Cafe Bistro Coffeehouse Business Plan Example

Cafe Bistro Coffeehouse Business Plan

The Sweet Auborn District in Atlanta, Georgia needs a cafe to serve its residents and workers. The current dining options in the area are overcrowded, and Cafe Apres/Diem, which used to serve the function, has moved out, leaving an opening.


The Watertower is a full-service restaurant/cafe located in the Sweet Auburn District of Atlanta. It offers a menu of moderately priced comfort food influenced by African and French cooking traditions, based on time-honored recipes from around the world. The cafe section features a coffeehouse with a dessert bar, magazines, and space for live performers.


The casual dining/full-service restaurant market in the United States is a $100+ billion industry, with annual revenue increasing by more than 5% each year. More people are choosing to eat out, especially since women have joined the workforce in record numbers. With two income earners per household, neither person may have time to cook meals. Commercial food service sales have continued to rise as more people find that eating away from home suits their lifestyles.


The competition in the Sweet Auburn District typically consists of 70 to 150 seat restaurants with outdoor seating. The menu prices for entrees range from $7.00 to over $25.00. All surrounding establishments serve at least beer and wine, with most serving spirits as well.

Why Us?

The Watertower will provide accessible and affordable high-quality food, coffee-based products, and entertainment to the thousands of residents and hotel visitors within a five-mile radius. It aims to establish itself as a destination of choice for the greater Atlanta metropolitan area and out-of-town visitors.


We expect income to reach $2.1 million in the first year and increase to $2.57 million by the end of the third year.

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Financing Needed

We will start with $214,000, with $124,000 from investor 1 and $64,000 from investor 2. We will also obtain a $30,000 loan. We will be able to pay back the loan and investment by year 3.


Problem & Solution

The Sweet Auborn District needs a cafe to serve its residents and workers as the population grows and existing dining options become overcrowded. Cafe Apres/Diem, the previous cafe in the area, has moved out, creating an opening.

Our Solution

The Watertower concept is built upon the success stories of Atlanta’s many casual dining and coffeehouse venues. Located in the Sweet Auburn District adjacent to the Studioplex on Auburn residential loft development, The Watertower aims to provide accessible and affordable high-quality food, coffee-based products, and entertainment to residents and hotel visitors within a five-mile radius. It will establish itself as a destination for the greater Atlanta metropolitan area and out-of-town visitors.

The establishment will provide a sophisticated, casual dining and coffeehouse experience. Patrons can enjoy "comfort" food based on time-honored recipes from around the world. The facility offers ample patio space for alfresco dining, a coffeehouse with desserts and live entertainment, and gardens for bocce games.

The cafe’s aim is to provide a sophisticated, casual dining and/or coffeehouse experience for Atlantans and visitors. It will be an affordable venture that encourages repeat visits. The menu will feature hearty fare that is often out of reach for young professionals due to time constraints.

Furthermore, The Watertower will fill a gap in the southern end of Atlanta’s Old Fourth Ward neighborhood, providing a much-needed retail food operation. The business will generate 21 new jobs and contribute to efforts to bring affordable housing, new jobs, and commercial activity to the Old Fourth Ward.

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Target Market

Market Size & Segments

The target market includes Studioplex residents, artists, intown residents, downtown hotel visitors/conventioneers, and workers. The immediate market area is within a four-mile radius of The Watertower and includes various neighborhoods in Atlanta.

Target Market Segment Strategy

The Watertower will appeal to urban professionals residing in the targeted intown neighborhoods, downtown hotel visitors/conventioners, and workers who desire a sophisticated yet casual dining and coffeehouse experience. It will also cater to the under-served need for a pedestrian-friendly dining/coffeehouse establishment for the area’s residents.


Current Alternatives

Current alternatives to The Watertower Cafe include Loca Luna, Yin Yang Cafe, Kaya, Cosmopolitan, The Somber Reptile, Cafe/Apres Diem, and Highland Bagel/Caribou Coffee. These establishments offer different cuisines and atmospheres.

Our Advantages

The Watertower has several advantages over its competition. Its location is close to affluent populations, and the owner has a strong network in Atlanta. The facility’s flexible design allows for various dining/coffeehouse/entertainment options. Additionally, its location in an Empowerment Zone and local Enterprise Zone provides tax advantages.

Keys to Success

The keys to success in this business are quality products, excellent service, effective marketing, and efficient management. The Watertower will focus on providing high-quality food, beverages, and entertainment while maintaining good inventory management. The staff will ensure that customers have a positive experience, and marketing efforts will target the intended audience. The management team will keep a close eye on operations, prices, and quality control.


Marketing & Sales

Marketing Plan

The Watertower will rely on word of mouth to promote its food, beverages, newspapers/magazines, and entertainment. Additionally, a social media campaign will be implemented through Twitter, Facebook, and Instagram. Customers will be encouraged to share reviews and provide feedback for improvement.

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Sales Plan

The primary focus of the sales strategy is to establish and maintain a position with intown Atlanta residents within a four-mile radius of The Watertower. Relationships will be developed with downtown hotels and convention planners to create private function/party options for corporations visiting Atlanta. The restaurant will also target visitors to the Martin Luther King National Historic Site and downtown/midtown businesses for regular dining and entertainment.


Locations & Facilities

The Watertower will be located in a newly renovated facility designed by Richard Rauh & Associates, Atlanta, GA. The venue will be divided equally between the cafe/restaurant and the coffeehouse/entertainment. The restaurant will seat approximately 100 patrons indoors and 40 on the patio. The cafe/coffeehouse will offer dine-in and carry-out coffee-based beverages, a dessert bar, a full-service bar, a small entertainment stage, and niche magazines and newspapers for purchase. The outdoor space will include gardens and bocce courts.


The Watertower logo is protected by federal trademark laws. Menu creations will be protected when possible. However, the business does not rely on process technology or patentable inventions.

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