Ridgeway Coffee Roasters

Words in [brackets] are blanks you fill in with your own details when you adopt this sample in Supreme Plan AI.

Executive Summary

Ridgeway Coffee Roasters is a small-batch coffee roasting company in Wyoming. We buy green coffee from trusted importers, roast it in small batches and sell it fresh to cafes, restaurants and offices, to customers online and in our own tasting room. People taste the difference when coffee is roasted a few days before they drink it.

Why this fits. Many people care about where their coffee comes from and how fresh it is. Cafes and restaurants want a reliable local roaster who delivers on time and helps their staff make a better cup. A roaster that is consistent, honest about sourcing and easy to reach earns wholesale accounts that last for years, and a tasting room and an online store add retail sales.

Here is what our numbers show. In Year 1 we plan to sell about 20,000 pounds of wholesale coffee, 6,000 retail bags online and in the shop and 14,000 drinks in the tasting room. That brings in sales of $356,200, growing to $914,245 by Year 5 as we add accounts and a wholesale sales representative. We expect a loss of about $21,600 in Year 1 because the roaster, the buildout and the first stock are paid before accounts build, then a profit of about $18,100 in Year 2, $36,800 in Year 3 and $111,800 by Year 5. Green coffee prices can rise and fall, and the plan keeps cash for that.

We need $200,000 in total. Of that, $131,800 is startup costs (a 15-kilogram roaster, grinders and packaging equipment, tasting room bar equipment, ventilation and gas work, opening stock, the lease deposit, permits, branding and insurance), and the rest is cash for the first months. I am putting in $80,000 of my own savings and asking for a $120,000 SBA 7(a) loan.

I am Brett Sorensen, the owner and head roaster, with ten years in coffee, including six as a roaster and quality manager. These numbers are estimates based on the assumptions listed at the end of this plan, not promises.

Company Description

Ridgeway Coffee Roasters is a small, independently owned coffee roasting company in Wyoming, planned as a limited liability company (LLC). We serve cafes, restaurants, hotels, offices and individual customers in our region and across the country through our online store.

Our mission. To roast coffee that tastes great, is sourced with care and is delivered fresh.

What we believe. Coffee is an agricultural product, and the people who grow it deserve a fair price. We buy from importers who share where the coffee comes from and what the farmers are paid, roast each batch by profile and cup it before it ships and put the roast date on every bag. We train wholesale customers on brewing and cleaning equipment and never sell stale coffee.

What we offer:
- Wholesale coffee. Roasted coffee in bulk bags for cafes, restaurants, hotels and offices, with weekly or biweekly delivery.
- Online and retail bags. Twelve-ounce bags, subscriptions and gift boxes sold through our website and in the shop.
- Tasting room. A small bar serving espresso, filter coffee and tastings, and a place for classes.
- Training and equipment help. Brewing classes and basic equipment advice for customers.

Who we serve. Cafes, restaurants, hotels, offices, coffee lovers and gift buyers.

What we do not do. We do not sell coffee past its freshness window, make claims about sourcing we cannot back up, roast without proper ventilation and safety checks or promise customers a particular price when green coffee prices swing.

How we are run. I am the owner and head roaster. A roaster and packer works with me from Year 1 and a second joins in Year 3. A part-time tasting room barista works from Year 1. A wholesale sales representative joins in Year 2. An accountant keeps the books.

Where things stand today. We have toured two spaces and have a lease offer on one, quotes for the roaster and ventilation, supply terms from two green coffee importers, a draft wholesale price list and early interest from five cafes, a restaurant and a ski lodge. (Replace this with where you really are.)

Problem & Opportunity

Many cafes and restaurants buy coffee from large distributors. The coffee may be roasted weeks before it arrives, the supplier may not train staff and orders may be delivered on a schedule that does not fit. Small cafes struggle to get the attention of big roasters. Some local roasters are inconsistent or hard to reach.

Consumers also want better coffee. They buy bags at grocery stores without knowing the roast date or the source. They may like specialty coffee but find it hard to buy fresh coffee regularly.

Roasting is also a business with real risks. A roaster is a large machine that uses gas and heat and needs proper ventilation. Green coffee prices are volatile. Stock must be bought in advance and roasted to order. The first customers may take months to find.

