You need to get a well-written Coffee Cafe Shop Project Report if you are planning to start a coffee shop business in India. This business has enhanced the coffee shop business trend as a result of the high demand for coffee by coffee lovers. This demand is increasing in the developing regions.
After tea, coffee is the next preferred beverage by the people in India. India is famous for producing 3.5% coffee in the entire country. The climate circumstances, along with the topography promotes the growth of coffee beans in the North-Eastern part of the country thus you can easily start a coffee café shop in India. You must learn about the significance of this business from our coffee café shop project report.
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Coffee Shop Project Report
Few years ago, say in around 2016-17 season, India used to produce 5.5 million bags of coffee only. Coffee is grown in states like Karnataka, Tamil Nadu, and Kerela followed by Telangana, and Andhra Pradesh. Around 65% of coffee is produced in Karnataka and Kerela produces 20% of coffee.
Tamilnadu produces 15% of coffee. Thus around 210,000 coffee producers are there in the country and maximum producers are the ones who fall under small scale business having plots of 2 hectare land.
Coffee Beans are the raw material for coffee cafe shop, therefore you can get it from these states and if you cannot avail it from these states then you should try to get it from the nearest. You can check out the raw material and supplier detail from the coffee cafe shop project report.
A cup of freshly brewed coffee is everyone’s favourite. We all love to take a sip at a coffee shop while catching up with our friends, family, and more. Due to the growing trend of cafes, the demand for these coffee shops has increased in India. So, people who want to open a restaurant business are showing more and more interest in this business.
As per a report by TechSci, coffee shop businesses are expected to see growth at a CAGR of around 11% by the year 2021. This shows that opening a coffee shop can be a successful business if it is appropriately implemented.
How To Start A Coffee Shop In India?
In India, you will get a few options to start the coffee cafe shop. It is upto you, which option you choose.
Indians being connected to fresh coffee beans drink coffee to feel refreshed, dynamic and lively. The entire world is a fan of coffee. Indian coffee gets worldwide attention because of its excellent aroma and fragrance and exotic taste. You need to read about the types of coffee business you can choose to start your coffee café shop.
It is a highly profitable business, Thus you can choose any one from below.
Buy an existing coffee shop: This is an excellent way to get into a business that is already earning profits. However, it is not easy to find a profitable business for sale.
Purchase a franchise: Several people prefer purchasing a franchise to run a successful business. For its fee, you need to analyse your affordability, and the franchise provider will share the available location for the setup.
Start from the beginning: When you start the business from scratch, you get a lot of flexibility. However, it takes too many efforts as well, but you have great chances to optimize your business as you wish and maximize profits.
No matter whichever option you choose, the same factors are needed to be applied to get success. So, before setting up a coffee shop business, including the following factors in your plan.
How To Download Sample Coffee Cafe Shop Project Report
You need not wait for downloading the project report of cafe coffee shop. It is a very simple process that you can follow. You can get the project report in hand once you download it by the following steps.
First Step – Click add to basket >> Check Out >> Payment
Second Step – Immediately after successful payment, you will get a link to download the report. You can download the report immediately from this link.
Purpose of Coffee Cafe Shop Business Plan
A business plan will help you to take decisions in the right directions. Our coffee shop business model provides every information that is useful for you to move in the right direction when you plan to start a coffee shop in India. You can download the coffee shop project report and know much about the finance, budget and investment.
Points to consider before starting a coffee café shop in India?
Indians are really fond of brew coffee because it keeps them refresh and lively. It is an energy buster that everyone loves to have. Because of its exotic taste, coffee has good demand and market potential. To open a coffee shop in india is a profitable business idea. It is wise to decide to open a coffee café in your area as it is lucrative for young entrepreneurs who know the taste and preference of young ones, adults and modern consumers.
Here are some points you need to know before you start a Coffee Café Shop In India.
