Reading time: 7th Minutes
We are traditionally a nation of tea drinkers – but coffee is fast becoming a household favorite in the UK too! And the best part is, coffee can make you money – even start a business in lockdown. Really!
- Sell coffee online
- Set up a coffee van business
- Business setup tips
- More ideas for making money
Sell coffee online
If putting up a coffee cart isn’t your street, there is another way to make money off of coffee! You can sell it online. For example, you can become an affiliate partner of a coffee wholesaler and generate income quickly and easily without having to manage inventory yourself. This is a great way to grow your income without a huge capital outlay – and once you have your online audience, it’s a source of income to take care of itself.
Start a blog or vlog
Blogging and vlogging (i.e. on YouTube) have become legitimate ways to make money in the last few years. It won’t happen overnight – but with a little hard work, you can make a lot on affiliates and sponsored ads over time!
We have an article for Anyone Starting a Blog How To Make Money Vlogging article for detailed step-by-step guides to get you started.
Build a social fan base
Once you’ve set up a blog or vlog, you need to find your audience! Stay on social media and start connecting with people who want to read or see the things you talk about. For example, they could be other mothers if you create content for parents, or lifestyle influencers if you focus on fashion. Whatever your niche, there is an audience for it – you just have to reach out and find it!
Register as an affiliate
Register as an affiliate with coffee partners or other products to start making money. Every time someone clicks on your personal link for the product on your blog and makes a purchase, you will receive a percentage payment. Sometimes it’s a percentage of the total spend, while sometimes it’s a fixed fee when someone purchases from your link.
You can also create lots of affiliate partnerships so you can always promote lots of content and generate income!
Promote your affiliate links
You have your social channels as well as your blog or vlog to focus on your coffee affiliate products – so take advantage of them! Legally, you need to #advertise or otherwise highlight that the post you are creating is a sponsored advertisement. In addition, you can rave about your products via your social media channels and your blog and link to your blog – or directly to the affiliate partner. This is a great way to ensure that everyone who follows you is a potential affiliate customer!
Set up a coffee van business
This is a great option for anyone looking for a cordon-proof business idea! With so many venues and businesses closing (and then closing again) due to the coronavirus, starting a new business is a risky option. Unless you can take your business with you wherever you go!
A coffee cart that is either set up in popular pedestrian zones or visits local commercial areas can also be operated when permanent cafes have to be closed. That’s because you run an outdoor business that has take-away-only products! Think of areas where people are more likely to be during lockdown or with restrictions – for example, is there a popular place to go out with dogs that would benefit from a coffee cart in the parking lot? Or maybe you know residential areas with lots of new home workers who really miss their daily barista coffee hit!
To start a coffee van business:
1. Choose a van!
You don’t need a huge van for this type of business. However, it has to meet certain health standards – and you would benefit from being equipped with electricity. Water tanks are also a good idea as this will make the most of your coffee business!
No need to buy a brand new van – try your local sales websites or autotrader to find a used one. Vintage-style vans are popular – and instead of a van, you can always opt for a trailer that attaches to your existing vehicle.
This is by far your greatest expense. However, over time, it’s much cheaper than renting a property – and since it’s a vehicle, the cost is offset as a capital asset on your tax return.
2. Buy your equipment
If you’ve bought a used coffee cart, most of the equipment is likely included. Make sure it meets all security requirements – such as:
However, when converting a vehicle into your coffee cart, you need to find a quality coffee maker that will stand the test of time.
3. Choose your coffee and catering supplier
The cheapest coffee may save you a bundle at first – but it doesn’t secure returning customers. Take the time to get in touch with a number of coffee and catering wholesalers (because we all like a biscuit with our mug). Check the quality of the products yourself – otherwise you could build a reputation for selling underperforming products!
Also consider in detail the items that you want to offer. A huge menu with lots of different coffees and snacks sounds great at first – but that means buying lots of inventory, storing it, and making sure it’s all used up before the expiration date. In the beginning, it’s often better to start with a small and focused menu that you can expand once you’ve built a loyal customer base.
4. Do your HACCP hygiene training
To operate any kind of catering, you need a hygiene certificate. This is known as a Hazard Analysis and Critical Control Point certificate – or HACCP qualification. It’s a legal requirement – and you must ingest it before serving a single cup of coffee to a customer!
You can complete the training online at various training companies. Choose a provider by searching Google for online HACCP training and checking customer reviews, their credentials and the company’s uptime.
This is an expense to be paid for – but remember, these items will be included as an expense on your tax return!
5. Register and insure your company
We’ll talk more about the technical aspect of starting a business below – but you need to do this before you start trading. Register your business with HMRC – you may want to opt for a limited liability company structure that costs something to set up but gives you extra protection from debtors, insurance and VAT costs.
You will also need to register with your local council and arrange for an environmental inspection before you can start trading.
Insurance is essential! You need at least business liability insurance – that is, if a member of the public is injured by your business (e.g., burned by coffee that is too hot), you are legally covered for their claims. You cannot skip this insurance – it is required by law.
6. Research locations
Make sure you know where you are going with your van! You may want to develop a regular route to local business parks – or even residential areas – but make sure you have the necessary permits. It’s also important to check if you need permits to settle in a more permanent location – like the parking lot of a dog run, as mentioned earlier. You may not need a permit – but always check first.
Look at areas that you think are generating high traffic – this increases the chance of getting more customers every day. The advantage of a coffee cart is that you can get your business to the people – so look for underserved areas (ex.
7. Spread the word
You have to tell people where to find you! The advantage of social media is that it’s free, easy to use, and quick to customize. So if your location changes from day to day, you can look up where you can be found on that particular day (instead of a print ad in a newspaper, for example). Set up a few social media platforms – Twitter, Instagram, and Facebook are best for this type of business – and start building a local audience.
You can also advertise directly to local businesses or community groups to let people know when you will be around. Make sure you talk about what you are selling, your price list is always on hand and all of the specials that you have on offer.
Found a company
We have many articles that go into depth about starting a business, but here are the most important things you MUST do before you get started!
1. Register with HMRC
You have to register your company with HMRC – even if you “only” run a blog with affiliate partner links. As your blog grows, you can easily make thousands a year – and that needs to be reported to the tax office!
2. Insure yourself
At the very least, you need liability insurance. If you work online, you can also opt for liability insurance that can protect you if, for example, a third party company turns out to be a scam.
3. Market your business
Branding is more important than you might think! It’s not just about getting a great logo – you need to think about who to target, what your colors and fonts say about your business, and make sure it stands out from the crowd. Branding, when you’re a blogger, can be more personal: Branding yourself as a blog is just like how social media influencers build a fan base and make money.
4. Market yourself
Customers won’t find you unless you tell them you’re there! Whether you sell coffee online or are a local coffee cart owner, make sure you get the word out. Flyers, online promotions, local social media and community groups, even your community newsletter – tell everyone what you’re up to and where to find you.
More ideas for making money
Selling coffee online is just one way to make money during lockdown! Check out these articles next for more ideas on how to make some extra income:
