Get ready for “Training with the Champions,” an amazing DVD soon to be released by Bellissimo. In prior blogs, you may have read that the halls of ABC's have been graced by some of the most amazing baristas in the world, including Klaus Thomsen from Denmark, the 2006 world champion, who spent a few days with us last October. I have seen most of the excellent baristas featured in the DVD in competition mode at the United States Barista Championships (USBC) and at the World Barista Championship (WBC) last year in Berne, Switzerland.

“Training with the Champions” will be released in June. We had hoped it would be ready for the upcoming SCAA show, but our film editor had a chance to visit Italy with her mom, and who could turn that down. So, hopefully we will have copies at Coffee Fest Atlanta the first week of June. You can also pre-order on our website right now and save 20 bucks.

This video was entirely filmed at the American Barista & Coffee School in Portland here in Portland. It took a year of filming to get the footage of the best baristas in the world that was required for this DVD. The final cut will be approximately 45-minutes, with each barista sharing his or her techniques and philosophy of coffee and espresso, as well as what it takes to be a champion. To date, there really has been nothing quite like this DVD. It is edited in a documentary style and is extremely effective as a training tool.

This DVD is the first in which regional, national and world barista champions share their passion one-on-one with the coffee world. Featured are 2006 World Barista Champion (WBC) Klaus Thomsen and three former United States Barista Champions (USBC): Matt Riddle, Bronwen Serna and Phuong Tran. Northwest USBC champions Kyle Larson and Billy Wilson are also included, along with Cup of Excellence judge Stephen Vick, who is featured in a special cupping section. Making appearances are long-time barista competition judges Sarah Allen, editor of Barista Magazine, and Brent Fortune, owner of Crema Bakery and Café of Portland, Oregon.

Click here for a preview of Training with the Champions— enjoy!

As I write this, I’m sitting in a hotel room in Seattle. I think I passed at least a dozen Starbucks on my short drive from the interstate to The Hotel Andra where I am staying.

The sheer number of Starbucks outlets I saw made me curious, so when I got to the hotel, I went to the Starbucks website and typed my hotel address into the store locator. Are you ready for the results? There were 61 Starbucks locations within two miles of where I was sitting and 98 within five miles! Totally incomprehensible.

I guess I am still shocked when I see one or two Starbucks on almost every block in Seattle. So coffee folks, if you want to see corporate coffee, visit Seattle — wow! There are numerous Seattle’s Best Coffee stores here, too — also owned by Starbucks.

But Seattle isn’t all about corporate coffee. There are some great independents here and also a number of roasters who have their own shops. For years, my favorite bar in town has been Caffe D’arte on Second Avenue. Zoka Coffee, Caffe Vita and Espresso Vivace are also here, and so is a newer kid on the block, Victrola Coffee.

Well over 15 years ago, I remember going to Torrefazione in Pioneer Square almost every time I visited Seattle. Umberto was roasting coffee in the corner, in his beautiful refurbished bright red roaster, and the drinks the baristas poured were pretty close to what I would have experienced in Italy. Well, Torrefazione as I remember it no longer exists. The company was acquired by Starbucks, and for some reason, Big Green decided to close all its stores.

But let’s focus on the positive for a moment...The good news is that it’s not raining, it’s actually sunny and in a few minutes I will arrive at Caffe D’arte where I will enjoy a perfect espresso. Ciao.

Ken Davids — coffee expert, author, and co-founder of the Coffee Review — was in Oregon a few weeks ago and stopped by our offices, and, of course, visited ABC’s. Ken and I have collaborated on projects in the past, most notably the award-winning film The Passionate Harvest. We still have some ideas in the pipeline – some we will get to, others we may not.

Today, I am happy to announce a new collaboration between Ken and Bellissimo. Starting in July, Ken will be holding bi-monthly, weeklong workshops at ABC’s that are broken down into two classes that can either be taken individually or together. The first class is a three-day workshop called Cupping, Roasting and Blending In-Depth Basics followed by a two-day class called Coffee Sourcing, Blending and Roasting for Espresso.

We are happy to have Ken as part of the "official staff" of ABC’s. ABC's has always attracted the best, and when it comes to a true legend in the industry, few are more well known than Ken. Welcome Ken!

