Want to enter the coffee shop grind?
The luxury coffee industry in South Africa is growing. According to StatisticsSA the fast food industry has seen a 2.8 percentage point increase in growth, which is attributed to the coffee industry.
Lately, you can’t help but notice the disappointment on your guest’s or client’s faces when the coffee you offered turns out to be a cuppa instant.
The majority of coffee drinkers in South Africa are not entirely opposed to the instant variety but when offered a cup of coffee, most expect to be impressed by a fresh brew of beans.
According to Darren Levy, CEO of Vida e Caffé: “There is a surge in the number of people who are drinking coffee and this is impacting on product awareness and product quality. Africa and South Africa look set to be superb spaces for growth for the coffee industry with plenty of opportunities for great providers of great coffee.”
What’s more, the 7.1 percent increase in income since 2014 that’s been noted in the takeaway and fast food industry is attributed to the impressive growth of the coffee revolution that’s taken a firm grip on South Africa’s cup of joe enthusiasts.
The coffee game is a flourishing one
Entrepreneurial barristers as well as caffeine aficionados are popping up with new coffee shops all over the nation, in the hope of gaining a reputation as the very best fix of ground beans you can find. But, what does it take to open up a coffee shop? Well it’s just as complicated as opening up any kind of eatery. Here are three of the most important considerations to account for in your planning.
Location, location, location
Where you decide to set up shop and the monthly rent, electricity and water expenses you incur must be taken into account. Unless you’re in a completely financially secure position to cover yourself for say, the first three months of business, you need to scout for a perfect location. Preferably one that doesn’t break the bank on a monthly basis. Shopping centres are notorious for charging exorbitant rent so try to stay away from them when you’re just starting out.
Keeping it above board
Compliancy, health and safety regulations, and insurance are important in this industry. Any establishment that serves food has to comply with stringent regulations that pertain to the health and safety standards set out by regulatory bodies. This means safe and appropriate storage for your perishables and non-perishables, pest control measures need to be in place and hygiene standards must be met through regular cleaning regimes. Should disaster strike, be it in the form of a fire, a flood, an infestation, a mould problem or the like, you’ll need insurance in place to assist you in managing the problem.
You’ll also need licenses, permits for operating and certificates from various regulatory bodies stating yours is a safe establishment.
Equipment requirements
Have you ever considered how many different types of coffees there are on offer? You need to have all the equipment available to make everything from a flat white to a frozen coffee slushy. This means commercial coffee grinders, espresso machines, brewers and blenders. Also, you’ll need to ensure your kitchen is fully equipped with high standard cleaning machinery that can quickly churn out fresh crockery and cutlery so that your customers are never kept waiting because you’ve run out cups, mugs, saucers or spoons.
What’s more, you’ll need to invest in your payment solutions. You can consider a POS cash register, credit card machine or even a tablet-based payment solution system. Having all of this equipment at the ready before you launch is an enormous undertaking and an expensive one, you may need to apply for equipment finance or for a business loan to cover your starting costs.