Category: Coffee Recipes

Things to Know When Choosing a Coffee Franchise

It is always a good idea to have a clear picture of any business venture in your mind before jumping in with both feet. The same holds true for a coffee franchise. You should take the time to learn everything possible about the franchise you are buying into, the market in your area, the projections and expectations for similar markets, and the competition. Those are the biggies that you should never even consider signing with a franchise before knowing. There are a few more subtle details you need to make yourself aware of however, before you dive in that will help insure your success or at the very least give you proper caution where needed in your business venture.

The most obvious thing you need to know about when deciding to open a coffee franchise is coffee. There are many resources online that can help you learn more about the products you will be peddling and there is no replacement for knowledge. Learning about coffee can also help you narrow down and ultimately select the coffee franchise that you feel will meet your standards and needs best. The more you know about the product you will be selling the greater the opportunity to make a profit.

The second thing you need to do is learn how to tell the difference between offerings from one coffee franchise to the next. The best way to do this is to ask. Most franchises have a website and an email contact as well as phone numbers. They want franchise owners to invest in their organizations and are generally pretty open to inquiries. They are especially open to those that ask thoughtful and insightful questions that aren’t already spelled out and answered on their websites. Be sure to read through the website several times, write down any questions you may have, double check the website for answers, and then ask the person on the other end. You should also seek clarification if there are issues that you have questions about that aren’t answered fully or that leave room for misinterpretation.

If your questions aren’t answered fully and completely once asked during the search process this could be an indication that other issues will not be addressed thoroughly for those who have purchased a franchise within the organization already. A coffee franchise is appealing because you are entering into a partnership rather than going it alone. If you aren’t getting the support you need when shopping around chances are that it won’t be any better when you are a paying customer. Seek commitment elsewhere in other words.

If you are the kind of person who likes that little something extra you might want to find a coffee franchise that offers a little something more than just coffee-not that just coffee isn’t perfectly acceptable and better for some investors. However, you should consider your personality and what you look for in a coffee shop when selecting the coffee franchise that you want to make your own. If you combine all the advice mentioned above you should be well on your way to finding the perfect coffee franchise for your business investment.

The Potential Pitfalls of a Coffee Franchise

All businesses have a few potential pitfalls that should be watched for when considering a partnership of sorts, as would be the case with a coffee franchise. A coffee franchise has excellent possibilities when it comes to profits but the reality is that most coffee franchises fail to capitalize on the massive profits that could be earned. This doesn’t mean that there aren’t many franchise owners that are doing well financially with their coffee franchise businesses. It simply means that there are many more who aren’t doing as well financially as they should be with their coffee franchise businesses.

At the same time you really should examine potential problems that often arise when becoming a part of a larger franchise organizations rather than going it alone. More often than not the benefits far outweigh the potential problems but you should be aware of both the potential for great success and the potential for a few stumbling blocks (or outright landslides) along the way as the result of a franchise affiliation.

The first roadblock that often arises is that you, as a franchise owner, are more often than not limited to products created by and for the franchise to serve in your coffee caf, shop, or house. This means that the new great flavor that you fell in love with last week may never be on your menu and many business owners find this to be a hard lesson to swallow.

The other problem with being limited to the corporate version of products and goods is that these are often neither the best nor the least expensive. This means that you are likely going to pay more for something that you may not truly appreciate the quality of. Hopefully, if you’ve elected to go into business with a particular franchise company you appreciate their quality but every once in a while something better comes along at a better price and it’s difficult to pass it up though you are often required to do so.

Another big problem for those who go into the business of owning a coffee franchise often come across is the fact that you’ve dreamed of becoming your own boss and running your own business only to find out that you are still a slave to corporate policies and your own franchise agreement if you want to keep your franchise rights.

Worst of all for many people is the fact that after years and years of being told how to dress and what to do at work you might find yourself required to wear a uniform when working in your very own store as well as being told how to serve the products you are paying to serve. It’s a tough role for some to swallow. Unfortunately, it’s part of the package if you want to enjoy the benefits of building a business with a coffee franchise. Only you can decide, in the end, if the pitfalls are worth those benefits.

The Importance of Location for a Coffee Franchise

In the world of business, location is extremely important. Most of us have heard the saying “location, location, location”. There is a reason it is a saying and it is important for everything from the perfect photograph and romantic settings as it is in the world of real estate and business success. Spend time scouting out locations that you feel would be great places to open a coffee franchise business and ask yourself the following questions.

Is this is a high traffic location? Most people are rather lazy by nature. You want to find a location that people will drive by often. In other words, you do not want to select a location for your coffee franchise that is low traffic-at least not if big business is your goal. If you found a location that you think is perfect for a coffee shop sit back sometime and see how much traffic drives by the area you are considering. If the rate of traffic is busy you will get a good bit of advertisement value from putting up a sign and having people pull in on impulse.

Can customers easily get into and out of your location? As a customer there are few things that I find more frustrating than a business that is located in an area that proves difficult for entry and exits. Most coffee franchise customers are going to be in a hurry and on the go. You want to make the process as seamless as possible and this means you want a location that allows quick access off the road and back onto the road. People are more likely to make you a daily or weekly stop if your business is convenient for them to enter and exit. Many coffee franchises are electing to have two drive thru windows for added convenience, this is something else you may want to consider for your location if possible.

