How To Start a Coffee Shop Pop Up | 14-Step Guide for 2025

Pop-up coffee shops are revolutionizing the way coffee enthusiasts and entrepreneurs connect with their customers. These temporary setups offer a unique opportunity to showcase your brand, experiment with creative ideas, and serve high-quality coffee in new locations— without the commitment of a full-scale coffee shop. 

Capital One reports that 80% of retailers who’ve opened a pop-up shop have considered it a success, and 44% of pop-ups cost less than $5,000 to open. 

Better yet, the total revenue of pop-ups is expected to surpass $95 billion in 2025, up nearly 20% from 2024. At the same time, Grand View Research projects the market value for cafes to increase 5.4% each year from 2024 to 2030.

To help you take advantage of both of these trending and growing markets, in this guide we’ll explore all the essential aspects of how to start a coffee shop pop-up business, from planning to launching a concept that leaves a lasting impression.

Key takeaways

• Pop-up coffee shops offer an affordable way to test your coffee business concept without committing to a full-scale build-out or long-term lease.

• These temporary setups allow you to experiment with unique branding, menu items, and customer experiences in diverse locations.

• Collaborating with local businesses and choosing high-traffic areas can boost visibility and help build a loyal customer base.

• Success relies on efficient tools like a comprehensive POS system, streamlined inventory management, and effective marketing strategies.

• A well-crafted business plan with sections covering location(s), menu items, operations, branding, and finances is critical for navigating challenges, optimizing your pop-up’s potential, and potentially securing funding.

What is a pop-up coffee shop?

A pop-up coffee shop is a temporary coffee operation set up in a rented space or within another business for a limited time. This flexible approach allows you to establish a presence in high-traffic areas without the significant investment of a full-scale build-out or long-term lease. 

The versatility of pop-ups makes them an attractive option for both aspiring and experienced coffee business owners. Pop-ups can adapt to diverse settings and frequently collaborate with local businesses, fostering community connections and leveraging existing customer bases to enhance visibility and sales.

Pros and cons of starting a pop-up coffee shop

Understanding the benefits and challenges of a pop-up coffee shop can help you decide if this business model is right for you. While pop-ups offer flexibility and cost savings, they also come with limitations like space and operational constraints.

The key advantages of starting a pop-up coffee shop include:

• Low startup costs: Pop-ups don’t require long-term leases or extensive renovations, making them a more affordable entry point compared to traditional coffee shops.

• Test marketing potential: They allow you to gather valuable customer feedback on your brand, menu, and pricing, helping refine your concept before scaling up.

• Creative freedom and flexibility: Pop-ups provide an experimental platform to showcase unique branding, innovative menu items, and eye-catching designs.

• High visibility and customer attraction: Their temporary nature creates urgency and buzz, drawing curious customers and boosting brand exposure with the right promotional strategies.

On the other hand, some of the drawbacks of coffee shop pop ups are:

• Resource constraints: Limited space can restrict equipment, inventory, and seating, affecting your ability to expand the menu or handle large crowds.

• Profitability challenges: The transient nature of pop-ups and dependency on consistent foot traffic can make it harder to achieve steady profits.

• Customer retention: Frequent location changes or a short-term presence may make it difficult to build a loyal customer base.

• Heavy marketing dependence: Successful pop-ups often rely on robust social media and promotional efforts, as word-of-mouth may not generate sustained traffic.

How to start a pop-up coffee shop

Starting a pop-up coffee shop involves strategic planning and effective execution across several key areas, from selecting your format to navigating legal and financial requirements. Each step is crucial for standing out in a competitive market and building the foundation for a successful pop-up.

1. Choose a coffee shop pop-up format

The format of your pop-up sets the stage for the customer experience you want to deliver. Additionally, it determines your equipment, space, and logistical requirements, influencing overall costs and operational efficiency. For example:

• Mobile cart or kiosk: Ideal for catering, farmers’ markets, office complexes, or event venues, where portability and flexibility are key.

  • Example: Philadelphia-based Old City Coffee offers pop-up coffee and espresso catering for various different types of events.

• Stationary setup: A fixed space within a high-traffic location, such as a bookstore or boutique, offers stability and ease of setup.

  • Example: Grind Coffee Shop opened a pop up inside the Milk + Cream ice cream shop for a one-off, limited-time collaboration. The pop-up promotes both brands to new customers, and has sparked new menu creations like the “Cereal Milk Latte.”

Remember, it’s crucial to pick a format that matches your budget, vision, goals, and the type of interaction you want with customers.

2. Decide on a location

Location is a key factor in your pop-up's success, so look for areas with high foot traffic and accessibility that align with your target demographic. You might also consider forming partnerships with established businesses to share space and customer bases.

Examples of potential locations include:

• Existing coffee shops: Rent the space during off-hours for a ready-to-use setup.

• Bars and nightclubs: Operate in the mornings before these venues open for their usual business.

• Art galleries and theaters: Enhance the cultural experience for visitors.

• Markets: Take advantage of built-in foot traffic at farmers’ or holiday markets.

