Coffee Roasting Startup Costs: $75K, $140K, Year 1

This US coffee roasting startup budget uses researched planning assumptions for the startup period, not vendor quotes or guaranteed prices The model schedules $140,000 in listed launch funding, including a $75,000 commercial roasting machine, $15,000 packaging equipment, $20,000 initial green coffee inventory, and a $12,000 delivery vehicle deposit It also carries $5,200/month in fixed overhead and $175,000 in first-year payroll, so total funding must cover capital expenditures, pre-opening expenses, inventory, and working capital

Estimate Startup Costs with Calculator

Startup CAPEX Calculator

Estimates capitalized startup assets only for a coffee roasting business, not total funding need.

Capex only This calculator estimates capitalized startup assets only. It excludes green coffee inventory, rent deposits, payroll runway, licenses, marketing, working capital, debt service, and other operating cash needs.

What does the CAPEX tab show?

The screenshot's Coffee Roasting Financial Model Template CAPEX tab shows startup costs, Month 1–8 timing, and depreciation/amortization. Review assumptions.

Key screenshot highlights

$75,000 roasting machine
$15,000 packaging equipment
$10,000 storage silos
$8,000 furnishings
$20,000 green coffee
Month 1–8 launch spend
Depreciate and amortize assets
$624,000 Year 1 revenue
$5,200 monthly overhead
$175,000 payroll
35% variable fees

Coffee Roasting Financial Model capex inputs detailing capital expenditures, equipment purchases and setup costs and letting users customize investment timing, depreciation and funding needs for projections.

How much money do you need to start a coffee roasting business?

For a Coffee Roasting startup, plan around $140,000 in listed launch funding, but treat it as a planning base case, not a final quote, because it excludes owner salary runway, debt service, unpriced permits, and post-launch losses; track the cash logic behind that number with What Is The Most Important Measure Of Success For Your Coffee Roasting Business?. The $75,000 roaster is only one piece of the budget, not the business.

Startup Cash

$75,000 commercial roaster
$15,000 packaging equipment
$10,000 storage setup
$20,000 green coffee inventory

Operating Reality

$8,000 furnishings
$12,000 vehicle deposit
$5,200 monthly fixed overhead
$175,000 Year 1 payroll

Here’s the quick math: the funding plan supports 15,000 package units in Year 1 and projected revenue of $624,000, so the real question is whether sales ramp fast enough to cover payroll and overhead before cash gets tight.

What are the hidden costs of starting a coffee roasting business?

The hidden costs in Coffee Roasting usually hit in three places: pre-opening buildout, monthly overhead, and inventory that ties up cash before sales start. For a quick owner-payback frame, see How Much Does The Owner Of Coffee Roasting Business Typically Make?—because these costs can swallow early margin fast.

Pre-Opening Costs

Ventilation, gas, and power upgrades
Fire inspections and smoke control
Permits, insurance, and legal setup
$20,000 green coffee inventory upfront

Monthly Cash Burn

$5,200 fixed overhead each month
$3,500 rent and $800 utilities
$250 insurance, $400 accounting and legal
$250 to $2,200 per unit costs

How does commercial coffee roaster size cost change startup budget?

Commercial coffee roaster size can move your startup budget fast, because the machine is only the base. Using a $75,000 roaster as the anchor, the starter budget is already about $108,000 before any gas, electrical, ventilation, smoke control, or fire-code upgrades, and your Year 1 plan points to about 15,125 lb of roasted coffee.

Base budget drivers

$75,000 roaster anchor
$15,000 packaging and sealing
$10,000 green bean storage
$8,000 furnishings

Output and size tradeoff

10,000 D2C 12oz bags
2,000 D2C 2lb bags
1,000 wholesale 5lb units
500 wholesale 10lb units plus 1,500 subscriptions

Calculate Fuding Needs

Startup cost summary table

This table summarizes the main startup assets and excluded launch cash for a coffee roasting business.