Draft A Solid Business Plan
As a business man you need to write a coffee café shop project report so that you can make your venture successful and run your coffee shop business in India. While you write your business plan, take your employees and customers into consideration.
Create a complete list of things you would need in the future. The agends of keeping a sound business plan for your business is to use it as a guide in the future course of time.
It is important to go ahead and do the market research so that you can create your customer base and formulate the methods you would bring to use to tackle the existing competition in the market. You can do research to generate some exciting ideas to run your venture.
You need to include the methods you will adopt to operate your business and how you will tackle the problems that might come your way. Along with maximizing your profits you must plan out how to get rid of problems in the future.
You can henceforth, visit the coffee shops in your nearby location and grab information about the offers they give, their menu and observe their way of decorating the interiors in their café coffee shop.
You can also conduct a survey to have feedback from the people about their expectations from a new coffee parlour. One can even involve your friends and family and take their suggestions.
You must not initially consider them as your potential customers. The future investors who would like to invest in your business in the future, will surely ask for a sound business plan on coffee café shop before finalizing their decision.
You can think like a customer and seek from yourself what you expect when you visit a coffee shop for leisure. After thinking like a customer may be you get a better idea to understand your customer’s mindset and work in that direction.
Budget and Investment
The budget that you want to spend in opening a coffee shop plays a significant role. It helps you decide the scale of your business and maintain a running coffee shop in India.
You can approach the banks or financial institutions to get business loan and also invest your savings in this business. A business man will also need to fulfill small investment requirements by taking help from your relatives and friends.
You need to hire workforce which needs to be the best for your business and you will have to spend money on them too. The staff of your coffee shop will enhance your customer service.
If your staff is good your café is considered superior than competitors. You will also have to purchase the right equipments for yiur business. Thus everything at the initial stage requires a lot of investment and for that you need to set the right budget and get it financed. Investment in your coffee shop POS System will bring laurels to your business in India.
What should I Do To Start A Coffee Shop In India?
Decide the species For Business
You need to first decide whether you ant to open a coffee shop, franchise or start from zero. You can aquire a franchise or buy a riunning business and modify it.
Location with Low Rent
Coffee shops are a great place to socialize. This is why they are so popular. People go to coffee shops to hang out and spend some time with their friends. They are also preferred by people who are looking for a unique place to read a book or magazine while enjoying delicious snacks or a tasty beverage.
So, you need to find a suitable location for opening a coffee shop. The place should be able to attract customers. For this, you can do your research to find a suitable place where you can expect the crowd is stepping into your shop. Even if you buy a franchise or existing business, make sure you consider the location.
The location defines the coffee business you are going to start along with the success and failure of the café. You need to consider the following factors while you research for location and demographics.
Make sure that your location is in a busy place in the town near or in market or in any shopping area so that you get a high footfall everyday.
Along with visible aspect, the direction needs to be easily accessible to the people like the area that you choose needs to have proper parking space.
You need to decide the demography that suits your target customers, therefore you need to choose the appropriate direction for your new set up.
You need to consider the rent while you look for location. You need to choose affordable land wisely and access the fluctuating pattern of lease in the oast few years.
Financing in Coffee Cafe Shop
Another significant step is to plan your business strategy by obtaining essential funds for investment from both internal and external sources. Food business is one of the most common and lucrative business investment in India, therefore it is comparatively easy to avail funds for the same. You may need financial supply for short term or long term business plans like:
- Purchasing Commodity
- Building or renovating Café Coffee shop
- Investment in Furniture, equipments and Fixtures
- Working Capital Requirement
Equipment and Technology
In today’s time you need to buy efficient technology by investing in the latest coffee shop POS System enabling fast billing, managing stock and inventory, reporting in real tie and integrating customer offers like lunch or dinner combos etc.
You need to purchase the right equipment to manage your coffee shop business properly. The right equipment depends on the type of food that you are going to serve. Usually, a coffee shop business doesn’t require a lot of cooking as you will serving hot and cold beverages mainly, and ready fast food made most of the time.