• Corporate or co-working spaces: Build a connection with professionals seeking quality coffee on-site.

For example, Misfit Coffee does a pop-up every year for University of Minnesota’s “Welcome Week.” The week-long coffee shop pop up is stationed at the Weisman Art Museum, where it's well-positioned to attract new students as customers and build brand recognition for their brick-and mortar store a few miles away.

Remember, pop-ups rely on a combination of heavy foot traffic and effective marketing. A well-chosen location not only boosts visibility, but also helps build community connections.

3. Understand legal requirements, licenses, and permits

Compliance with local health and safety regulations is non-negotiable. It’s critical to research the specific licenses and permits required in your area, such as:

• Food handler permits

• Liability insurance

• Health department approvals

Local business associations or licensing offices can provide guidance on meeting legal standards. Ultimately, complying with health and safety regulations builds trust with customers and protects your business.

4. Build your pop-up coffee shop menu

Your menu is one of the key factors in creating a memorable customer experience. Since space may be limited, be sure to keep it concise and focused to maintain efficiency while showcasing your brand’s identity.

As you build your menu, think about implementing these tips:

• Prioritize high-quality, signature offerings like unique lattes, cold brews, or seasonal specialties.

• Use your concept to guide menu decisions—whether that’s highlighting single-origin coffees, organic ingredients, or innovative flavor combinations.

• Balance creativity with operational practicality to ensure fast service and minimize waste.

For example, the Godspeed coffee shop pop up located in the Papa Jazz Record Shoppe in South Carolina served coffee drinks inspired by cocktail processes and flavors. Kailey Cunningham, co-owner of Godspeed, said:

“We've always seen parallels between being a barista and being a bartender, and we've always had fun watching the workflow whenever we go out for drinks and seeing the similarities and differences so we felt really inspired to do some crossover there.”

Remember, signature drinks or standout items can become buzzworthy highlights that encourage repeat visits and word-of-mouth promotion. 

5. Find inventory suppliers

Reliable suppliers are critical for obtaining high-quality ingredients on time and meeting customer expectations. To pick the best supplier for your pop-up, think about choosing those that align with your brand’s values. For example:

• Local partnerships: Source coffee beans from nearby roasters to add a personal, community-focused element.

• Sustainable suppliers: Emphasize eco-friendly practices to appeal to environmentally conscious customers.

Additionally, it’s vital to plan for peak times by maintaining an optimal stock of ingredients and supplies, ensuring you can meet demand without overstocking.

6. Design your branding and marketing strategy

Strong branding is essential for creating an attractive and memorable pop-up experience, which can help drive future business. To create a great brand image, it’s key to develop a cohesive visual identity that includes a logo, color palette, and brand messaging to reflect your concept. 

Overall, your branding should communicate what makes your pop-up unique and resonate with your target audience.

When it comes to marketing, social media can be a powerful tool for building excitement before your launch. To make the most of your online presence, think about:

• Creating engaging posts and teasers that showcase your setup, menu, and opening date.

• Sharing your location details prominently to attract local customers.

• Collaborating with local influencers to expand your reach and credibility.

For example, pop star Sabrina Carpenter launched her Short N’ Sweet pop-up cafe at Partners Coffee in New York City. This pop-up not only promoted the singer’s music, but also brought in new customers to Partners Coffee for a memorable experience.

7. Plan your finances, sales forecasts, and operating expenses

Effective financial planning is the backbone of any sustainable business, including pop-up coffee shops. Start by outlining your key expenses, including:

• Startup costs: Permits, equipment, initial inventory, and marketing materials

• Ongoing expenses: Supplies, ingredients and packaging, payroll, utilities, and potential rent or space-sharing fees

Once you have a good grasp of your expenses, create sales forecasts based on the estimated foot traffic at your chosen location. Also, establish daily or weekly sales targets to monitor revenue and profitability. 

Consistently tracking your expenses and income is essential for identifying opportunities for cost savings or adjustments. Staying financially organized ensures you can adapt to challenges without compromising quality.

8. Create a pop-up coffee shop business plan

Now that you’ve determined all the foundational aspects of your coffee shop pop up, it’s time to tie it all together with a solid business plan. Your plan should include all of the following key sections:

• Executive summary: Provide a brief overview of your concept, mission, goals, and what makes your coffee shop pop-up unique.

• Market analysis: Define your ideal customers and analyze local competition to identify gaps or opportunities in the market.

• Menu plan: Outline a simple, focused menu that reflects your brand, including signature drinks and seasonal specials.

• Operational plan: Detail the logistics of running your pop-up, including locations, operating hours, staffing, and supplier relationships.

• Marketing and branding plan: Explain how you’ll attract customers through social media, partnerships, and promotions like loyalty programs or limited-time offers.

• Financial projections: Estimate startup costs, operating expenses, and revenue for the first year, including metrics like your break-even point and profit margins.

A comprehensive business plan not only provides a roadmap for your venture, but it can also be critical if you seek funding.

