Small neighbourhood café

Local residents, nearby office and shop workers, parents and regulars who come in most days.

Sales of drinks and food, with coffee giving the best margin. Repeat customers, takeaway trade and wholesale pastries or catering can add to it.

• Barista and basic food prep skills
• Managing stock, costs and rosters
• Customer service and running a team

• Food business registration with your local council and a food safety supervisor, check your state requirements
• Council approval for the premises use and fit-out, plus any signage or outdoor seating permits
• Lease terms, bond and fit-out costs, ideally reviewed by a solicitor
• Public liability, property and contents insurance, and workers compensation once you hire staff
• Staff award wages, penalty rates and superannuation, check the Fair Work Ombudsman
• Long hours and thin margins, so test your numbers before signing a lease

Startup costs are typically around $60,000 to $300,000, depending on your premises, fit-out and equipment. Lease terms, bond and fit-out costs are worth having reviewed by a solicitor before you sign.

Monthly revenue is typically estimated at around $20,000 to $90,000, depending on your location, menu and opening hours. Long hours and thin margins are common, so test your numbers before signing a lease.

Check food business registration with your local council, a food safety supervisor requirement in your state, and council approval for premises use, fit-out and signage. Also check insurance, workers compensation, and award wages, penalty rates and superannuation with the Fair Work Ombudsman.