For a new roaster, the hard parts are the cost of the roaster and the build-out, buying green coffee in the right quantities, winning wholesale accounts and building an online store.

We want to be clear about what we know and do not know. Specialty coffee is a real and growing category, and local roasters win loyal customers with freshness and service. We do not know how fast accounts will come, so our plan assumes a loss in Year 1 and cash to cover it. We will use current local numbers on cafes, restaurants and competing roasters in our final plan and will not overstate them.

Products & Services

Ridgeway Coffee Roasters will roast fresh coffee, deliver it on time and help customers serve it well.

How it works, step by step:
1. Source. We buy green coffee from importers who share the source and farm information, and cup samples before buying.
2. Roast. Each batch is roasted to a profile, logged and cooled, and we taste samples to check quality.
3. Rest and pack. Coffee rests for a short time, is packed in bags with a one-way valve and is labeled with the roast date and tasting notes.
4. Wholesale delivery. We deliver to cafes, restaurants and offices weekly or biweekly, with fresh coffee and a short check of their equipment.
5. Retail. Customers buy bags in our tasting room or online, or subscribe for regular shipments.
6. Tasting room. Customers sample coffee, learn to brew at home and can attend a monthly class.
7. Train. We offer wholesale staff a short training on brewing, dialing in espresso and cleaning equipment.
8. Review. We track sales and feedback by account, adjust roasts and share results with customers.

Why this approach is strong. Fresh coffee, consistent roasting and reliable delivery build long-term wholesale accounts. Online sales and a tasting room increase margin and visibility.

Market Analysis

Who we serve: cafes, restaurants, hotels, offices, ski and outdoor businesses and coffee lovers in our region and online.

Our primary group is cafes and restaurants that want a local roaster. Our secondary group is retail customers who buy online and gift buyers. We will use the most recent local numbers on cafes, restaurants, visitors and competing roasters in our final plan.

How we sized our plan. We plan about 20,000 pounds of wholesale coffee (about 385 pounds a week), 6,000 retail bags and 14,000 tasting room drinks (about 38 a day) in Year 1, growing to 46,000 pounds, 16,500 bags and 21,500 drinks by Year 5. Our Year 1 prices are about $9.50 per pound wholesale, $16.50 per retail bag and $4.80 per drink, rising about 3% a year.

Demand data. Early interest from five cafes, a restaurant and a ski lodge covers part of the first months. We do not count on any one account. Visitor seasons raise demand for wholesale and the tasting room.

We do not take every account. We decline very small orders that would not cover delivery, and we say no to price promises when green coffee prices are unsettled.

Competitive Landscape

Other choices for customers, and what makes us different.

- Large national roasters and distributors. They have low prices and many products. We offer fresh coffee and a local team.
- Other regional roasters. Some are excellent. We compete on freshness, service and training.
- Grocery store coffee. It is cheap and convenient. We offer coffee roasted days ago, with notes on source.
- Cafe chains. They sell coffee in cups. We sell fresh coffee in bags and train cafes.
- Online subscription roasters. They offer variety. We offer a local roaster and a tasting room.

What makes us different.
- Small-batch roasting with a roast date on every bag.
- Wholesale training and equipment advice.
- Honest information about sourcing.
- A tasting room where customers can learn and try.

What we do not claim. We are new. Larger roasters have more equipment and capital. We plan to earn accounts one cup at a time.

Marketing & Sales Strategy

How we will reach customers.

Cafes and restaurants. We will visit cafes, restaurants, hotels and lodges, bring samples and offer a free tasting and a trial order. Our wholesale representative will join in Year 2.

Online. A website with an online store, subscriptions and gift boxes, a Google business listing, reviews and social media with short videos of roasting, with permission.

Tasting room and events. We will open a small tasting room, host monthly cuppings and classes and take part in local markets and festivals.

Offices and gifts. We will offer office coffee programs and gift boxes for businesses and holidays.

Partnerships. We will partner with bakeries, bike shops and outdoor businesses for cross promotion.

Pricing. About $9.50 per pound wholesale, $16.50 per retail bag and $4.80 per drink in Year 1, with volume discounts for wholesale.

Operations Plan

How the business will run.

