Independent Coffee Shop Start up ?
Independent Coffee Shop Start up ?
Author
Discussion

PWE

Original Poster:

175 posts

219 months

Wednesday 5th December 2018
quotequote all
Hi,

Hoping to pick up some advice and some answers to questions flying around my head ?

I own a Barbershop business in a fairly busy town, turnover has slowly been dropping off over the last 5 years, because of this I have started considering changing the business. One idea has been a coffee shop !

The town has a number of them (as are all towns), but all busy... There are a large number of 'housewives' that appear to populate many of them, along with what would appear to be business meetings, people working from laptops etc. Maybe naive, but assume it's profitable ?

I have 5 years left on the lease and would rather find a better way of making a profit ?
I do not work in the shop (as i have another business that I work on the tools full time) I have got used to a small ish income from having a second business and would like to try and continue this.

The shop does make money currently, but just feel that the 7 or so new barber shops that have started over the last 5 years in town isn't likely to slow down over the next 5. I put a lot of the reduction in turnover down to this but also realise if I invested more of my own time in the shop it would help.

So main Q's

Would i need to change the class usage from retail ? Being that it would be drinks/cake/biscuits etc
Cost of decent machines ?
Self use machines (similar to that in a service station) Less staff to employ ?
Buy machines out right ? Or lease brand new machines ?
Probably more questions to come.

Any help is appreciated !
Thanks

bigweb

833 posts

258 months

Wednesday 5th December 2018
quotequote all
PWE said:
Hi,

Hoping to pick up some advice and some answers to questions flying around my head ?

I own a Barbershop business in a fairly busy town, turnover has slowly been dropping off over the last 5 years, because of this I have started considering changing the business. One idea has been a coffee shop !

The town has a number of them (as are all towns), but all busy... There are a large number of 'housewives' that appear to populate many of them, along with what would appear to be business meetings, people working from laptops etc. Maybe naive, but assume it's profitable ?

I have 5 years left on the lease and would rather find a better way of making a profit ?
I do not work in the shop (as i have another business that I work on the tools full time) I have got used to a small ish income from having a second business and would like to try and continue this.

The shop does make money currently, but just feel that the 7 or so new barber shops that have started over the last 5 years in town isn't likely to slow down over the next 5. I put a lot of the reduction in turnover down to this but also realise if I invested more of my own time in the shop it would help.

So main Q's

Would i need to change the class usage from retail ? Being that it would be drinks/cake/biscuits etc
Cost of decent machines ?
Self use machines (similar to that in a service station) Less staff to employ ?
Buy machines out right ? Or lease brand new machines ?
Probably more questions to come.

Any help is appreciated !
Thanks
We did something similar a few years ago.

My then GF had a city centre salon which we turned into a coffee shop\ cocktail bar.
You will have to check out what usage the shop has but there are various types within retail and food and drink is a sort of sub type which we had to apply for change of use.
Not sure on self-use machines but we leased the coffee machines from a supplier (Lavazza maybe)

Staff were the biggest headache. It was so difficult to find good ones and because we were open day and night we couldn't use the good staff for the whole time.
Also the staff in this environment seem to be the most transient of anything I have employed in. It was orders of magnitude more difficult to run than her salons.

We knew we wouldn't get anyone to buy the Salon as it was so we set up the bar with a view that it would be much more likely to sell (She had a long lease left) This was the case as I was approached within a week of opening by someone wanting to buy. It ended up taking 12 months from start to finish to get out of it and on paper it was a profitable exercise but it was massive greif in reality.

I've been asked to do it again with people on a number of occasions but I'm not sure I would.

PM me if you need any advice




greygoose

9,669 posts

225 months

Wednesday 5th December 2018
quotequote all
I would think a counter to order drinks with a selection of biscuits, sweets, cakes etc on it would generate more income than a self-service machine. Coke and other companies supply fridges to businesses in exchange for selling their products, obviously their logo will be pretty prominent on it!

PWE

Original Poster:

175 posts

219 months

Wednesday 5th December 2018
quotequote all
Thank for your response !

Staff appear to be the biggest ball ache of all business's !!

