Planning a Business in Austin Areas (Round Rock, San Marcos: cul-de-sac, for sale, real estate)

[kbell18001]

My home in OC, CA is going up for sale within days. Currently I am a Used Car Manager and that position had payed well in the past. Now that position seems to be going extinct lately. Right now I work in an old Chevy/Cadillac dealer in LA. But business is so difficult now that it is obvious it is time for a change. Fed up with taxes, & unemployment in CA not too mention the all the time and days rush hours.

For a long long time I've wanted to open a coffee cafe with a casual comfortable atmosphere. In addition to the normal muffins, scones, espresso drinks, freshly brewed coffees I plan on delicious pies. Additionally, plenty of cold smoothies both coffee based and fruit based. A mini library of used books and coffee table books throughout. In my early years I was in the food and beverage business as a waiter and busboy and dishwasher before that. When I arrived in LA area in '77 I worked in a couple of highend hotels again in food and beverage. So I feel confident and hopefull of my abilities. But I would be lying if I didn't admit a certain apprehension of such a drastic change in my future.

The two things that have prevented my jump years ago are the 2 things needed to make such a change, time and money. I plan to get a job iniitially in a coffee cafe or Starbucks to learn the bis better.

OK so the plan is to cash out here and make a go of it there. Why Austin? Well my wife is still got thin blood from the Philippines. So it cannot be too cold in the winter. Other closer areas in AZ are either not attractive to me, too cold, or already suffering from the economic downturn. I have a friend that recently lost work in the high desert northeast of LA. He moved to San Marcos. I think that the weather is very similar. But I felt that Austin would more condusive to the type of business I am planning without being too big for my taste.

From my research thus far I am looking towards Round Rock and Cedar Park areas for a home. And then anything from there to Austin as suitable locations for the kind of cafe I envision. I've heard people around there are pretty friendly. Unless you are a another bitchen Californian complaining about Austin and how it may or maynot stack up.

Although I am a biker I do not plan on a big biker theme, maybe some decor more subtle, but not overwhelming. Plans I see to grow the business would be punch cards for a free drink on maybe the 10th punch. The customer could carry it, or we could keep an index card file so you cannot loose it. Also I want to have live music 1 or 2 nights a week. A guitarist or keyboardist that may or may not sing as well.

What I am hoping to learn from this thread are what areas we should consider to set up this type of business. Please make your suggestions to either locations, or suggestions to make this a successful biz. Thanks in advance.
Ken

[ILikeSmartHippies]

I'm a newb to austin, though it sounds like you want south austin/ soco neighborhood, thats where some cool cafes are, & that's where the hippies/slackers/trendies/(bikers?) seem to hang out & walk around. Also probably commercial real estate is cheaper there (which is why it's more eclectic in that 'hood). Dunno what part of OC you were from, I assume you want walking traffic as the #1 for a cafe. Other parts of austin seem to be car-centric only. Unless it's the Domain (mixed residential / business / lifestyle complex).

[kbell18001]

Originally Posted by ILikeSmartHippies

I'm a newb to austin, though it sounds like you want south austin/ soco neighborhood, thats where some cool cafes are, & that's where the hippies/slackers/trendies/(bikers?) seem to hang out & walk around. Also probably commercial real estate is cheaper there (which is why it's more eclectic in that 'hood). Dunno what part of OC you were from, I assume you want walking traffic as the #1 for a cafe. Other parts of austin seem to be car-centric only. Unless it's the Domain (mixed residential / business / lifestyle complex).

OK good advice. We will definitely check that out. You have good insight. We're are coming from Yorba Linda in OC.
Thanks!!
Ken

[mark311]

While SoCo is the obvious choice for something like this, it's also the place where there are already a large amount of established places similar to what you're envisioning. You would be entering a high competition and high rent area in my opinion.

I would think a business like this close to your home would be best. I assume you would probably want to stay open late at night, so being close to home would be nice since it sounds like you will be an actively working owner. Places like Cedar Park and Round Rock don't have a ton of places like this already. The question would then be how well would it do when going head to head with Starbucks, It's a Grind, Roasters's, etc.

