How to organize a coffee to go business: in detail

he take-away cafe format is rapidly gaining momentum in Russia and around the world. An invigorating drink that can now be drunk not only at home or in a cafe, but also while shopping or on the road between business meetings.

A take-away coffee franchise will help you become a successful entrepreneur with minimal investment – you need a small start-up capital (in the range of 100-200 thousand rubles). The return on investment can be expected after six months of successful operation.

Why has the coffee-to-go format become popular among businessmen?

The Coffee to Go franchise has become one of the most attractive business lines in Russia in a short time. And the main reason is that it is available.

All expenses can be divided into two categories:

  1. Initial payment by agreement (purchase of a kiosk, containers, coffee machines, boxes, advertising booklets) + transfer of money to the franchisor’s account.
  2. Fixed costs (purchase of raw materials, wages, taxes, interest to the franchisor, utility bills, repair and cleaning of the coffee machine).

Fixed costs are usually small. The cost of a cup of coffee is up to 20-30 rubles (depending on the type of beans), and in coffee shops the mark-up is 200-300%.

Little electricity is needed, paper cups are inexpensive, and there is no need for plumbing or running water. Employees can be paid a percentage of sales, hire students with no work experience.

Among drinks, coffee is the second most popular after water, so there will always be a demand for it. Especially during the period from September to June, when it is cold + the school season begins.

But even in the hot season, people buy coffee, sales just drop a little. To compensate for this, iced teas and kvass can be added to the assortment (if, of course, this is allowed by the franchise agreement).

Looking at the popularity of the “coffee to go” format, one can come to a bold conclusion: this business has taken root in Russia forever. Caffeine is bought by schoolchildren, students and administrative workers.”

There are long queues at coffee shops in the morning, especially if they are located in business centers or university campuses. The drink is especially actively bought in the morning, but the flow of customers is also observed during the day.

Low start-up costs and the popularity of the product are two factors that have led to the fact that there is a high demand for franchised take-out coffee.”

And where there is demand, there is supply. Therefore, potential entrepreneurs have a fairly large choice of where to buy a franchise. Consider the best options.

6 coffee to go franchise offers

We have already decided that a business called “coffee to go” is a good start for aspiring entrepreneurs.

You can borrow money to start a business or even just save up for a year and a half. Your business will pay off in just a couple of months, and you will start making good, stable profits.

We have selected for you 6 worthy takeaway coffee franchises in Russia.

Option 1. Coffee Like Franchise (https://coffee-like.com/franchiza)

The largest network company of coffee houses in the post-Soviet space, more than 200 points in the Russian Federation. The franchise price is 250 thousand rubles. Approximately the same amount will have to pay for the purchase of equipment. Satisfied with the size of monthly deductions for the company – only 3%.

The network partner will receive a ready-made business analysis from the company (and this is a good plus), where all the risks and the payback period will be calculated. In addition, coffee-to-go franchise owners will be assisted with legal matters and taught how to keep records. The franchisee will receive business training, training materials and a brand book.

According to the indicators of those who have already bought a Coffee Like franchise, the investment will pay off in just 4-5 months.

It is difficult to say exactly how much profit you can make from coffee to go, it all depends on the city, location, quality of service, etc. On average, you can earn 2,000 euros per month of work.

Option 2. Coffee to go “Peppy Day” (https://www.bodryi-den.ru/franshchiza)

The network is growing and has already approached the mark of 200 cafes throughout Russia. The explanation for such popularity is favorable franchise conditions, a one-time fee of only 100-120 thousand rubles, a similar amount should be available for the purchase of equipment.

The main advantage is the lack of interest. You work only for yourself, without monthly deductions.

What will the franchise owner get from the Bodriy Den company:

  • delicious coffee recipes
  • business plan for your region;
  • list of supplier partners;
  • logistics;
  • training and consultations.

The maximum repayment term requested by the franchisor is 6 months.

Option 3. Franchise “Coffee House” (https://www.coffeehouse.ru/info/franz)

Coffee House is a chain of small coffee shops, not just places where you can buy a cup of coffee on the go. Therefore, you will need significant funds to purchase this franchise.