Last week, ABC’s facilitated a corporate consulting and training session for Mr. Coffee. The school is a great venue for this type of event, providing the opportunity for those already in the coffee business to be surrounded by almost every great machine or product our industry has to offer.  

Mr. Coffee is owned by Jarden Consumer Solutions, a company that also owns Sunbeam, Oster, Rival and nine other brands. Five members of their top management team flew in for a two-day intensive training that included coffee cupping, brewing methods, espresso training and consumer trends. The main goal of their visit was to learn more about specialty coffee. We hope to nurture this relationship and continue to help this well known company whose name is synonymous with home counter-top coffee brewers.

Mike Fretwell, the company's Manager of Group Marketing had the following to say about Mr. Coffee's experience at ABC's:

We discovered ABC’s on-line while researching experts in the art of espresso creation. Jared, Matt and Bruce were fantastic in creating a customized educational program that allowed us to develop a deeper understanding of consumer consumption patterns and the science behind the art of espresso. Jared and Matt have extensive backgrounds in espresso and delivered targeted and specific training that blended the practical art of espresso with the consumer consumption trends. The ABC’s staff, combined with the professional training center and their contacts within the coffee industry enables the school to provide a detailed, quality training program at an efficient cost. Thanks to Bruce and his staff, ABC’s will be a major part of our product training.

It is rewarding to teach individuals like the ones from Mr. Coffee and see the interest and passion they have in making their product better. The great thing about this kind of training is that as our clients gain a more in-depth understanding of specialty coffee, Jared, Matt and I, as their instructors, also learn a great deal, too.

I’m sitting in a hotel room in West Central Texas, one of my favorite places in the U.S. I’ve spent a good deal of the last six days in Waco, and right now I’m in Austin. I love the hill country — the people, the food and, of course, the music. I won’t talk much about the coffee (though coffee is why I’m here), but suffice to say the coffee industry in the region is growing like everywhere else and the coffee is actually much better today than it was on my last trip here.

Last night I saw a show with Alejandro Escovedo (a reunion concert of one of his first bands, “The True Believers”). All I can say is, “Wow.” He has always been high on my list of favorite artists, and to be stage side for two hours at one of his concerts and then to hangout with him for a while after the show was pretty amazing. He didn’t do any of his solo stuff, but instead performed the fast driving rock that made him famous in the early years. I had never heard this side of him and I can tell you after I did I became a true believer. Wow!

In the coming week I will be in both the film editing and sound studios. We will be producing our third podcast with Julie Beals, editor of Fresh Cup magazine, who will talk about educating the consumer. I will also be doing some editing of some new film projects that Bellissimo will be releasing in the near future. Watch for them on our sites! Adios!

In my last blog, I discussed why Bellissimo decided to produce a podcast to help educate the specialty coffee world. And today, I must tell you that the response to it has been phenomenal. Many people have told us the information in the podcast was not only professional, but also helpful and entertaining.

From Phil James of the US Roasterie in Des Moines, Iowa, we received the following testament to the value of our podcast: “This was so great! I've been searching for something like this for a while... perfect length, conversation, etc. Excellent work! Thanks!”

Yesterday, I was in the studio again, this time interviewing Connie Blumhardt, publisher of Roast Magazine for our latest podcast. I think everyone will find her perspective on the current state of roasting and the sea change that has taken place in that sector of our industry over the past few years quite fascinating. The podcast runs about 20 minutes, keeping within our advertised "tightly packed” broadcast limit.

I continue to be amazed by the passion of so many roasters in the U.S. They are raising the quality bar in the world of coffee and have proved that competition is good for everyone in the industry, and definitely for the consumer. Even Starbucks is into educating their customers. In my weekly visit to the giant in our industry, I was asked if I wanted to cup their Black Apron Exclusive, Zambia Terranova Estate, which sells for 14 dollars for a half pound. Of course I said yes, and was quite surprised and impressed with the flavor profile of this coffee. When McDonald’s and Starbucks both see a need and an opportunity to increase product quality, it becomes clear the trend is truly industry wide.

Listen to the podcast and email me your thoughts. If there is any subject you would like us to tackle — suggest it.

