What to know before opening a coffee shop.
Opening a coffee shop is an exciting journey, but it’s not as simple as making great coffee and unlocking the doors. I know this firsthand—I started my own coffee shop from nothing, and every day, I’m still learning. I’m not an expert, just someone who’s been in the trenches and wants to share what I’ve experienced so far.
One thing I can tell you? This isn’t easy. Running a coffee shop takes mental and physical resilience. You’ll be wearing all the hats—barista, accountant, marketer, cleaner, problem-solver—all while trying to keep the business afloat. It’s rewarding, but before you take the leap, here are some things you should know.
1. Know Your Why
Before anything else, ask yourself: Why do I want to open a coffee shop? Your answer matters.
Is it because you love coffee? Because you want to create a community space? Because you think it’ll be fun? (Spoiler: it’s fun, but it’s also exhausting.)
Your why will shape your entire business—your branding, your menu, your service style, and even the vibe of your shop. When things get tough (and they will), your why will keep you pushing forward.
2. Understand the Costs
Opening a coffee shop isn’t cheap. Even a small operation requires a significant investment. Here are some key expenses to consider:
Equipment – Espresso machines, grinders, brewers, refrigeration, and furniture can cost tens of thousands of dollars.
Permits & Licenses – Health department permits, business registration, food handling certifications—these all add up.
Rent & Utilities – A great location often comes with a hefty price tag. Factor in electricity, water, and internet.
Inventory – Coffee beans, syrups, milk, cups, lids, napkins—you’ll go through more than you expect.
Marketing & Branding – Signage, a website, social media ads, and promotional materials aren’t free.
You also need a financial cushion. Most businesses don’t turn a profit immediately, so be prepared for slow months while you build momentum.
3. Choose the Right Location
You might have the best coffee in the world, but if no one can find you, it won’t matter. When looking for a location, consider:
Foot traffic – Are people naturally walking past your shop?
Visibility – Will customers see your storefront, or is it hidden?
Parking & Accessibility – Can people easily get in and out?
Competition – Are there too many other coffee shops nearby, or is there room for another?
The cheapest spot isn’t always the best, but the most expensive isn’t necessarily a guarantee of success either. Find a balance that works for your budget and business model.
4. Get the Necessary Permits & Licenses
Dealing with permits and licenses is one of the least exciting parts of opening a coffee shop, but it’s essential. Depending on your location, you may need:
A business license
A food service permit
A health inspection
Seller’s permits for taxable goods
Fire and safety permits
Check with your local city or county office early to avoid delays. The paperwork process can take weeks (or months), so don’t leave it until the last minute.
5. Build a Strong Brand
Your brand is more than just your logo. It’s how people feel when they step into your shop, interact with your business, or see your posts online.
Choose a name that stands out – Make it memorable, easy to spell, and reflective of your coffee shop’s personality.
Create a recognizable aesthetic – Your logo, color scheme, and design should be cohesive.
Define your brand voice – Are you warm and cozy? Modern and minimalist? A little rebellious? Your branding should reflect that.
Build an online presence – Even before opening, start sharing behind-the-scenes content to build excitement.
Branding isn’t just about looking good—it’s about creating a connection with your customers.
6. Create a Simple, Quality Menu
A smaller, well-curated menu is often better than an extensive one. Start with high-quality, core drinks and gradually expand based on what your customers actually want.
Consider:
Signature Drinks – What makes your shop unique? Can you offer a specialty latte or house blend?
Alternative Options – Dairy-free milks, decaf, and sugar-free syrups can help attract a wider audience.
Food Offerings – Keep it simple. If you’re serving food, consider easy-to-prep options like pastries, burritos, or sandwiches.
A well-designed menu helps with efficiency, reduces waste, and makes ordering easier for customers.
7. Invest in Good Equipment & Suppliers
Your coffee equipment is the heart of your shop, and cutting corners here can hurt you in the long run.
Espresso Machine – This is one of your biggest investments. Choose one that fits your expected volume.
Grinder – A high-quality grinder is just as important as your espresso machine.
Water Filtration – Bad water = bad coffee. A good filtration system can improve taste and extend equipment lifespan.
Also, take time to find the right coffee supplier. Look for quality beans, reliability, and a supplier that aligns with your values.
8. Have a Marketing Plan
Marketing isn’t just about promoting your coffee—it’s about building a community around your brand.
Social Media – Share your journey, behind-the-scenes moments, and customer experiences.
Grand Opening Strategy – Offer discounts, giveaways, or a special event to draw people in.
Loyalty Programs – A punch card or rewards app can encourage repeat visits.
People won’t just show up because you opened—marketing helps bring them in and keep them coming back.
9. Expect Long Hours & Hard Work
If you’re starting out alone, be prepared for early mornings, late nights, and long shifts on your feet. You’ll be making drinks, cleaning, handling inventory, and doing bookkeeping—sometimes all in the same day.
It’s physically exhausting, but also mentally draining. You’ll deal with unexpected challenges, tough customers, and slow days that make you question if you’re doing the right thing.
If you’re committed, it’s worth it. But go in knowing that running a coffee shop isn’t just about making lattes—it’s about resilience.
10. Expect Challenges
There will be days when nothing goes right. Your espresso machine will break, your supplier will short your order, and a random Tuesday will be unexpectedly slow.
The mental side of entrepreneurship is real. Self-doubt creeps in, burnout is a risk, and financial stress is constant in the early days.
But if you truly love it and stay adaptable, the wins—like seeing regular customers, creating a great atmosphere, and knowing you built something from nothing—will make it all worth it.
Final Thoughts
Starting a coffee shop from nothing is hard. It takes grit, patience, and a willingness to learn on the go. I’m still figuring things out myself, and I know there’s always more to learn. But if you’re truly passionate about it and ready to put in the work, you can build something amazing.
If you’re just starting out and need guidance on the first steps—like paperwork, branding, and marketing—book a small business consultation and let’s talk!
