Questions and doubts

Melphegore

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Mar 8, 2017
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Hello,

I am looking to open a coffee shop. I found a great location but the rent will be $2,500 per month.
I was told it is too high even though around my area it is pretty good for 1200 sq Ft.
I calculated this:
Rent
Utilities
Loan
SalariesGross salaries
food costs
Other costs
Insurance
credit card fees
Payroll taxes
Misc
Marketing
TOTAL EXPENSES

[TD="align: right"]2500[/TD]

[TD="align: right"]1000[/TD]

[TD="align: right"]1040[/TD]

[TD="align: right"]4600[/TD]

[TD="align: right"]5820.32[/TD]

[TD="align: right"]1600[/TD]

[TD="align: right"]500[/TD]

[TD="align: right"]320[/TD]

[TD="align: right"]690[/TD]

[TD="align: right"]500[/TD]

[TD="align: right"]50[/TD]

[TD="align: right"]$18,620[/TD]


I thought I would have an average of 90 customers a day at first and I will be opened 6 days a week with me and 2 part time employees at $10 an hour.
I will sell food also but it looks like there is no way I can pay all my bills and survive!
The space is in a pretty high traffic area where there are nothing around. But I have a Trader Joe's, a Chik Fil-A and a pre-school down the street, a nail salon and Pier One across the street from me, 3 real-estates agencies, offices and houses all around.
I have never done that before, and when I asked the SBDC they keep telling me that it's no good. How do people do it? I know I am not going to be rich, I just want to be my own boss and at least make 25,000 a year in the beginning, I am crazy???
Thank you for your help :)
 
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