Fifteen years ago when I came up with the crazy idea of providing education to an industry where it didn’t exist, I lost sleep at night trying to figure out the best way to do it. I wondered how one or two individuals could effectively educate the many people in specialty coffee who needed it.

Back then, we didn’t have the technology to disseminate information like we do today. Bellissimo began its educational mission with video training, and the fact that Espresso 101, our first product, is still the industry standard for training baristas proves not only that it was needed, but also that it’s the best film of its kind ever developed.

Today, we have myriad ways to reach the world, and one I feel may be the most intimate and educational is the podcast. Of course, Bellissimo is not the first company in the industry to produce a podcast (nor will we be the last) but I will assure you we will strive to make ours the best available — short and to the point with up-to-date information and no fluff.

The first episode of the "Bellissimo Single Origin, Freshly Roasted + Tightly Packed Podcast" went on the air on March 21 and featured a discussion between me and Ed Arvidson, our senior consultant, on the evolution of the specialty coffee industry and the current role of the independent retailer. The purpose of the podcast is to educate listeners about current issues in the specialty coffee industry and to give retailers the information they need to compete in today's highly competitive market.

The podcast is available to listeners via three of our websites — espresso101.com, coffeeschool.org, coffeeuniverse.com — in addition to the iTunes Music Store. Our podcast will not be produced in the run-and-gun style used by many. Instead, it will be thoughtful, well planned and produced in a professional studio. Jeremy Wilson of Conveyor Films in Portland is the producer, and in the future, I will take on the role of podcast host.

Our guests will include industry icons who will share their expertise and help us raise the knowledge bar in specialty coffee. Our next podcast will feature Connie Blumhardt, publisher of Roast Magazine, who will inform listeners about what’s going on in that sector of our industry. Because Portland is such an industry hotbed, many of our guests will be from our own backyard: Julie Beals, editor of Fresh Cup Magazine, Sarah Allen publisher of Barista Magazine, David Griswold from Sustainable Harvest, in addition to award-winning roasters and baristas. And that is only for starters on the “Bellissimo Single Origin, Freshly Roasted + Tightly Packed Podcast.”

Tune in.

Last week, two Bellissimo trainers traveled to the Paris Hotel in Las Vegas to facilitate a custom barista training and mini coffee school for Ghirardelli Chocolate. Sixteen regional representatives and the entire sales team of the San Francisco-based company attended the training, which was organized to help them understand how their product is served and consumed in the specialty coffee market.

When our trainers, Matt and Jared, returned, they gave glowing reports about how excited the attendees were to learn basic barista skills and how surprised they were by the similarities between coffee and chocolate. The training also included instruction on how to prepare blended drinks, mochas and hot chocolate, and even a little latte art was thrown into the mix. Of course, the focus of the training was on drinks that use Ghirardelli chocolate.

As we all know, chocolate is a big part of the coffee industry — consumers order zillions of mochas every day. Ghirardelli is one of the companies raising the bar in quality in this part of our industry, and offering this type of training to its staff proves the company is committed to understanding how its products are served and consumed by the public. Attendees were also eager to learn about the day-to-day operation of an independent coffeehouse in regard to product preparation, customer service, package design, etc. Monin Gourmet Syrups is another company that has started focusing on the quality chocolate sauce line.

A few years ago, we trained the national sales staff of Guittard Chocolate, another great San Francisco chocolate company. This is just another example of a company being smart and facilitating a coffee-related training because it understands that while coffee might not be its core business, it is a large part of its business.

We have a few more trainings like this scheduled in the near future. One of them is for a well-known name in the home coffee machine market. This company is sending a dozen of their top staff to ABC's for a three-day intensive training designed to fit their specific needs and product. These individuals are excited to travel from all over the U.S. to Portland for the training and to visit the “new” U.S. coffee capital and see what’s brewing.

It’s great to see that companies in the industry understand the value of training and to watch them grow their own particular niches in the market as a result of this commitment to learning.

To see more photos of the training, click here.

At Bellissimo, our consulting clients fall into one of four categories. The first consists of entrepreneurs in the early stages of planning a new coffee operation. We often work with these clients from the inception of their projects, and the consulting we do for them usually includes writing a business plan, projecting financials, designing the store, aiding in equipment purchases, developing the menu, and, finally, store opening and training.

