When starting a coffee shop as a small business in the Philippines, it’s important to consider the start-up costs involved. The expenses can vary depending on factors such as the location, size of the establishment, and equipment needed.
- Franchise Fee (if applicable): If you plan to open a franchise coffee shop, the cost can range from around PHP 1 million to PHP 5 million or more, depending on the brand and its popularity.
- Rental or Lease: The cost of renting or leasing a commercial space will depend on the location and size of the establishment. In popular areas, monthly rental costs can range from PHP 30,000 to PHP 150,000 or more.
- Renovation and Interior Design: The cost of renovating and designing the coffee shop can vary widely depending on the condition of the space and your design preferences. A rough estimate for renovation and interior design can range from PHP 500,000 to PHP 2 million or more.
- Equipment and Furnishings: This includes coffee machines, grinders, blenders, espresso makers, refrigerators, furniture, signage, and POS systems. Depending on the scale of your operation, the equipment costs can range from PHP 500,000 to PHP 1.5 million or more.
- Initial Inventory: You’ll need to stock up on coffee beans, syrups, milk, cups, lids, stirrers, napkins, and other consumables. The cost of initial inventory can vary based on the size of your operation, but it’s advisable to have at least PHP 100,000 to PHP 300,000 available.
- Licenses and Permits: You’ll need to obtain various licenses and permits to operate a coffee business legally. The costs associated with licenses and permits can range from PHP 50,000 to PHP 200,000 or more, depending on the location and the specific requirements.
- Staffing and Training: You’ll need to consider the cost of hiring and training employees. This will depend on the number of staff members and their salaries. It’s essential to comply with minimum wage regulations and provide benefits to your employees.
Overall, the total start-up cost for a coffee shop small business in the Philippines can range from PHP 1.5 million to PHP 8 million or more, depending on factors like location and scale. Remember to conduct thorough research and create a detailed business plan to get a more accurate estimate based on your unique circumstances.
