You know what great coffee tastes like. But do you know what it actually costs?
WithMe has reviewed hundreds of coffee contracts and talked to thousands of property teams, and one misconception comes up again and again.
Teams think their minimum spend is their monthly cost.
It’s not.
That reassuring little number sitting front and center in your coffee contract? It’s only telling you part of the cost story.
💰 Equipment? It’s definitely accounted for…somewhere.
💰 Filter replacement? Might be included, might not be.
💰 Service calls? Depending on the reason, a fee could be charged.
💰 Ingredients, consumables, delivery fees, preventive maintenance? Generally an additional spend.
Let’s take a look at four of the most important questions to answer as you’re reviewing a coffee contract. Not only will they help you uncover the true investment, they’ll also help you understand the full scope of the commitment.
Here’s where Ctrl+F or Command+F will become your best friend.
Plug these terms into your search bar to quickly find the fine print that matters:
Type a term or select one below.
What you pay
Equipment and service
What can change
Commitment and cancellation
What even is “minimum spend?”
If there's one number you should pay especially close attention to, it’s the minimum spend.
Minimum spend is exactly what the name suggests → the minimum. It's a contractual floor, not an estimate of what your coffee amenity will cost each month.
Minimum spend
The contractual floor
Actual monthly cost
The total that reaches your invoice
And the gap between that minimum and what you actually pay can be bigger than you think.
So, whether you’re comparing vendors or simply trying to understand what your current coffee solution really costs, never take minimum spend at face value. Understand what it includes, what it omits and what can make it increase once the coffee starts flowing.
What does your coffee program really cost?
Enter the monthly charges from your contract and invoices to see how quickly the total can climb beyond the minimum.
If product purchases exceeded the minimum, enter the higher amount.
Estimated actual coffee cost
$0.00
per monthWhat pricing model is being employed?
Commercial coffee providers leverage several different pricing models, and each handles usage differently.
Keep in mind that usage isn't necessarily limited to residents. Team members and prospects grabbing coffee during tours also contribute to consumption, which can make actual product usage higher than expected.
This is where minimum spend becomes misleading.
Contract minimum
$1,000
The contractual floor
Product consumed
$1,400+
Before ancillary fees
A $1,000 monthly minimum does not mean your coffee program costs $1,000 per month. If your community consumes $1,400 worth of product, you're paying $1,400. Add in ancillary fees, and that number continues to climb.
Pro tip: Pull your last three months of coffee invoices and compare your average actual spend with the minimum listed in your contract. That difference tells you far more than the contract ever will.
Also keep future fluctuations in mind. Many agreements allow vendors to increase prices annually or adjust product costs as coffee and other commodity prices change. In an ideal world, your contract should include a clear overview of the rules governing when and how those increases can happen, rather than using vague language that gives the provider broad discretion.
Remember: minimum spend is a floor, not a quote.
How easy is it to leave?
Cancellation, renewal and early termination terms deserve just as much scrutiny as the pricing model.
Many agreements require multi-year commitments, with three-year terms being the most common. That's a long time to assume your budget, resident demand, ownership, management and amenity strategy will stay exactly the same.
Leaving early can be expensive. Early termination provisions may require you to repay equipment discounts, pay a cancellation fee or cover a percentage of your average monthly spend for every month remaining on the contract.
Then there's what happens when the initial term ends. Some agreements contain evergreen clauses that automatically renew the contract unless you provide written notice during a specific window. Depending on the contract, missing that window could mean another fixed term or an extended rolling commitment.
Initial term
Your original contractual commitment
Notice window
Your opportunity to cancel in writing
Automatic renewal
What may happen if you miss the deadline
We know this is a lot to unpack, so we’ve put all of this information, and so much more, in one easy-to-understand guide, How to Decipher Your Coffee Contract.
