COFFEE AND SNACK SHOP BUSINESS PLAN

I. Executive Summary

Company Description

Hearth & Scoop takes its name from the cafe’s dual focus: daily warm gathering (hearth) and a signature ice cream program (scoop). It operates in the U.S. specialty food and beverage sector as a modern, all-day neighborhood cafe launching in 2026. Core offerings are specialty coffee, brunch and light evening plates, a primary artisanal ice cream category, and local catering. Operations center on a data-informed approach to staffing and menu management to keep labor efficient and turnover low. One-line: a neighborhood third place that runs like a tight, data-driven small business.

The cafe targets local professionals, university students, and nearby residents seeking flexible daytime work space and casual evening dining. Main activities include daily retail service, on-site food preparation, a small catering arm, and controlled inventory for perishable ice cream and bakery items. Short-term goals are to open in Q2 2026, reach break-even within 9–12 months, and stabilize weekday seat-turns and takeout volume. Long-term goals are to refine the menu, hit consistent gross margin thresholds, and expand to multiple neighborhood locations by 2030. One-line: launch fast, prove unit economics, then scale selectively.

Problem

Many urban U.S. customers lack a single, high-quality third place that works from morning work sessions through evening social time. Customers must move between coffee shops, lunch spots, and bars, which fragments routines and wastes time.

Existing operators commonly fail to serve full-day food and drink needs, support sustained remote-work sessions, transition to evening social settings, or combine premium coffee with substantial meals. This leaves remote workers, small teams, students, and local residents without a reliable all-day option.

One-liner: customers want premium coffee and fresh meals in a single neighborhood space that works from morning through evening.

Solution

All-day modern cafe opening in 2026 in a high-traffic U.S. location delivers premium coffee, fresh pastries, all-day brunch and evening small plates while providing high-speed Wi-Fi, comfortable seating, and a data-informed service model to serve morning commuters, daytime remote workers and students, and evening diners from one consistent venue.

Core customer promise: a single place for morning commuting, daytime productivity, and evening social dining—tuned daily by traffic data to keep quality and service consistent.

Mission Statement

Our mission is to provide a consistently excellent and versatile third place for the local community by blending high‑quality coffee and fresh food with a data‑informed, customer‑centric service model. We strive to be the go‑to neighborhood destination that supports guests' daily rituals from morning to evening, prioritizing hospitality, operational consistency, and local engagement.

Key Success Factors

Execution hinges on a data-informed service model, disciplined finance, and a skilled team to reach the May 2027 breakeven target.

• Data-informed weekend service model to manage high-volume traffic efficiently.
• Product mix maintaining 60% ice cream and 20% food in launch year.
• Financial discipline to achieve breakeven in May 2027 through expense control.
• Skilled hires including Head Ice Cream Maker and Barista Lead for consistent quality.
• Premium experience that drives midweek average order value to $15.00 by 2030.

Financial Summary

Summary of projected performance, breakeven, cash needs, and investor returns for the Executive Summary.

Minimum cash required: $592,000 to be reached by Jan-2028; breakeven expected May-2027 (17 months) with total payback in 49 months and Year 1–5 EBITDA ramp from -$147k to $663k. Expected revenue growth is driven by Saturday covers rising from 150 (2026) to 400 (2030).

Overall outlook: breakeven in 17 months, positive EBITDA and payback under five years.

Funding Requirements

We seek $887,000 to cover initial capital expenditures, staffing from day one, and working capital to reach the minimum cash month (Jan-2028).

Projected Year 1 EBITDA: -147,000; Year 5 EBITDA: 663,000; breakeven May 2027 (17 months); payback 49 months; IRR 0.02; ROE 0.9; growth driven by Saturday covers rising from 150 (2026) to 400 (2030).