Many people who intend to start a coffee business are confused with the question of how much does it cost to open a cafe? How much capital is enough? How to calculate the cost of opening a coffee shop? Opening a cafe where to start right…
However, this question is not easy to answer because how much capital is required to open a cafe depends on many factors, such as the location you plan to open, the size of the shop, the size of the restaurant, the available space or the need to go. rent,…
So, in this answer, Blog Sapo will try to share the experience of opening a coffee shop, some of the most basic set up costs you can refer to and show you how to open an effective coffee shop. best results!
How much capital does it take to open a coffee shop? Let’s find the answer with Sapo!
First, you need to clearly define that the cafe business is a very competitive service. On the streets and wards, you can easily see large and small cafes on both sides of the road.
Therefore, if you want to have good competition and survive, first you need to determine if you have opened a coffee shop, the shop must have a difference compared to the surrounding competitors. The more different the idea, the easier it is to attract guests with those unique highlights.
And now we will together answer the question of how to calculate the cost of opening a cafe to be both effective and economical!
See more: Top 20 beautiful cafes in Hanoi that don’t want to go back
1. How much capital does it take to open a cafe?
In any business, capital is always a prerequisite, determining the success of business people. Maybe your way of asking Luan, which you mean here is money, but in addition to money, factors such as experience, space, human resources, or the equipment needed to open a cafe we all have. can be considered capital.
So you can calculate your expenses like this to see how much capital you need:
How to calculate the cost of opening a cafe for beginners
1.1. Cost rent
The rent of the premises accounts for an average of 30% of the cost of opening a cafe, the cost of payment will depend on the location you rent or buy as well as the area of each cafe is also different. But can sum up a few things you need to do whether it is a rental or purchase store.
- Rent space for 1 year
- Paint and redecorate according to your needs
- Reinstall the water and electricity system (if necessary)
If you already have a good premises, which is your home, it will be very easy to run a coffee shop business because you do not have to be afraid of losses. If not, you will have to pay attention to finding a good space to rent, open space, privacy, not too noisy and spacious enough parking space for guests. Usually, the best place to open coffee shops is on the corner.
To rent a house to open a coffee shop or any shop, the landlord will usually ask you to deposit money every 3 or 6 months. If the investment is large and you have a long-term business, you also need to ensure the contract period so that the store has enough time to build and make a profit. The cost of renting space per month is usually from about 7 to 15 million VND depending on the location.
Read more: Types of machines, tools and materials needed when opening a milk tea shop
How to calculate the cost of opening a cafe including renting space?
1.2. Cost of building and designing a cafe
Next, the cost of opening a cafe also includes the cost of setting up the cafe according to the needs of the owner.
After choosing and renting a space, your coffee shop needs to be decorated and installed with equipment to create accents. Pictures, ornamental plants, souvenirs, magazines, books… are popular decorative items.
If you open a shop based on an existing coffee shop, depending on the status quo, you only need to remodel, but if it is a new construction site, the cost will be more expensive.
You can hire a company that specializes in designing a cafe to ensure aesthetics and professionalism. However, outsourcing will be very expensive, losing at least 20-30 million VND depending on the area, from which the cost of opening a cafe is also relatively large.
The capital to open a cafe must include design costs
1.3. Infrastructure investment capital
What are the facilities of the cafe? It’s a business location, you already have a place or have to rent it. And if renting, how much will it cost for 1 year? How many years is your lease?
That’s just the land rent, you also have to build the shop, invest money to buy equipment such as dispensing counters; Installation of electricity, water and ventilation systems; Spoons, cups, decorations for the shop with accents; Then tables and chairs, fans, lighting systems…
Ex: How much capital does it take to open a cafe? Accounting for investment in facilities for the cafe in 6 months:
How to calculate the reasonable cost of opening a cafe?
1.4. Cost of buying tools and materials for making coffee
To start a coffee shop business, in addition to registering papers and renting space, you need to buy equipment to operate the store.
Usually, it will include basic groups of items in a coffee shop such as: tables, chairs, sound systems, refrigerators, televisions, fans, ventilation systems, water heaters, coffee grinders, … with a minimum cost of about 30-40 million VND. The group of sales support equipment such as receipt printers, cafe cash registers ranges from 5 to 10 million VND.
In addition, the cost of opening a cafe such as purchasing raw materials, preparation equipment such as cups, coffee filters of all sizes, water trays, ice boxes, etc. can be up to about 4 to 5 million VND. You should also leave an amount of about 3 million for other essential items such as stationery, cleaning kits, cleaning …
In addition, you can also refer to how to choose tools for quality and good coffee shops here:
Download free ebook: Great way to shop for quality coffee shop tools – good prices
The cost of opening a cafe includes materials and tools
Currently on the market of coffee makers in the price range:
- Refrigerator: 7 to 15 million VND
- Coffee machine: 50 to 200 hundred million VND
- Wooden tables and chairs about 10 million VND
- The initial estimate of raw materials for a small coffee shop is about 10 million VND
Once your coffee shop is in operation, your biggest expense is the cost of importing drinks to serve customers. Drinks such as coffee, lipton tea, sugar, fruit, fresh milk, condensed milk, etc.