The manager I have is great at putting in the hours and doing all the mundane chores ! BUT is pony at using his own initiative or dealing with the staff.
I get more involved whenever he goes on holiday and end up having to sort out a back log of problems he's neglected !

I was hoping that with coffee shop employees it may be easier to replace/hire staff as it's less of a niche skill, but fear I'm kidding myself.

I have a client via my other business who has asked to buy a 50% share of the business as is (which is tempting) but fear the loss of income and the thought of losing an element of control if I am only a partner !! Tough one

Going to look into the cost of setting up and balance that against selling it on (assuming I can sell the good will as whole) and work out if I should just re invest the amount I can sell it on for in another business..

21TonyK

13,362 posts

239 months

Wednesday 5th December 2018
quotequote all
I have no idea what your barber shop is like but round me one has pretty much taken the market. They were a bogo barbers but stuck a pool table in and Sky followed by a few stools with ipads full of kids games in the window. Then they started giving away proper coffee and the odd beer to waiting punters.

They literally have a waiting list. They open 7 days a week from 8am until 8pm. My son had to wait 2 weeks to get his hair trimmed at £12 for a quick trim, his mates pay £16-20 for a cut and go every 2-3 weeks (or so he says).

I work 12 miles away and half the people I work with know of it and know someone who goes there.

surveyor

18,705 posts

214 months

Thursday 6th December 2018
quotequote all
Check the user clause in your lease and the planning consent position. Either one can cause issues.

theguvernor15

1,072 posts

133 months

Thursday 6th December 2018
quotequote all
OP, I design/supply commercial catering from coffee shops to sports stadiums & everything in between.

There also seems to be an infinite amount of small cafes & coffee shops opening/closing all the time.
The ones that seem to last are ones that do it well & offer something different.

In our town, that's generally the one that looks the best/is newest.

Don't under-estimate what it's going to cost you to set this up.
Equipment wise a half decent coffee machine is going to be around £5k.

I wouldn't bother with self-service.

Cakes/sandwiches etc. - you'll need to ensure you've got some means to make these, a small investment on a basic kitchen/wash-up (there's not much point in buying in as you'll lose potential profit). £15-20k.

You'll also need to make sure you comply with EHO guidelines etc.

PWE

Original Poster:

175 posts

219 months

Thursday 6th December 2018
quotequote all
Cheers Guys...

Going to have a think over Christmas what to do !!

The guys in the shop have worked for me over 10-15 years and need a bit of a kick in the arse. It's a high turn over style barber shop and no frills, it's always been this way but feel times are changing and feel we may have to too. The newer competition are more glamorous and I've been reluctant to compete with this as we would be competing directly for the same clientele. Most of our clients have been coming to us for over 20/30 years (possibly out of habit ?) but worry we would deter them if we changed direction dramatically !
Very hard to find high calibre barbers to fill positions too and still be profitable, It's the reason I left the trade myself. There is little additional reward for quality pay wise over somebody who is average sadly.. Haircut prices (due to ever growing competition) have been stagnant for years which stops you being able to reward staff for their hard work.
The coffee shop idea came to me after watching all the guys at the service station operating the machines themselves and paying £10/12 for a few coffee for the work lads and not batting and eyelid at the costs.

I have considered getting a restricted license and doing beer and coffee etc but always been worried I'll just be increasing my overheads (which are always on the steady increase)

It's a tough one

willetttiger

73 posts

209 months

Thursday 6th December 2018
quotequote all
Let me know if I can help I roast coffee and supply all coffee equipment gratis as long as you use our beans

PWE

Original Poster:

175 posts

219 months

Thursday 6th December 2018
quotequote all
I will, thanks

Chrisgr31

14,289 posts

285 months

Friday 7th December 2018
quotequote all
The number of barber shops in our town has increased dramatically recently. I don't really know how they work because surely most customers are only around at weekends? Personally I prefer going to a traditional barber, and not one that is going to spend hours shaping my hair etc. In and out, no appointment,cheap and cheerful for me. I assume the modern barbers with bells and whistles are taking longer and charging more so a different clientele?

Running an independent cafe/coffee shop is not easy, there are two in addition to a Costa and Wetherspoons in our town both struggle.

