Do you want to start a cyber cafe business in Kenya? This article is for you.
Even though many people now own laptops, smartphones, tablets and desktop computers, it is still profitable to run a cyber cafe business in Kenya. Like any other business, there are certain factors to consider before starting a cyber cafe business.
Important factors to consider when starting a cyber cafe business in Kenya
1) Location
Location has always been an important element of setting up a cyber cafe business. Your success for this business depends on how well your cyber cafe is positioned to be found. You should consider a place with a good flow of customers such as near learning institutions, busy streets especially on the ground floor, banks and public government facilities, and generally highly populated residential areas. The location should also have sufficient space for computers, furniture and your staff.
2) Capital
You will need sufficient capital to start your cyber cafe business. Here are sample capital requirements for a cyber cafe business having 5 computers. That is 1 computer for your staff and 4 computers for your clients.
Item | Estimated Cost |
5 All in one refurbished computers | Kshs.14,000 X 5 = Kshs.70,000 |
Licenses for one year | Kshs.15,000 |
Internet connection (Monthly) 60Mbps | Kshs.5,000 |
Interior Design, Wiring and Installation | Kshs.20,000 |
Branding | Kshs.5,000 |
Printer | Kshs.35,000 |
3 Months Rent | Kshs.60,000 |
Electricity Bill (Monthly) | Kshs.2,500 |
Total | Kshs.212,500 |
Depending of factors such as location and cost of equipment you will be purchasing, the startup cost will generally be a figure between Kshs.120,000 and Kshs.250,000
3) Licensing and Regulations
You will need certain licenses to run your cyber cafe business. The licenses you will require are:
- A Single Business Permit
- An Advertising Permit
- A License from the Music Copyright Society of Kenya if you will be playing music in your cyber cafe.
Note: This licenses are included in the capital requirements under licensing.
4) Competition
A cyber cafe business in Kenya is highly competitive since people now have wifi in their homes, smartphones, laptops and desktop computers. When choosing a location look for an area with few competitors or no competitors at all. You should also offer more services in your cyber cafe e.g. Binding, A stall for selling snacks and drinks, Filing Kra returns, applying driving licenses for your customers, among other common applications, better customer support, provide headphones and ensure your business is always looking clean and superb among others.
How Profitable is a Cyber Cafe Business in Kenya?
To gain a market place in this business, you should provide a little more than just internet. Let it be games or graphic design services or anything related to internet that would attract the people. The environment should be pleasing and the computers should be free from viruses and spam. Generally you should be able to earn atleast Kshs.2,500 per day. As your business gets established you will be able to earn upto Kshs.6,000 per day which is a common figure in some well established cyber cafes. Hence your monthly earnings will range from Kshs. 70,000 to Kshs.180,000.
Important tips for a Cyber Cafe Business in Kenya
- Add all additional services like scanning, printing, burning music and movies to flash disks, binding, selling snacks and drinks among others.
- Sell small hardware products and accessories like printing paper, mouse, cd’s, flash disks, stationery items, usb cables and so on.
- Add computer gaming services to get more youngsters into your cyber. Having popular computer games like Need for Speed, GTA, Fifa will increase the footprint of youngsters in your cyber cafe. For gaming services focus on getting multiplayer games especially and have computer gaming pads.
- Attract a lot of new customers by providing discounts, say once weekly and on holidays.