Setup (the 4 to 5 months before opening). We will form the LLC, get an EIN and open a business bank account, sign the lease, get the business license and food permits and inspections, install the roaster with ventilation and gas and electrical work, set up the tasting room and packaging area, buy the opening stock of green coffee, write the wholesale terms and train staff.

The roastery. A leased space of about 2,000 square feet with a roasting area, a packing area and a small tasting room. Rent and utilities are $32,000 a year in Year 1.

Staffing. In Year 1: I serve as owner and head roaster. A roaster and packer, paid $34,000 a year, and a part-time tasting room barista, counted as a full-time equivalent and paid $25,000 a year, work with me. A wholesale sales representative, paid $38,000 a year, joins in Year 2, and a second roaster and packer joins in Year 3.

Costs. Green coffee, bags, labels and cups cost about $5.30 per pound wholesale, $7.90 per retail bag and $1.35 per drink in Year 1. Insurance is about $4,800 a year, shipping and packaging about $9,000, marketing and cafe samples about $7,200 and equipment service and roaster maintenance about $3,600.

Quality and safety. We roast to written profiles, log each batch, cup before shipping, clean the roaster and ventilation on a schedule and keep fire safety equipment and a written plan for emergencies.

Payments. Retail sales are paid at checkout. Wholesale accounts pay on terms of about 26 days, so about $24,934 is owed to us at the end of Year 1.

Insurance. We carry general liability, product liability, property and workers' compensation.

Management & Organization

The people who will run Ridgeway Coffee Roasters.

Brett Sorensen, owner and head roaster. Ten years in coffee, including six years as a roaster and quality manager at a regional roaster, where he managed sourcing and trained cafe staff. He leads roasting, sourcing, wholesale and finance. (Replace this paragraph with your own background.)

Roasters and packers (from Year 1). Roast, pack and ship orders. A second joins in Year 3.

Tasting room barista (part-time, from Year 1). Serves customers and runs tastings.

Wholesale sales representative (from Year 2). Builds and keeps wholesale accounts.

Outside advisors. A cafe owner, an accountant, an attorney, an insurance broker and a free mentor from SCORE or the Small Business Development Center.

Staff pay in this plan is a full year per person: owner and head roaster $46,000, roaster and packer $34,000, tasting room barista $25,000 per full-time equivalent and wholesale sales representative $38,000. Replace them with the pay you can offer where you live.

Milestones Narrative

Our goals and when we plan to reach them.
- Before opening (4 to 5 months ahead): sign the lease, get the business license and food permits, install the roaster and ventilation, order opening green coffee, sign at least 5 wholesale accounts or letters of interest and finish the website and store.
- Year 1: about 385 pounds of wholesale coffee a week and a tasting room; $356,200 in sales and a loss of about $21,600.
- Year 2: a wholesale sales representative and about 560 pounds a week; $529,390 in sales and a profit of about $18,100.
- Year 3: a second roaster and packer and about 700 pounds a week; $678,340 in sales and a profit of about $36,800.
- Year 4: about 810 pounds a week and the first strong profit; $814,035 in sales and a profit of about $86,000.
- Year 5: about 885 pounds a week with a steady base of wholesale accounts; $914,245 in sales and a profit of about $111,800.
Growth depends on winning and keeping customers, so treat the later years as goals, not promises.

What we check every week: pounds roasted and sold, wholesale accounts and orders, online orders, green coffee on hand and its cost, waste, unpaid invoices and cash in the bank.

Funding Request

How much we need and how we will use it. Total we are raising: $200,000.

How we got that number. The Funding Need Calculator in this plan adds up three things:
- Startup costs of $131,800, listed item by item in the Startup Costs section: $52,000 for fifteen-kilogram drum roaster with afterburner; $12,000 for grinders, scales, bagging and labeling equipment; $18,000 for tasting room espresso machine, grinders and bar equipment; $8,000 for ventilation, gas line and electrical work for the roaster; $14,000 for opening stock of green coffee, bags, labels and cups; $7,200 for lease deposit and first month of rent; $2,200 for business license, food permits and health inspection; $3,800 for attorney and accountant: lease review, LLC and books; $9,000 for branding, packaging design, sign and a website with online store; $5,600 for insurance down payment and grand opening.
- The cash the business uses before it breaks even, about $22,800. The roaster, buildout and first stock of green coffee are paid before accounts build, and wholesale customers pay on terms, so cash is needed in the early months.
- A cash cushion of about $43,100: three months of Year 1 operating costs.
- Together, the cash used before break even and the cushion come to about $65,900, and the three pieces add up to about $197,750, rounded up to the nearest $500: $198,000.
We are raising $2,000 more than that, $200,000 in all, to cover a slower first year than planned and the wholesale sales representative added in Year 2. With this funding, the lowest year-end cash balance is about $67,900, at the end of Year 1.

