This is a must have in any wines and spirit business because of the recent craze of football among Kenyans. They love watching football as they sip on their favorite drink.
The cost of TV has dramatically over the years and as you can purchase a 40 inch TV for just Ksh 30,000 from Jumia.
Consider buying a smart TV rather than a digital TV as you can be able to stream music online on the former while you cannot on the latter.
If you want to retain customers in your establishment, subscribe to DSTV and get access to premium channels that broadcast sports.
DSTV is a must have as it’s the only pay TV in Kenya that televises the English premier league football which is a favorite to many.
- Music system
Another must have in a liquor business is music. A survey was done that showed that customers tend to spend more when they are having a good time and dancing to the beat.
If you want to see your sales soar, buy a music system. You can purchase one from Jumia as their products are of great quality and are fair in price.
Purchase items such as flasks, glasses and jugs that will be used to serve customers. You can purchase these items from supermarkets or wholesalers shops where they might be cheaper.
Wines and spirits premises
The cost of rent of a premise depends on several factors;
- The location-Is it a high end or a low end neighborhood?
- The size of the premise-Rent in a commercial property is measured per square feet. The average price, in a standard location is Ksh 80 per square feet. The more the square feet, the more expensive the rent.
The cost of repair will depend on the status of the premise before renovations. How much work will the premise need? Does it need to be overhauled or is it just minor repairs to be done?
When allocating capital for renovations, target on the higher side as this might eat up the bigger chunk of the capital.
Bear also in mind that if you install high end fittings, the cost of renovations will be quite high.
Put a signboard to make known of your presence known in the neighborhood.
Also consider painting the premise with your brand colors to stand out from the crowd and enable people recognize your establishment in an instance.
Wine and Spirits working capital
When purchasing stock, take into account your target market. For example if you are targeting a high end market, there is no need to stock KEG.
Purchase a little of every brand of alcohol that you think your target market might consume, to avoid having a lot of dead stock in the event one brand doesn’t sell.
To start off, have a working capital of Ksh 50,000.This is sufficient to buy stock which you can later on increase as the demand increases.
When starting a company, it is advisable you have a lean staff and increase when demand increases.
Don’t forget to factor in the statutory deductions such as NHIF, NSSF and KRA when negotiating salaries so that you do not get into trouble with the law.
Set some money aside to cater for the electricity costs in your establishment .Alternatively you can install solar with the objective of reducing your electricity bill.
It is advisable you put some money aside to cater for unforeseen costs .Better have a backup pan rather than being caught off guard.
The above capital is not cast on stone. Use it as a guideline to start your wines and spirits business.
Adjust it accordingly, depending on your preferences and requirements and be on your way to establishing your first liquor business.
To your success!