Adam B

29,730 posts

284 months

Friday 7th December 2018
quotequote all
Sorry OP don’t have any practical advice, but surely the point of a decent coffee shop is a decent coffee.

The self service machines in petrol stations serve a revolting product, I think most people have given up on Waitrose machines in my local and they are free!!

TartanPaint

3,367 posts

169 months

Friday 7th December 2018
quotequote all
It sounds like you know the business you're in far better than you know the coffeeshop business. Why not just focus on beating your competitors there?

Why are the new barbers taking your customers? What are you doing to keep them?

Do you think there's any loyalty?

Every barbershop I've ever used could be improved massively for very little extra cost, just by taking an objective look around the shop. There are dozens of barbers near me, and I dislike them all.

Some observations from having my hair cut once a month-ish for 30something years...

Fundamentally, I want you, the barber, to understand that I get absolutely no time to myself in life. When I get to sit in a chair for 20 minutes, that's time I want to relax and enjoy. I don't need a free BJ with every trim, just don't make me hate the experience. Here's what I mean.

Is your shop clean? I hate clippings all over the sinks and floor. Clean the hell up between customers. Charge a quid more if you must, but clean up properly!
Is your shop cluttered? I hate clutter. Put the bloody bottles and tools away in a cupboard. What does an IKEA cupboard cost? Practically nothing. I hate sitting in a chair looking at untidy shops. Clutter is actually stressful.

Is the artwork carefully chosen, or just Athena posters? What does the place feel like? If you know sod all about interior design (and what barber does) get somebody who does.
Are you mags refreshed monthly? I don't want to read the same old dog-eared Top Gear 4 visits in a row...
Is the music good? Get a license and pay attention to your playlists. I want feel-good music. I don't get much time to myself, and I don't want to sit for half and hour listening to radio 1.
Is the waiting area comfortable, or do I need to sit on an uncomfortable seat, shoulder-touching and knee-touching the fat guy next to me? Can I make myself a coffee? Add a quid if you must.

Do you prep the customer properly? That lovely stretch bandage tape the Turkish guys use is heavenly. Are your capes quality, or just the cheapest scratchiest things you can find?
Can I get my ear/nose/eyebrow-stragglers done too? It takes 1 minute and costs nothing. Who decided no-frills is what your customers want?

Oh, and don't employ smokers. PLEASE. Your fingers are right next to my face, and it makes me want to throw up.

And stick a sign up saying, "Please feel free to ask for your favourite barber" for walk-in customers. I often do this, but it does feel awkward and a bit rude to turn down the first chair that's free because I quite like the way the other guy cuts my hair. Having that sign up would relax me while I'm waiting, hoping the right chair comes free just as it's my turn.

Maybe none of that stuff applies, but it constantly amazes me how little pride barbers take in their shops. 99% of them I've ever used are stholes, with barely a lick of paint over the woodchip, regardless of how good the actual haircut is.

Guys who use barber shops don't want the salon experience. We haven't got time for appointments and shampoos and blow-drys. But there seems to be clean, tidy, expensive salons, or grotty barbers.

I want a barber who acts like a salon. I'll pay a few quid more for the convenience AND a nice shop.

Why not forget the £5k espressso machines, and just be the best damned barber shop within 50 miles?

Anyway, obviously I don't know your business, so that's all just general observation. Don't be offended by my dismay at your industry. Good luck, whatever you do.

Lannister902

1,571 posts

133 months

Friday 7th December 2018
quotequote all
TartanPaint said:
It sounds like you know the business you're in far better than you know the coffeeshop business. Why not just focus on beating your competitors there?

Why are the new barbers taking your customers? What are you doing to keep them?

Do you think there's any loyalty?

Every barbershop I've ever used could be improved massively for very little extra cost, just by taking an objective look around the shop. There are dozens of barbers near me, and I dislike them all.

Some observations from having my hair cut once a month-ish for 30something years...

Fundamentally, I want you, the barber, to understand that I get absolutely no time to myself in life. When I get to sit in a chair for 20 minutes, that's time I want to relax and enjoy. I don't need a free BJ with every trim, just don't make me hate the experience. Here's what I mean.

