Would you like to buy a coffee? $1.50 ( & why I would love to sell it to you! :)

For those that know me well I am always talking about high margins, high net and low employee costs. These are my favorite business models and a topic I enjoy talking about.

Lets talk about coffee for a minute (just coffee, nothing else!) 

Example:

Say you can get a 5lb bag for $25 each and you produce about 150 cups per bag (30 cups per pound). That comes out to 16 cents per 12oz coffee which you're selling for $1.50 each

Gross Margin:
89.33%

Gross Profit:
$ 1.34 per cup.                                     BEAUTIFUL!

Coffee shops bring in approximately $10 billion in revenue per year