Highlighted CAPEX$140,000Base planning example

Excluded cash needs$1,146,000Outside CAPEX total

Funding need$1,286,000CAPEX + excluded cash needs

Cost Category	Base Estimate	Main Cost Driver	CAPEX Calculator
Commercial Roasting Machine	$75,000	Roaster size and installation	Yes
Packaging & Sealing Equipment	$15,000	Packaging line capacity and setup	Yes
Green Bean Storage Silos	$10,000	Storage volume and bin build	Yes
Initial Green Coffee Inventory	$20,000	Initial bean buy and spoilage	Yes
Roastery Setup, Furnishings, and Vehicle Deposit	$20,000	Buildout, furniture, and delivery deposit	Yes
Working Capital Reserve	$1,146,000	Minimum cash and launch losses	No

Coffee Roasting Core Five Startup Costs

Roasting Equipment And Installation Startup Expense

Installed CAPEX

Treat the roaster as installed CAPEX, not just a machine buy. The base plan uses a $75,000 commercial roasting machine scheduled during startup, plus freight, installation labor, commissioning, utility tie-ins, and compliance coordination. Batch size and daily roast schedule should drive capacity, or you can pay for output you cannot use.

What It Includes

This line should cover the roaster plus loader, destoner, cooling tray, and control system. It also needs gas service, ventilation path, and any afterburner requirement. Pair it with the $15,000 packaging and sealing setup, or roaster output can sit idle when packing slows.

Right-Sizing

Keep costs down by getting quotes for equipment and install together, then buying only the capacity you can pack and ship. A bottlenecked packaging line wastes roaster time, so line up the $15,000 sealing line before oversizing the roaster. One clean install beats two rushed fixes.

Budget Checks

Lock the budget by answering five questions: batch size, daily roast schedule, gas service, ventilation path, and landlord approval. If the building needs extra vent or utility work, installed cost rises before the first roast. What this estimate hides is timing risk, since compliance and utility work can delay commissioning.

Facility Build-Out And Utility Readiness Startup Expense

Build-Out Budget

This is the facility build-out line, separate from the $75,000 roaster. It covers lease deposits, floor layout, utility tie-ins, gas line capacity, electrical capacity, ventilation, smoke control, fire suppression, inspections, and landlord improvements. Quote the space, not just the machine, because a ready site and a rough shell can create very different opening costs.

Landlord Work

Split the scope by payer. Landlord-funded work usually means base-building fixes, while tenant-funded work covers roastery fit-out and equipment-ready hookups. The key check is whether gas, power, venting, and fire protection already support roasting. A space that is almost ready can still need weeks of work before the first batch.

Check gas line capacity first.
Verify electrical load early.
Confirm vent and suppression paths.

Start-Up Delay Risk

Do not plan production until inspections clear and utility work is done. Delays often come from ventilation, smoke control, or service upgrades, and they keep rent running. Fixed overhead starts at $3,500 rent plus $800 gas and electric each month from Month 1, so a late opening burns cash fast.

Open-Ready Site

Build the budget from quotes for deposits, improvements, and commissioning, then add a cushion for rework. Here’s the quick math: the machine price is only one part of opening cost. If the building is not roast-ready, you pay for both the equipment and the space work before any coffee ships.

Production, Packaging, And Quality-Control Startup Expense

Reusable Gear

This line covers reusable production gear, not green coffee. The base setup is about $25,000, made up of $15,000 for packaging and sealing equipment plus $10,000 for silos, scales, bins, shelving, bag sealers, grinders, labels setup, cupping supplies, sample workflow, and quality-control tools. That spend helps you make sellable roasted coffee, but it is not inventory.

Unit Cost Math

At 15,000 units a year, bag and label spend changes fast: $11,250 if all units are 12oz at $0.75, $15,000 for 2lb units at $1.00, $22,500 for 5lb wholesale at $1.50, and $30,000 for 10lb at $2.00. That is operating cost context, so keep it separate from startup CAPEX.

Keep It Lean

Keep the line lean by buying for the first 15,000 units, not for an ideal future mix. Standardize the reusable tools, and buy labels and bags only against the formats you will ship. The common mistake is folding inventory into equipment or buying more capacity than the roast and pack flow can use.

Separate inventory from equipment.
Match tools to current formats.
Avoid buying unused capacity.

Sellable Output

This setup turns roasted beans into finished units that can be weighed, packed, sealed, labeled, sampled, and checked before shipping. For a 15,000-unit Year 1 run, the workflow has to keep pace with roast output so packaging does not cap sales. One clean production flow now matters more than adding extra gear later.

