Where can to get the money to open a coffee shop?

Where can to get the money to open a coffee shop?

Before starting our own business, each of us asks the question - where to get money? And here friends and relatives can come to the rescue, but if the amount is large, they are no helpers. Therefore, we need to look for options, from there you can take the start-up capital. At the same time, immediately clarify - it is not always worth considering receiving money only one source to start a business, but several at once.

Launching a coffee shop and where to get your capital?

The main and most exciting question is where to get your start-up capital? If you turn to the financiers' help, they will give you 4 options for sources.

Personal funds

And here you can use only your funds. But it should be said right away that this option is optimal if you intend to open a small coffee shop. And among this option for start-up capital, the advantages are that you will personally manage the business, you have action complete freedom, without regard to partners and founders. But this option disadvantage is your own and your family's well-being failure if the business itself burns out.

Collective investment

This is, so to speak, investing in a coffee house, when the start-up capital is raised by several acquaintances and friends, according to the business plan. But this financial injection is twofold. The plus is that money can be raised in a short time, plus everything to make a decision not alone, but together, with more experienced partners - the risks are reduced to nothing.

True, raising capital this option negative side for opening a coffee shop is that several people are actively involved in the business, respectively, the profit is divided into parts. And if money is taken from an investor, it is also a certain percentage for using other people's finances. If you involve relatives in your business, they may not take a percentage from you, but you will always have to feed your relatives, or rather drink coffee, and a breakdown in relations risk is great.


But in this case, we can say that this is the most difficult way to get money for your coffee shop development. And first, it is important to have a positive credit reputation, and not always beginner entrepreneurs receive money for development, start their own business.

And to receive money from a financial institution, it is important to meet certain criteria.

  • And first, the borrower himself must be the country resident.
  • Work experience, ideally in catering, restaurant business. In principle, in those areas that are associated with work in a coffee shop.
  • The applicant has no criminal record, as well as fraudulent activities any suspicion.

Also, when contacting a financial institution, the applicant submits a documents full package, according to the bank requirements. This issue should be clarified directly with the bank before asking for a loan.

To confirm his enterprise profitability - a coffee shop, the applicant is simply required to submit a detailed business plan, indicating the costs and estimated profitability. In particular, in his business project, the applicant is obliged to indicate such points as:

  • The exact amount that you initially need to open your coffee shop.
  • All the detailed stages of business development and formation.
  • Spending accompanying business development.
  • It is also important to indicate the depreciation cost.
  • The income expected level and the further business growth possibility are prescribed in coffee shop development terms.

And since the loan amount for opening a coffee shop is supposed to be rather big, most likely, to teach borrowed funds, the client will need to provide liquid property. Such property can be real estate, a house or flat, or a deposit in a bank, and so on.

Important. If the client provides the bank with collateral, its value should be 2 times higher than the requested loan. Plus, in this case, the loan will provide not only the interest rate but also the amount for property insurance registration.

Also, contacting the bank disadvantages list can be attributed to the fact that the financial institution will impose a ban on the collateralized property. And for such a decision purpose - not to allow the owner to sell it or alienate it in another way. If the bank decides on the documents studying the submitted package fact - your business will have successful chances, the loan will be approved. True, the amount here can be limited by the estimated future profit scope and the delivered collateral cost.

But the disadvantage of the way to get money from the bank is often high-interest rates. And as a result, often the profit from an open coffee shop will be minimal, or the owner may even go to zero or a minus mark. The return period for borrowed funds will be long and exhausting.

Investor assistance or government support

If we talk about the investor and assistance in opening a coffee shop, the latter work exclusively with profitable projects. But if the investor himself approves the submitted project for opening a coffee shop, the future entrepreneur can get very favourable, flexible conditions for a future transaction.

But here it is worth remembering that when the coffee shop's work very process is established, the profit itself goes regularly - the income received a significant part will have to be given away.

In the modern market, many novice entrepreneurs turn to government assistance. In search of an initial capital source, many resorts to government subsidy programs, for which purpose is to help an unemployed person in such a matter as starting their own business.

But here, too, there are some peculiarities and subtleties. It is important to register with the local employment centre, obtain an unemployed status, and after that submit your business plan to government agencies. But at the same time, it is necessary to stay registered as an unemployed person for a certain time, and after that - to demand unemployment assistance due to him from the state.

This program is available to those who have stood for a certain time on the register, and the public service has not been able to find a proper job for him, under his education, experience, earnings level.

But the plus of this way to get start-up capital for opening your coffee shop is that the amount issued in your hands is not refundable. Such favour from the state is quite easy, allowing you to start your own business without much financial spending and injections. And help from the state will come in the specialists' free consultations and support form.

True, the minus of such assistance is the small amount that the client receives in his hands. And with such capital, a young and ambitious entrepreneur is unlikely to succeed in realizing his huge plans. But given the fact that money is usually taken from several sources - this option takes place.

Summing up, we can say that before you get something, you need to invest your hard-earned money. As well as strength and time, physical and mental resources. But a material foundation lack at the start is not a reason to abandon your idea. And perhaps in a few years, your coffee shop will become a famous bohemian haven or a place where celebrities will gather. Who knows?

Among the many well-known coffee producers, the site www.kofebird.com this is what you are looking for!

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