Coffee Shop Financial Plan: Calculating Sales, Expenses, & Profits

You’ve decided to open your own coffee shop – that’s a great goal! While you’re excited for your new venture, it’s easy to get overwhelmed by everything you need to do before launching your business. The best course of action? Have a detailed plan. More than just your overall business plan, you must also have a well thought out financial plan. Learn why it’s crucial to anticipate costs, estimate sales and revenue, and create a long-term plan for growth.

Components of a Coffee Shop Financial Plan

Designed to answer questions from potential investors, a solid financial plan has multiple sections including:

• Funding requirements: How much do you need to start your coffee shop? Gather information regarding real estate, equipment, inventory costs, and more to help you determine what your total investment costs will be. If you have capital in a savings or 401k account, state the amount so investors understand how much more you’ll need to launch your coffee shop.
• Sales projections: As you pull together your projected sales figures, conduct extensive market research, gather historical data, and consider customer demographics – these factors all play into how much you’ll make. Also consider seasonal trends and growth potential to provide realistic expectations.
• Expense forecasting: There are two different types of costs you need to be aware of as a business owner:
  • Fixed costs: These are regular, constant expenses. Your rent, payroll, and insurance are all considered fixed costs.
  • Variable costs: These are expenses that fluctuate based your business’s activity and sales volume. Inventory and utilities are considered variable costs.
• Profit and loss statement (P&L): Your P&L statement summarizes your revenue and expenses over time. Intended to easily show your business’s profitability, this document helps investors get a clear understanding of the financial health of your coffee shop.
• Cash flow analysis: Be sure to track the flow of cash in and out of your business to ensure you have enough liquidity to cover your operational costs. This analysis highlights any potential cash shortages.
• Break-even analysis: One of the most important sections to any investor, your break-even point is when your sales are high enough to cover your operating costs. To an investor, this is key to understanding when your coffee shop will eventually turn a profit.

Clear and concise coffee shop financial projections provide potential investors with the information they need to assess the viability of your coffee shop business.

Project Brewing Success with Scooter’s Coffee

The coffee industry is booming. Valued at nearly $224 billion in 2023, the global coffee market is estimated to see a compound annual growth rate (CAGR) of 5.4% from now until 2030. At the forefront of this rapidly expanding industry is Scooter’s Coffee, a more than 25-year-old brand with over 800 locations nationwide.

Renowned for delivering high-quality, high-margin specialty coffee drinks through our fast and efficient drive-thru, our franchisees benefit from streamlined restaurant supply chain management thanks to our vertically integrated system. Instead of having to manage ordering inventory from multiple suppliers, our franchisees are able to get high-quality products delivered directly to their locations through our own controlled supply chain.

Scooter’s Coffee has markets available for investment across the U.S. and offers both drive-thru kiosk and endcap models. With an average unit volume (AUV) of more than $1.2 million* among our top quartile of locations (nearly $880,000 systemwide), it’s clear our business blueprint works.

To learn more about franchising with Scooter’s Coffee, request information today, and a member of our team will be in touch.

*This is historical representation of what some of our franchised stores earned as described further in Item 19 of the FDD. This information is based upon 272 of 618 Drive-Thru Kiosks that were open during the entire 2023 calendar year and provided complete information. Your results may differ. There is no guarantee you will stay in business that long or that you will achieve the stated levels of same-store sales growth within that time period. See Item 19 of the FDD for more information.