For ‘young’ people, starting your very own business and becoming self employed is the most suitable alternative to the ever growing hard to get 9 to 5 jobs. Starting a business is always the best alternative to the ever elusive jobs.
A survey by the Kenya National Bureau of Statistics (KNBS) revealed that seven (7) million Kenyans are unemployed. An additional figure of over 1.4 million are actively looking for employment. With those figures, it is easy to see why more and more people are looking for alternatives.
Because we know very many business ventures require huge amounts of capital to get started, this new How To series will only show you how to start and execute several small business that require capital from as little as 5,000 Kenyan Shillings. Thus giving you the keys to the kingdom of starting a profitable business with little or no capital.
If you are also just looking for a side hustle to maybe supplement your 9 to 5 or full time job, this is for you.
All that you need to thrive in these businesses besides capital, is good customer service of course, great managerial skills, a suitable business location, and a clear cut vision.
Today’s article will show you how to set up your very own Furniture Retail business in Kenya. While this is not exactly a 5,000 Kenyan Shillings capital business, I am sure you would agree that this is also a very viable option.
Everybody no matter your station in life, needs furniture. This fact, makes Furniture Retail one of the most lucrative business.
How To Start A Furniture Retail Business In Kenya
Just how much do you need to start a Furniture Retail business? What paperwork, and or equipment are you required to have in Kenya? If you are considering this option, here is everything you will need to kickstart your Furniture Retail business in Kenya.
- Have A Business Plan. For every business, having an effective and concise business plan is very important.
- Figure Out Your Market. It is very important that you figure out your market. Especially before starting your Furniture Retail business. Potential customers will include home owners, boarding schools and campuses, among others.
- A Location. As with most businesses, a good location is one of the major factors that determine whether or not your Furniture Retail business will succeed. Find a location that is ideal. Keep in mind that it must be spacious so as to accommodate the various sets of furniture you would be displaying to potential customers. While the location of your Furniture Retail business does not necessarily have to be in a highbrow area, it must however be set up in a place that is easy for potential customers to find. The chosen area having a reasonable amount of foot traffic, will also be an added plus. This will ensure that your business will have a higher visibility rate.
- Figure Out How To Raise Capital. A Furniture Retail business like any other business, requires capital investment. After completing your business plan, knowing your market and finding a location, this should be your next line of action. Although Personal funds are sometimes the primary source of funding for many new businesses, doing just that may not be enough. Taking on a financial partner is your best bet. If obtaining a business loan from financial institutions proves difficult, the next option should be getting it from friends and family. Loan arrangements in this setting are usually much more flexible as they come with much lower interest rates. All you would need to do is convince said friends and family, of the profitability of your business. Please make sure however, that you pay back the money and in good time too, so as to maintain confidence which you would need if you would require money from them in the future.
- A Business License Or Permit. This is one of the most fundamental licences that businesses in Kenya are required to have before commencing operations, so you will definitely need one for your Furniture Retail business. Although the cost of a business licence or permit differs from county to county, it usually sits at around 3,000 Kenyan shillings.
- Secure A Fire Clearance Certificate. This is received after undergoing an inspection which you pay for. It also involves getting advice regarding the guidelines of protection against fire, and the installation of the required equipment like fire extinguishers.
- Make Sure The Accounting For Your Furniture Retail Business Is In Order. Make sure you always have a record of your expenses as well as the income your business generates. Doing this, will make sure that you have a full understanding of how your business is performing financially. It will also help you when it’s time to file your annual taxes.
- Employ More hands. No one is an island, you really cannot carry out all the daily activities of a Furniture Retail business efficiently, on your own.
- Plan Out Your Marketing. Next after figuring out your target audience, should be planning out your marketing. Yes, a Furniture Retail business just like any other business venture,definitely needs marketing too. Learn how to get the attention of your target market. Would discounts work? Or referrals or both? How about posters, sponsored adverts on social media and fliers. Find out what is most effective for you and use that or a combination of all of them.
- Figure Out Payment Arrangements That Work Best For Your Customers. You need to know the payment methods and arrangements that would work best for your customers and potential customers i.e if they would prefer to pay via M-Pesa, T-Kash, Airtel Money, via POS or in cash. Knowing this will help you offer more payment options and also be more equipped to serve them better. As your business grows, some of your customers might want credit terms of 30 to 60 days. Especially for large orders. You can however incorporate an interest policy after the agreed upon period elapses to ensure that payments are done on time.
And that is it! All you need to know about starting your very own Furniture Retail business.
Is the Furniture Retail business, a suitable venture for you? That question, is left for you to think on and answer. This writer’s goal is to open your eyes to the various entrepreneurial opportunities that abound in the country.
Also while the prospects are very promising please have a realistic approach as well. As with any business, there is a chance that you might incur losses. Especially at the beginning, so please keep your overheads low.
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