Question

explain startup costs for new coffee businesses with numeric value and provide a breakdown of where thefunding will come from example loans and so on

Answer 1

COST

Equipment needs for any small business are subject to variations, but there’s one thing that’s certain: this isn’t the equipment you use for your morning cup of joe, and industrial coffee brewing and filtration equipment can get pricey. Here are a few pieces of equipment that no coffee shop can go without:

Water filtration system, Commercial coffee grinder and drip coffee maker, Espresso machine

The hardest part of buying equipment for a coffee shop or other food and beverage businesses is deciding what you need and how much of it to buy.

When you add up the high-quality equipment it takes just to make your customers’ favorite drinks, it can total up to $10,000 or more. This highlights how expensive starting a coffee shop can be.

• Coffee beans
  • Teas $1000
  • Coffee $1000
• Cups
  • Paper cups $1000
  • Containers
  • Clear plastic cups
  • Napkins $1000
  • Stirrers
  • Straws
  • lids
• Food and drinks
  • Meet varying demands by including tea, bottled water, juices, baked goods, salads, ready-made sandwiches, ice cream, etc.
• Supplies such as cream and packets of real sugar, low-calorie substitutes, syrups, spices such as cinnamon, nutmeg
• Milk, cocoa powder.

FUNDING

Personal savings: Hopefully you’ve been saving up for a rainy day.
Your support network: Your friends or family may be able to give you a better deal on a loan than a lender.
Credit cards: For purchases you can pay off quickly, credit cards may be a viable option. Just don’t get stuck paying interest.
Loans: Getting a lender as a new business can be challenging, but segments of the alternative market do cater to them. You may also qualify for certain SBA programs.
Grants: These tend to be highly competitive, but check with your state and municipality to see if you qualify for any. They are “free” money, after all.