5 Tips for cash-flow health in your Café

Staying cash-flow healthy is always top of mind for anyone operating a hospitality business. The ebbs and flows that come with running a café only heighten the importance of tracking that cash. 

We've worked with over 75,000 hospitality businesses across the globe, and have garnered some essential insights for your cash-flow healthy. 

1. Fit out once. Fit out well

There's no hiding that the fit out of any hospitality venue is expensive. But a poorly executed fit out will cost more in the long run. Whether you're considering launching a new venue, or wanting to update one already established, take the time to plan out and logistically manage the impacts well before you begin. 

When it comes to choosing and investing in the right hospitality equipment for your venue, have you considered SilverChef's Rent-Try-Buy.^ 

The flexibility of renting equipment means you can easily change or upgrade at anytime.

So if that 2 Group coffee machine is no longer keeping up with demand, you would be able to easily upgrade to a 4 Group.

2. Diversify offerings 

Put pen to paper and list any opportunities where you can add variety to your café's offerings. Seasonal menus, speciality drinks (think National Donut Day and what fun you could have there) and branded merch are a great place to start.

Look at your off-peak and closing times and seek out opportunities here as well. Have you considered renting out your kitchen or space for events when you're closed? Or hosting book clubs, classes or similar during low-peak times?  

Trial opportunities and hold onto any high-margin wins! 

 

3. Leverage technology 

Do not skip on the impact digital tools will have on your operational success. Inventory management, online ordering, and reservations are the bare minimum, but have measurable impact. Similarly, the groundwork put into a clean and consistent online presence will save marketing time and dollars in the future.  

Ensure that you are easy to identify, and review, online and the internet will do a lot of work for you.

 

4. Sustainable equipment 

How much is your equipment costing you? Maintenance, repairs and high energy costs can create a painful dent in the cash flow of a café. Upgrading to more efficient equipment might make all the difference in your ongoing costs.

SilverChef's Rent-Try-Buy means you can easily upgrade or change equipment as you need.^ Perfect for those equipment pieces that regularly need maintenance or repairs.

5. Be change-clever   

Keep a close eye on your profit margins and operating costs at all stages of running your café. Don't just dive into the numbers when things are getting tight and avoid basing success on what might feel like a busy season.

Having a deep understanding of the numbers, and being open to change will make all the difference to your long-term sustainability. 

As always, when running a business your tax agent is your best friend! Establish a solid relationship with them and ensure you're enlisting their insight for all stages of your café's success. 

When cash is king, the smallest changes often make the biggest impact! Let's keep more cash in the pocket of your café!

^ Terms and conditions apply. Customers should seek taxation, legal or other professional advice independent to their personal circumstances, before applying.