Are you into beverages? Here is a guide on how to start Alcohol Business in Kenya that might worth reading.
The Alcohol business is one of the most profitable businesses in Kenya. About half of the Kenyan population consumes liquor regularly.
Alcohol is an addictive substance. Most of the addicted alcoholics cannot stay without drinking. They strive hard to earn money for drinking.
Factors To Consider Before Starting An Alcohol Business In Kenya
1. Location Of The Business -The location of your business establishment is very important.
Locate your business in centers that most people can come in to get liquor.
You can also locate the alcohol business on main highways with traffic. This location attracts customers easily.
2. Licensing & Regulations – For the alcohol business, you must go through a thorough licensing and regulations to ensure you have the right approval.
It is mandatory before opening a business.
3. Customers – Look for ways that can attract customers. Provide quality products and services.
You can set a PlayStation, a pool station or even install a TV where people can watch sports.
4. Competition – Before setting the alcohol business, identify your competitors. Identify their strengths and weaknesses.
This will help in return to provide quality products and services.
Things You Need To Start Alcohol Business In Kenya
To start Alcohol Business in Kenya, here are the things you need:
- Spacious room
- Record books
- A license
- Opening stock
How Much Does It Cost An Alcohol Business In Kenya
Starting up an alcohol business can be quite expensive because of purchasing the license, furniture, opening stock, and renting.
You can begin with about Ksh 100,000, depending on your location and the size of your business.
Types Of Liquor Licenses In Kenya
Here are the types of Liquor licenses in Kenya:
- For retail license – Ksh 50,000
- Brewer alcoholic license – Ksh 1,000,000
- Bottles alcoholic drink – Ksh 250,000
How Much Is A Liquor License In Kenya
The liquor business is among the most regulated businesses in Kenya. The licenses vary.
There is a retail license, a wholesale license, and a brewer’s license.
The license cost is stipulated per the categories stipulated.
For retail license – Ksh 50,000
Brewer alcoholic license – Ksh 1,000,000
Bottles alcoholic drink – Ksh 250,000
Is Alcohol Business In Kenya Profitable
Yes, the alcohol business is profitable. As a matter of fact, there is no low season in the alcohol business.
Customers come in regularly. The location you put your business determines the regularity of the customers.
Also, the business profitability depends on the location of the business, marketing efforts, and the size of the alcohol business.
Challenges You May Face In Alcohol Business In Kenya
High initial capital when starting the business.
High competition from other enterprises
Strict business regulation
Dealing with drunk people can be a challenge for some employees.
That is all we have for you on how to start Alcohol Business in Kenya.