How To Open A Cafe Business
By definition, opening a cafe business is simple: all one needs to do is rent out some retail space, order a commercial espresso machine, stock the shelves with pastries and snacks, and voila - you can open for business.
There's just one problem. That definition leaves out about 75% of the work required to make a business successful.
To open a cafe that turns a profit, the aspiring entrepreneur must plan the location, decor, and layout with care, hire good employees and make sure they're trained well, buy equipment that will run well and be cost-efficient to operate, order inventory with an eye to sales volume and profit margins and finally prepare to spend every waking hour of almost every day on the job until revenue starts flowing in.
Research about the cafe industry:
Defining what makes for a good cafe is tricky. The market for coffee and pastry is not one certifiable statistic. There are so many variables that go into making a successful cafe, from site selection to marketing
While some of the factors in the decision-making process do not appear on any list of needed measures, they may be the most important factor in success. One must learn the iconic elements that make up a good cafe but also learn their niche market.
Researching is a start to any business. You'll need to do this before you even start planning anything, so have your goal in mind and research where you'll need to be or what your target market might be. The internet makes this easier than ever before, but also more difficult than ever.
Bring concept and design:
Defining and creating the concept of the cafe is equally important as identifying the target market. The concept and atmosphere must be consistent for the cafe to run smoothly. A good business owner will place high importance on this, or else there may be discrepancies between products and services that could cost them dearly.
Usually, a new cafe works best with simple decor. Too much decoration will distract customers from their purpose at the cafe: eating and enjoying themselves.
The decor must be simple and tasteful. For example, a cafe owner who wants to appeal to a Japanese market might decorate a white space with Japanese furniture and antiques, while one aiming at a higher-class market might have elegant white leather chairs which have been handcrafted.
Find a suitable location for your cafe:
This should be a matter of common sense. It must be easy to get to from the nearby areas and must have a good flow of foot traffic. You'll want it to be aesthetically pleasing as well, but you'll want it to be located reasonably for your target market.
For example, if your cafe will aim at a college crowd, you may want it in an area that is close enough to campus that people can easily walk or ride bikes but not so close that it will seem like an extension of campus life.
Apply for licenses and permits:
Scheduling a visit to your local government building is the last stage. At the time of application, you must have all the permits in order so that you can meet deadlines without issue.
Most people don't realize that planning for a cafe is more than just ordering equipment and waiting on customers. If you want your business to thrive, you'll need to put in the work upfront and be patient.
Buy equipment for your cafe: With licenses and permits acquired, the next task is to find the equipment that will form a foundation for your business. There are several brands, including Lavazza and Delonghi, that offer high-quality equipment that will function well and last for years if properly maintained.
Buying equipment is one of the first big purchases every cafe owner has to make. While these purchases are often difficult to justify on a small scale, once everything is in place they generally pay for themselves in a short period.
Choose suppliers:
The equipment you buy will be delivered to your cafe, but you'll need to order and pay for inventory before everything is in place. This can take days or weeks, depending on the time of year and what the weather is like.
Since all cafes have the same basic needs, it's important to choose suppliers who have experience in serving your local market. You don't want to waste time and effort on expensive tools that won't work for your market.
Market your cafe:
This is the most critical aspect of a successful cafe. You have to make sure that people know that it exists and how to get there. This requires a lot of time and effort, especially during the first few months of business. However, if you find the right niche market you can get a lot of word-of-mouth publicity very quickly.
A good introduction strategy is to offer free or discounted sample items as an enticement to try your cafe out.
Pick the right employees:
This can make or break a business. It's extremely important to select employees who know how to handle customers and who are attentive. They must also be able to work well with others so the service experience is pleasant and not stressful.
During your hiring process, you should tell employees that they will have to be on their feet most of the time, so they should wear comfortable shoes. You'll need a few of these people on hand at any given moment, so you'll need enough employees for that purpose as well.
Start your cafe:
Once you have your employees, the equipment, and all of the supplies, you can open for business. It may take a few days or weeks to get everything running smoothly, so be patient. One of the most difficult parts of this process is to stay focused while doing what you need to do during those first few weeks.
Tons of things will come up that don't have anything to do with running your cafe, but you'll need to push through them to establish yourself as an active and successful business owner.
Conclusion:
The point of this article was to draw some attention to the fact that owning and running a cafe is not something that you can jump into without having any knowledge, or even without ever considering the possibility.
The tips and ideas for starting your cafe are not things you can buy; you will have to work hard at planning, thinking about what good service looks like, and researching what types of people will be attracted to your idea.
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