The deposit to the company’s account is 1.8 million rubles, and to open a takeaway coffee shop, you need to have more than 4 million rubles. You have to rent a hall (from 60 m2 in a shopping center and from 100 m2 in a separate room), buy furniture for visitors, hire staff + sew a uniform for them.

The canteen will pay off in 2-3 years, the monthly profit, according to statistics, is $4000.

Firm “Coffee House” offers its franchisees assistance in opening an institution:

  1. Creation of a business development plan.
  2. Elaboration of the design of the premises according to the standards of the corporation.
  3. Employees will be trained by the company.
  4. You will receive a list of reliable partners – suppliers of raw materials, equipment, furniture.
  5. Assistance in choosing a location for the cafeteria.
  6. Legal advice.

Option 4. Red Cup coffee outlets (https://red-cup.ru/franchise)

The Red Cup coffee to go franchise offers cooperation on the following terms: lump-sum fee – 490,000 rubles, royalties – 10,000 rubles per month. At the same time, impressive profitability figures are assumed – from 180 thousand rubles a month. Recovery will come in 3-6 months.

Together with the franchise, the new network partner will receive the development of a business plan and all assistance in opening a “cafe to go” – from advice on choosing a location to legal advice.

Unlike other franchise offers, Red Cup provides additional furniture for the 4 m2 pavilion, promotional gifts, a coffee machine and raw materials for the first weeks of operation.

Option 5. Franchise “GO! COFFEE” (https://coffeeout.ru/ru)

The company is in the development stage, but is no longer a newcomer to the market: today there are about a hundred GO!COFFEE stores in Russia.

A cafeteria can be opened in one of four formats (the franchise price will depend on the type of establishment chosen):

Island in the mallfrom 150 thousand rubles
small pavilionfrom 80 thousand rubles
small pavilionfrom 250 thousand rubles
Mini cafefrom 400 thousand rubles

Option 6. Franchise “Love Coffee” (https://lovecof.ru)

The Love Coffee brand has signed a lucrative contract with Russian Railways, which means that “coffee to go” can be opened at any railway station in the country.

The franchise is sold at a price of 165 thousand rubles. You can learn more about cooperation by leaving a request on the company’s website (link above). Managers will contact those wishing to open “coffee to go” for an individual discussion of the terms of cooperation.

The franchisor promises in any case an income of at least 100 thousand rubles a month.

Is Coffee to Go a Dream Franchise?

As with any business, a take-out coffee franchise has its ups and downs. You should pay attention to them before investing in a business.

“Coffee to go” is a franchise with its own advantages and disadvantages:

AdvantagesLess
• When concluding an agreement with a promoted brand, advertising costs are minimal.
• The “coffee to go” format does not require large expenses, unlike the idea of ​​opening a full-fledged coffee shop.
• Payback period – no more than six months.
• The franchisor helps to choose the location of the outlet, shares the secrets of success, conducts business, trains employees, provides partners’ contacts, sometimes a minimal set of equipment.
• You are not alone, but part of a large corporation.
• Business manager and barista training paid by the franchisor.
• One-time payment from 100,000 rubles, royalties – 3-10% every month. This amount does not include the costs of the entrepreneur for the purchase of equipment and the purchase of raw materials.
• Standardization, from prices to the design of cups, coasters, advertising booklets. An entrepreneur cannot improve a business, contribute to its development.
• The franchisor requires a repayment period of 3-6 months, sometimes it is impossible to meet these terms.
• If you break the terms of the contract, you will have to pay a fine.
• Franchise is purchased for a certain period of time. After the expiration of the period, it is necessary to conclude an agreement again and pay at a time, otherwise the point will be closed legally.

How to get ahead of competitors?

If you are buying a coffee-to-go franchise from one of the listed companies, you must be the only one operating that brand’s coffee shop in your area.

Unfortunately, competitors cannot be banned from working. You can often see how several mobile cafes from different companies line up in the city center at once. Everyone has buyers, but everyone wants to beat the competition and become a leader, a monopolist.

