What the ATO’s small business benchmarks say is normal for coffee shops, from 2023-24 tax returns, and a checker for your own numbers. Nothing you type leaves your browser.
| Turnover | $65k to $250k | $250k to $600k | Over $600k |
|---|---|---|---|
| Cost of saleskey benchmark | 34 to 42% | 35 to 41% | 33 to 38% |
| Total expenses | 73 to 86% | 81 to 90% | 86 to 93% |
| Labour | 21 to 32% | 21 to 32% | 27 to 35% |
| Rent | 10 to 17% | 8 to 14% | 6 to 10% |
| Motor vehicle | 2 to 4% | 1 to 2% | 1% |
Source: ATO small business benchmarks, 2023-24 financial year, updated 16 March 2026, reused under CC BY 2.5 AU.
Each figure is a cost as a share of annual turnover, without GST, for businesses in that turnover band. For coffee shops the ATO’s key benchmark is cost of sales to turnover: the one it says best predicts turnover for this industry. It also publishes total expenses, labour, rent, motor vehicle.
For example, a business turning over $450,000 with $171,000 of cost of sales is at 38.0%, inside the 35 to 41% range for the $250k to $600k band.
The ATO says a business outside its range may have room to improve, and that benchmarks are one of the tools it uses to identify businesses that may be avoiding their tax obligations.
How the industry compares · Cost of sales percentage · Gross profit margin · All 100 industries
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