Many dream of starting a coffee shop or roastery, but the reality can be daunting. The specialty coffee industry is facing unprecedented challenges that make it difficult for new roasters to succeed. High startup costs, fierce competition, and rising prices for green coffee are just a few of the hurdles. Passion alone is no longer enough to sustain a business.
• Starting a roastery requires about US $120,000 in initial investment.
• Green coffee prices have surged, reaching US $4.41/lb earlier this year.
• Increased operational costs and stricter loan requirements add to financial pressure.
• Consumers are more value-conscious, leading to intense competition from both local and European roasters.
Understanding the business side of operations is crucial for success. Passion must be combined with solid financial planning and market knowledge. As the specialty coffee industry matures, aspiring roasters must adapt to survive in this complex landscape.
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