The beautiful and comforting smell of coffee turns into a pungent smell when you realize that you can not fulfill your dream of starting your beloved coffee business because of the lack of funds. We understand it could be shattering to learn midway building the dream castle that you can not afford the cost after all. We have realized the importance of familiarizing you with the concept of calculating the overall cost of starting a coffee shop.

In this article, readers can expect us to include all costs that vary from rent or build expenses to all the cost of supplies. So, gear up to dive in deep into the pool of financial wisdom and crunch those numbers!

It Is Important To Narrow Down Before Calculating The Cost

Let s all establish a fact here that not all coffee shops operate at the same scale or have the same business model. Some coffee shops are full-grown cafes whereas others could be just in the form of more like a simple coffee cart. So, for your ease, kindly narrow down what your coffee shop would look like. Decide if you would like to be a kiosk, Drive-through, or a big coffee bar. Also, A major chunk of your money will go into renting a place or building a place of your choice from scratch. The location that you choose for your business or shop will make a huge difference to your overall cost, hence, it is advisable to narrow down your options for a perfect locale for your business.

The Location

One of the most intimidating costs, the cost of finding a place to let your dreams grow into a full-fledged tree loaded up with fruits of profits and contentment. While selecting a place for your business, you have three options, The first is to rent a shop, for which you will have to arrange amounts for advance payment and other expenses such as commission. If you choose to build a space from scratch, we suggest you consult an architect and discuss all the costs that you will have to bear to take off the interior and exteriors. You can also think of buying a good-to-to space for which you will have to look into the mortgage payment system. Always remember that your monthly expense for the place should not be more than 15% of the monthly profit.


This is what will make for a solid foundation for your operations. Make this decision very wisely about choosing the best equipment for your cafe. The cost will vary depending on what scale you are operating your business. The cost to equip a bigger cafe will certainly be more than equipping a cart. 

Raw Material

These are the consumable supplies that will take you to spend double the amount in the initial phase as you would want to keep your shop all stocked and ready for business. We suggest stocking up, in the beginning, there are some supplies that will not exhaust anytime soon. 

Staff And Payroll

It is strictly for those businesses that are planning to hire help for running the operations. You need to figure out how much work and responsibility they will be given and how much you can offer them according to the market standards. Accordingly, calculate the staffing and hiring costs.

Marketing Is A Necessity

It is good to have confidence that you will increase brand awareness solely on the basis of word-of-mouth but we would suggest you to play safe and leave no stone unturned. Look after your online presence and promote yourself with the help of local media to let the world know that you live for business.

Shuttering Down . . . . 

It is difficult, if not next to impossible, to calculate the fixed price of how much it is going to cost to start a coffee shop. However, this guide that we have documented for our user, will definitely help them figure out a rough estimate of how financially prepared they need to be before structuring a solid plan.