This is how we started our business in 1992. We purchased an espresso machine, grinder, and air pot brewer to be placed in a friend’s ice cream operation. We supplied the equipment, coffee, and syrups. He supplied the location, milk, cup and labor. We received 50% of the profits from the coffee drinks. Many compatible businesses are shocked by or do not want to make the initial financial investment ($7000 in my case), or are intimidated by their lack of knowledge of specialty coffee drinks and how to train employees. The advantages include:

  • No working hours
  • No rent
  • No employee wages and benefits

The challenges include

  • Honest partners to report drinks sold
  • Passionate partners about your products on their menu
  • Continual training of part time help

The agreement is an important ingredient to this concept. Here are some important issues to include:

  • Quality accountability
  • Scheduling of trained staff at all times
  • Cash register receipts
  • Equipment maintenance
  • Forming a policy to dismiss poor baristas
  • Rewarding accomplished baristas with a pay increase
  • Using a testing tool for baristas

Some possible partnerships may include some of the following:

  • Ice cream operations
  • Delicatessens
  • Bakeries
  • Upscale restaurants
  • Bagel stores
  • Dessert stores