Let’s look at a few original ideas that coffee shops use:

  • “Coffee Sound” sticks predictions to the bottom of a cup. This was very attractive, first of all, to young people, because the older generation is skeptical about fortune telling.It is especially important that young men and women began to massively photograph their cups with positive predictions and post them on social networks. This brought “Coffee Sound” popularity and free word of mouth promotion.
  • “Coffee in the City” introduced a new “coffee to go” format. Hot drinks are sold in very large glasses (450 ml). Management understands that many modern people need significant amounts of caffeine; standard coffee is not enough for them.Another feature of the institution is that they buy only young coffee, the beans are delivered on the 14th day after the last roast. This gives a special taste to the drink.And the main competitive advantage of the institution is the speed of service (1.5 minutes per person).
  • The Coffee Woods network is growing due to the fact that it attracts entrepreneurs with a special offer: each point will be successful, otherwise the company will return the money that the entrepreneur spent on buying a franchise.At the same time, not everyone can count on concluding an agreement with this cafe, there is a difficult selection of those who want to create a business from scratch under his leadership.

Pitfalls of the coffee-to-go franchise

Despite all the advantages of this business, there are many pitfalls.

Almost all take-out coffee shops have begun to actively work on franchising in recent years. This has led to the emergence of many new outlets, and the franchisors have many partners who need to be trained.

The main office simply does not have time to keep track of everyone and help everyone, so regional managers are allocated for franchisees. These representatives are not always competent in labor matters, the main office does not have time to respond to all requests, as a result, problems appear on both sides.

As a result, the franchisor does not provide the promised assistance, and the franchisee becomes frustrated and tries to leave the network.

The second problem is the supply of raw materials. The main thing in the take-away coffee business is a high-quality natural product that is pleasant to drink and makes you want to buy more.

By all standards, the franchisee must buy coffee only from trusted suppliers of their “parent” company. In fact, coffee at different points of the same company differs in taste. Someone buys that expensive coffee that he owes under the terms of the franchise, and someone decides to save money and buy a cheap analogue.

This is a reputational shortcoming and may lead to termination of the relationship between the franchisor and the franchisee in the future.

There may be hardware problems. The franchisor promises to help the “neighbors” buy a kiosk and equipment, but in order to develop retail outlets faster and with less investment, they provide franchisees with cheap equipment. Why this is a negative sign, we believe, no explanation is required.

The top tip when choosing a coffee-to-go franchise is that you’re going with a company that offers a business development strategy that works and adapts to your area, rather than just a hundred outlets. Quantity does not mean quality!

There is another drawback that many do not take into account until the “thunder strikes”. Since so many people can afford to franchise coffee to go, there is a lot of competition. Some may use particularly harsh methods of fighting for a place: arson, damage to a kiosk, complaints to the mayor’s office and to the SES.

Coffee to go is a franchise. Is it worth starting your own business?

How to earn serious money? Start a coffee business.

Preparing to open a coffee-to-go franchise outlet

Before you buy a franchise, you should talk to your local authorities about it. In some cities, the mayor’s office prohibits the opening of canteens, considering it a spontaneous trade.

The second important question: where to open a point of sale? It should be with high traffic, the priority is the city center, places near shopping centers, universities, office buildings.

Get ready for some of the challenges that come with opening an outdoor retail outlet franchisee:

  • First, you need to think about how to insulate the kiosk in winter.
  • Secondly, no one will buy coffee in bad weather, because it is inconvenient to drink it in rain or snow.

Place a canopy or a small canopy near the kiosk; this will increase the attractiveness of the product in the eyes of buyers.

The best option is to open a dining room in a shopping center or at a university, business center, but then you will have to pay a considerable amount for rent, keep in mind.

Takeaway coffee is a good business that requires a small investment and can pay off in no time. But, like any other business, it will require effort, financial investment and a competent approach.

Despite the fact that the “big brother” of the franchisor will be above you, water will not flow under the lying stone. However, the fact that you are part of a great team will certainly increase your resolve and make all business tasks easier.