Even the most promising business plan can fail miserably if you choose the wrong place to implement it. Sometimes location and atmosphere are much more important than anything else. How can a small room with a modest selection of treats be turned into a favorite establishment for residents and guests of the capital? The rules are simple - listen to the advice of experienced experts, and success will not keep you waiting.
How does opening a coffee shop begin?
To successfully start your business activity, you need to legalize it so as not to encounter unpleasant surprises from the tax authorities. Before you invite guests to your new coffee shop, make sure you remember to get all the necessary documents and permits. To work smoothly with a calm heart, you will need:
- registration as an individual entrepreneur of the second group or a business entity (for registration you only need a passport, taxpayer identification code and documentary evidence of your planned type of activity according to the Classification of Economic Activity)
- declaration from the fire inspectorate
- Declaration from Gospotrebnadzor (Ukrainian) Derzhprodspozhivservice)
- health book
- certificates confirming the quality of equipment and products
- Permission to reproduce music to avoid copyright infringement (please contact UAASP)
💡 Order of the Ministry of Economy No. 185 dated 11.07.2023/XNUMX/XNUMX states that you have every right in your coffee shop to offer visitors not only invigorating drinks, but also related products that will make the coffee break more delicious.
Not only paperwork precedes the first sip of aromatic coffee in your establishment. The path from a dream to its realization goes through several important stages. You have already successfully mastered the first of them, obtaining documents, but this is just the tip of the iceberg. Searching for the desired premises, developing a unique design project, purchasing the necessary equipment and furniture can be either separate processes or fit into the “3 in 1” format, if for acquisitions or rental you will select a ready-made object. After the stage with the premises, the only thing left to do is think through the menu, conclude contracts with product suppliers and hire a team, because you won’t be preparing and serving blended and Arabica drinks yourself.
💡 Since we mentioned the variety of drinks, it’s worth developing this topic. Coffee shops, like the real estate market in general, have their own seasonality. The demand for hot coffee, tea and cocoa especially increases in autumn and winter, when chilly visitors want to warm up with something warm. In the summer, when it is already hot, few people will want to increase their core temperature even more, so we advise you to adapt your menu to the needs of your customers. In winter, add unusual mixtures of spices to it, similar to the classic composition of mulled wine, and in summer, dilute the usual assortment with cool milkshakes, refreshing lemonades or the increasingly popular Bubble tea (Boba tea).
Step No. 1: how to choose premises so that the business makes a profit?
Don't rush to find a room. Without a clear concept, you will wander aimlessly through the market and only become even more confused about what kind of result you want to get. First, decide on your target audience, because the format and location of the establishment depends on it.
- How do you see your client?
A businessman who is passionate about his business and always busy is unlikely to want to stay in the establishment for a long time due to the rush. A fairly modest premises near a large business center, in a shopping center, near a metro station or public transport stop will be enough for it. A family cafe will always find its audience in a residential complex. Its residents will stop by for coffee and a croissant on the way to work, to school, or during an evening walk. Another win-win option is to locate near the same transport hubs, as well as attractions and parks. Not only city residents, but also visiting guests of the capital will be happy to brighten up their promenade around the city with something light and tasty.
- Why will your coffee shop become the client’s favorite place to enjoy this wonderful drink?
When forming a business model for your coffee shop, you should rely specifically on the needs of customers and what kind of guests you plan to see at your tables. To satisfy the wishes of the business people already described, it is worth focusing not so much on the size of the establishment, but on the speed of service, so a small point for several tables will be enough. Family cafes should be much larger. You'll win extra points with parents if you designate a separate area for their kids to have fun or create special activities like coloring books and themed menu items. In view of recent events, not only LCD with generators, but also coffee shops. By allowing your visitors to work for a few hours, you will give them a great replacement coworking and significantly expand your base of regular customers. Don't be afraid to experiment with format room and its content - the more original it is, the more interest you will arouse among consumers.
Step #2: Which room will suit your goals?
We have carried out a preliminary analysis of the target audience, so you can safely begin decisive action. When choosing a room, remember several important nuances:
- When choosing an area, rely on the target audience that you have decided to choose as your main one. Also keep in mind that everything areas have their own characteristics and differ from each other in the level of luxury, rent and prices per 1 m²
- the premises can be located in a shopping or business center, on the territory of a residential complex or in a separate building
- The size of the coffee shop affects the number of seats, but demand and profitability do not always depend on it. If your clients prefer to take orders with them, there is no need to overpay for extra square meters
The size of the room allows us to conditionally divide all existing coffee shops into several formats:
- “take away” (5-6 m²) - took it and went. A tiny place with a coffee machine for those who don’t want to wait long and sit still.
- a small coffee shop with seating is the golden mean for doing business
- a premium class establishment - expensive equipment, a special atmosphere, a menu thought out to the smallest detail and a price tag that is an order of magnitude higher than average
Whatever format you choose, start working on its reputation even before opening - a good advertising campaign and a well-thought-out marketing strategy will attract attention to your establishment and bring the first customers to a place that has just appeared on the city map and plans to compete with already established brands.
💡 Don’t rush to buy or rent the first premises you come across. Consult with your personal real estate expert from THE Capitalto make sure that the object you like is suitable for realizing your ideas. Recommendations from the designer will also not be superfluous if you plan to do the renovation yourself.