[atxcio]

I don't know, I think the coffee shop idea appeals more to singles and young professionals... Cedar Park and Round Rock is more families (although you could cater to both). Also, there is much less walking traffic. If you do a coffee shop in the burbs, a drive-through or drive up option would be good.

I agree that SoCo is probably over saturated with businesses like the one the described. West 6th and Tarrytown are also somewhat saturated, and very expensive regardless.

However, I think East Austin (in the newly gentrifying areas) and maybe North Loop or Crestview neighborhoods would be a good option. The rail line will go through Crestview, which will bring up the neighborhood even more. Plus East Austin, North Loop and Crestview are older neighborhoods and thus have the infrastructure for pedestrians (sidewalks, through streets instead of cul-de-sacs, multi-road access to other neighborhoods).

North Loop -- http://www.apartmenttherapy.com/la/a...-austin-064548

East Austin -- http://urbanly.com/neighborhoods/5

East Austin also has a lot of small art studios. There are tours and "art walks" every so often: http://do512.com/event/weekly/wed/ar...ustin-art-tour. That might help with foot traffic in the right location... also, you could maybe double as an art gallery!

Crestview Rail Station development -- http://www.austinchronicle.com/gyrob...d=oid%3A625020
Crestview NA -- http://www.crestviewna.org/ (crestview also has a fancy new library! people who like coffee like to read)

Good luck with your business.

[FalconheadWest]

What about the master planned community of Steiner Ranch where there are a lot of stay at home moms/wives. Cedar Park and Round Rock, to me, seem to have more "working" moms and families, whereas the more expensive areas seem to have single family incomes with someone staying home, and then they could hang out at a coffee shop, as long as you have wifi, even the working folks would stop by... or even further down into Lakeway.

Or why not just open a Starbuck's franchise. It works, why reinvent the wheel?

[kbell18001]

Originally Posted by FalconheadWest

What about the master planned community of Steiner Ranch where there are a lot of stay at home moms/wives. Cedar Park and Round Rock, to me, seem to have more "working" moms and families, whereas the more expensive areas seem to have single family incomes with someone staying home, and then they could hang out at a coffee shop, as long as you have wifi, even the working folks would stop by... or even further down into Lakeway.

Or why not just open a Starbuck's franchise. It works, why reinvent the wheel?

There is no such thing as a Starbucks franchise, to my knowledge they are all company owned.

Opinions vary, but I am soaking up all the different perspectives and greatly appreciate the feedback. I anticipate the challange of going up against the likes of the larger franchises and Starbucks. But my intention is too offer benefits not available at Starbucks. A more homey feel. Or to coin the phrase some might remember from the Cheers TV show, "Where everyone knows your name". With a punch card system customer benefits with a customer appreciation free drink on the 10th drink. The biz benefits with the repeat biz and personalization with the customer base where we know your name, first and last initial.

Yes wi-fi is a necessity. If I'm able to, I'd rather have a little more square footage so there is room for an internet area with work desks where people can work or study.

I like the idea of somewhat of an art gallery. That can be a good idea, for local artists to hang pictures on consignment. I hope to embrace the community which I think sets our place apart from the chains.

In this type of setting what would you all think the musical choices be? My taste, although unimportant, is smooth jazz. But I realize that might be foreign or considered elevator music in Texas.

I hope not to depend on any one segment of people or ages, but more of a cross section. Students are great, but sometimes finacially challanged and might be gone during the summers. Am I right?
Thanks
Ken

[jcorfry]

stick with what you know.

[pjoseph2]

Originally Posted by jcorfry

stick with what you know.

Um, if that were the case, nothing new would ever be found

[Jennibc]

Originally Posted by FalconheadWest

Or why not just open a Starbuck's franchise. It works, why reinvent the wheel?

Starbucks DOES NOT franchise - except at airports where one foodservice company has an exclusive contract (at least that's the way it was back when I worked for them in the early nineties - I still have friends at corporate and they haven't mentioned any change in the policy)