All things are difficult before they are easy.

      — John Norley

      1. Choosing a Name

      Creating a strong name for your coffee business is important because it is what will draw your customers in and what they will remember about you. It will be the base of all your outside store signage; it will be displayed on your business cards, letterhead, and checks you send out to your suppliers; it may even be on your take-out cups, ceramic mugs, and napkins. So make it a great name.

      The name you choose for your business should fit three major criteria:

      (a) Unique. The name must be different — a stand-out-from-the-crowd type of name that will catch the attention of your target market.

      (b) Fitting. Naming your business “Joe’s Fish House” when you’re selling coffee obviously isn’t a good idea. The name you choose must be consistent with your concept and the image you are creating.

      (c) Easy to remember. Imagine one of your customers proudly serving up a pot of your wonderful coffee to all his or her friends at a social gathering. One of the friends asks, “Where did you get this wonderful coffee?” And there is a resounding silence. OOPS! — the customer can’t remember the name. Keep it simple. Three words maximum.

      1.1 Your coffee bar’s USP

      USP stands for Unique Selling Proposition. The purpose of a USP is to convey to your customers the benefits of what you have to offer. While your business name may be unique, fitting, and memorable, it is usually quite difficult to motivate your customers to come to you just because of your business’s name. A USP is designed to give your customer the major reason to come to you over your competition.

      For example, the tag line “Fresh hot pizza in 30 minutes or less” created a fortune for Domino’s because it clearly conveyed to potential customers what Domino’s had to offer over the rest of the competition. Note that Domino’s didn’t say “great pizza” or “mom’s special sauce” — it didn’t describe what it was offering. Instead, it chose to focus on what it could deliver (pardon the pun); it described the benefit to its customers. When choosing a USP, remember that people care about what’s in it for them. Convey to your customers what they get by using your products and services.

      Study all the competition in your area and make a list of your competitors’ USPs, but do not necessarily use them as a guide. Most coffee bar owners do not have a powerful USP.

      Keep in mind that you want to be different and unique. If you’re not the first in a category, you should create your own category to be number one in (e.g., roaster-retailing or free home deliveries).

      While marketing slogans can be your USP, they aren’t always the same thing. A USP is a fundamental positioning statement that tells the customer why he or she should consider you over all other options. It sets a long-term standard for the business. A marketing slogan, on the other hand, is something used to catch attention and build interest through advertising, and, therefore, it will change frequently.

      One final point. Once you have developed your USP, test it on your target market (don’t test it out on your mother or father if they don’t fit your customer profile). Spend an afternoon talking with your potential customers; stop them as they walk by your potential site or interview them in the lunchroom of the local college.

      When conducting your interviews, don’t ask questions such as, “Which one [USP] do you like better?” or “Do you like this?” These types of questions are too vague and give you little information about your USP and target market. Most people you ask won’t understand that a USP should be designed with the benefits to the customer in mind, not the features of the business, and their feedback won’t be of much help to you. If you end up falling into the descriptive trap, you’ll end up with an ineffective USP that does little to help you establish market share.

      Instead, ask this key question: “What does this sentence make you think of?” This is an open-ended question that encourages people to give their true opinion. If people say, “Oh, this makes me think of taking a package of freshly roasted coffee home to share with my friends,” you are on the right track.

      Many USPs in the coffee business are boring, so have fun and be creative.

      1.2 Designing and trademarking your coffee bar’s logo

      A logo is a visual representation of your name and identity, often accompanied by symbols, drawings, or other graphics. Designing logos is a special skill. We recommend that you hire a graphic artist to work with you to create the image you want. Local art schools can be a source of quality, inexpensive labor.

      You may want to consider registering your design and logo if you plan to expand your concept nationally or internationally. Federal registration can cost up to $5,000. You will need to register your trademark separately in the United States, Canada, and the European Union if you wish to be protected in these areas. Registering in the United States does not protect you from trademark infringement in Canada, for example. All three registrations can be done for $10,000 to $20,000, depending on the complexity of your registration.

      To begin the process, contact a trademark registration agent, and request a search for potential conflicts with other designs. The agent will describe the process from there.

      Always use a superscript ™ as evidence of your trademark, whether or not you register your trademark. Later, when your business name or logo is registered, that mark will switch to a ®.

      2. Your Business Structure

      One of your most important decisions will be choosing how to organize your business. There are basically three forms of legal structure: proprietorship, partnership, and limited company. You should seek competent legal and accounting advice before deciding on your business structure, as there could be distinct advantages or disadvantages to each depending on your situation.

      Many entrepreneurs start out as a sole proprietor, as this is the easiest way to start a business.

      Setting