Is your shop clean? I hate clippings all over the sinks and floor. Clean the hell up between customers. Charge a quid more if you must, but clean up properly!
Is your shop cluttered? I hate clutter. Put the bloody bottles and tools away in a cupboard. What does an IKEA cupboard cost? Practically nothing. I hate sitting in a chair looking at untidy shops. Clutter is actually stressful.

Is the artwork carefully chosen, or just Athena posters? What does the place feel like? If you know sod all about interior design (and what barber does) get somebody who does.
Are you mags refreshed monthly? I don't want to read the same old dog-eared Top Gear 4 visits in a row...
Is the music good? Get a license and pay attention to your playlists. I want feel-good music. I don't get much time to myself, and I don't want to sit for half and hour listening to radio 1.
Is the waiting area comfortable, or do I need to sit on an uncomfortable seat, shoulder-touching and knee-touching the fat guy next to me? Can I make myself a coffee? Add a quid if you must.

Do you prep the customer properly? That lovely stretch bandage tape the Turkish guys use is heavenly. Are your capes quality, or just the cheapest scratchiest things you can find?
Can I get my ear/nose/eyebrow-stragglers done too? It takes 1 minute and costs nothing. Who decided no-frills is what your customers want?

Oh, and don't employ smokers. PLEASE. Your fingers are right next to my face, and it makes me want to throw up.

And stick a sign up saying, "Please feel free to ask for your favourite barber" for walk-in customers. I often do this, but it does feel awkward and a bit rude to turn down the first chair that's free because I quite like the way the other guy cuts my hair. Having that sign up would relax me while I'm waiting, hoping the right chair comes free just as it's my turn.

Maybe none of that stuff applies, but it constantly amazes me how little pride barbers take in their shops. 99% of them I've ever used are stholes, with barely a lick of paint over the woodchip, regardless of how good the actual haircut is.

Guys who use barber shops don't want the salon experience. We haven't got time for appointments and shampoos and blow-drys. But there seems to be clean, tidy, expensive salons, or grotty barbers.

I want a barber who acts like a salon. I'll pay a few quid more for the convenience AND a nice shop.

Why not forget the £5k espressso machines, and just be the best damned barber shop within 50 miles?

Anyway, obviously I don't know your business, so that's all just general observation. Don't be offended by my dismay at your industry. Good luck, whatever you do.
That's some effort put into that post, more important, top class advice for a barbershop. Even if the barbers charge £5 a cut for men (we have afew around this neck of the woods) most of what's written doesn't actually cost anything extra.

Adam B

29,730 posts

284 months

Friday 7th December 2018
quotequote all
Wow that is spot on advice - although in London its £10-15 typically

I have tried many but now stick with two (one near work, one near home) that tick most of those boxes

I am into my music and that one always amazes me - radio 1 / capital etc have shouty annoying DJs - for £50 you could by a dozen quality chill out mix CDs of various tempos, that you could rotate

Edited by Adam B on Friday 7th December 12:45

TartanPaint

3,367 posts

169 months

Friday 7th December 2018
quotequote all
Oh well, while we're on it, here's a few more ideas (I'd love to hear everyone elses... after all, it's one of those industries we all use and have time to just sit and observe. I'll bet everyone has got an opinion):

Have little signs for each station saying, "Your barber today is <name>" or better still a stack of branded business cards with names on. It's not a huge cost, and I can take a card and ask for that barber again by name next time if I like them. It makes the awkward "Actually, do you mind if I wait for... erm... that guy" easier when a chair is free.

Add a few potted plants around the place. It makes a huge difference. Even plastic ones (I'm not going to inspect them closely).

Lighting. Sit in a chair and look in the mirror. If you can see dazzling, unshaded ceiling down-lighters, so can I. I don't want to see that. Get some shaded pendants over each station, and hide the main lighting away from customers' line-of-sight. With things like Hue bulbs these days, I don't think there's any excuse for not having great lighting creating an ambience.

Hair-care products. Don't just slap any old goo on my head. Choose a good range of stuff, display it on a glass shelf with a neat price list in a little A5 frame, use only that range on your customers (free advertising), and sell it at the till. If it looks nice and doesn't stink, I'll buy a tub while I pay. We're not girls. We don't go shopping especially for hair-care products, so being able to try one and buy one all in one go is great. There's nothing worse than a random stack of tubs of crappy brand gels and waxes scattered in front of the customer. It sends the message, "we just use whatever's cheapest here!"

