How to Start a Profitable Cyber café Business in Kenya

Are you thinking of starting a cyber café business in Kenya? Or would you like to start a business and you are not sure which one? Even though many people now own laptops, smartphones, and desktop computers, it is still profitable to run a cyber café business in Kenya.

This article explains how you can start and run a profitable cyber café business in Kenya in 2021. First, let’s look at the factors that will shape your business.

Things to consider when starting a Cyber Café business in Kenya

Before starting a cyber café business, there are certain things you must deliberate on first.

1) Location

You must consider an appropriate location for your business where you are assured of sufficient traffic and access to customers. You should consider a place with a good flow of customers such as near institutions, on the ground floor of a busy street, and a highly populated residential area. You should locate your business strategically so that customers can easily notice your business. The location should also powered with electricity, and must have enough space for your computers and staff.

2) Capital

Before starting a Cyber Café business in Kenya, you should consider the capital you need to start the business. You should know how much it will cost you to start the business, and how you will access the starting capital. The next section will elaborate the full requirements of a cyber café business in Kenya, including capital.

3) Licensing & Regulations

You should also understand that your business will be subject to various licensing requirements, including a single business permit and advertising permit. Make sure you have all licenses before starting your business. You may also require a license from the Music Copyright Society of Kenya if you are going to play music in your cyber café.

4) Competition

The cyber café business is highly competitive, and people have their own computers to use at home. To ensure that you get customers in such saturated business environments, ensure that you conduct a thorough analysis of your competitors. When choosing your location, look for areas with few or no competition. Furthermore, you should identify the strengths and weaknesses of your competitors so that you can position yourself accordingly.

5) Required Equipment

  • To start a cyber café business you will need furniture such as chairs and computer desks.
  • The room should be partitioned into booths to give clients their own working space, chair, and computer desk.
  • Computers – the number of computers to use in your cyber café depends on the size of your capital, estimated number of customers, and availability of space. Each computer should have a fast processor, enough space on disk, RAM and ROM, and legitimate operating systems such as copyrighted Microsoft software.
  • Printer: you need a printing machine so that customers can print from your computers
  • Internet service provider: you should check the offers of various internet service providers. Then choose the one that has the best offer in terms of speed, price, and reliability. Some of the service providers include Access Kenya, Safaricom, Faiba, Telkom, Airtel, etc.

Capital Requirements for a Cyber Café Startup

The amount of capital required to start a cyber café business depends on the location, size, and vision of your business. A breakdown of the costs to start a cyber café business with five computers is shown below:

Item Estimated Cost (KES)
3-Month Rent 60,000
3-Month Electricity Bill 5,000
One-year License 15,000
Computers (5 units) 75,000
Internet Connection 5,000
Installation and Room Design 20,000
Branding 5,000
Printer 40,000
Total Cost 225,000

NB:

  • The KES 225,000 total is an estimated amount, but it could be lower if you choose cheaper equipment such as computers and printer.
  • Generally, the recommended starting capital is between KES 100,000 and 300,000
  • The 3-month rent and electricity bill should be included in your initial capital because you may not make profits in the first few months as your business gets noticed.

How profitable is a cyber café business in Kenya?

If you take the above issues into consideration and you get a good flow of customers, you are assured of earning at least KES 2,000 per day. Some well-established cyber cafes have reported making up to KES 5,000 per month, and that should be your target in the long term.

That brings you to an approximate earnings of Ksh. 60,000 – Ksh 150,000 per month.

The products services offered by a cyber café business

Here is a list of the services you can offer in your cyber café:

  • Internet services
  • Printing and photocopying
  • Binding
  • Scanning
  • Web design
  • Graphic design
  • Selling computers and accessories
  • Office supplies e.g. pens, printing papers, envelops, etc.
  • Drinks and snacks can also be offered near the entrance.
  • Mobile transfer and banking agency services.

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