Leaving a good paying job for opening a coffee shop

[Goingindrain]

There's a shop which is empty at my local high street and there are 3 restaurants and shops like Greggs, cake shop and dominos but no coffee shop where people can have a sit down grab a coffee and cake.
I am a working mum of 2 little kids - 1 and 4 years old. I earn more than 70k and have a good pension. I have been working for over 15 years and have opportunities to go up in the career ladder.
I feel like my priorities have changed so much after having kids.
Problem is I am not a baker myself so I will have to employ people. My work gives me flexibility but I want to run a business. I am into Tech so no experience of this.
Should I still consider it or scrap?

It's not patronising to wish the OP could follow on in her idea. Every idea starts from somewhere. She might not get there with the coffee shop, but she could look into another entrepreneurial avenue of another or similar nature.

and I hate coffee that burns my tongue, tastes burned or has over heated milk.

More than half of businesses fail
in the first year. Can you afford to lose it all and not have a job?

You will also have less time for your family. A cafe by me closed because the owner didn’t have any time for his family and it closed at 4. There’s a lot of things to do.

Even if there’s no competition and you have something niche it is a huge risk.

Definitely not.

You would need to do proper research on this, likely take out some sort of business loan to fit out the shop and buy all the machines etc, unless you have a lot of savings as well as find out what hygiene certificates, insurances etc needed and all the legalities of employing staff, also a plan on how you would pay them until you start making money. Only then will you know if this is a viable business … also check the rent? A lot of high street places are closing due to the councils keep increasing rents!

I had the same idea when my children were young. After doing a detailed business plan, looking at properties and also talking to others with businesses, I decided against it.

It just wasn't viable - money wise or time away from the family.

I now work for a lady who has a shop (not a coffee shop) and she wouldn't be able to keep the shop going if it weren't for her other 3 online businesses (which make up the majority of her income). She needed a new roof on her shop a few years ago and as commercial landlords aren't liable for any maintenance, she had to pay for it. Luckily she got a grant for half but still had to pay thousands herself.

@Goingindrain glad you rejected it
I know someone who did it, but she loved baking and was up at five every day making the baked goods that she sold. She also had a catering sideline though. To be honest, I suspect that paid more bills than the coffee shop did.

If you were paying someone else to do the cooking,it would be mad.

''@Ellerby

No. It's because the people commenting on here do have experience in the relevant business.
Still, OP, you go and ask local cafes if they are doing well, and see what they say! Ask them for their (given for free) advice. Because, for sure, they will want to encourage a new competitor! 🙄''

Don't twist my words. I did not write anything about ''asking local cafes''. I mentioned networking with local business owners.

I live in a small town and we have a strong local community and opportunities for business owners to meet up and work together to try keep the high street alive and lobby the local council.

I think it’s hard to compete with Greggs next door. Coffee is ok, food is cheap and filling. No one/ very few are going to pay more for less.
Coffee shops are a dime a dozen.

This happens in our town too, it's heartbreaking, they start off so enthusiastic and the shop looks amazing and then you see them working all hours, getting their mum in to help as PP said, and Jack it in after a couple of years. Rent, rates, labour and ingredients costs are through the roof. But bloody Costa (shit coffee) is still there year after year.

The one who has made it in our town is attached to an upmarket food hall / greengrocer and the owner has a couple of similar businesses. Also another cafe which is one of 3 the guy owns so he has some economies of scale.

This reminded of a play cafe that opened in our local town in 2021. Four years later, it's closed down.

"Business was brisk after the pandemic but the combination of rising rent and business rates, coupled with a drop in footfall and competition elsewhere, forced her hand.

She said: “It’s a bit of everything as rates have doubled, rent is going up 40 per cent and footfall has definitely been impacted.

“We used to have quite a wide catchment because there was nothing like this nearby, but since we’ve opened a few others have popped up elsewhere so we’re not so niche anymore."

The issue in Petersfield, and many other market towns, is also the chains that have recently moved in. So now there's a Hoxton Bakehouse, a Gail's, and a Lounge. It's destroying the independents.

ETA: That's just the recent openings. There are also a Costa, a Nero and a Gregg's. And of course Waitrose gives out free coffee now to its card holders.

https://www.petersfieldpost.co.uk/news/playtime-sadly-over-as-petersfield-says-farewell-to-little-leaf-play-cafe-816273

The people I know with successful independent shops that stay open are the ones with financial safety nets like inheritance, other income, partners high income etc

No bank would give a business loan without a properly costed business plan. And if OP does a properly costed business plan, she won't be opening a cafe!

OP, you would need to take out a personal loan to cover rent, rent deposit, insurance, business rates, fitting out and working capital. At the very least.

If this thread was "my husband is giving up his flexible 70k job to open a coffee shop he has no idea how to run whilst we have 2 very small children" then all the advice would be to divorce him.

As someone a decade into a reasonably successful independent shop who knows others in the same boat who have navigated all the pitfalls of recent years including lockdowns and commercial rent and energy hikes, none of us have any of the things on your list. Especially Other Income. I'd have to be doing that bit in my sleep. It's common sense, good luck, putting something people want to give you money for in a place they want to buy it, and 100% hard work.

It would be classed as an unreasonable mid life moment for sure!

That’s great to hear, was just saying my own experiences

You would be out of your mind @Goingindrain

As many people have already said, its an incredibly risky area and the vast majority of independent coffee shops fail in the first year.

That said, you get the occasional success story. A coffee and brunch place opened near me, on a dodgy high street that is 90% chicken shops and Turkish Barbers and has done tremendously well. The queues were out the door, and they have now turned that place into a takeaway only and opened an even bigger premises in the next town over that also has a queue every lunchtime. They do coffee and smoothies, fancy bread, and instagram-worthy brunch dishes like eggs benedict or avocado on toast.

I think the secret is ensuring your business is social media friendly so all the influencers want to come and take photos or vlog their experience.

Don't do it, you will regret it. I have seen so many close and never made much money. Don't give up a well paying job and pension.

Only in hospitality do people with 0 experience think they can open a business, stay open and have a better work and life balance than their salaried job they’re actually trained in. This is a terrible idea. Gospitality is on its knees due to cost and there are businesses struggling where people actually know what they’re doing.

You’re out of your mind.

OP, have you been living under a rock for the last five years that you haven’t heard the hospitality industry is on its arse?

absolute bonkers idea for so many reasons

I have decided against it