For regular coffee shops, the cost of ingredients should not exceed 25-40% of revenue. You can refer to the article Suggestions for a cafe menu to know what ingredients to import.
Basic menu of the cafe
1.5 Labor cost
You also need to pay attention to the costs of paying for service staff, security guards, cashiers and cafe managers. In particular, with the possibility that the beginning months may suffer losses, you should set aside a provision to avoid arising risks. This maintenance fee helps you ensure you pay your bills for the month, so don’t waste your maintenance fees to avoid problems.
Read more: If you ignore this cafe management experience, you have already failed
1.6 Cost of purchasing coffee shop management software
A seemingly small factor that contributes significantly to the success of opening a cafe is cafe management software. A good cafe management software will be a great assistant to help you arrange the table for guests in one note, serve quickly and professionally, minimize order confusion and the manager can easily cover the house. row.
- Place orders for customers quickly: The service staff can view the visual table map by room, floor to arrange the table for guests, take the customer’s drink order right on a handheld device such as a phone, tablet
- No mistake, order confusion: The order form from the order staff will go directly to the bar and prepare.
- Accurate and fast payment: When the service staff submits a payment request, the bill will be automatically transferred to the payment waiting list, making it easy for the cashier to know which table is in need of payment to charge the guest.
- View business reports anytime, anywhere: Managers can view a report on the business situation, covering the restaurant’s activities through the application at any time.
1.7 Cost of registering a coffee shop business
If starting a business, coffee shop owners should note the cost of business registration. You need to go to the local government, wards and communes to apply for a business license.
This type of procedure is quite cumbersome and easy to arise, so ask an experienced person for further advice. Worrying about ‘backdoor fees’ is inevitable if you want to speed up.
1.8 Accounting for the expenses incurred to open a cafe
Hiring: Cost for hiring staff, if the store hires a waitress, it will usually have a starting salary of 3 to 6 million per employee, depending on the level of work and working time.
Maintain the cafe: The cost of maintaining a cafe is also in the list of costs to build a cafe you cannot ignore. To be able to maintain a stable shop in the first 3 months, you need to have 100 million VND, with intervals related to bills for electricity, water, wifi, gifts.
Cost of opening a cafe is incurred: It is necessary to estimate the costs incurred so that you can anticipate the arising when opening a cafe, especially in the first period.
Read more: What is the Cost Price? The most accurate way to calculate the Cost of food and drinks for restaurants and cafes
How much money does it take to open a cafe?
We still often have the habit of calculating costs and thinking that they are enough to set up a delicious cafe, but when you start to do it, you will realize that there are a lot of money falling from the sky, which if not correct. Having a reserve capital available is very difficult to manage.
A simple example is money to sew uniforms for employees; the cost of laundry and ironing of tablecloths and curtains; Ink bills or estimated shopping expenses when the items are broken, damaged, degraded… The more detailed the list, the better.
Example: Accounting for expenses incurred to open a cafe (6 months)
How much capital does it take to open a small cafe?
1.9 Maintenance capital of the cafe
After the cafe is opened, you must have money to maintain it. These are the money for doing PR and marketing the cafe; The costs of electricity, water, telephone, staff salaries, ingredients for preparation, gifts for customers…
This fee is not small at all, so if the calculation is not standard, the capital to open your cafe will be lost and difficult to deploy.
For example, if there is an investment of 300 million, you should only spend about 150 million to invest in facilities, the remaining 150 million is used to maintain the shop in the first difficult months. Remember never to spend all the capital you have in hand
After accounting for the costs of opening a cafe, we should make a detailed table to know how much the budget is, at the end of this step, you will answer the question of how much capital it takes to open a cafe. and that.
Read the article now 14 unique and practical coffee shop models today to find suggestions to open the right cafe!
Detailed calculation of capital to open a cafe
2. Coffee shop opening cost plan template
Note that the coffee shop opening plan template is only relative, so you need to have an appropriate alignment with the size of the cafe opening.
Estimating the cost of building a cafe
The cost of opening a coffee shop is not a small amount, so even if you run a coffee shop with a small model, you always need to prepare yourself with a relatively large amount of investment capital, to maintain and cope with new developments. born.
Thus, to open a coffee shop, without too much capital, you can rent the right premises, find the right raw materials and affordable prices, you can start your business. Hopefully, after this article, you will be able to answer the question “how much capital does it take to open a coffee shop” at the beginning of the article.
After all, capital is only a necessary condition, only when you have a strong enough idea, a big enough determination and a real passion for this job, that is the condition to ensure that we are ready. ready to get started. If you lack capital, you can borrow more, but when the idea is exhausted, if you lose your faith, the plan will be difficult to succeed.