← Appendices

reference

🏪 Worker-Owned Café (Portland, OR): UME Viability Models

Model basis:

  • 10 worker-owners, all full-time
  • Living wage target in Portland: $45K–$60K/year per worker
  • All workers are owners and share profits
  • All surplus is reinvested first in maintenance/upgrades, then redistributed

📊 Shared Assumptions:

Parameter Value
Staff 10 worker-owners
Hours 40/week
Open days 360/year (closed 5 holidays)
Revenue mix 80% food/beverage, 20% event/retail
HAO Network Fee (mature) 10%
Reserve Contribution 5% (equipment, repairs)
Profit redistribution After infra + reserve

📉 Model A: Modest Success (Surviving, Not Thriving)

Category Amount
Gross Revenue $750,000
COGS (food, drink) $180,000 (24%)
Operating Expenses $375,000 (50%)
HAO Contribution (10%) $75,000
Reserves (5%) $37,500
Net Available for Distribution $82,500
Per Worker Take-Home (Annual) ~$53,250 ($45K salary + $8.25K surplus)

Summary: The café pays Portland’s living wage baseline. Slight buffer for emergencies. Surplus is modest, but morale and retention may depend on shared values and stability, not just cash.


⚖️ Model B: Stable Local Favorite

Category Amount
Gross Revenue $1,050,000
COGS $250,000
Operating Expenses $450,000
HAO Contribution (10%) $105,000
Reserves (5%) $52,500
Net Available for Distribution $192,500
Per Worker Take-Home (Annual) ~$64,250 ($52K salary + $12.25K surplus)

Summary: Sustainable and slightly competitive wages. Budget for better equipment or a training program. Can support better retention and social programs (e.g. shared child care).


📈 Model C: High-Performing Community Hub

Category Amount
Gross Revenue $1,400,000
COGS $300,000
Operating Expenses $500,000
HAO Contribution (10%) $140,000
Reserves (5%) $70,000
Net Available for Distribution $390,000
Per Worker Take-Home (Annual) ~$84,000 ($60K salary + $24K surplus)

Summary: Above-average wages in Portland foodservice. Room for margin smoothing, community investment, rotating leadership stipends, or even rotating sabbaticals. Becomes a destination workplace.


🧠 Notes on Realism & Strategy:

  • Portland café revenue per square foot averages $300–$600/year, so these models assume ~1,500–2,000 sq ft of well-utilized space with seating and some retail
  • Seasonal income variation assumed smoothed by SEP partnerships: e.g., pop-ups, catering, or evening events
  • All models maintain worker equity growth through retained earnings and reinvestment into tools, spaces, and professional development
  • All models preserve HAO contributions, which help fund network-wide support, training, and emergency buffers