Cafe - Financial Model

[meanbeanz]

Have any CSers ever come across or developed a financial model for a cafe that they would be happy to share?

I have a friend thinking about setting up a cafe in the next 2-5 years. Having worked in finance, I suggested starting to develop a business plan and building a financial model. Therefore he can work out, start up costs, running costs, required backing, approx break even point, etc. All before taking any major risks!

Id be happy to share any improvements/modifications to the model with any interested CSers.

Ive read some of the other posts on starting up a cafe and think theres some really great advice. Get coffee experience (not just drinking), comprehensive business plan, mental preparation for inevitable challenges, etc.

Cheers,

meanbeanz

[TC]

Re: Cafe - Financial Model

Have any CSers ever come across or developed a financial model for a cafe that they would be happy to share?

I have a friend thinking about setting up a cafe in the next 2-5 years. Having worked in finance, I suggested starting to develop a business plan and building a financial model. Therefore he can work out, start up costs, running costs, required backing, approx break even point, etc. All before taking any major risks!

Id be happy to share any improvements/modifications to the model with any interested CSers.

Ive read some of the other posts on starting up a cafe and think theres some really great advice. Get coffee experience (not just drinking), comprehensive business plan, mental preparation for inevitable challenges, etc.

Cheers,

meanbeanz

Hi Meanbeanz,

I have a very rough spreadsheet which will allow your buddy to run some projections.

If youd like to drop me an email, you can have a copy...

rgds

2mcm

[meanbeanz]

Re: Cafe - Financial Model

Thank you 2mcm.

[askthecoffeeguy]

Re: Cafe - Financial Model

Hi mb - get a very large bucket, put lots of holes in it and then pour all of your money into it and try and catch what is falling at the same time!

Actually... Im in the process of opening my 3rd cafe in the last 6 years, feel free to pm me if you want any pointers

One thing I will say is put together a comprehensive business plan, including breaking down costings to how many coffee and other sales you need to make per hour, and over the space of a day, at specified price points, in order to break even, and to run at a profit - then factor in down-time for the business, and average that out over a twelve month period, and see if the numbers still stack up

Cheers,

Pat

[meanbeanz]

Re: Cafe - Financial Model

Thanks for your words of advice!

3rd in 6 years...well done. Im sure its getting easier!

Please let me know when the #3 opens so as a fellow CSer I can support you.

Cheers

[Flossco]

Re: Cafe - Financial Model

Hi 2mcm,

Do you still have that rough costs doc? Id love to see it!

Have to do at least one post before I cam PM you so here it is...

Flossco

[TC]

Re: Cafe - Financial Model

Ill have a scrounge around and see if I can find it

2mcm

[Flossco]

Re: Cafe - Financial Model

Appreciate it!

Flossco

[Blue_House]

Re: Cafe - Financial Model

I have found this to be a valuable contribution to the discussion.

http://www.yaffa.com.au/btob/pdf/fsn_june08.pdf

I also have a copy of an Excel worksheet of business benchmarks for coffee lounges.  Shall try to find it.

[Disco]

Re: Cafe - Financial Model

Hey Meanbeanz, 2mcm & Bluehouse,

Im also building financials for a cafe business plan, and I gotta say the sub 4% profit margins are scaring me. Would love to get a copy of the spreadsheets mentioned above. Can anyone help?


Meanbeanz: Great resource for posts from other cafe start ups (when you ignore some of the consultants selling their services...): http://www.flyingsolo.com.au/forums/...searchid=33073

[TC]

Re: Cafe - Financial Model

Hi all,

I think mine has passed on with an old computer somewhere.

If I can find it someday, Ill post here but tis not looking good...

2mcm

[A_M]

Re: Cafe - Financial Model

I have a couple based on Café vans...

I have looked a couple of times...

But without having good backup available... I could not do it to my potential clients.....

Excel and you can customise.. Let me know if ya want them

[omarsaleem]

Re: Cafe - Financial Model

Hi CSers, I am part of a syndicate @ Melboourne Uni. working on a "concept" cafe targeting students / young professionals and engaging migrants, where they can go and work on their laptops, network and study in a peaceful and relaxing environment (not a pub). And order decent coffee and food.

I will really appreciate if any member of this braintrust can help / direct me on developing a detailed financial model or explain the key costs / projections involved in starting the venture; assumptions, break-even point, what capital to ask from Venture Capitalists, average takings per night, fixed and variable costs etc.??

Many thanks

[Blue_House]

Re: Cafe - Financial Model

Try working with this spreadsheet. You will be able to model your budget estimates against industry averages and by turnover groups.  These benchmarks are for 2008/09 and therefore out of date but should provide a guide.

[maheel]

Re: Cafe - Financial Model



easy-essays-online .com/coffeesnobs/wedotheworkforyou ........?