Can you expand to maybe selling a small range of nice, hipstery, shaving products? A small display of classy brushes and soaps and things. Costs a wee bit for stock, but the right brands could lift the image of the place. You'll probably do well at Christmas if you make up gift packs for dads.


EDIT:

Man, I can't believe how much stuff is coming into my head. Writing all this down is like therapy. I had no idea how much barber-rage I was bottling up! biggrin

Bad stuff I've seen on barber shop walls:
The usual community "would you mind sticking this in your window?" stuff. Your customers probably don't care about jumble sales or the latest church event. Keep it classy, and clutter-free. It's nice to be part of the community, but it's just scruffy. We can't read it from a distance anyway. Bin it.
No matter how good you think you are at photography, you're not. Don't put your own work on the walls. I had a hairdresser once who hired models, styled their hair (very well) and then took photos of them for display on the walls. He knew the basics about studio lighting, but not really much more. The photos were utterly pants. Just.. .don't.
Pictures of male models with fancy haircuts. What's that all about? Statistically, most of your customers are not gay. Nor have I ever heard of anyone walking in and saying, "make me look like that guy!", so just lose the model shots. OK, one or two at most, because they are relevant. No more than two. Please.

Good stuff:
Classy, blokey artwork. Mountains and snow and adventure sports. Lifestyle stuff that says, "I know you, my customers, are awesome people who do many awesome things when you're not in my chair". Complex artworks. Stuff that elevates the style and class of the place. If it adds nothing, take it down. The test is to stare at it for 5 minutes, because that's what we have to do, and see if you are utterly bored by it, or still impressed. If in doubt, 3 posters of Singer Porches would do the trick.

I'm not dead against a TV on the wall, but you can't really control what's on TV, and you can't show anything interesting (e.g F1) without expensive Sky pint-glass licenses. I think, ultimately, good music is better, less distracting, and cheaper to license.

Smell. If I can smell sinks and chemicals, and not coffee, there's something wrong. Easy to fix: free coffee.

I used to go to a barber that had free beer. I used to take one whether I wanted it or not, because it was obviously built into the price of the haircut and I felt like I wanted to get the good value. I think that's a step too far. You can work the occasional 20p coffee pod an overhead, but handing out beers to every customer needs to push your prices up £1 per head. That's silly. Don't do that.

A uniform of sorts costs very little. Imagine all staff in black trousers, polished shoes and a white shirt/blouse with open collar and rolled up sleeves. Comfortable, and stylish, and not too corporate or try-hard. Why does every barber I go to have jeans, trainers and a faded t-shirt on? Insist they dress for work, not home. I should be able to tell the staff from the customers in ANY business.

Price... £6, £11, £16 or £21 should be the price (depending on the going rates in your area). I'm going to pay you in notes because I've just been to the cash machine on the way. I'm going to get £4 back in £1 coins from you. I'm going to throw you a couple of quid as a tip every time. If you charge me a tenner, a tenner you shall get.

Kids... What is there for the boys to do while it's dad's turn in the chair? If the answer is nothing, they're probably annoying me while I wait. I wouldn't say install a games console or anything, but if all they have to entertain them is an old copy of Exchange and Mart, they're probably annoying other customers. I don't have the answer to this one. I don't think anywhere I've been has really nailed it. I guess annoying kids will be annoying whatever you do...

Spend another 30 seconds getting rid of all the clippings in my ears. The first thing I'm going to do when I walk out the door is put my finger in my ear, give it a satisfying wiggle, remove my finger, inspect it, and wonder why there are still tiny bits of hair clippings on my finger. Every time. Every damned time. A quick dusting with the big soft brush clearly doesn't work . Please do better.

Edited by TartanPaint on Friday 7th December 13:11

PWE

Original Poster:

175 posts

219 months

Friday 7th December 2018
quotequote all
Love this guys... I've not been a working barber for 12 years now so love this input !

I'm going to put something together I think and hit the staff with it in the new year. Will update and happy for more suggestions like the above.(I'm going to show the manager these comments in a hope to inspire him with some motivation !!

