Nook Update: How's the project coming along?
Are the wheels of bureaucracy complicating things yet?
The internet tells me that about 1 in 5 adults in the U.S. (1 in 8 adults globally), 16-19% of the U.S. population, over 31 million people in the U.S are entrepreneurs or engaged in entrepreneurial activity like starting a business.
The internet also tells me that just over 20% of startups fail within the first year, 50% by year 5, and more than two thirds fail within the first 10 years.
These numbers are probably higher.
It isn’t positive out there for little ol’ me trying to open up a bookstore and coffee shop. We know that books are a tough business, but coffee is universally beloved and offers the opportunity for higher margins that new books don’t have. We’re taking the advice that non-book items will be what keeps my bookish business alive.
My husband and I both have complementary skills in business - mine being day-to-day management and implementation, while he's got strategy and finance on his side. I’m not naive to believe that this business will be without tribulations, but I am hopeful that with our skills we can successfully execute on this dream idea.
It’s been about 6 weeks since we created the LLC. Since then, it feels like I’ve made some progress, but not nearly enough. I know that the heavy lifting of opening the business really heats up the 12 weeks before opening, but it requires foundation be laid, which is the step we’re in. And this is grueling.
Business plan and menu are solid. I keep making tweaks here and there, but it is ready to present and execute at any time. It’s all about making those cafecitos perfect now.
Logo is still in progress being worked on by a friend of my husband’s. No ETA or details yet, other than he’s received it and will be starting on it soon. big sigh I’m thankful that he’s well recommended and willing to help.
Food service manager certification course is underway. I’m on hour number 4 (I think??). A little early for it, but these are small things I can do that are required, low risk, and have the longevity (valid for 5 years) to be done a little earlier to avoid overloading myself during those final weeks.
Sourcing new books will happen closer to open date, but sourcing used books is an interesting process. I don’t want to only purchase them from wholesalers. Curating a used section with high quality finds at sub-prices by thrifting and hunting at estate sales is the other part of the plan. It takes time to find good books. More importantly, I’m having a ton of fun amassing a collection I can be proud to make available to customers in the future. I do wish I’d get lucky and find some cool first editions or used signed copies. fingers crossed
Location, location, location. This is supposed to be the single most important decision I’ll make, and the one that will really kick-off the countdown towards an opening date. However, it seems pretty impossible at the moment.
I live on the outskirts of a busy, tourist town most months out of the year. My initial thoughts were to focus on finding a location in the heart of the city. It would offer steady tourist sales, peak months of the year when there are national events held here, as well as the hope of building some regulars on top of it. Well, that’s the same idea everyone else had, and I’m not sure I can see a home for me there. In downtown, the amount of businesses I’ve seen open and close is unreal because it isn’t just the location, but the quality of your product, price, and accessibility when stacked up against 6 other similar competitors plus a national chain in the same 2-block radius. The coastal cities have this thing about water credits, which is a kind of crazy considering we’re on the water. It isn’t a huge hindrance if the location is right, but it is another thing to add on to the long list of things to consider. Premium spaces cost premium prices. It sounds easy enough to meet the demands by selling more, but the internet reminds me that the #1 reason for start-ups to go under are cash flow issues. I’d rather not start in the red because of my largest fixed expense is not sustainable. Others have build out costs that exceed anything that’s rational because cities are requiring so many upgrades on older buildings that you’re investing decades worth of work that owners themselves aren’t willing to do with no TI allowances. Meanies! Some towns already have a variation of what I’m introducing, so those are out. And others are too far to make sense for me to drive in and out every day.
Finally though, I’d found one spot worth mentioning. I liked the space. It was local, close to home, and though a little larger than I’d wanted it had potential. It wasn’t without fault and had its own set of challenges, but I thought it could be manageable. The contractor costs to build out the cafe area? In the range of 60k!!! That’s without even building out the rest of the shop. I’m……still speechless honestly. It’s off the list.
Now, I’m off to a new location with a lot of local foot traffic that has several units available. The cost on this one is all around lower, so that’s a win. Still early but I’m hopeful to at least prepare an LOI, which is another nail biter because who isn’t freaking out about being scrutinized by a bunch of strangers.
My husband is optimistic that once we find the right place, it’ll feel easier. Even so, the permitting and build out work will require weeks & months of approvals and inspections and more round and round until we’re safe and ready to go.
All in all, it feels like I’m wading through molasses. Sometimes I wonder if that fail rate includes those who quit this early on in the process. Discouraged by the red tape. It can’t be easy to have an idea and realize that you can’t just buy an espresso machine, books, move in and start selling. The wheels of bureaucracy are holding on real tight. Cities, counties, agents, brokers, contractors, and others that for various reasons make the process of starting a business a marathon, not a sprint.
To do lists and reading are the only things keeping my overstimulated brain sane.