My Dream Business

If I were to open a business, I would like to open a small convenient store in a business building that is mid to large size.  Not only do I have a passion to make good quality coffee, but I believe this type of business has the monopoly for tenants within and surrounding the building.  The store would be roughly 1000 square feet, and it will sell small chips, small dry snacks, magazines, some basic daily products like headphones, ties, toothbrushes, shaving blades…etc.  the reason I wanted to include these products is because when people go to work in a rush, they often forget to do little things in their life, which would make it convenient for them to shop at my tiny store.  Near the entrance of the store, I would sell speciality coffees, including house made latte, mocha, cappuccino or regular coffee for a fair price, so customers would continue to return as it is more convenient to shop within their own building, especially in the cold Canadian winter.

In a business building, there are usually only a few stores, or cafeteria.  It is extremely hard for other competition to enter into the market.  A clause is usually stated in the rental agreement that the tenant will be the only operator in the building, but the trade-off is rental can be higher in most cases.  To start off this type of business, the short-run cost is usually very high.  Renovations will have to be completed prior to opening, and the first store stock and small appliance will always be a challenge.  Most of these short-run costs will eventually turn into a long-run cost, including maintenance of the coffee machines, tilts, and machinery depreciation.  Some of the fixed cost would include salaries, rent, and business licence and business tax.

If the business is proven to be a success, then I can open a second store, while hiring extra people to take care of the two stores, it will allow me to do most of the training, stockings, and the background finance while exploring new options to continue to expand.  With each new store, I will have to ensure that all my stores are in good running and meeting tenant standards, while still be able to make a constant profit.

An example of this type of business would be “Treats”, founded in 1977.  When the first treats store was opened, they open sold three types of coffees and tea.  Today, Treats can be found all over the country, selling over 130 different types of coffee and tea, serving muffins, cookies, and even a full size lunch in some of the popular locations.

(http://www.treats.com/)