Coffee shop risks?

[Boro97]

Originally Posted by JustOneUK

the profit margins on a coffee shop are huge (used to have one)
it's really really easy to make money provided you have a good location

P.S there is even more profit on Tea and as for soft drinks! let's not even go there!

James.

If the profit margins ae so good why did you give it up.

[blackice]

I agree with JustOneUK that location is one of the most important factors.
Concentrate also on nice interior design, extraordinary friendly service, coffee and food quality, member cards...

[aaacbc]

Originally Posted by finist

We are collecting information and designing our business plan for a coffee shop.
We need to answer questions about market and other risks of running such a business.
Can somebody help us with that?
Thanks in advance.

Think about the option to buy a franchise for this kind of business?

This will make it easier to calculate the risks because of the experience of the franchise giver.

KR

M.

[einstein]

Location Location location

[Red_Stafford]

Originally Posted by einstein

Location Location location

Whats the main points to look for when choosing your location, I am also currently starting to get together information on starting my own coffee shop/cyber cafe, I have a couple of locations in mind but am not really sure on what I should be looking for.

[Peter Bowen]

One way I use to help my clients identify risks is stolen from project management theory.

Risk comes from role-players. Start by identifying all the role-players in your coffee shop. The include: Staff, management, suppliers, customers, landlord, neighbors, surrounding businesses, transport services, utility service providers, local authorities, health and license authorities etc

Then brainstorm a list of things that could possibly go wrong in your business as a result of them. You'll end up with a massive list but you can decide which you will accept, which you will pass on (insurance) and which you'll mitigate through other parts of your business (eg good cleaning routines etc)

PM me if you need some more help

Cheers

Pete

[PeterCarruthers]

May I suggest 2 truly outstanding books on retail issues - location, why people buy, etc.? I read a lot, and in my opinion these are about the best ever written, and the thing I love about this incredible country is that Amazon will deliver them to you tomorrow! Knowledge is just a few minutes away.

OK, enough of the enthusiasm - see if you can get your hands on the following 2 books by Paco Underhill:

1. Why We Buy: The Science of Shopping
2. The Call of the Mall: A Walking Tour Through the Shopping Mall

My clients have found them to be extremely readable, and packed with useful info. And Amazon.co.uk has stock it seems.