Choosing A Business Structure
Your business structure affects how you pay taxes, your level of personal liability, and what type of paperwork you may need to file with state or federal governing agencies. Many people choose a limited liability company , because it provides some of the benefits of incorporation while protecting the operator’s personal assets from debts incurred by the business. 4 Research different legal structures to identify the best option to protect your assets while still helping you reach your goals.
Q: Why Do Customers Seem To Prefer Nkter Over Other Smoothie And Juice Bar Options
A:In addition to the inherent health benefits our customers know they are receiving from our fresh handcrafted juices, smoothies, and acaí bowls, Nékter prides itself on being a relaxed, healthy hangout for people who are committed to better living through nutrition. Were never elitist, intimidating, or judgemental, like other health food franchises can be, and we make it clear that we support each customers individual wellness goals, whether theyre regulars or its their first time in our store.
Whats The Average Day Like Operating A Smoothie Bar
Operating a smoothie bar, whether you decide to use a food truck or juice bar is no easy task. As with any startup business, its going to take a lot of time and effort to get the business off the ground. Heres what a typical day for Andrew was like in the early days with a juice truck:
My lack of intellegence forced me to work harder!
Andrew McFarlane describing the early days of his food startup.
Andrews first juice truck started in Hollywood, California. For anyone thats visited you know this is a highly congested urban area. As a result, Andrew had to wake up at 4 a.m. to begin prep work for the day and secure a vending location for a 28 foot truck.
Andrew would regularly park his truck outside a Trader Joes location. Around 6:30 a.m., the windows would be up and they would start taking sales for the day.
From this point Andrew describes being in a flow state most days. Andrew would be making juices to order, cleaning the truck, and working as fast as possible to meet demand until about 3 p.m. when business would slow for the day or they would run out of product.
Even though the work day was ending at this time there was still a lot of work that needed to be done to prepare for the next day. Ordering more produce and cleaning the truck for the next day all happen after hours. On average it would take a team about 2 hours to clean out the truck after a day of operation.
Whats the biggest challenge associated with running a successful juice bar?
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Building The Perfect Smoothie And Cold
If youre keeping things simple, most of your menu will consist of smoothies and pressed juices. While these two may seem interchangeable, theres actually a big difference between them. Mastering the techniques required to produce each can make a big difference as to whether or not your juice bar is successful.
Decide On A Style/design
Heres another area that can be overwhelming.
Your style and design directly influence how you want your customers to feel about your business. You want to be warm and welcoming but still able to express your own flare and passion. Just be careful not to overdo it and risk scaring away customers.
The best way to figure this piece out is to talk to prospective customers. Get feedback from the people who would be frequenting your juice bar. Talk to them at existing juice bars. See what people like and dont like. If youre still not sure, talk to some contractors and see whats most commonly requested of them.
Another option is 99designs.com.
Here, you get designers competing for your prize money. For as little as $99, you get to choose from a large selection of high-quality logo options, giving you flexibility and options, and hopefully providing some inspiration.
If youre struggling with some name ideas, some ideas for you to think about are:
Take your time with choosing your style. Remember, it should express you and your business, so make it appealing!
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Step : Get Business Insurance
Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your companys financial wellbeing in the event of a covered loss.
There are several types of insurance policies created for different types of businesses with different risks. If youre unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so its a great place to start for your business.
Learn more about General Liability Insurance.
Another notable insurance policy that many businesses need is Workers Compensation Insurance. If your business will have employees, its a good chance that your state will require you to carry Workers’ Compensation Coverage.
Recommended: Learn what business insurance for your Smoothie Business will cost.
Establish A First Draft Route Right Away
One of the big takeaways that Andrew has for those considering a juice truck is to establish a tentative route or list of places you plan to vend before you buy the truck. This is a mistake that Andrew admits making early on in the business.
You should enter this list of prospective locations in a spreadsheet. After you create the list, reach out to the business by phone or email to see if they are open you to vending there. This will help you understand specifically where to setup shop after you open.
As Andrew points out, you should complete this research before you get a food truck. This will help you be more prepared and reach profitability faster after opening.
Related Reading: 6 Profitable Locations to Park a Food Truck
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Step : Plan Your Business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:
Luckily we have done a lot of this research for you.
What are the costs involved in opening a smoothie business?