This is the type of client who understands that a consultant can help them avoid the pitfalls that inevitably face anyone undertaking an endeavor as complicated as starting up a coffee business. In fact, two recent clients who hired us well before they signed a lease are each averaging approximately 3,000 dollars a day in sales. Given the challenges a new start-up coffee business faces, these huge numbers aren’t always the norm, so when our clients achieve this kind of success with our help, we are thrilled. The old adages "Do it right the first time" and "You only have one chance to make a great first impression" are both very true!

The second category consists of those who call us well into their project or when they are ready to open their store. These clients usually ask for help in only a few areas, i.e. on-site training. When we arrive at their operations, we often see costly mistakes in build-out and equipment selection that could have been prevented if we had been involved in their project from the beginning. Some of these errors can be rectified, others can’t.

The third category of consulting client consists of those who contact us for the first time after they are already open. These clients often have semi-successful operations and either want to expand or increase their revenues. These clients realize that the expert advice they receive from a qualified consultant will help them achieve their goals and more than repay the cost of hiring the consultant.

The fourth category of client is the one I am going to write about today -- those who are in desperate need of “damage control.” In the past, this type of client was uncommon, but lately, we have received a rash of calls from panicked operators asking for consulting advice and services. Typically, these operators don’t have a lot of money to fix their broken businesses, but they know they will lose everything if they don’t seek outside help...but sometimes they enlist a consultant too late. I believe the increase in requests for this type of help are indicative of where specialty coffee is today, and I have worked with three clients in this category in 2007 alone.

Often when I arrive at a damage control job, the ambiance of the operation is wanting or poorly planned. If changes need to be made in this area, this is generally not where a struggling operation with a limited budget can afford to start. Seating areas are often limited. Lighting and materials used in construction are poor. The overall store layout could be at least 50 percent better. However, the reasons these operations don’t make a profit are usually more complicated.

There are a number of similarities in the three operations in which I have done damage control this year. Drink quality was totally unacceptable, though in every case the operator thought it was fairly good. Staff training was done by either a coffee roaster or equipment dealer and was sub-standard. Menu was either too sparse or too complicated. Customer service was sub-par and the staff was never trained to up sell. Employees had little or no coffee knowledge, passion for the product or for the operation in which they were working. Branding and signage were fair to poor.

These retailers don’t realize that they must do all the above much better than the large chains or they will be out of business within a year. Two of the operations were undercapitalized from the onset and couldn’t afford to do the marketing they needed to do to get people through the door. None of the three were marketing effectively to their target group. In each case, I was happy they had not executed a marketing plan because drink quality and customer service needed to improve first. If they had been able to get customers through the door initially, most of them wouldn’t have come back. In two of the three operations, I saw bad equipment choices, staffing mistakes and little or no operational controls.

In the above list, some changes can be made quickly and others will take time to implement. Before I leave a damage control job, I make a list of what needs to happen in the next seven days, a checklist for the first month, and, finally, a priority list of other changes that should, and must, be made over time as cash flow permits.

One of the three clients was from the East Coast. He traveled across the country to attend Coffee Fest Seattle last fall, and Matt and I spent a good deal of time with him at the tradeshow. After meeting with us, it was apparent he was excited about working with Bellissimo. He told us he would call as soon as he got home. He didn’t, nor did he return our phone calls. When he finally did call a few weeks ago, he asked if I remembered him. I said I did, thinking the reason we hadn’t heard from him until now was because he hadn’t been able to find a location, and was just now ready to get started. I was shocked to learn he had already been open for two months and was tracking a half million-dollar loss for 2007. We spent two full days together at his location, and I plan to be in close contact with him over the coming months. As he drove me to the airport, he said, "Bruce, even though I have a background in business, I can't believe I thought I knew it all. I wish so much I had worked with you from day one."

Retail specialty coffee is not the slam-dunk that so many budding entrepreneurs think it is. It is very sad to see people lose their life savings and watch their dream turn into a nightmare. I always give potential clients the following advice: “If the match isn’t right, don’t work with us; but please, if you are investing hundreds of thousands of dollars in your project, work with someone who can guide you.”

