Jan ‘25 - Financial Update
The new year has started and we’re excited to say it has started off well! We’ve made a huge profit this month, and have connected with many organizations where we see ourselves growing.
We’re planning on various ways of growing and to lower our costs even more so that we can make the largest profits possible to maximize our donation potential.
Revenue and Sales Performance
Unfortunately, we didn’t receive a single B2C order in the month of January. Our revenue was from wholesale beans order from a pop-up coffee shop, our regular monthly donors, and a large B2B order.
Product revenue reached $3933, a 953% month-over-month increase. The main driver of this increase was a large order of 200 boxes of coffee from CAIR-LA, a non-profit organization that, and from our monthly donors.
Breakdown of Expenses
Running an online store comes with its set of operational costs. Here’s how our expenses were allocated in December:
Transaction Fees: $7.07 went towards taxes and fees as it relates to paying out our payment processors. We saved a lot of money here due to receiving our payment for the B2B order via check.
COGs: $2348.48 went towards paying for the cost of coffee beans.
As we scale back marketing and web development our expenses have become more stable. Most expenses are around sales related costs such as cost of goods and transaction fees.
Profits and Donations
Koffiyeh generated $156.48 in profit in December, a 525% increase month-over-month net profit. Most of our profits were from our large order to CAIR-LA that will use these boxes as promotional items as they raise funds at events to fight for justice for the minority communities.
Profits will be rounded up to $1000, plus $31.23 in transaction fees, and donated to UMR which will helps in the humanitarian aid of those affected within Gaza.
Looking Ahead
The month of January was a great start. Here’s what we are working on in the coming months:
Continue building partnerships with well established non-profits and content creators to help propel visibility of Koffiyeh.
Work towards creating an in-house roasting platform.
Creating a membership program to donors, so that they can have more say in the direction of Koffiyeh.
Partnering with event based coffee brands to have a greater reach to potential coffee lovers.
Continue on exploring options to wholesale Koffiyeh to physical locations.