The amount you spend to open a smoothie business will depend on whether or not you franchise and which location you choose. From licensing to construction to equipment, smoothie business owners may pay anywhere from $10,000 to $650,000! These upfront costs include any and all of the following:
- Rent/down payment
- Hiring costs
If you choose to franchise your location with a well-known national brand, you will pay more in terms of upfront costs. However, youll also enjoy free advertising and brand recognition from the moment you open.
What are the ongoing expenses for a smoothie business?
Ongoing expenses for a smoothie bar include the following:
Who is the target market?
How does a smoothie business make money?
Smoothie bars make money by setting profit margins on all of their menu items. The standard rule is to set menu prices at roughly three times what it costs for the raw ingredients, though the exact amount you charge will be based on location as much as this generic recommendation. People are typically willing to pay a premium for fresh, quality ingredients they may not be able to get in their local grocery shops.
How much can you charge customers?
Skills Experience And Education Useful In Running A Coffee Shop
Theres no need to have a business degree to open a coffee business, but the following skills and experiences will be helpful.
Coffee appreciation and knowledge. Knowledge of the coffee industry and an appreciation of the drink will help any store owner to select and stock their store with quality products. Experience working in the food service industry is also valuable. If a store owner has worked in a fast-paced setting such as a fast-food restaurant, theyll better understand the challenges they may face when opening their coffee shop.
Customer service skills. Owning and managing a coffee shop requires strong customer service skills. A coffee shop owner who understands how to provide customers with a positive experience and who can make things right when orders are wrong can build up a faithful customer base. A great owner and manager will also need to teach these same customer service skills to staff.
Management experience. Any coffee shop will need multiple employees, so previous management experience is helpful. An owner will need to interview, hire, and train staff, maintain work schedules and provide staff with feedback and support.
Any coffee shop will require marketing, especially during its startup phase. The more marketing skills an owner has, the more they can save money on marketing rather than hiring it.
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In 1997 The Tropical Smoothie Franchise Development Corporation Was Founded In Destin Florida
How much do smoothie king smoothies cost. Appreciate the investment required for a juicy bar franchise. There are three size options to choose from on the smoothie king menu, and each one of these is priced the same regardless of which smoothie you buy. On one occasion, andrew has consulted for a business owner that invested $400,000 starting a single location.
There is a $30,000 franchise fee, and you must have at least $100,000 years in cash. This is the most important factor when deciding how much to charge. Meals, lunch, dinner, drinks and kids menu.
Kids cup provide smaller portions that are perfect for children, most of which cost $3.19. If it is your first time to franchise smoothie king, the company will charge you $30,000 for each unit. it is actually something that is very hard to make money off of..
The rapidly growing industry is expected to outgrow $3 billion in 2021. You can have at least 3 units. Smoothie king franchise startup cost is around $20,000 up to $30,000.
Soon enough, franchised locations opened. You will need to consider building and real estate costs, the cost of equipment and signs, the costs of licenses and permits, the cost of uniforms, the cost of insurance, etc. How much does food cost?
Smoothie king menu prices begin at $4.99 for a small, $6.99 for a medium and $7.99 for a large. $7.29 the shredder 40 oz. The cost will be at least $25,000 each unit if you have already 3 units still operating and you want to add more.
Start A Smoothie Business With A Diverse Menu Of Cravable Products To Keep Customers Coming Back
Smoothies are delicious, and theyre healthy. But most importantly, the nearly endless combination of flavors and nutritional support make them fun.
Thats why customers come back time and again to their favorite smoothie bar. They can have an indulgent vanilla bean and blueberry smoothie on Monday. Then on Tuesday, they can enjoy a healthy Banana Protein smoothie.
In a smoothie bar like Planet Smoothie, customers have the chance to build their own smoothie, with hundreds of thousands of potential flavor and nutritional combinations. That drives growth and customer loyalty.
Given that people are now more into a healthier lifestyle and plant-based eating, now is an opportune time for the juices and smoothies market, notes FoodTruck Empire. In other words, starting a smoothie business means youre selling a healthy product popular with consumers and infinite combinations of flavors.
Read Also: How To Make The Perfect Smoothie
Is A Juice Bar Profitable
So the big question is do juice bars make money? The appealing thing about this type of business is the profit margin from juices and smoothies are relatively high. We are talking about between a 50-70% profit margin here.
