If you are planning to start your own business, here are some good reasons why you should open a coffee shop.
Coffee shops have been getting a bad rap in recent years as many people believe they are short-lived and unprofitable. If you have expressed interest in opening a café, there’s a chance people in your life have disapproved. It is pretty understandable that they may have concerns, as there are risks associated with starting any business.
Nevertheless, there are dozens of reasons why opening a coffee shop is an excellent idea, financially and personally. You might also be interested in our round-up of cheapest coffee shop tables.
1. Coffee Is More Than A Trend
The popularity of coffee is not going anywhere. While some coffee shop trends like flavored drinks or a nitro cold brew may fade in and out of fashion, regular coffee will stay.
Opening a coffee house differs from opening a bubble tea store or a donut shop. These stylish foods and drinks may be on top of the world at first, but these trends pass by quickly.
Around 25% of Americans buy drinks like iced coffee or a latte three times a week or more! Coffee is not going anywhere.
2. It’s Profitable
There is a common belief that coffee shops are unprofitable, or worse, you’ll end up in debt. We have all heard of coffee shops that failed miserably soon after opening, but this does not happen all the time — the failure rate for a coffee shop businesses is only around 10%!
It can take time to break even or make a profit. However, once you’re into the swing of things, there is a high chance that your coffee shop will make a good profit.
If the coffee shop is only a side hussle, it can provide you with extra cash, but it also has the potential to serve as your main source of income.
You may also be interested in reading our guide on the 10 most profitable things to sell in a coffee shop (besides coffee).
3. It Unleashes Your Creativity
Understandably, you may be worried about competition in a coffee shop business. However, this allows you to use your creative skills to create something special and unique!
You have room to put your own twist on the conventional coffee shop model in many different ways. Ask yourself what you can add to the coffee industry that has not been seen before.
Some strategies competitors use are adding stylistic elements, offering unique menu items that other coffee shops do not offer, or having their own special theme. There are even cat coffee shops, vintage-style coffee shops reminding their customers of the good old days, or coffee shops where you can play board games.
4. You’re The Boss
As a coffee shop owner, you have an advantage over other franchises as you have more control over your operations. For instance, you are not meeting the profit margin that you desire — there are many different ways that you, as the owner, can do to solve this. You can hire more or less staff, alter the menu, update your social media accounts, or anything you imagine will pay off.
There is no long chain of command if you intend to change things up. However, discussing your plans with your baristas and staff is still a bright idea as they are the ones face to face with the customers. They may notice a problem you may have overlooked.
You may also be interested in reading our guide on how to create a coffee shop business plan: step by step.
5. It’s Flexible
Depending on how much time and money you have to invest, you can work in your coffee shop full-time or on the side.
If you already have a job that you love but still looking for a profitable side project, consider opening a café. You can hire people to handle most of the time-consuming tasks. You can eventually hire a manager to run the coffee shop for you, so you can simply enjoy the profits!
Whatever you put into your coffee shop business will determine what you get in return. Being the owner and the manager of your coffee shop also has an advantage since you see your staff and customers daily.
If you do not think a full-scale coffee shop is feasible, you can consider starting your business on a kiosk or perhaps on a food truck. Wait until you’re in a better place to expand the business.
6. You gain Valuable Managerial Experience
Managing or owning a coffee shop might sound like an odd career decision for improving your resume. However, this experience will teach you how to act like a boss if it’s a skill you’re lacking. Opening your own coffee shop forces you to stand on your own two feet and learn on the job, which means you will learn every single aspect of your business.
Soon, you will have partners you must negotiate with. Then, you’ll find yourself hiring staff. This path forces you to gain a lot of business experience, and you will improve your skills in communication, organization, resourcefulness, and, most of all, leadership.
Leadership is a common characteristic employers search for in their prospective employees. If you ever decide to leave the coffee industry or seek employment elsewhere, your experience and background will make your resume stand out!
7. You Get To Be Part Of The Coffee Industry
Coffee shops have become known as gathering places for creative people. When you’re at a coffee shop, you will likely find writers drinking iced coffees while working on their next book or artists at tables hunched over their watercolors and lattes. By opening a coffee shop in your area, you can provide people with a space to work on their projects outside the office or the home.
You will eventually form relationships with your regular customers and other business owners in your community. You can also network further by interacting with other people in the coffee circles. There is an entire network out there, especially for people passionate about coffee, including other coffee shop owners.
There are also interesting events like coffee conferences and latte art competitions where you can broaden your knowledge and get to know more people in the industry.
8. It’s Rewarding And Fun
It is useless to pretend that this is not one of the major reasons why people open a coffee shop. Owning a popular coffee shop can make it easier for you to get associated with your local community. After all, everyone will be curious about who opened the fantastic new café.
Make use of these connections and form relationships for the benefit of your coffee shop business and your personal support. Starting your own business will also provide a huge sense of achievement. It is a major accomplishment to see your idea come to fruition, and it’s made even better because you get an unlimited supply of coffee!
9. It Creates A Community
Small businesses have an advantage over many larger companies in that they can build a community around them. Opening a coffee shop can provide people with a place to socialize.
You can also hire different people to show solidarity and inclusivity, which will surely make your customers feel welcomed. Your coffee shop should be able to make your customers feel cozy and at home.
10. It Makes People Happy
Last but not least, the main purpose of small businesses and coffee shops is to make people happy. Like any business, you need to consider making money and turning a profit, but you also want to keep it affordable for most people. This will help build a good relationship and bring back customers.
You will succeed once you figure out the right balance between profitability and accessibility to customers. People love small businesses, especially the ones that feel sincere. So, if you really feel passionate about coffee, you will likely succeed by having loyal customers who love coffee as much as you do.
You may also be interested in reading our guide on coffee shop marketing mix.
