Coffee culture is booming in the UK \u2013 and what better way to take advantage of that than by starting a coffee shop?<\/p>
Whether you\u2019re a small business novice or a serial entrepreneur, there are specific things you need to know when starting a coffee shop. Here, we\u2019ve compiled a step-by-step guide to get you on your feet.<\/p>
To get you started, we’ve created a quick step-by-step guide to setting up your own coffee shop. Read on for more details on each step.<\/p>
Finding your niche is important for a market as crowded as coffee.<\/p>
Depending on where you are in the country, it could simply be that your niche is that you are the only specialist coffee shop in the area. However, in busier areas, you\u2019ll need to differentiate yourself: for example, do you specialise in V60 and Aeropress? Or, like Black Sheep, do you use a specific kind of bean?<\/p>
It’ll take some research, but finding a unique take on coffe ahtat you – and your potential customers – are excited about is the first step to building a thriving business.<\/p>
Location, location, location \u2013 it\u2019s a crucial consideration for consumer businesses with premises.<\/p>
You\u2019ll want to look for somewhere with a good amount of passing traffic, close to other businesses and amenities. If your search area is broad, you should also think about the locations in which you\u2019re most likely to be able to secure the best staff.<\/p>
Finally, you need to think about budget \u2013 and don\u2019t forget business rates<\/a>.<\/p> A great coffee shop needs great produce. You\u2019ll need to pick your suppliers carefully, and you\u2019ll need to look after those relationships carefully.<\/p> Remember that your choice of supplier might also be connected to your specialism \u2013 for example, if you choose a specific type of bean, you\u2019ll need to find the best supplier in that category. You\u2019ll also need to think about things like credit and payment terms, which will be especially important in the early months as you are building up custom<\/p> Staffing is crucial. You\u2019ll need specialist baristas and potentially front of house staff.<\/p> Coffee is now such a big business that there are several specialist barista recruitment agencies, but you should make sure that you understand the costs of using recruitment agencies.<\/p> For more, read our interactive guide to hiring your first employee<\/a> and, if relevant, how to hire temporary employees<\/a>, which can be particularly useful during busy seasonal periods.<\/p> There are some key steps you need to take immediately in order to be on the right side of the law. You\u2019ll need to choose a legal structure<\/a>, and register with HMRC. After that, you\u2019ll need to pay corporation tax<\/a>, and you may need to register for VAT<\/a>.<\/p> You\u2019ll also need to think about insurance. Simply Business offers specialist coffee shop insurance<\/a>, which includes covers such as public liability and employers\u2019 liability insurance.<\/p> Once you\u2019re set up, you need customers! Marketing your coffee shop is one of your most important priorities in order to make sure people start coming through your door.<\/p> Your marketing efforts will likely be split across multiple channels, both online and offline. This could be as simple as a great A-board outside, or as advanced as a complete Google My Business<\/a> strategy.<\/p> It\u2019s also useful to learn what not to do, so check out our 7 common small business marketing mistakes.<\/p> Now that you have customers, you need to encourage them to keep coming back. Repeat custom is the most valuable kind, and you should take all the steps you can to make sure you build it.<\/p> Many coffee shops operate loyalty schemes<\/a>, or you might also investigate \u2018local currency\u2019, depending on where you\u2019re based.<\/p>\n\t\t\t\t\t\t\t\t\t3. Find suppliers<\/h2>
4. Build the right team<\/h2>
5. Get the legal side sorted<\/h2>
6. Market your coffee shop<\/h2>
7. Encourage repeat business<\/h2>