Let’s face it: almost everyone likes coffee! And many people who don’t like coffee still love the drinks from Starbucks and Seattle’s Best (lattes, cappuccinos, smoothies and so on). So, many who are considering starting a small business would love to start a coffeehouse.
Stop the press! Before you jump out there and get started on any business venture, you need to do your research. Well, you probably know that because you are reading this, aren’t you? The first thing you need to do is research your area (or the area where you’re considering opening a coffeehouse). Are there coffeehouses all over in your city of choice? If so, are they corporate-owned or local?
If there are a lot of corporate coffeehouses in your local area but not many local ones, you have a good chance to have a successful business! Although many coffee drinkers may prefer a local chain, local coffeehouses tend to have more organic tasting drinks! It’s kind of like the difference between fast food burger joints and a good quality sit-down restaurant that serves freshly-made burgers and has great customer service. There are certain consumers who simply will not be satisfied with the fast food experience or product.
That consumer base is the same consumer base that may prefer a real coffeehouse versus a corporate chain.
Now, once you research your local area (or the area where you are planning to open your shop), if you find that there are tons of locally-owned coffeehouses, then you may have too much competition. However, keep in mind that when there are many of a certain business type (and in particular, if that type of business is doing well financially in that area), you are in the right market to open one more!
Once you research your market, you’ll now need to look at the costs involved, form a solid business plan, and determine how to finance the initial investment required to open the doors of your shop.