This Reedview Credit page covers funding for New Bedford, Massachusetts coffee shops and cafes: grinders, brewers and counter refits, buying a cafe, a second counter, espresso machines from two-group to super-automatic, refrigeration and ovens, a financial plan built on ticket size and daily count, and Bristol County, MA counts. An espresso machine example uses invented figures.
At a glance
- Snack and coffee bars with employees
229 (County Business Patterns 2023)
- Employees
3,315 (County Business Patterns 2023)
- Annual payroll
$66.3 million (County Business Patterns 2023)
Cafe Business Loan in New Bedford, MA: Grinders, Brewers and Counter Refits
A cafe's counter is its machine room: the espresso machine and grinders, a batch brewer, a water filtration system, an ice machine, under-counter refrigeration, a pastry case and the point-of-sale. A counter refit replaces cabinetry and plumbing along with the machines. Equipment financing fits the machines; a term loan fits the refit.
Equipment financing compares loans and leases.
Loan to Buy a Cafe in Bristol County, MA: Lease, Equipment and Goodwill
Buying a cafe brings its regulars, its staff, its equipment and its lease. Goodwill, the value of the customers and the name beyond the equipment, is part of the price. A partner reads the seller's card statements and returns to see what the cafe earns, the equipment list to see what the price includes, and the lease to see how long the buyer can stay. If the seller roasts its own coffee or supplies wholesale accounts, those revenues and the roasting equipment belong in the file as separate lines.
- Twelve months of the seller's card statements and three years of returns.
- A list of every machine with its age and service history.
- The lease and the landlord's consent.
Coffee Shop Financing for a Second Counter or a Bigger Room
A second counter, or a move to a larger room with seating, repeats the first location's costs with a new lease and build-out. A partner reads the first location's card deposits to judge whether the owner can carry both, and may ask how the second site will be staffed and supplied. A kiosk or a counter inside another business is a smaller build than a full second cafe.
Espresso Machine Loan: Two-Group, Three-Group and Super-Automatic Machines
Two-group espresso machines suit a single barista station; three-group machines let two baristas work at once when the line reaches the door. Super-automatic machines grind, tamp and pull at the press of a button, trading some control for speed and consistency. Each has a quote with installation, a water filtration system and a service plan; partners finance the machine and its installation.
Cafe Equipment Finance for Refrigeration, Ovens and Water Filtration
Beyond the espresso machine, a cafe buys reach-in and under-counter refrigeration, a convection oven for baked goods, a blender station, an ice machine and water filtration that protects the machines. Each is a quote, a working life and a fit for equipment financing. Water filtration can be left off a quote by mistake; it protects the espresso machine from scale, so including it shows the full cost of running the machine.
Espresso Machine Financing Worked Out With Invented Figures
Illustration only, invented figures: a cafe buys a three-group espresso machine at $16,800 and two grinders at $2,900 each, $22,600 in all (our arithmetic). Over 48 months at an invented 9.25% annual rate, the payment would be close to $565 a month (our arithmetic).
If the machine lets the cafe serve more drinks an hour, the added sales can be set against that payment.
Coffee Shop Financial Plan: Ticket Size, Daily Count and Fixed Costs
A coffee shop's numbers start with two figures: the average ticket and the number of tickets a day. Illustration only, invented figures: 220 tickets a day at an average of $7.50 over 30 days comes to $49,500 a month in sales (our arithmetic). From that, subtract coffee, milk, cups and food, wages, rent and utilities; what is left has to cover any loan payment.
A plan built that way shows a partner the owner knows where the money goes. Card statements confirm the ticket count. Work the plan for a slow week as well as a normal one; a payment that fits only in a strong month is too large.
Snack and Coffee Bars in Bristol County, MA, 2023
County Business Patterns counted 229 snack and nonalcoholic beverage bars in Bristol County, MA in 2023, with 3,315 employees and $66.3 million in annual payroll (County Business Patterns 2023). The category includes coffee shops, juice bars, ice cream and doughnut shops. ZIP 02740 in New Bedford, MA held 14 of them (ZIP Code Business Patterns 2023).
Restaurant loans covers full kitchens, and the merchant cash advance page compares card-sales advances.
By Reedview Credit · Updated
