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So you’ve been working as a barista for some time now and you’re starting to think about your future in the profession. You’re happy pulling shots, pouring latte art and educating your customers about the glory of the bean. In fact, this specialty coffee scene is something you think you could really take to the next level, if only you had your own place. Maybe you’re thinking just a little hole-in-the-wall somewhere to get your feet wet, or maybe you’re plotting and planning and believe that with your espresso skills, your passion and your formula for success, you can launch the next specialty coffee powerhouse with outlets on every street corner. That’s all well and good, but of course, as any great journey must begin with a single step; your pathway to coffee entrepreneurship must begin by building a simple platform for business success. Then you can go ahead and conquer the world, OK? These days, there are literally hundreds of opportunities for an enterprising barista to start her or his own business. Anyone considering a future as a small-business owner, though, should focus on two basic questions: 1) why am I taking this step; and 2) how do I go about it in the most effective way? Analyze Business Opportunities Once you’ve decided to become the owner of your own coffee business, the real planning begins. You’ve got a leg up on the competition because you already know what industry you want to work in. In fact, you’re downright passionate about it. So what do you do next? Your immediate goal should be to learn as much as possible about the people who work in the same field. Talk to other coffee shop owners about how they got their start, what they stuggled with, what they planned for, and what caught them unexpectedly. First you’ll want to narrow down your scope. A specialty coffee business encompasses everything from a kiosk at the local community college to chains with two, five, dozens, or thousands of locations. You can open a traditional retail store, or an online coffee distribution company. But before you can do any of that, you have to know how much it’s going to cost and how much you’re going to have to spend. Still, it’s not yet time to begin the detailed business plan; for now, make more of a thumbnail sketch. If you’re going for a retail location, you’ll want to figure a rough estimate of what rents are in the area you’re interested in. Then you’ll have to do some basic figuring of expenses (coffee, supplies, equipment, and personnel) to being with. This should give you some idea of whether it’s feasible for you to open a high-end retail shop in a ritzy part of town or whether a cart in a soon-to-be-gentrified neighborhood is more within your price range. Maybe you have the perfect location for a coffee cart in mind. It sounds obvious, but it’s true: talk to other coffee cart owners. If you’re worried about stepping on the toes of people against whom you may be competing, expand your circle of contacts. Talk to people outside of your locale. You can find them through barista and specialty coffee organizations, at the next barista jam, or anytime online. But beyond your coffee shop owner friends, talk to the other professionals they depend on to run a successful business. That means roasters, tea wholesalers and equipment companies, of course, but also bankers, lawyers, accountants, suppliers, insurance agents, and more. To read the rest of this article order this back issue of Barista Magazine! | ||