Restaurants purchase my coffee, who supplies the machinery?

[nv305]

As an accountant I have the privilege of seeing how numerous restaurants and stop-shops work. My experience has showed me two options: the supplier also supplies the coffee machine or they just sell the coffee and the buyer has to take care of their own machinery.

What is the norm for the industry? If someone buys coffee from me and I am a distributor, am I to also supply the equipment to brew it? It seems like an expense which will take quite a bit in order to see any kind of positive return. Not sure if contracts are usually involved etc..

Thanks in advance

 

[John P]

The "norm" depends on the level of restaurant you are working with AND the level of your expertise.. i.e. If they are not willing to purchase the right equipment, not just "equipment," then the value of your coffee is low. If they are willing to purchase the correct or recommended (by you) equipment, or let you purchase and bill them, then the value of your coffee is high.

I would never work with any restaurant or coffee shop if they did not purchase and use equipment that met certain standards I have set forth. If your coffee is of high caliber, they will make the necessary investment to use it. Target those places whose level of quality matches what you provide.

 

[nv305]

The "norm" depends on the level of restaurant you are working with AND the level of your expertise.. i.e. If they are not willing to purchase the right equipment, not just "equipment," then the value of your coffee is low. If they are willing to purchase the correct or recommended (by you) equipment, or let you purchase and bill them, then the value of your coffee is high.

I would never work with any restaurant or coffee shop if they did not purchase and use equipment that met certain standards I have set forth. If your coffee is of high caliber, they will make the necessary investment to use it. Target those places whose level of quality matches what you provide.

So you aren't supplying the equipment out of your pocket? You require them to purchase it assuming they don't have the proper equipment. I know some many distributors here will provide the proper equipment and maintenance free of charge when exclusively selling their brand of coffee.

 

[John P]

No, you are not supplying equipment out of pocket. At a certain point, if they want coffee of X caliber, they need to make the proper investment. If you have to beg, or bend over backwards in order to make the sale, you need to reevaluate your position in the market.