Well that depends on a number of things.
How many coffees will you sell and what sizes will you sell? Small (8oz) sells for $3.64, medium (12oz) sells for $4.37 and the large (16oz) sells for $5.28, the prices are weird because they don’t include GST.
What are your costs for each sale? Small costs $0.63, medium costs $1.17 and large costs $1.64.
The costs include coffee, cup, lid, milk and sugar.
Then there are the cold drinks – smoothies and frappes sell for $6.75; the cost per sale is $1.90, again no GST included.
Fixed costs need to be taken into account – they include, fuel, registration, insurance and maintenance.
Fuel cost depends on how far you drive each day and that depends on how close your customers are to each other. The system for organizing the efficiency of your run is called engineering so it depends on how much effort you have put into engineering.
Insurance cost depends on your history and where the vehicle is stored.
Including registration and maintenance on average the total cost for the fixed costs can be around $7,000 per year.
Cost of finance depends on your circumstances. Let’s say for this exercise around $14,000 per annum over a 10 year term.
Next is your income from events, these are generally sporting fixtures, weddings, markets etc, so the question is how many events will you attend and how many coffees will you sell at these events.
Our vans attend between none and 100 events per year, I would say around 30 would be average and the number of coffees sold at each event between 50 and 500, average would be at a guess 150 cups (you would not keep attending events that only sold 50 cups).
So there you have it, a lot of if’s and but’s and depends, but don’t despair, to make things a lot clearer we have an interactive profit calculator which we are happy to email to you. You can simply put in what numbers you want and it will produce a profit at the bottom of the spreadsheet.
You can send us your contact details on the contact page and we will email the spreadsheet to you.
Thanks for taking the time to read this, we hope this information helps.