It is in your best interest to hire a consultant to help you through the process of opening your specialty coffee business. But be warned: everyone who wants to sell you something will try to be your expert. Even those who aren’t even qualified to help you will claim they are experts. Remember, free advice is usually worth exactly what you pay for it! So do your homework and avoid consultants who have an agenda other than helping you succeed. But how do you tell who is an expert and who is not? Many who claim to be experts will tell you they have slain armies when in reality they have only done battle with windmills. To protect yourself, call references and do as much investigation as you possibly can. Your life savings could depend upon your due diligence.

Of course, we love the challenge of turning an operation around -- if it isn’t already too late. But I have to admit, no matter how satisfying that is, it is so much more rewarding to help clients avoid costly mistakes. As I said earlier, do it right the first time. It is much easier to buy a new car than repair one after an accident.

It’s pretty sad really... the Coffee People drive-thru that has been part of my morning ritual for the past year and a half closed recently, and as of this morning, was covered with graffiti. The coffee wasn’t the best in Portland, but the location was convenient, halfway between my house and the office.

If I want coffee at work, I have the option of making it on the full-size espresso machine in our office or going downstairs to the school, where I have my choice between one of ten different two- or three group espresso machines, a great Bunn brewer and a Clover coffee brewer. Not only is there great equipment in the school, but also coffee from more than 12 of the best roasters nationwide. Still, I miss the little drive-thru (one of Portland's first) on MLK Boulevard. We are all creatures of habit.

The truly sad part is that Starbucks has purchased most of the real estate of the Coffee People chain. Coffee People, as most of us know, sold out many years ago to Diedrich, but the new owners kept the local flavor of the stores.

Now, as soon as I turn the corner on to MLK and look for drive-thru coffee, I have a choice to go to a Starbucks, or drive two blocks further and stop at the next Starbucks, or drive another four blocks, cut over a half a block to Grand Avenue, and visit yet another Starbucks (which was also a Coffee People store up until a few weeks ago). If I miss all of those, there is still one more Starbucks drive-thru I can cruise into approximately one mile before I arrive at my office.

Those of you who have heard me speak at tradeshows or talked to me in person, know I am not a Starbuck’s basher. I believe our industry would not be where it is today if it weren’t for “big green” educating people about specialty coffee and getting many to try it for the first time. What makes me sad is that I want more choices. If I pass only four drive-thus on my way to work, I don’t want them all to be the same brand. The thought of the financial and real estate power this chain possesses makes me a bit ill.

I know for a fact an independent can go up against a large chain and equal or beat their numbers. The now infamous Starbucks memo, leaked last week, stated in part:

“Clearly we have had to streamline store design to gain efficiencies of scale and to make sure we had the ROI on sales to investment ratios that would satisfy the financial side of our business. However, one of the results has been stores that no longer have the soul of the past and reflect a chain of stores vs. the warm feeling of a neighborhood store. Some people even call our stores sterile, cookie cutter, no longer reflecting the passion our partners feel about our coffee.”

Not only is the “soul of the past” lost, but I believe that I am not the only one who is angry and believes that by buying up smaller chains, Starbucks has taken away choice. My prediction is that this behavior will eventually result in consumer disfavor for the brand.

Even Starbucks knows what they’re up against. Do their executives lose sleep at night worrying about independents growing at approximately the same rate as they are? I doubt it. Will they in the future? My guess is yes.

Outside it was cold and snowy, but inside Navy Pier where Coffee Fest Chicago 2007 was brewing, things were hot and fresh. The show was busy on the first two days and both of my seminars were well attended, with standing room only. I think those of us who don't live in real snow country, and many of us that grew up in this environment, welcomed the snowstorm that hit on Saturday and Sunday. I grew up in Ohio and Kris in Minnesota, and both of us had forgotten how nice it was just to walk outside in snow so blinding it was difficult to see buildings less than a mile away.

The best part of any coffee show is seeing old friends. I love the first show of the year and connecting with true friends in the industry, most of whom I have known for over ten years. The worst part is just how draining it is to be "on" from breakfast until past midnight almost every day. On the first evening we attended a large dinner of more than 20 people hosted by Nuova Simonelli. We hit the Coffee Fest reception on the second night and on the final night a small Oscar party that saw most of us fading away about half way through -- exhausted after four long days. You can see some of the photos of the event and parties on Coffee Universe, Friends of the Universe.