Hire Professional Staff
If you hire competent staff, you have won half of the battle. It is significant to hire the right people on job. You should secure excellent customer service, it will give you customer loyalty. You need to hire:
It would be best if you have good employees who are professional, disciplined, and trained to run a successful coffee shop business. They are the people who will be offering most of the services to the customers, so they should be trained accordingly.
Some of the positions that are usually offered in a coffee shop include:
- Head Chefs and Assistant Chefs
- Cashier or Accountant
These are people who are required for ensuring regular services as they serve the essential requirement of running a restaurant business. Please start with the minimum number of employees and then gradually hire more when you need them.
Another aspect of a coffee house business is that it cannot progress in the very beginning. The only way to attract the customers to your coffee café shop is by its outlook before making them taste your coffee or the quality of food you serve.
Marketing Your Coffee cafe Shop project
It would be best if you started marketing your business even before you open it. Let people in and around the area know that you are planning to inaugurate. For this, you can put up posters in the nearby area. This is preferable to attract the local crowd and let them know about your presence.
Coffee café shops d o open every other day in the country, especially in the urban areas. Coffee shops are facing tough competitions these days. The only way to promote your business is the aggressive marketing in the town. You can create your own website and circulate brochures and bring to use other print media so as to attract more crowd.
Gradually, to grab the attention of more customers, you can switch to online marketing of your business. It is quite significant to reach your ideal customers who are looking out for your products and services. Online marketing strategies will help you in improving your brand awareness, sales, and revenue in the long run.
Create a Relaxing and Soothing Atmosphere in Coffee Shop
When it comes to cafes, atmosphere and interior designing are another two things that attract people a lot. This is one major reason behind the success of Starbucks. It has a cozy, relaxing, and comfortable environment which appeals to the customers.
So, when you are opening a coffee shop create the right atmosphere so that people who are looking to hang out with their friends or business partners get attracted towards your place.
If you are confused about what type of atmosphere you should have, use natural lights, clean and bright things around, and comfortable seating.
Show up to People
When you run a coffee shop business, as an owner, you should show yourself to the customers, be present in the shop at most of the ties, and get fully engaged with the business. Many people take it as a good sign when they see the owners in front, talking, engaging, and serving them personally.
Setting up the Menu
Before you open a coffee shop business, you need to create a menu and decide what all items will be included in it. Make sure that your menu contains all sorts of coffees that are trending from Latte to Cappuccinos. Customers always expect variety from a good coffee shop, so don’t forget that. Also, serving good food items is equally important to make your business profitable.
You can choose to serve ready-made sandwiches, burgers, and other bakery items as they are quite popularly sold in cafes.
Serve High-quality Beverages and Food
When you open a coffee shop, you need to ensure the quality of everything that you serve to your customers. Remember hat drinkers won’t come there to get a mug of ordinary coffee or teabag in a foam cup. You need to prepare coffee and other beverages of several varieties to attract customers and satisfy their taste buds.
Ensure Great Customer Service
You need to offer excellent customer service to mark the success of your business, especially when you are in the foodservice business. As per surveys, 4 out of 5 people consider customer service as a vital part of any business. This is one of the reasons why Starbucks and Barista Coffee are two popular names in the coffee shop business. They offer efficient services to their customers and are professional.
What are the licenses required for starting a coffee cafe shop in India?
If your coffee café shop is being reorganized in India either through LLP or sole proprietorship, you need to get it registered under the India Government Regulations.
The coffee shop owners in India commit to taxable supply of services and goods that intersects the threshold limit of their turn over. Therefore you need to get the GST registration along with obtaining GST Number.
The coffee shop owners must get their trademark registered for their coffee shop venture to create knowledge in the public about your brand.
All the business men operating food stuffs including the coffee café shops owners, need to get FSSAI Registration first. It is the food license that assures your products are according to the standards laid under FSSAI Act and offer high quality.
