Entrepreneurship Cafe: Facing the profit dilemma and venturing into incubation and investment

Source: Internet
Author: User

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Starting from 2010, the Entrepreneurial Café industry has arisen. From Hangzhou, Beijing, Shanghai, Shenzhen, to Wuhan, Nanjing, Changsha, Jinan, Zhengzhou, entrepreneurial cafes from the first-tier cities to burn to the provincial capital cities.

In order to facilitate the exchange of business cafes, the founder of the Shenzhen starting coffee Dong Jianqiang launched a "China Venture coffee alliance." Dong Jianqiang revealed that currently joined the alliance's Entrepreneurial café nearly 50, there are also 四、五十家 submitted applications have not been audited.

This means that there are at least hundreds of cafes in the country labeled "entrepreneurial cafes". However, the active entrepreneurial Café is still a strong entrepreneurial atmosphere in the first-tier city.

At the back of the hot business café, most of them face the pressure of survival. China Venture Coffee Alliance promoter Dong Jianqiang Statistics, in nearly 50 entrepreneurial cafes, the profit of not more than 10%, to achieve break-even of about 30%, 60% in the cash flow loss status. In the past two years, there have been four or five business cafes that have been transformed or closed down.

"More than half of the business cafes have not solved survival problems, and it is possible to fall off in the next year or two." But it will not affect the development of the Business Café. "Dong Jianqiang said.

In fact, there is almost a background of investors behind these entrepreneurial cafés, and there is no plan to make money selling coffee. On the one hand, entrepreneurial cafes have a half-public nature, for entrepreneurs to provide free or low-cost services, on the other hand, to meet the needs of investors social and investment projects.

In the long run, if you invest in a project successfully, you may get a hundredfold and thousand times.

Coffee doesn't make money.

Although the garage coffee, 3W coffee, beta coffee, Optical Valley pioneering coffee have been labeled "entrepreneurial coffee" label, in fact, operating ideas and patterns are not the same.

For example, beta coffee is the interest of the White Jay and other people, shareholders do not work full-time, the purpose is to build a circle, to provide Internet Exchange, host the venue. Each coffee shop loses tens of thousands of dollars a year in the range it bears.

Garage Coffee founder Su Ying is highly focused: Focus on running a store, not expanding, to provide entrepreneurs with open Office environment and series of services. Garage Coffee is the first home to provide open office environment Entrepreneurial Café.

3W Coffee is a full-time investment of four partners. From the cubic court of a 200 square meters of loft, moved to Haidian Book city, the area expanded to 1300 square meters, occupy the position of three floors. At the same time, 3W Coffee began the incubation program.

Unlike the café, which has a marked starting mark, the thousand-seek coffee in the 768 creative Industries Park is more like a pure café. 768 Creative Industrial Park is the factory, in this quiet park there are many Internet startups: know, Dolphin Browser, spring rain handheld doctor ... Thousand seek coffee in the spring rain Palm doctor downstairs, beauty boss Wang Yu Xiao will decorate here is very chic, she hopes that entrepreneurs can find the peace of mind here. Unlike garage coffee and 3W coffee, Chihiro earns money from coffee and food, and does not charge an activity venue.

For most entrepreneurial coffee, coffee is only a form and carrier, but not coffee to make money. Coffee instead of teahouses and bars is the reason why coffee is a relaxing mood.

3W Coffee co-founder Xiachong introduced, in Zhongguancun this golden spot, café the main operating costs are rent and personnel. "Coffee, food and beverage turnover rate is very low, simply rely on coffee simply not." "3W Coffee co-founder Xiachong said.

So, whether it's 3W coffee, garage coffee or beta coffee, running activities are an important source of income.

At present, Beijing 3W coffee a slight loss, but Shenzhen 3W Coffee is a profitable state. "Shenzhen 3W Coffee House is the shareholder's low price to us, the rent is very low, so we started is profitable." ”

The White Crow, founder of the Beta Coffee, said: "Entrepreneurial coffee, we are not very profitable." We have no intention of making a profit from the first day. He said he hoped it would be better to achieve break-even. At present, the beta coffee in Hangzhou, Beijing, Guangzhou and other place has four stores, each year to lose tens of thousands of yuan per shop.

Similarly, by the Millet Technology chairman Lei, Optics Valley Software chairman Li Ruchong co-founded the Optics Valley pioneering coffee also does not depend on the coffee to make money. Lei made it clear that coffee must be a loss, because the store staff costs are very high. Our business model does not depend on coffee money, but as an angel investment, which is what Lei is best at. "Optics Valley pioneering coffee deputy general manager Xuanjie said."

The café itself needs cash flow support, though it does not make money from coffee. "If there is no profit for a long time, survival is difficult, cash flow pressure is very big." Either they make money in other ways, or they are only tepid, and finally can't afford to pay the rent. "said the founder of the Venture Coffee consortium.

Entrepreneurship Incubation and investment

Entrepreneurial cafes are groping their way to survive.

China Venture Coffee Alliance promoter Dong Jianqiang introduced, the Business Café revenue comes from several aspects: first, the government, the entrepreneurial park support, subsidies, the second is the venue of the use of activities costs;

"Although we have shareholders, we also raise money, cash flow pressure is not so big, but also can not rely on blood transfusions, we are seeking to diversify the development of their own blood." "3W Coffee co-founder Xiachong said.

3W Coffee moved to Haidian book City, opened up a new business: entrepreneurship incubation. After the arrival of the team, there can be a relatively independent office space in 3W per person each month 999 yuan, can enjoy administrative services, such as water and electricity, administration, air-conditioning heating, property, network, but also to 3 W station as the registered address of the start-up company.

"The café itself is a loss, hoping to feed back through other businesses," he said. Entrepreneurship incubation is a long-term thing. There is a need to harmonize the resources of the various organizations. "Xiachong said.

In addition, 3W coffee set up an investment fund. However, 3W Coffee co-founder Bao Chunhua stressed that the 3W coffee business incubation, start-up services and the fund's operation completely separate.

Garage Coffee revenue channel is mainly the staircase advertising costs and start-up services. In addition to providing an open office environment, the garage has opened up a virtual incubation mode, the entrepreneur does not need to move to the garage office, the annual payment of 1200 yuan service fee can get the garage Coffee series services, including accounts, servers and so on.

According to media reports, as of last October, garage coffee has led to more than 30 investment projects. However, garage coffee is only an intermediary platform for entrepreneurs and investors, and no investment fund has been set up. Su Ying said in a media interview, if the establishment of investment funds means there will be subjective will and not neutral.

Lei and Li Ruchong founded the Optics Valley pioneering coffee with a strong angel investment nature. Optics Valley Pioneering coffee executive vice general manager Xuanjie likened it to "garage Coffee + Innovation Workshop + Angel investment" complex, both provide office space, do pioneering business incubation, and angel investment. Optical Valley Venture Coffee set up 2 months, a fancy two projects, the total investment of 7 million yuan.

Hangzhou Fau Yun Coffee founder Li Zhi believes that the entrepreneurial café industry in the local entrepreneurial atmosphere played a very large role. "A city of entrepreneurial cafes open how much, and the city's entrepreneurial atmosphere is in direct proportion to the Beijing entrepreneurial café, because the entrepreneurial atmosphere is good." ”

He believes that entrepreneurial coffee is a positive signal, and now the loss is normal. When it comes to profitability, the city's entrepreneurial atmosphere is already very strong. ”

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