I kick there arses weekly regarding cleaning.... F**k me i dread to think what some of their houses look like as they don't seem to care about keeping tidy.

I've come to the realisation my only hope to tackle this is to employ an apprentice to cover the cleaning and coffee making etc (possibly take payments etc) as a way to justify their cost, and hopefully keep a consistently clean shop.

Appreciate the feed back


rog007

5,831 posts

254 months

Friday 7th December 2018
quotequote all
TartanPaint said:
It sounds like you know the business you're in far better than you know the coffeeshop business. Why not just focus on beating your competitors there?

Why are the new barbers taking your customers? What are you doing to keep them?

Do you think there's any loyalty?

Every barbershop I've ever used could be improved massively for very little extra cost, just by taking an objective look around the shop. There are dozens of barbers near me, and I dislike them all.

Some observations from having my hair cut once a month-ish for 30something years...

Fundamentally, I want you, the barber, to understand that I get absolutely no time to myself in life. When I get to sit in a chair for 20 minutes, that's time I want to relax and enjoy. I don't need a free BJ with every trim, just don't make me hate the experience. Here's what I mean.

Is your shop clean? I hate clippings all over the sinks and floor. Clean the hell up between customers. Charge a quid more if you must, but clean up properly!
Is your shop cluttered? I hate clutter. Put the bloody bottles and tools away in a cupboard. What does an IKEA cupboard cost? Practically nothing. I hate sitting in a chair looking at untidy shops. Clutter is actually stressful.

Is the artwork carefully chosen, or just Athena posters? What does the place feel like? If you know sod all about interior design (and what barber does) get somebody who does.
Are you mags refreshed monthly? I don't want to read the same old dog-eared Top Gear 4 visits in a row...
Is the music good? Get a license and pay attention to your playlists. I want feel-good music. I don't get much time to myself, and I don't want to sit for half and hour listening to radio 1.
Is the waiting area comfortable, or do I need to sit on an uncomfortable seat, shoulder-touching and knee-touching the fat guy next to me? Can I make myself a coffee? Add a quid if you must.

Do you prep the customer properly? That lovely stretch bandage tape the Turkish guys use is heavenly. Are your capes quality, or just the cheapest scratchiest things you can find?
Can I get my ear/nose/eyebrow-stragglers done too? It takes 1 minute and costs nothing. Who decided no-frills is what your customers want?

Oh, and don't employ smokers. PLEASE. Your fingers are right next to my face, and it makes me want to throw up.

And stick a sign up saying, "Please feel free to ask for your favourite barber" for walk-in customers. I often do this, but it does feel awkward and a bit rude to turn down the first chair that's free because I quite like the way the other guy cuts my hair. Having that sign up would relax me while I'm waiting, hoping the right chair comes free just as it's my turn.

Maybe none of that stuff applies, but it constantly amazes me how little pride barbers take in their shops. 99% of them I've ever used are stholes, with barely a lick of paint over the woodchip, regardless of how good the actual haircut is.

Guys who use barber shops don't want the salon experience. We haven't got time for appointments and shampoos and blow-drys. But there seems to be clean, tidy, expensive salons, or grotty barbers.

I want a barber who acts like a salon. I'll pay a few quid more for the convenience AND a nice shop.

Why not forget the £5k espressso machines, and just be the best damned barber shop within 50 miles?

Anyway, obviously I don't know your business, so that's all just general observation. Don't be offended by my dismay at your industry. Good luck, whatever you do.
That’s it in a nutshell

peterperkins

3,446 posts

272 months

Friday 7th December 2018
quotequote all
Let's give TartanPaint a fking medal he's a genius... I agree with 90% of that..

I quite like having me ears set on fire by the Turkish bloke down the road who does a full service for £25

Edited by peterperkins on Friday 7th December 23:07

CSLM3CSL

334 posts

173 months

Saturday 8th December 2018
quotequote all
The main issue with me for getting a haircut is the opening hours. Iv'e not been for nearly 6 weeks as been too busy working 8-6 weekdays and usually busy most Saturdays. I would definitely pay a premium for a haircut between 6pm-8pm. I would go twice as often and pay more when I go if this could be accommodated.