FSSAI is the obligation on the government to check the quality of food products. The inspection takes place in your café and if things are ok, you get the FSSAI Number that is of 14 digits. You can avail three types of FSSAI License.
Basic Registration: If your annual turnover is expected to be up to Rs 12 Lakh.
FSSAI State License: If the annual turnover crosses Rs 12 Lakh limit but is less that 20 crore.
FSSAI Central License: When your annual turnover is above 20 crore rupees.
Fire Security Certificate
As the owner of coffee café shop, you need to understand the responsibility of protecting your customers and products from harmful issues and accidents like fire. You need to keep proper arrangements to protect everything in your café. Therefore get NOC from fire department for the same. Your premises will be inspected and fire security certificate will be issued to you.
After the premises would get inspected, Fire Security Certificate will be provided to the coffee shop owners.
License for Eating House
You need to apply for a license of eating house under the state or city headquarters and the Commissioner Of Police. In a few cities, the applicant can apply online for this license and get the registration certificate.
Health Trade License
You must get health trade license, as per the instructions of the municipal corporation or health department of your state.
License for Playing Music
You must have a license to play music in your coffee shop. It is issued to safeguard the rights of composers, songwriters and publishers. License gets issued to safeguard the rights of songwriters, composers, and publishers.
Coffee Shop Sample Project Report Format
In our project report format, we cover technology details, its diagrams, flow chart etc. as and when required or deemed fit to include. We also prepare in-depth financial calculations which is necessary for the Investor/bank.
Contents of Detailed Sample Project Report on Coffee Cafe Shop
|1||Project at Glance||3|
|2||Cost of Project – Means of Fund||4|
|4||Project & Service||6|
|10||Form -I Proposed Facilities||16|
|11||Form -II Profit & Loss A/c||17|
|12||Form -III Balance Sheet||19|
|13||Form -IV Comparative CA & CL||22|
|14||Form -V MPBF||23|
|15||Form -VI Fund Flow||24|
|19||Loan Repayment Schedule||32|
For whom is cafe coffee shop Business Plan formats useful?
1) CA Chartered Accountants
2) Tax Consultants
3) Small Business Owners
In addition to those who want to prepare project reports themselves.
Coffee Shop Business Plan project report
A clear project report of Coffee Cafe Shop is crucial for your success as an entrepreneur. You wish to contemplate some important, like your initial costs, your target market, and how long it’ll see you interrupt even. Draft a proper Coffee Cafe Shop project report that describes your expected income, product and repair lines, expansion plans, and other details of your business. A well-drafted project report will facilitate you in applying for any bank loan.
Conclusion Of Coffee Cafe Shop Project Report
To start a coffee shop venture in India is highly profitable and lucrative. The coffee shop chains gain popularity in the public. You must have all important license and the most important coffee shop business model so that you can go ahead step by step and avoid mistakes on your way.
Frequently Asked Questions On Coffee Cafe Shop Project Report
How long does it take for a coffee shop to become profitable?
Most of the businesses don’t make any profit in the first year as per a report by Forbes. A business usually takes 18 to 24 months to earn profits, while 25% of the new businesses fail in the first year.
How should I start a coffee shop business?
Following are the factors you need to consider before starting a coffee cafe shop business: • Determine your ideal customers • Decide what coffee and other products you want to sell • Choose a good location • Determine your coffee shop supplier
Is the coffee shop trend growing?
The coffee industry is growing at a significant annual growth rate of 5.5%, and it is produced in all the developing nations. Whether it is adults or children, every one of us loved to visit coffee shops to spend some quality time.
Is it Profitable to own a Coffee Shop?
Yes, It is profitable to open a coffee shop business. The cost of coffee is around 20 per cent of your sales price, and the cost of labour is around 60 per cent. So, the coffee shop owner usually earns a net profit of about 2.5 per cent of sales, excluding the salary of the owners.