Question

what are start up costs of coffee roaster business? Explain with numeric values of cost?

what are start up costs of coffee roaster business? Explain with numeric values of cost?

Homework Answers

Answer #1

The costs involved here are the operating cost. Firstly, one has to puchase a roaster, invest in good packaging, equipment for packaging and most importantly selecting the right green coffee.

Coffee roaster can cost upto $ 10000 or more, packaging supplies some sort of box and labels could cost few cents, packaging equipment $ 100 to $ 300 or more, coffee grinder costing $ 500 to $ 1000,green coffee costing $ 3 to $ 4 per pound, but here price will be higher since quantity will be higher (like 50 pounds or more), employees wages, shipping and delivering cost.

Startup cost can also be reduced if business owners " contract roast", where they can pay rent for availing roasting facility, and get better and established facilities. Or owners can start with low priced equipments at first.

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