Coffee business is considered to be very successful beacause every year this drink becomes more popular. It is not enough just enthusiasm and initial capital to open your own location. Owner involvement, aspiration for development, desire to master the market, products, suppliers and competitors is very important. Experience in this sphere, knowledge of coffee varieties, types of roasting or even making drinks will be a big advantage.
There is a bulk of articles in the Internet of how to start a coffee shop in Ukraine. The authors distinguish more than ten stages: from choosing the premises to development of marketing strategy. In contrast we will tell about 4 the most important processes:
Defining business model
Defining outlet format
Selection of location
Registration, obtaining permission for work
Business model: own brand or franchise?
You can follow one of these three ways to start your own business: to open coffee shop from scratch, to buy ready-made business or to buy franchise. The first variant makes it possible to create your own outlet with unique design and concept. If you choose this way be ready to write business plan, search for premises, register PE and obtain permission for work. After that to carry out repairs, buy furniture, equipment. Each of these stages requires quite a lot of investments. If you do not have knowledge and experience in this sphere amount will double.
For newcomers franchise seems to be unfairly expensive investment. Besides business investments, you have to pay one-time fee and monthly royalty. However, those mistakes made by newcomers while they choose premises, suppliers, equipment will cost much more expensive. That is why, it is safer to buy franchise and receive professional support on each stage of starting business.
AAROMA KAVA franchise buyers receive:
Ready-made concept of the outlet of any size: from small coffee places to full-fledged coffee shop with 150 м² in area;
Unified recipe standards, drinks technology and outlet visualization;
Training of making drinks and good customer service;
Franchisee receives branded materials: uniform, dishware, packs and also consumables (straws, sugar, napkins);
Access to mobile application where the latest menu, latest offers, special offers, also outlets marked on the map.
Defining format: what coffee shop to start?
To define format for the outlet is one of the most important steps as amount of investments and payoff period depend on the format. Assess your financial capacity, prospects and needs of selected location.
AROMA KAVA offers 4 formats:
Small coffee island in shopping mall, 6-9 м² in area;
Coffee kiosk (6-15 м²);
Small coffee shop (20-50 м²) with seats;
Café, 50-150 м² in area.
There is a ready-made concept for each of these formats. Design is created individually taking into account all the specifics of the selected premises. Franchisee receives interior visualization with power distribution plan, lightning plan and outlet zoning.
Proper location – half of success
Profitability of the outlet depends on its location. To open a coffee shop choose location with busy pedestrian traffic. These are the main streets of the cities, business districts, shopping malls or business centres. Moreover, places near the metro stations, markets, railway stations, hospitals or universities. Populous commuter suburbs, large residential areas, parks and public gardens where the citizens prefer to promenade can also become a proper place to open an outlet.
Ideal location should meet the following requirements:
Located in a place with high traffic flow;
It is visible from roadway;
Comfortable turning with parking.
It is important to assess terrain traffic ability during the day as morning and lunch traffic can differ a lot. There are special companies that conduct resources of pedestrian traffic. However, you are able to assess prospects yourself. Count how many people are passing by the selected location in 15 minutes. Multiply the result by 4 to get approximate number of bypassers in one hour. Repeat measurements in the morning, in lunchtime and in the evening during three days.
Traffic assessment allows defining the number of potential clients and forecasting income. Without location analysis, it is hard to segment your target audience and this is important to develop a menu. Check for competitors nearby. The easiest way is to use Google service My business where the majority of potential competitors is registered marked on the map.
What documents do you need to open a coffee shop?
To open a coffee shop first you need to register as a private entrepreneur with the second group of tax liabilities and choose classifier of economic activities 56.10. It allows activities of the outlet in the format ‘to go’ or with seats where drinks, pastries, snacks can be served. Additionally choose classifier of economic activities that allows retail sales.
Besides, it is needed to conclude a lease contract. If you plan to place an outdoor advertisement on a building façade, you need a separate permission. You need also to arrange customer corner with incorporation documents and book of complaints. Make sure that all the employees have passed medical check-up and have stamped health permit.
Open a coffee shop with AROMA KAVA
Find a proper place, obtain permission for work this is an important stage on the way to opening. Nevertheless, repairs, purchase of equipment and consumables is waiting for you ahead. Moreover, staff recruitment, drawing up a menu. Even opening and the first working day is not yet a finish. This is just the beginning of embodiment of marketing strategy to acquire and maintain the customers.
You will have to invent special offers, create customer loyalty program, and launch targeting advertisement. These are tens of parallel processes and profitability depends on them. However, you can start your business much easier with AROMA KAVA franchise. You receive ready-made concept, proven recipes of drinks, recognized brand and the most important – our help and support on each stage of work.