Initial Inventory And Consumable Supplies Startup Expense

Inventory, Not CAPEX

Green coffee, packaging, labels, shipping materials, storage containers, samples, and test-batch loss belong in inventory or consumables, not equipment. The base model sets $20,000 of initial green coffee inventory before launch, so the real question is how much stock you need to fund the first roast cycle without tying up cash too long.

Bean Sizes

Use purchase size to match the roast plan. Unit assumptions are $250 for D2C 12oz and subscription 12oz, $500 for D2C 2lb, $1,200 for wholesale 5lb, and $2,200 for wholesale 10lb. Bigger lots fit wholesale commitments; smaller lots fit direct-to-consumer orders and subscription cadence.

Match buys to roast dates.
Keep lots tight for subscriptions.
Reserve larger lots for committed accounts.

Shrink Control

Keep shrink low by buying closer to demand, not by stocking extra. Test roasts, samples, and slow-moving bags all tie up cash, and stale inventory hurts the cash conversion cycle because money leaves before sales come back in. Roast smaller lots, track sell-through fast, and avoid overbuying packaging or labels.

Working Cash

Here’s the quick math: inventory only works if it turns fast enough to support the roast schedule. If wholesale 10lb orders are committed, larger bean purchases can be efficient; if sales are mostly D2C 12oz and subscriptions, smaller buys reduce dead stock and keep cash free for the next roast run.

Compliance, Insurance, Launch, And Pre-Opening Startup Expense

Pre-Opening Spend

Permits, insurance, legal setup, website, branding, training, launch marketing, inspections, and payroll belong in pre-opening expense, not equipment CAPEX. The model carries $250 insurance, $400 accounting and legal, $150 website hosting and maintenance, and $100 office supplies per month, plus $175,000 first-year payroll before the roastery opens.

Cost Build

This line covers launch work that gets the business ready to trade: filings, policy setup, site content, identity work, staff training, and pre-open checks. To estimate it, use monthly fees × launch months plus one-time quotes for legal, branding, and marketing. Local permit and food safety rules are jurisdiction-specific and not quoted in the model.

Keep It Tight

Keep this spend lean by getting quotes early, using one launch calendar, and delaying noncritical marketing until the opening date is firm. Don’t mix these costs into machine CAPEX. The clean rule is simple: if it does not produce roastable coffee, it is usually an opening expense or operating cost, not equipment.

Payroll Timing

The biggest pre-open cash use here is staffing. With a $65,000 head roaster, $70,000 operations manager, and $40,000 packaging and fulfillment role, Year 1 payroll totals $175,000. That cost starts before revenue, so opening timing matters as much as hiring timing.

Compare 3 Startup Cost Scenarios

Scenario Table

Coffee roasting costs rise as you move from small D2C runs to wider wholesale. Lean keeps facility and inventory light, base matches the funded plant, and full adds capacity, packaging flow, and runway.

Lean, base, and full launch cost comparison for coffee roasting.
Scenario	Lean LaunchD2C launch	Base LaunchLocal wholesale	Full LaunchBroad distribution
Launch model	Start with small-batch direct-to-consumer roasting and keep the operation tight.	Use the funded base case for a small commercial plant that can serve direct-to-consumer and local wholesale.	Build a larger plant for more wholesale volume, stronger packaging flow, delivery readiness, and deeper inventory.
Typical setup	Use a smaller roaster, lighter facility needs, and lower inventory depth.	Run a standard roastery with steady packaging flow, core inventory, and enough staff for daily production.	Add more storage, stronger fulfillment capacity, and extra runway for broader distribution.
Cost drivers	Smaller roaster lighter lease low inventory depth basic packaging lean payroll	$75,000 roaster $15,000 packaging equipment $20,000 green inventory $5,200 monthly overhead $175,000 payroll	More wholesale capacity stronger packaging flow delivery readiness larger inventory extra runway
Planning rangeCAPEX only	Lower six figuresLowest cash	$140,000Base case	Higher six figuresGrowth runway
Best fit	Best for founders testing direct-to-consumer demand before adding wholesale.	Best for teams that want a balanced first plant with both direct-to-consumer and local accounts.	Best for operators targeting regional wholesale and multi-channel distribution.

Planning note: These ranges are researched planning assumptions, not vendor quotes, and help frame launch budgets.