The chairs have been set up, and the tables are sparkly clean. After the scent of freshly brewed coffee lingers in the air and the small lamp lights up the stacks of fresh croissants and bread in the display case, the sign is flipped to “Open”.
Behind the cafe counter, Budi, the guy who flipped the “Open” sign, is ready to welcome his first customer this morning. His special menu for today is the Kintamani single-origin coffee, paired with sugar-apple croissant whose special ingredients are supplied from local farmers in Yogyakarta and Bali. His customers are going to be pampered with sweetness and light coffee today.
Depending on the day, the business is always up to something, whether it’s picking up grocery supply and office appliances, cleaning supplies, or doing other things to keep the cafe clean and presentable. The menu also keeps rotating every day. Budi works alongside his team, including his barista and his patissier, keep testing the menu and gaining an understanding of their costumers’ preferences. This way, as a business, they keep making innovations.
A couple of months ago, Budi opened the cafe with an initial cost of IDR50 million. With five of his friends as the staff, Budi manages the cafe, which is located in South Jakarta where college students usually find a place with a good Wi-Fi connection and indie music playing in the background in the afternoon and middle-aged workers hang out after working hours listening to chilling modern jazz. This ambiance is also part of the plan as a start-up idea for the cafe.
Based on Act No. 20 of 2008, in Indonesia, businesses, such as Budi’s café, is classified as an MSME. It stipulates that “the criteria for Small Business include having a net worth of more than IDR50.000.000 (fifty million rupiahs) up to a maximum of IDR500.000.000 (five hundred million rupiahs) excluding land and buildings for business premises.”
In Indonesia, such a business constitutes the 59.2 million currently operating MSMEs. These businesses still have many potentials to be tapped in as a part of the emerging markets because they keep growing each year and the number increases from time to time. But how are they going to sustain and expand in the environment? What aspects need to be improved and supported to gain bigger business opportunities?
Keep on following the journey of Budi’s cafe to know more about the nitty-gritty of cafe start-up business and MSME business in general. See you in the next episode!
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