Please help a student

[powiggy]

I am a student at Shoreline Community College and I have to write a business plan for my Entrepreneurship class. I chose to do it on a coffee stand, I am having trouble finding good resources for start up costs, and was wondering if you could help me out. I would really appreciate it.

Thank you. =)

PS: Any other good resources would be good too.

 

[Miss Java]

Start up costs for an espresso stand vary, I have two stands so I'll give you a very rough estimate of what it cost for them both... but I live in a rural area so the permit prices, etc. are probably different where you are.

The first stand we bought turn-key (meaning it was ready for business when we bought it) and it came with a cash register, espresso machine, grinders, blenders, coffee pot, ice machine, and a partial inventory (cups, lids, syrups, straws). It was purchased for $24,000. Then we had to move it ($500), buy permits to permanently plumb it in at the new location (this varies city to city, I think we paid around $150-$200), then buy a business license and the permits to operate (about $350-$400). In addition to all of this we had to figure in labor costs for the construction (about $1400) and what we would need as far as the rest of the inventory to actually do business ($300).

The stand that we built was a bit different. We had to buy ALL of our equipment (register, espresso machines, grinders, blenders, refrigeration system, ice maker), construction materials (wood, siding, windows, cabinets, sinks), permits, inventory, and also pay labor. All said and done this ran us about $7000 for labor, $13000 for equipment (we bought some of it used), $4000 for construction materials, $700 for inventory, and $400 for permits.

Remember, this is a rough estimate!

A great way to price stuff for the start up costs might be to check out Craigslist (search "espresso equipment"). Also keep in mind that when figuring out the projected costs to start up you should include rent, utilities, signage, and promotional materials (punch cards, ad in the local paper, etc).

Hope this helps =)