| LeanGreenBeanMachine Mobile coffee Franchise |
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| B4S Reference: |
10771 |
| Asking Price: |
Undisclosed
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| Net Profit: |
Undisclosed |
| Sales Revenue: |
Undisclosed |
| Number of Staff: |
5 |
| Established For: |
0 Years 9 Months |
| Ownership: |
Send enquiry for more details. |
| Location: |
Nationwide, the UK, United Kingdom |
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The UK Coffee market is valued at ?4.1Billion in September 2008, with an annual growth of 7.2% since 2005. The market is expected to expand further to reach ?5 Billion by 2013. The Industry challenge is to provide premium coffee quality, a highly personalised service, and building long lasting relationships with customers.
With consumers becoming increasingly knowledgeable about ethical products, there is a strong trend to the growing interest in the origins of products. Research shows that 80% of people would be more likely to choose a particular coffee vendor if it offered ethical coffee. Surprisingly the consumers in the UK are also willing to pay an average of 14p more per cup to ensure their coffee is ethical. With an average of 196 cups sold per day of coffee the most popular drinks sold are lattes and cappuccinos, accounting for 75% of the market
The tuk tuk has a range of over 100 miles between fill ups.
We Manufacture and fully convert brand new 09 model auto rickshaws delivered direct from India into Mobile coffee Carts. The vehicles have a 200cc 4 stroke LPG/Petrol engine that also runs the coffee machine installed in the rear. The vehicles are totally road legal in the UK and can achieve speeds up to 40 mph!. The tuk tuk?s have been subject to a comprehensive 50k mile reliability testing regime in the hottest regions of India so that they can be passed for passenger duties as taxis in India, The parts availability is un-rivalled and the vehicles come with road tax and a full 1 year warranty in the UK. We have also established a breakdown and insurance policy for the vehicles.
Due to the fact that the vehicles run on LPG, the emissions comply with Euro 2 emission criteria and more importantly we can obtain a tapping from the main LPG tank to run the coffee machine from. This means that the operators can pull into a petrol station, fill with LPG from the pump, and run the entire machine without any further need for a separate fuel supply. No loose Gas bottles! and no hassle from health and safety on the difficult and not often considered problem of storing butane bottles in public areas during use and also transportation of flammable gasses in your car when going to events
Included,
We are providing a fully supported mobile coffee franchise for a fee of ?5,000.00 with a monthly rental fee of ?400.00 for the tuk tuk. The rental fee covers everything from road tax to a breakdown replacement if things stop working to annual servicing and replacement every 3 years with a new tuk tuk. The franchisee is only committed to one year at a time which is then reviewed with the option of returning the tuk tuk and walking away, renting for another year or even buying a tuk tuk outright. This allows the franchisees to be able to \"try it out\" without risking too much and also enables the franchisees to earn incomes up to ?40-50k pa if selling industry average quantities of coffee and consumables due to the low costs we can supply franchisees with consumables. The initail fee buys a five year license.
The inital fee includes
A fully converted coffee tuk tuk
Tuk Tuk Driver training School.
Coffee School.
Book Keeping training
Events guide 2009
Astoria Lever Duel Fuel Coffee Machine - used by Costa Coffee, they are ultra reliable.
Mazza Grinder - the best money can buy
75 Ltr Water tank with external filler cap.
Everpure water filter system to ensure perfect coffee every time
On board water accumulator to ensure a constant 20psi water pressure to the machine and on board sink.
240v hook up
More information and a franchise pack can be obtained via our web site leangreenbeanmachine.com
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Living Accommodation: |
No |
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Location: |
The tuk tuk can be stored at home and driven on normal roads to the daily trading location.
If attending an event further away from home the tuk tuk can be loaded onto a trailer. |
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At the moment there are 3 main routes to the mobile coffee vending market. Converted Piaggio Ape? vans, Converted belingo/ full size mecedes sprinter type vans, and Mega Vans
Piaggio Ape?s
These are very small 50cc engine vans that are imported from Italy by a company called Pro Truck in Darlington. Pro truck are the sole importers of the poduct. There are 3 people who then take the vans forward and convert them into coffee machines. These companies are Pro truck, Thebigcoffee.com in Hull, and Caf? Latino also in Darlington. All three companies sell the trucks for around ?11-13k new and occasionally second hand ones turn up on ebay for around the ?6-8k mark. From interviews with all three companies it was determined that 95% of their customers are ?one man bands? and that they are selling around 3-4 units a month each. The cost is affordable to normal people setting up their first companies.
The Apes have four MAJOR problems.
1. The first is that the engine is so small in the vehicle that once the vehicle has gone through the conversion process the weight of the conversion means that it cannot be driven around, it therefore has to be towed every where! This actually restricts the mobility of the unit.