So if you are wondering how juice bars make money, its because the fruit and veg that go into a, say 16oz cup can cost as little as 50c, with a retail value of $4-$5.
Obtain Juice Bar Funding
When you officially obtain funding for your juice bar, your vision starts to become a reality. This part of the process can be intimidating if youve never started a business, but after youve written a business plan, youll have a better idea of your startup costs. Compare your total startup costs to the amount of capital you have on hand. After you determine the balance, youll know how much funding you need to open your juice bar. Dont forget to include the working capital needed to operate the juice bar until you start turning a profit.
For in-depth financial information, check out our restaurant funding and loans guide.
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Find A Business Mentor
One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.
Having a support network in place to turn to during tough times is a major factor of success for new business owners.
What Machine Do You Use To Make Smoothies
A Recipe For Success With Smoothie King
When franchisees invest in Smoothie King, theyre not only investing in themselves and the business, theyre helping each guest invest in their own well-being.
Anyone can toss fruit, vegetables, yogurt and dairy into a blender. Our brand creates specialized smoothies expertly blended for guests specific needs, purpose and goals which has been our purpose from the very start.
Weve fine-tuned our business systems to make our stores simpler to operate with limited inventory and waste, multiple revenue streams and lower initial investment than other quick-service restaurants.
We optimize our business model by keeping a close eye on the metrics that drive unit performance.
Choosing The Right Juice Bar Matters
When choosing a juice bar franchise, itsimportant to choose a business with an updated menu, flexible business plan, and the highest-quality ingredients. It also makes a big difference when you work with a franchisor who is willing to help you with the opening process from start to finish.
At Pure Green, were on a mission to help people achieve their optimal nutrition. Customers can choose from 12 cold-pressed juice flavors, 6 cold-pressed juice shot flavors, smoothies, acai bowls, and pitaya bowls. All ingredients are sourced with optimal health and sustainability in mind. Started by Ross Franklin, Pure Green is ahead of the curve.
Expand your potential by partnering with the Pure Green Franchise team!
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Smoothie Business Plan: How It Works Costs And Profit
Taking the leap into smoothie business ownership is an involved process. It takes hard work, passion, research, planning, and a solid understanding of your investment risk and potential income. Dont make a move without viewing our handy guide about how to start a smoothie business.
How It Works
There are two ways to start your smoothie business. First, you can learn from scratch and spend your time and money researching, planning, and hoping it works. The second option, which we will focus on, is investing in a smoothie franchise like SoBol. Investing in a SoBol franchise gives you a profit-making business model to follow while having all the advantages of business ownership. With nearly 7,000 smoothie restaurants in the country, its a relatively new industry but becoming very competitive. Utilizing a proven business model is advantageous.
Smoothie Business Plan
Its important to know all your upfront and ongoing costs associated with your SoBol smoothie business. Your initial investment and the costs necessary to begin operating a single SoBol could range from $240,800$450,600. Actual costs will vary for each café depending on a number of factors, including market conditions and the geographic location of your restaurant, as well as the amount of construction work necessary for the site to be built out. The minimum financial requirements for a SoBol café are:
- Equipment repair/replacement
Promote Your Juice Bar
Remember, a juice bar is a volume game. And to keep that volume high, you have to have a plan in place to bring in customers.
First, figure out who your customer is and where s/he hangs out. Then figure out how to get them to come in.
Some great promotion and marketing options include:
- Hand out coupons and flyers
- Participate at local gyms or fitness events with free samples
- Large, clear signs to attract cars and foot traffic
- Hang flyers on bulletin boards around town and in coffee shops
Then focus on digital marketing. This is efficient and affordable, and speaks directly to your audience, as juice bars tend to attract a young, tech-savvy crowd. Take advantage of Google Adwords and Facebooks Local Awareness ads feature to target consumers within a certain distance of your business.
Pay attention to your website and social media properties like Yelp, Twitter, and your Facebook fan page.
Consider a loyalty rewards or referral program to bring in new customers and keep your current customers coming back.
Remember, it doesnt matter how great your product is if you dont have anyone to serve it to. So make sure youre putting a lot of thought into your marketing and promotions plan.
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Resources To Help Women In Business
There are many resources out there specifically for women entrepreneurs. Weve gathered necessary and useful information to help you succeed both professionally and personally:
If youre a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.