What Is a Good Profit Margin for a Coffee House?
A good benchmark for a coffee house is a net profit margin of roughly 10–20%. This range gives owners room to cover fixed costs like rent and utilities while still yielding a reasonable return. Local competition and location will affect the exact target.Gross margins tell a different story. Drinks often carry high gross margins, commonly 60–75%, because ingredients are relatively low cost. Food it...More
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