9. Secure funding and loans

If you don’t have enough personal capital to invest or prefer to explore funding options, consider financing your venture with:

• Small business loans: Approach lenders with your business plan to secure necessary capital.

• Crowdfunding platforms: Engage with your community and future customers while raising funds.

• Partnerships: Collaborate with local businesses that can provide financial or in-kind support, like equipment or promotional assistance.

When seeking funding, emphasize your pop-up’s unique value proposition, market research, and potential for profitability. Demonstrating demand for your concept and outlining how you’ll use the funds can help improve investor confidence.

10. Handle tax, DBA, and EIN requirements

Once you’ve successfully developed your business plan and secured funding, you’ll need to properly register your business. For example, the following are essential for legal and tax purposes:

• DBA (Doing Business As): Register your pop-up's name if it differs from your legal name.

• EIN (Employer Identification Number): Obtain this number to simplify tax filings and open a business bank account.

• Separate finances: Use a dedicated business account to keep your personal and business finances organized and transparent.

These steps help ensure your pop-up is legally recognized and well-prepared for financial management.

11. Craft your design and atmosphere

A well-designed environment can transform your pop-up from a simple coffee stand to an immersive experience. Even in a temporary setup, the atmosphere matters, so be sure to consider these elements:

• Signage and decor: Use eye-catching and branded signage to draw attention, showcase your offerings, and reinforce your brand identity.

• Comfortable seating: If possible, provide cozy chairs or benches to encourage customers to enjoy their coffee and the ambiance.

• Ambient details: Include thoughtful touches like soft lighting, background music, or branded coffee cups to create a more memorable experience.

Overall, it’s important to focus on creating a space that invites customers to linger, appreciate the experience, and associate your brand with a positive vibe.

12. Invest in a point of sale (POS) system

A portable and reliable point-of-sale system is crucial for streamlining key business operations and enhancing the overall customer experience. For example, a comprehensive POS system like Toast provides essential features like:

• Payment processing: Offer flexible payment options, including credit cards and mobile wallets, to ensure a fast and seamless checkout experience for customers.

• Cost and sales analytics: Track sales data to identify your most profitable menu items, analyze revenue trends, and make informed adjustments to your pricing and offerings.

• Inventory management: Monitor ingredient levels in real-time with tools that set automatic alerts for restocking, ensuring you’re always prepared during peak service hours.

• Loyalty programs and email marketing: Leverage built-in tools to reward repeat customers and share updates about your pop-up’s locations, events, and limited-time specials.

• Handheld POS system: Streamline service with mobile POS devices that enable staff to take orders and process payments directly from the customer line, reducing wait times.

• Payroll and scheduling: Simplify staff management by using POS-integrated tools to organize schedules, handle staff tips, and process payroll efficiently.
  
  

13. Hire your pop-up coffee shop team

Your staff plays a vital role in the success of your pop-up, as they represent your brand and interact directly with customers. Focus on hiring individuals who are:

• Personable: Excellent customer service skills can turn one-time visitors into loyal fans.

• Knowledgeable: Train your team on coffee preparation techniques and your menu offerings so they can confidently answer questions and make recommendations.

• Aligned with your brand: Share your pop-up’s mission and values, like sustainability and inclusivity, to ensure your team embodies the image you want to project.

Remember, even a small team of welcoming and well-trained staff can make a lasting impression on customers.

14. Launch your pop-up coffee shop

Finally, it’s time to bring your vision to life! To help ensure a successful launch, follow these final tips:

• Pre-launch marketing: Build anticipation with countdowns, sneak peeks, and influencer collaborations on social media.

• Soft opening: Consider a trial run with friends, family, or select customers to test operations and gather feedback.

• Grand opening event: Kick off with a memorable event, such as special promotions, live music, or giveaways, to generate buzz and attract foot traffic.

• Make adjustments: Use insights from your soft opening and early customer feedback to refine your menu, improve workflows, and enhance your overall customer experience.

A successful launch sets the tone for your pop-up coffee shop’s reputation, so make sure every detail is fine-tuned and ready to impress. If your pop-up is successful, think about expanding to new locations or even starting a permanent brick-and-mortar coffee shop.

For example, Ugly Duck Coffee began as a pop-up espresso bar in Rochester, NY in 2015, operating small cafes inside of other businesses. After doing pop-ups for about a year, the Ugly Duck is now a traditional 900 sq. ft. coffee shop with a permanent location.

Take your coffee shop pop-up to the next level

Starting a pop-up coffee shop is an excellent way to build new connections with your community and bring your coffee vision to life with lower risk and higher flexibility. 

By following the steps above, you can navigate the challenges and opportunities of this business model, from creating a unique concept to refining your operations for long-term success.

To streamline your journey, consider the powerful tools offered by Toast’s POS system. With features like real-time inventory management, sales analytics, and mobile payment options,

Toast equips you with everything you need to deliver a seamless customer experience and optimize your business operations. 

Ready to take your coffee shop pop-up to the next level? Check out Toast’s POS system today and explore all the ways it can help your pop-up thrive.