So with the trade show season upon us, we now look forward to the SCAA Conference and Exhibition in Long Beach and then another Coffee Fest in Atlanta. I spent a great deal of time with my old friend, Michael Ferguson, of the SCAA, who introduced me to the organization's new director -- Dawn Jantsch. Dawn and I had a nice visit, and I was extremely impressed with her. She has run other professional organizations and brings many years of experience to the SCAA. With her saavy, I am sure she will bring fresh ideas and inject new enthusiasm into our professional organization. I extend a big welcome to her and wish her the best of luck in coming years.

Last Saturday, the American Barista & Coffee School played host to Sauro Dall’aglio, a barista trainer from Italy. LaSpaziale is sponsoring Sauro’s U.S. tour, and the company’s President and Vice President, Assad Benabid and Laurel Bird also spent the day with us.

Sauro is a first-rate trainer and barman, and has worked in Germany, Italy and Australia. In addition to being a barista trainer, he is an experienced coffee cupper and sommelier. He has competed in barista championships in both Italy and Australia.

Throughout the day, Matt, the director of ABC’s, and Sauro exchanged techniques and theories about espresso and brewed coffee. They also shared signature drinks with each other and created some new ones using Torani Pure Flavor, a line of fresh, natural herb, spice and botanical flavors in an unsweetened, liquid form. At the end of the day, they had a mini latte art pour-off, where each of them showcased their unique designs.

It was a pleasure to have Sauro, Laurel and Assad visit us at ABC’s. Our school is not only about teaching students, but also about learning from others, and the camaraderie and spirit of cooperation exhibited on Saturday benefited everyone in the school that day. We look forward to more edifying, cross-cultural days like this in the future.

I just got back from Italy, and I have to admit it is always nice to travel...but the sunrise over Mt. Hood this morning in Portland, Oregon was also pretty spectacular.

I have been traveling to Italy for more than 15 years. I usually go about once a year, but one year I remember going four times. My Italian heritage, combined with my many visits, makes me feel I know the country well. Over the years, I have met people from all over Italy -- some are business contacts, many just friends. Many nights during this trip, as in many in the past, I had the opportunity to get out of the pensione and into an Italian home. Staying with a family is the best way to understand any country...for these opportunities I am thankful, and I never take them for granted when I travel. I experience the same thing when I go to Brazil, Greece, Guatemala and other countries around the world. I must say the biggest perk of my career in coffee is the friends I have made, those who ask me to visit, and once I'm there, treat me like family. No matter what country I am in, these people can never do enough, and they always take me to the "inside" of their homeland.

I do the same in return -- in fact, tomorrow one of the top trainers in Italy is coming to spend the day and evening with Matt and me at the American Barista & Coffee School. LaSpaziale, and our good friend from the company, Assad Benabid, are hosting him in the U.S.

During my trip, I met with a number of well-known coffee companies, mostly in Rome. As a result, we may do some consulting to help a new company attempt to break into the American market. This is always a difficult proposition, given coffee has a shelf life, and the chemistry and physics involved in grinding, packaging, etc., make it difficult for most Italian companies to bear the cost of exporting coffee to this country. In addition, the overall negative perception the U.S. public has regarding the freshness of coffee shipped that far is difficult to overcome. If you are interested in learning more on this specific subject, click here to read an article I penned last year that goes into detail about the pitfalls Italian roasters face when breaking into the American marketplace.

In a future blog, I will examine and report on what I found when I was patronizing a few dozen bars in Rome, Florence and Southern Italy. Here's a teaser: "The new Italian Cappuccino."

I was recently surfing the web checking out the competition in coffee education and consulting. I wasn't surprised to see there were a number of individuals and companies now offering consulting services and opening coffee schools. Certainly, America is all about competition, and this industry is large enough to support multiple sources of information and assistance. After all, successful coffee businesses fuel the growth of our industry. Truthfully, what concerns me is not the fact that these other sources might be taking some business away from my company, but rather that consumers may make uneducated decisions about where to get good information... information that will be essential to their success and the continued success of this industry.

