Managing Cost of Sales

A manager and coffee shop owner should know exactly how much each product cost. Make sure that you are fully aware of the cost and profit margins of all your products.

The initial research for this might take you a minute but you will more in control and it makes it easier to set a price for your products.

Most coffee shops work around a profit margin of 55% - 70%. Coffees and teas usually work around 90% or higher and sandwiches around 50%. This is why it's important to sell a lot of hot drinks with high profit margins.

How to start a coffee shop.co.uk makes it very easy for you to manage the cost of sales and to calculate profit margins. We have made an Excel sheet that calculates the profit margins for you. All there is to do is to enter the prices.

Click below to download the free profit margin calculator.