8. Cost structure a.What are the most important costs inherent in our business model? The most important costs in the business model are the rent and employees. Although we will mostly work with volunteers, we will need to have staff that can work five days a week to ensure that the shop is open six days a week. The store will be in an old building provided for a fair price by the city of Paris. The energy and water will only cost the price of installation since we will install solar panels and water tanks in the building to be energy self-sufficient. As outlined in key resources, we will need to pay for the perishable groceries. We will try to reduce the prices by creating partnerships. Most of the furniture and tools for the workshops will be donated, and the rest will be bought at a fair price in secondhand markets, online or in markets. By creating partnerships with other associations, such as furniture charity shops, or by using the newsletter announcement, we will find what we need for low prices. We will not buy the clothes since they will be donated. As a result, they will not be considered in the costs. The most expensive key resources will be food and drinks, rent, employee pay and insurance for the volunteers. The most expensive activities will be the coffee shop because it will need employees and a food supply. The workshop will also be an expensive activity since we need to pay the rent, as well as pay for machines (e.g., cold room, cooking machines, cooker, oven) for which we will not be able to reduce the price, and the ingredients. 121
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