Where the money comes from:
- My own money: $80,000.
- SBA 7(a) loan: $120,000.

Kind of funding we are looking for. An SBA 7(a) loan from a lender that finances small food and beverage manufacturers, backed by my own savings and the roaster and equipment as collateral.

How we will pay it back. We expect a loss of about $21,600 in Year 1, a profit of about $18,100 in Year 2, a profit of about $36,800 in Year 3, a profit of about $86,000 in Year 4 and a profit of about $111,800 in Year 5. With this funding, the business has money in the bank at the end of every year of the plan. Our loan is the SBA 7(a) loan at 12.5% over 10 years, about $1,757 a month. That payment is already included in our cash flow. We chose these as cautious planning rates; ask the lender for the real rates, which may be lower or higher.

What we are offering the lender: the roaster and equipment and my personal guarantee.

A smaller first step, if needed. If we cannot raise the full amount right away, we can start smaller and grow into this plan:
- Phase 1: start with a smaller used roaster, no tasting room bar and a smaller stock of green coffee, with the owner roasting, which lowers startup costs and the loan.
- Phase 2: once accounts are steady, add the tasting room, the sales representative and a second roaster and packer and follow this plan.
To plan the smaller start, make a copy of this plan (use Duplicate) and lower the numbers to match.

All numbers in this plan are estimates. We will update them as real results come in.

Appendix Notes

Documents to attach before you send this plan:

- Your resume and a personal financial statement (a list of what you own and what you owe; lenders usually provide a form).
- Business registration papers and your EIN (your business tax number from the IRS, free at irs.gov).
- The lease or a letter of intent from the landlord.
- Quotes for the roaster, ventilation and bar equipment.
- Your food permit and fire safety plan.
- Supply terms from green coffee importers and your wholesale price list.
- Letters of interest from cafes, restaurants and offices.
If you don't have any of this yet, no worries - let's continue.

The assumptions behind our numbers (change them in the Financials section to match your own):
- Wholesale Coffee to Cafes and Offices (per pound): about $9.50 in Year 1, rising to $10.69; about $5.30 in direct costs, rising to $5.97; about 20,000 in Year 1, growing to 46,000.
- Online and Retail Bags (per 12-ounce bag): about $16.50 in Year 1, rising to $18.57; about $7.90 in direct costs, rising to $8.89; about 6,000 in Year 1, growing to 16,500.
- Tasting Room Drinks (per drink): about $4.80 in Year 1, rising to $5.40; about $1.35 in direct costs, rising to $1.52; about 14,000 in Year 1, growing to 21,500.
- Wholesale pounds in Year 1 are about 385 a week, rising to about 885 a week by Year 5. Prices rise about 3% a year and green coffee costs about 3% to 4%, but coffee prices can change quickly.
- Equipment ($90,000 in Year 1) covers the roaster, grinders and packaging, the bar and the ventilation work, and later years add small equipment.
- Pay (a full year, per person): owner and head roaster $46,000; roaster and packer $34,000; tasting room barista (part-time, full-time equivalents) $25,000; wholesale sales representative $38,000.
- Other yearly costs in Year 1: rent and utilities $32,000, insurance $4,800, shipping and packaging $9,000, marketing and cafe samples $7,200, equipment service and roaster maintenance $3,600, accounting and legal $3,400, payroll taxes $7,500. These grow between 3% and 12% a year.
- Startup equipment and later purchases ($90,000 in Year 1, then $5,000, $5,000, $8,000 and $5,000) are spread evenly over five years in the plan's books.
- Customers and payers pay about 26 days after service, so at the end of Year 1 about $24,934 is still owed to us. Income tax at 21%.
- Every dollar amount is an estimate. Replace them with your own quotes and research.

Startup Costs