What should I check before buying a coffee roastery?

The roasting machine is not the only thing you are buying. A roastery also has a building that must suit it, customers who may not be loyal to you, and a person whose palate and routine make the product what it is. These are worth checking before any offer is discussed. For a related food business, see what to check before buying a café.

The roaster itself

Ask for the machine’s age, its service records and any repairs, and how much it can roast against what the business roasts now. A roaster near its limit may need a second machine if you grow. Have a technician who knows roasters inspect it, as the BDC guidance on equipment suggests. Ask whether the machine is owned or financed.

The lease and the building

Read the lease to see whether roasting and venting are allowed, and whether the landlord will agree to a transfer. Questions about smoke, emissions and local permits belong with your lawyer and the municipality, and should be settled before you commit.

Accounts, coffee supply and skill

See how many wholesale accounts the business has and how much of its sales rest on the largest few. Ask which are under contract and how they would react to a new owner. Ask what green coffee contracts exist, and how much green coffee will be on hand at closing. Find out who holds the roast profiles and whether that person will stay on to teach you.

What the statements show

Check how online and subscription sales appear in the financial statements, separate from wholesale and retail. Your accountant can help you read them.