2. The second problem is that the conversion takes it over the maximum gross weight for the vehicle and so operators run the risk, if stopped by VOSA, of operating a comercial vehicle over weight.
3. The Third problem can be a show stopper, the vehicle runs on petrol but the coffee machines run on gas (propane or butane). This means that the operators have to carry around separate gas bottles with the vehicles. There are strict rules about the storge of gas containers in outside public locations (they have to be in separate steel, vented containers). The conversions that are around at the moment mean that the operators have to store the bottles on top of the built in sinks in the units contravening regulations. The separate gas bottle issue also often results in the vehicles not being able to be used in town centres, shopping centres, train stations and other similar locations resulting in people who buy these vehicles finding after they have spent their money not being able to trade from the locations they originally thought they would be able to.
4. The fourth problem is that the vehicles are converted vans with little space in the rear once the machinery has been installed. This leaves very little room for other items such as cakes etc.This ofetn means that the vendors have to set up separate tables to display other items for sale again restricting mobilty and limiting the advantages of the small mobile unit concept.
From research (allegro report and mintel) the average operators give up on the Ape after 12-18 months and our own intervies of over 15 operators has confirmed this to be true.
Converted Belingo vans and Converted Sprinter vans.
There are two companies converting the larger vans into coffee machines. The advantage to the bigger vans is that they can be driven around town under their own steam.
The first company is coffee quest. They convert belingo type vans in the same style as the Ape vans above and hence have all the same problems. They have however overcome the gas bottle problem by running electric coffee machines. The problem here is that the unit now needs a 4.5KW diesel electric generator to run the coffee machine. The generator is so big that it has to be towed on a trailor behind the van!
The second company is Caf? 2 u. This is a franchise that has been successful in Australia and has been introduced into the UK in the last 2 years. It is the only mobile coffee franchise in the UK at the moment. The company converts Mercedes Sprinter vans into mobile caf??s that sell not only coffee but also sell sandwitches, cakes, pies etc. The vans run electric coffee machines that run from a 4.5Kw diesel electric generator that takes up half the loading bay area of the vans internal area. The vans are so big that they cannot trade in town centres or shopping centres and are almost totally restricted to ?milk round? type set ups where operators go from office block to office block, bipping their horns to attract customers. One final detail the franchise ( franchise plus branded van) costs a staggering ?50k for each territory, and to give you an idea of the size of each territory, Derby is split into 3 areas meaning that if one was to want to operate in the whole of derby (one of the UK?s smallest cities!) it would cost ?150k. Nottingham is split into 6 territories.
From Interview with the owner of coffee quest, no vans have been sold to date, the company owner operates his own vans.
From Interview Cafe2u have sold between 30 and 50 franchises in the UK, the exact figure is unknown as they seem to change every time you speak to the company owner or visit his web site. From interviewing over 10 people who have seriously looked at the Cafe2u franchise all rejected the concept due to cost.
Mega Vans
These are the vehicles that have come the closest to solving the ?small vehicle? mobility problems. They are imported from France by a company called Towability in Wellingborough as chassis cabs, they then fit modules to the chassis to turn them into coffee vans. The vehicles are either 600cc diesel engine or short range electric vehicles. They are slightly larger than Ape vans and can be driven on the roads up to 40 mph. The problem is that they still rely on separate gas bottles to run the coffee machines and so can cause issues with councils etc. The biggest development though is that the vehicle has 2 opening sides and that the vendors operate from the side of the unit. This creates space for selling other items directly on the vehicle without the need for transporting a kitchen table around with you every where you go. They are still quirky looking and attract attention. The major down side is reliability and parts for the vehicle and also cost. A typical Mega van converted to a coffee machine will be around ?25k. This tends to restrict sales of these vehicles to people who already have mobile catering business? with established pitches, often upgrading from ape vans to mega?s due the previously details problems.
From interviews with the sales director of Towability they are selling around 1-2 units a week with a lead time of around 6-8 weeks. From interviews with 6 people who has looked seriously into mega vans 4 had rejected them on price being too high, one was successfully operating in Warwick town centre in a bakers premises from scratch and the second had changed from an Ape to a mega and is operating in the suburbs of Manchester |
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Dependent upon total number of tuk tuk\'s operated by franchisee. |
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Full support and training as detailed above |
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Low Cost Franchise opportunity for access into one of the most profitable business sectors in the UK today. |
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Is this a home-based business? |
Yes |
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Can this business be relocated? |
Yes |
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Is this business part of a franchise? |
Yes |
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Normal hours 5 days a week. |
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Admin, technical and stores |
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