Cyber cafes continue to carry great importance in developing nations. Kenya is believed to have 90% mobile penetration (the highest in Africa). 70% of these devices have internet connection. Our country is strategically placed on the map when it comes to ICT and that’s why most firms decide to launch their digital products here.
Even with such success in mobile penetration a small population own computers. Furthermore expensive internet charges make it hard for most to get unlimited internet connectivity. Our population goes to cyber cafes to carry out most of the important online activities. It will take at least 30 more years before cyber cafes lose relevance.
Start a Cyber Cafe Business
Setting up a cyber cafe business requires one to have a reasonable amount to invest. Most of the money goes towards buying equipment for the business.
The premises should be close to the main road and easily accessible. The room intended for business should be able to accommodate at least 6 computers on the least side. The more spacious the room the more the computers to be accommodated. Be sure to pay rent for at least 2 months because it will take 2-3 months before business picks.
Cyber cafes can literary work everywhere set up. However, they are more productive when close to a business area that requires the use of internet. Prime locations include:
- Close to government institutions such as ID registration centers, Huduma Centers etc.
- Close to Schools such as university campuses and colleges
- Close to markets
- Close to transit areas
A cyber cafe can also be setup in a residential area and have a variety of services.
To set up a successful cyber cafe requires between Kshs 150,000 – Kshs 300,000.
Here is the breakdown
|EQUIPMENT||PRICING IN KES|
|Computers (Dual Core & Above)||8,000 Each|
|Photocopier (Printer can double as a photocopier)||28,000|
|Rent||Rent + Deposit|
County government business permits are key to operating this business and avoid harassment. You will be required to take:
- Business permit
- Fire certificate
- Advertisement permit
- Kenya Music Copyright Society License
- Kenya Films Classification Board certificate (If you plan on selling movies)
Types of Services to Offer
A cyber cafe provides an array of services which include, but not limited to:
- Internet access
- Online applications i.e passport application
- Computer repair
- Internet supply
Other services like mobile money transactions can be offered together with the above services.
How Much You can Earn
A cyber cafe can be a very profitable venture if strategically placed. The business owner can earn anywhere between Kshs 1,500 – Kshs 10,000. Diversifying with other services can increase the profit margin.
Managing the Business
Pricing of services is also key in this business. For instance there are areas that a cyber cafe is charged 50 cents per minute while others charge Kshs 1 per minute. The pricing is determined by the locality, competition, internet speed, and location accessibility. To maintain a good reputation and retain clients, you need to have the fastest internet. Another important issue is the status of the cyber cafe. Clients mind things like:
- Is the cyber cafe clean?
- Is the cyber cafe spacious?
- Is the internet fast?
- Is the attendant friendly?
- Are the computers in a good state?
- Are the furniture comfortable?
These are issues every cyber cafe visitor observes so they are key to the success of a cyber cafe.
It is important to have some spare money saved for miscellaneous inconveniences. Expect small issues such as the attendant getting arrested for this or that. To keep clear of trouble be strict on things like playing or downloading local music, banned movies and pornography.
A cyber cafe is a good business investment that can yield good returns on investment if properly managed. As the business owner it is your duty to always look for ways to improve customer experience. Always ensure that you are in touch with the customers on the ground.
If you need assistance setting up a cyber cafe business then please fill out the below form and receive professional assistance.