Is it near entertainment? You might find yourself awed and amazed at the number of people who stop in for a cup of coffee and perhaps a sweet treat after a night at the movie, theater, or even a game of bowling. Many people find that a great cup of coffee is a nice way to end the day (especially if you have a nice variety of decaf on hand). Even those that may not have considered it before will find they are often tempted to make the stop after a movie-especially those on dates that aren’t quite ready for them to end if they see the sign and the coffee franchise in question is located conveniently near the theater or other entertainment venue.

With these things in mind, make sure you choose your location carefully for the best possible effect. Location won’t guarantee success but a great location is a good deal of insulation against failure. When planning your coffee franchise keep all the locations in mind, ask the questions mentioned above, and go with the location that really is the best location to attract business rather than the location that has a certain look. Aesthetics can always be changed later on; the location is pretty firm once selected.

The Coffee Franchise for Women in Business

Women in business are a growing occurrence. Once relegated to the roles of caretakers more women are stepping up to bat in recent years and discovering that we are not only excellent caretakers and tenders but also exceptional providers and business minds. Savvy women in business often follow the path of least resistance. One way to do this is to buy into a coffee franchise as a business investment.

Why would a coffee franchise appeal to women in business?

There are actually quite a few reasons that coffee franchises are appealing to women in the world of business not the least of which is the fact that a franchise offers name recognition, which can cut years of struggling to build a steady customer base off the timeline. Customers are what makes money in businesses such as a coffee franchise and name recognition often brings customers in the door much more quickly than a new business that no one has ever heard of.

Coffee franchises also offer products that many women find personally appealing. This is often one level in which women in business differ from men. Women are much less likely to go into business offering a product or service that they do not genuinely like or believe in. If a woman loves coffee this is a business that she will see as an attractive business because she knows the product, enjoys the product, and is in a position to really be able to help her customers by making appropriate suggestions to those who seem to be at a loss (personally, I’m almost always at a loss in a coffee caf because there are so many wonderful goodies from which to choose).

Women in business also like the idea of coffee franchises in many instances because it presents a challenge but doesn’t overwhelm. There are plenty of new and wonderful things to learn when opening a coffee franchise but the vast majority of them are pretty straightforward and not overly technical or complicated. This makes the path to ownership much more attractive to women who are less technically or mechanically inclined than the average guy and some of those who would simply rather save mechanical or technical pursuits for pleasure rather than business.

If this isn’t enough however, there is always my personal favorite reason that a coffee franchise is more attractive than some of the other food centered franchises that are available for women: no frying. That’s right. Most coffee franchises do not require a steady supply of greasy food to prep, prepare, and clean up. There is no pervasive scent of fried food that seeps into pores, clothes, and nasal passages. While all women will not count this is a favorite reason it is quite possible that most women will at least somewhere down the road consider it a definite plus when it comes to coffee franchise ownership. The scent of coffee is much more attractive than the scent of French fries-especially in the early hours of the morning when most coffee franchise stores are busiest.

The Appeal of the Kiosk Coffee Franchise

Many malls and shopping centers around the country have them, even some supermarkets in select areas have them as well. I’m talking about the coffee franchise kiosks. They are a great and inexpensive investment for many would be franchise owners and they provide very low overhead with a potentially high return on investment as there is almost always foot traffic in the malls and shopping centers they populate.

Why is the kiosk attractive to coffee franchise owners?

The primary reason that this particular coffee franchise is appealing is because of the extremely low start up and operational costs involved in operating a business such as this. Rather than renting a storefront or building a business in a physical location the kiosk coffee franchise has considerably lower costs involved in ownership and operational expenses.

In addition to low rent the kiosk is a small space that has low inventory. This keeps operational expenses quite low as well. This is a huge benefit for those looking to build a business with a minimal investment and relatively low capital available to invest in operational expenses.

If these reasons aren’t enticing enough, there is very little equipment to buy for a coffee franchise as well. This means another lower expense. One reason is that there is limited space for additional equipment. Another reason is that there really is no need for additional equipment. These stations are great because they do a few things but do them exceptionally well. Rather than having a full storefront devoted to a wide variety of coffee flavors the kiosk offers a couple of coffee flavor options to customers. This keeps lines moving quickly and customers moving along happily.

Yet another great benefit is the fact that there is really only a need for one staff member at a time. This keeps overhead even lower and earmarks more of the income for profit. If you are going to have an active role in running your franchise business this minimizes the expenses even more. If not you still only have a real need for two or three staff members on alternating days and hours in most cases to turn a nice tidy profit.

Another expense that is eliminated with most kiosk coffee franchises are the expenses of utilities such as electricity, heat, and air conditioning that can be quite extensive in many businesses. Every penny that you can eliminate from leaving your business the better when it comes to expenses. A kiosk allows you to eliminate many of the expenses that often plague small businesses before the profits begin to take off.

If you are considering a coffee franchise as your business of choice you might want to carefully consider whether or not the idea of a kiosk coffee shop would be appealing for you. The benefits of a store such as this are great for new business owners and the pathway to profits, though slower, are ultimately greater over time with expansion and perseverance.