Going into business can be very risky. The average failure rate for any type of new business is about 80 percent. Failure rates for restaurants are typically around 95 percent. And, while no specific statistics exist for the failure rate of coffee businesses, we must assume that they fall somewhere between 80 and 95 percent. Clearly, many of these failures are the direct result of owners who have made poor decisions in setting up the business or do not possess the skills to build and run their business. Those who have prior business ownership experience and/or "bottom line" foodservice management experience will certainly have a better chance of being successful than those who do not. But, with this industry changing and becoming more competitive each day, the types of mistakes that were made by budding entrepreneurs five years ago (and were survivable), often result in business failure in today's marketplace. Good information is essential to survival and success in this business.

The decision to embark on the journey to open your own coffee business is a serious one. If you are considering attending a coffee school or establishing a consulting relationship, and the principals or their associates are not forthright about the risks, or do not ask questions about your business experience, or financial resources to start the business, you should be concerned. If they just happen to be able to sell you an espresso machine or coffee, you should be doubly concerned!

The truth is, that for those who are already in the business, most would probably tell you that foodservice is a "love/hate relationship." Owning a coffee operation can be fun and rewarding, but it can also be overwhelming. While having great product, good customer service, and a clean store are the fundamentals essential to attract and maintain customers, it is only a small fraction of what it takes to set up and operate a successful coffee business. Creating a realistic financial plan, sourcing the capital, finding a great location, negotiating an advantageous lease, developing an efficient space design, selecting the right equipment and consumable products, hiring good employees and training them thoroughly, ordering product, controlling cost of goods, controlling labor, producing monthly income statements, setting goals and budgets, marketing your business, etc., etc., etc. — all need to be mastered to be successful in this business. (I might mention that all of these subjects are talked about in detail at our school — ABC's.)

It is for this reason that I warn the buyer to beware when they are making selections for professional help and education. Many within this industry can show you how to pull a good shot of espresso, steam velvety milk, and pour a heart on your latte. And, if your only goal is to make a superior latte for your friends at home, or to sharpen your barista skills at your present place of employment, then most will probably meet your needs. But don't be under any illusion that beautiful drinks are all it takes to be successful in this business.

Several months ago we signed a client who needed assistance with an espresso bar design. When we asked about his budget for equipment and the build out, he provided us with a figure, which was woefully short of what we knew it would probably cost. When we informed him of this fact, he told us that the business investment figure had been provided to him as a result of financial plan that was prepared for him by a consulting company. Upon examination of this financial plan, we realized that it was merely a shopping list of equipment and consumable products that the consultant's company sold. It made no provisions for such things as prepaid rents and deposits, architectural, accounting and legal services, essential equipment and mill work (sinks, refrigerators, ice makers, cabinets, etc.), contractors services (general, plumbers, electricians, framers, sheet rockers, painters, etc.), inventory and small wares (except the things they stocked), and probably most important of all - operating capital! The amount quoted as the necessary funds to open and run the business only represented about 15 percent of what would actually be needed!

In my opinion, people who represent themselves as knowledgeable consultants in this industry, and then provide poor information because they are unqualified, are not only negligent, but border on being unethical as well. After all, we are talking about people's life savings in many cases perhaps their home, which has been mortgaged to start the business, or their 401(k) retirement fund, or their kid's college education money.

When Bellissimo began business 15 years ago with the creation of award-winning educational videos, books and consulting services, it was not only because there was a need for education and assistance within the industry, and a business opportunity, but also because we knew that collectively, we possessed the skills and experience to do those things well. I had experience in film making, successful retail business ownership, and importing Italian products, specifically coffee. Ed Arvidson, senior coffee consultant for Bellissimo, came with 20 years of foodservice management and ownership experience, including training managers and troubleshooting operations for major corporations. We knew we possessed the skills necessary to fill the needs of many. But more importantly, we also knew our limitations. If an individual would call our office and ask us to help with a function that fell outside our realm of expertise, we would try to refer them to someone who was qualified and experienced.

Since its inception, Bellissimo has expanded its staff slowly and carefully. Kris Larson, Matt Milletto and Jared Mockli have all brought their talents, and experience to help create what I believe is the strongest, and most qualified consulting and educational team within our industry. Perhaps more important than their talents and experience is their passion and integrity.

