Northbrook Coffee Roasters
Three-Store Expansion Plan, FY2027

Executive summary

Northbrook Coffee Roasters operates a single roastery-café in Northbrook's old mill district, profitable since month nine, with a wholesale side that now supplies 14 restaurants. This plan proposes opening two satellite cafés and doubling roasting capacity over 18 months, funded by $420K: $180K from retained earnings and a $240K raise.

The opportunity

Specialty coffee in our metro grows ~9% annually while two national chains have closed underperforming units, vacating exactly the mid-rent, high-foot-traffic corners a lean café format wins on. Our wholesale book proves the brand travels: restaurants 30 minutes away already pour our roast. Two satellite cafés put the cup where the customers already are — at one-third the build-out cost of the flagship.

Expansion model

The satellites carry no roasting equipment and a trimmed menu — espresso, batch brew, pastry from a single commissary partner. Roasting stays centralized at the flagship, where a second 15-kilo roaster (already quoted, $48K installed) doubles capacity to ~2,100 kg/month.

Financial projections

Risks & mitigations

• Green coffee prices (up 31% over two years): we hold 6-month forward contracts and have already passed one 6% retail increase with no volume loss.
• Cannibalization: both satellite sites sit >3.5 miles from the flagship with distinct commuter catchments.
• Key-person roasting risk: head roaster equity grant vests over 4 years; assistant roaster certified Q3 2026.
• Format risk: satellite #2 signs only after satellite #1 hits $18K/month for two consecutive quarters — the raise is tranched to match.

The ask

$240K for 12% of the operating company, closing in two tranches tied to the satellite-#1 milestone above. Partners retain 78%; the head roaster's pool holds 10%. Target investor cash yield begins FY2028 via quarterly distributions at 40% of free cash flow.