Isle of Bute Coffee is set to launch a coffee garden and the island’s first micro roastery.

Owner and Bute native Mhairi Mackenzie opened the café in 2023 after relocating with her family from Glasgow. She has since built partnerships with local businesses, including the Glenburn Hotel and Bute Yard.

In 2024, Mackenzie purchased the café’s premises, formerly home to The Buteman newspaper, and began turning a neglected courtyard into an outdoor space for customers.

A loan from DSL Business Finance through the British Business Bank’s Start Up Loans programme, along with funding support from Business Gateway and the SJ Noble Trust, helped cover the renovation costs - including upgraded windows and doors.

A new multi-purpose workshop will house the coffee roastery, which will use an eco-friendly Aillio Bullet micro-electric roaster to create in-house signature blends. The space will also serve as a venue for events, workshops and classes.

Once completed this summer, it should triple seating capacity from eight to 24.

“Securing funding to support the expansion plans is an exciting step forward, not just for our business, but for the whole community,“ said Mackenzie. “We’re proud to collaborate with local suppliers through the Bute Kitchen initiative, which helps support the island’s economic regeneration by promoting local produce - our menu features baked goods from nearby bakers, smoked trout and cheeses from Isle of Bute Smoke House, and chutneys and preserves from Gather Deli and Bute Produce.

“Sustainability and high social and environmental standards are very important to us, and we’re working towards achieving B Corp certification for the café in the near future to reflect these values,” she added.

Since its inception in 2012, the Start Up Loans programme has delivered nearly £1.3m to 124 start ups based in Argyll and Bute.

Barry McCulloch, senior manager for Scotland at the British Business Bank, said: “It’s fantastic to see Isle of Bute Coffee expanding its offering and creating even more opportunities for locals and tourists to connect, while enjoying the island’s vibrant community spirit.

“Mhairi’s dedication to supporting the area shines through in everything she does.”

Lindsay Hamilton, loan officer at DSL Business Finance, added: “Mhairi presented a strong business plan to support her funding application.

“Her passion for quality coffee and community development was evident from the outset, so we wish Mhairi every success in this exciting new chapter.”

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