We've gained our experience about coffee and espresso over many years, by learning from some of the "industry's best" (like Dr. Ernesto Illy — Illy Caffe and Mauro Cipolla — Caffe D'Arte Coffee, to name a couple). We've also learned about the business and this industry by helping literally hundreds of companies and individuals open their businesses, and by helping many others address their business challenges. It is from this base of knowledge and experiences that we have created the industry endorsed standards in DVD and textbook training and education. Some consultants in this industry buy our tools to help educate their clients, and to them, I say thank you. Your dedication to education, as well as your patronage is greatly appreciated. There are others who will try to discourage you from buying any educational materials, unless they come from them — Beware! No one has a monopoly on knowledge. Our office bookshelves are stocked with books from the industries best and brightest.

It is from this wealth of knowledge and experience that we have built our coffee school: The American Barista & Coffee School in Portland, Oregon. If you are going into this business, get educated. If you have no experience, and it's within your budget, consider some consulting help. However, do your homework before you make a decision on what school to attend, or which consulting firm to hire. Ask the following questions:

How long have they been in the industry? Are they willing to give you references? What is their experience? What is their reputation (within the industry, and with their past attendees/clients)? Do they have actual experience in creating and running successful coffee operations? Who are they affiliated with in the industry? What kind of facilities does their school possess? Do they have equipment and products from more than one supplier (the American Barista & Coffee School has over 60 sponsors!)? For most people the stakes are too high to make the wrong decision.

I love January – it may be my favorite month of the year. Every business person I have spoken to this month is so enthusiastic. There is something about going through the six week holiday year-end wind down and finally hitting January that invokes new hope and optimism in almost everyone.

This week I have touched base with dozens of dear friends in every facet of the coffee industry. They all shared new ideas with me and we exchanged wishes for a great year ahead. Bellissimo has so many things on its plate right now, and they are all very positive.

Next week I will prepare for an upcoming trip to Italy to visit various companies that Bellissimo is working with. I hate the thought of the long flight, but once I am on Italian soil I will feel wonderful. I have gone to Italy in January many times, and not only is it the one month of the year in which you see signs saying SALDI or sale (the Italians do not have sales all year around like us -- just once a year), but there are NO tourists and you actually get to see the real Italy and enjoy relationships with people on a different level... so I am off soon to Vespas, Alfa Romeos, great pizza and espresso on every corner.

Julie and Greg from Fresh Cup Magazine and I had a number of long talks last week, recalling the antics and beauty of Ward Barbee, the man they called their boss and we all called dear friend. The conversations brought us to laughter even though we were sad, and all of us articulated the same feeling: how hard it is to believe Ward is not with us. Each of us still expects to see him just walk through the door, laughing and saying, “I fooled all of you!”

The coffee industry will never be the same without Ward, and the ideals he strived for in his sometimes eccentric way will forever shape each of our lives and business relationships.

Ward, it is now going on six months since you left us, but know there is not a day that goes by that I do not think of you…want to call you, look for your email in my box, meet you for a beer. Hey! How great would it be for us to discuss the Oregon Ducks basketball team knocking off number one ranked UCLA last Saturday? We definitely would have had that conversation today if you were here.

We all miss you buddy...

Almost anywhere I go in the United States I am blown away by how hard it is to find a great cup of coffee. Travel always makes me appreciate the variety and number of independent cafes in the Northwest and particularly in Portland.

I just returned from Scottsdale, Arizona, where one morning I drove for more than half an hour on major arterials looking for an independent coffeehouse. Finally, I gave up and pulled into a Starbucks. On a different day and in another part of town, the only coffee establishment I could find was another chain operation: the Coffee Bean and Tea Leaf. The interesting thing about that experience was how much it was like patronizing a Starbucks. The interior was very similar and they used many of the same marketing techniques: music displays, leaflets describing sustainability, etc.

Where are the independents? I am sure there are many in the metropolitan Scottsdale/Phoenix area, but just like so many other places I have been you almost have to know where they are to find them. Unlike Portland, where there are independents (and good ones, I might add) on almost every corner, I am still shocked to have to search and search to find independent cafes in other parts of the United States. I guess it goes to show you that opportunity still exists to open a coffeehouse in most parts of the country. There are many consumers who are looking for something other than the corporate chain coffee operation...people just like me!