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Thread: Advice on Roasting for a Cafe

  1. #1
    Senior Member redzone121's Avatar
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    Advice on Roasting for a Cafe

    Gene Cafe Coffee Roaster $850 - Free Beans Free Freight
    Greetings all,

    I have been approached to set my roaster up properly (on the deck at present) in a commercial building that has a small Cafe in front.
    The owner/operater of Cafe and building wants to branch out into supplying other local Cafes with roasted beans and also bag up for internet sales. He wants me to roast for this business and he will finance the set-up of roaster with flu and installation and council consents etc and I just need to pay for gas and power.
    Any suggestions of how I should price this eg: am I best to give him a flat rate for the roasted product per kg and let him chase clients and set up internet etc? As most of you know I am still just a hobby roaster and have no clue how this should be set up I (if at all) so would be really grateful for any suggestions.
    I have been advised a contract of ownership regarding the roaster would be essential in case it all turned to custard.

    ;)

    Chris

  2. #2
    Senior Member Koffee_Kosmo's Avatar
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    Re: Advice on Roasting for a Cafe

    Split the contract up
    First 12 months
    Charge a contract price for a base green bean cost of $ x?Z with the proviso that the price may rise and fall with the cost of green beans
    Profit is what you want as a % above other running costs
    (This will help the front section to work into profit sooner rather than later)
    But you have made a sacrifice

    Second year
    You may also ask for a % of the sales
    They will repay you for your sacrifice for getting them a good foot hold in year one

    Dont forget to factor in break down costs, parts, credit loans ect

    KK

  3. #3
    Senior Member
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    Re: Advice on Roasting for a Cafe

    Remember to take the emotion out of it when looking at the plan.

    Not forgetting also this might take some of the fun out of roasting so you might be sacrificing your hobby.

    Hope it works for you it could be a blast.

    Brett

  4. #4
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    Re: Advice on Roasting for a Cafe

    Chris,

    talk to your solicitor. If you dont have one, now is the time to get one.

    Can be treated in different ways, and you need some form of AGREEMENT / CONTRACT to protect yourself (the cafe/building owner will be protecting himself).

    Sounds like he wants a partner ie he wants to do something but needs expertise and equipment in an area that he does not have. The complication is his ownership of building. What happens if there is a falling out...your equipment in his building etc., can you (legally) be locked out?

    Ask the solicitor "what if" the deal is set up so you come on board as a partner in the cafe owners business, requires agreement of cafe owner, knowledge of cafe owners businesss set up etc.

    See a solicitor, do things properly no matter how the deal is structured.

    Rgdz,
    A.
    very first CS site sponsor.

  5. #5
    Senior Member redzone121's Avatar
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    Re: Advice on Roasting for a Cafe

    Thanks very much guys, I have a meeting with the owner tomorrow so that should give me a bit more of an idea of the pros and cons.

    Cheers


    Chris

  6. #6
    Senior Member redzone121's Avatar
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    Re: Advice on Roasting for a Cafe

    Behmor Brazen - $249 - Free Freight
    Latest update: well that was a fail (fortunately) as it turns out because today I had a meeting with another Cafe owner. Ill keep you posted but looks like the old HG might be moving to a very nice new home along with a bigger venue for our weekly coffee club and my first on site cafe to supply.... :D



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