lot about the importance of hiring great baristas, so we will not overwhelm you here.

But we will repeat it: your hiring decisions will be among the most important things you will do when you set out to open your coffee shop business. So start early.

Know what kind of assistance (skillset and personality) you’ll need. As you move closer to your opening date, spend time training, reviewing, and educating yourself and your staff. Train your baristas for success.

Even if they have had training in the past or have extensive barista experience, it never hurts to have additional training to refresh skills, knowledge, and espresso machine maintenance.

Training is not only beneficial for you and your staff; it also holds everyone more accountable to each other. Training your baristas is empowering, morale-lifting, and worth it in the long run. In other words, training builds a sense of teamwork and crafts a company culture.

How to Start a Coffee Shop

Step #28:

Leave nothing behind: Review any straggling details

Adjust, tweak, and torque your way through the process of setting up your coffee business. Running a coffee shop business requires a little finesse and muscle but mostly persistence.

But…

The real work comes with planning for success.

You'll see a lot to do if you go through each of the steps I just listed. But…don’t get overwhelmed; just take each step one at a time.

Suppose you have already started to move forward on a few great things! Take a moment to see how you can build on each of these.

See where you need to tweak, make some natural changes to your plan, and step forward. Even the smallest steps can make all the difference!

Sometimes, you simply need to “will” things into existence. You will have to apply extra pressure so that things get done. This is okay—this is natural.

This is sometimes needed. But you also don't want to get burned out. When you come to the crossroad where things get too overwhelming, take a break. Take a weekend off and then come back to it on Monday.

Finally, be honest with yourself and determine where you will have to add a little pressure – and add a little torque – to your actions so that they can move forward with a little more purpose. All this is for one thing: moving you and your new coffee business closer to a successful grand opening.

Crowdfunding your coffee shop, crowdfund your cafe

How to Start a Coffee Shop

Step #29:

Hold your Coffee Shop's Grand Opening!

The moment has arrived to open your coffee shop to the world! Having a grand opening event will be an important and symbolic event for your coffee business.

We’ve discussed picking a date, which you will want to do. You will also want to reach out to local businesses, organizations, schools, churches, and neighbors to tell them to drop by.

You may consider hosting a “soft opening” a couple of days beforehand so that you can see if your POS (Point of Sale system) works and that all the equipment functions just as it should.

I recommend you also want to reach out to bloggers, local papers, TV stations, etc. Send them an email or press release, and follow them with your new social media profiles. Give them a couple of weeks to respond to you, and be sure to follow up with them.

 

open a coffee shop and costs

Reviewing The Steps to Set Up Your Coffee Shop

Have I missed anything? I am sure that I have.

Certainly, you need to take many steps as you set out to start your coffee business.

Every coffee business will be different from the next. Knowing this reality, you will want to make the necessary adjustments to this list for your own coffee shop goals.

My recommendation: Start small. Keep things simple. Plan ahead. And be curious about what other people have done to start their coffee businesses.

We've written much more about how to start your coffee shop business. Just check out our coffee business startup blog.

You may want to seek the advice and help of others who have already been there. Don’t be afraid to ask for help. Talk to current and past owners for tips. It’s unrealistic to think that you can know everything and do it effectively without some mentorship.

Our Complete Coffee Shop Startup Kit is a perfect resource to expand your knowledge base about the retail coffee industry. You can hear from other coffee shop owners how they set up their business – the good, the bad, and the ugly!

You want to launch your coffee business with less money, fewer headaches, and fewer budget-destroying mistakes.

Expertise matters.

Our Complete Coffee Shop Startups Kit provides the expertise you need. It provides you a window into what other coffee shop owners have done. Additionally, it also explores the knowledge and wisdom of coffee business experts. 

Whether you’re planning to set up a coffee shop, a coffee drive-thru stand, or a cafe and bakery, you will want to hear the stories of experienced experts. I wonder just how their experiences, mistakes, and successes change your thinking about your own coffee shop business. 

Learning all about starting a coffee business means learning:

  • How to negotiate your coffee shop property lease
  • What the health department expects from you
  • How to design your coffee shop (and save money)
  • About coffee and coffee origins
  • How to brew coffee 
  • How to set up a winning competitive advantage and beat your competitors
  • Writing your coffee shop business plan
  • How to create a profitable coffee business

Okay, breathe! It's okay. We've got you covered. Our Complete Coffee Shop Startup Kit covers all these areas and more!

 

 

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The Complete Coffee Shop Startups Kit

Coffee Shop Startups

Coffee Shop Startups

Based in Seattle, Washington, USA, Coffee Shop Startups is dedicated to providing you with the most relevant information on how to start a coffee shop business successfully. Over the last 11 years, we've helped thousands of aspiring coffee business owners worldwide. We harness the experience, wisdom, and knowledge of many successful coffee shop owners to help you increase your chances of success and profits. We support business owners who want to start a coffee business by providing them with valuable information on starting their coffee business successfully.