I think you are right that the equipment is only a small outlay, i also think you will find that a lot of coffee houses make good profits. One thing that you havent mentioned though is location. For a coffee shop location is eveything. remember with a limited range and a product that does not have a huge margin means you have to sell a lot of it. If you locate your business in an area that is not an absolute certainty of walk ins and i mean a lot of walk ins the business will fail.

You most certainly will be able to find a location that will provide you with enough customers but i think you will find that the property owner will also know that the shop is in a good position and you will be looking at a lot of rent.
good luck.

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