How Do Coffee Shops Stay in Business?

Think about it. Coffee is not that expensive, and people just lay around their shops most of the day nursing one serving of coffee while they sit at the small table that they make into their command center with a computer, books, cell phone, and often, other weird stuff.

And yet, rents in New York are incredibly high. I honestly just don’t understand how selling coffee can be profitable enough to pay for $20,000 dollar (or who knows how high) rents, and all the other costs of business including wages.

Sure on high density spots, especially near offices, I can see how it works out. But in less dense non-commercial parts of places like (places in) Brooklyn and the East Village?

How do these guys stay afloat?

Are they a racket…what’s the deal?