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 start a Butchery business in Kenya. While this not exactly a 5,000 Kenyan Shillings capital business, I am sure you would agree that this is also a very viable option.
It is no longer a secret that Kenyans’ love for meat is almost unmatched by anywhere else in the world. This reality has made the butchery business a really profitable and lucrative one. As a result of the fact that the butchery business is seen as a physically dirty one and is looked at as only a business for people who did not go to school, only entrepreneurs with very keen eyes even attempt to get into the butchery game.
How To Start A Butchery Business In Kenya
The Meat business is one that involves highly perishable goods. As a result of this going into that line, requires ample planning. How much do you need to start a butchery venture? What paperwork, and or equipment are you required to have for your butchery business in Kenya? Below is everything you will need to kickstart your Butchery business in Kenya:
- A Location. As with most businesses, a good location is one of the major factors that determine whether or not your Butchery business will succeed. You should set up your butchery business in an area that is busy, quite populated and visible. By visible it should be easy to find and access. You should aim to set up your butchery in a residential area for example or close to a bus stop or bus station, supermarket, a busy market or any other areas that experience high pedestrian traffic. In a nutshell a location with high pedestrian traffic basically leads to access to many potential customers.
- Ample Parking. Sometimes, you might have customers who just want to drive in, purchase meet and then go. For such customers, make sure your butchery has enough parking for one or two cars at least.
- Clean. Make sure that the area around your butchery is clean and tidy. Nobody wants to buy meat from a dirty butchery.
- Branding. Make sure you brand your butchery. Make a very visible sign. Some butcheries also employ the use of ‘fancy’ colourful lights as well.
- Budget. After determining your location and finding out the size of the space for your butchery, the next thing on your list should be the budget. Budgets for butcheries differ. For example, starting a small butchery could cost as little as 30,000 Kenyan Shillings to 35,000 Kenyan Shillings. A medium sized butchery in an area like Kibera, Mathare for instance, would Cost from 100,000 Kenyan Shillings to 150,000 Kenyan Shillings. Setting up a butchery in counties like Eldoret, Kisumu, Nakuru, Nyeri and cities like BuruBuru, Donholm, Embakasi, Huruma, Kitengela, Langata, Ngong Road, Pipeline, and Syokimau or areas like that would cost anything between 200,000 Kenyan Shillings to 500,000 Kenyan Shillings and maybe even more. If you set up your business in a highbrow area like Hurlingham, Karen, Kileleshwa, Kilimani or Kitisuru, you will need a lot more funds or capital. 500,000 Kenyan Shillings to 1 million Kenyan Shillings. Please bear in mind that the figures above are merely estimates. The actual figures can be lower or even higher during implementation.
- A Meat Supplier. The success of your butchery business, is also dependent on your ability to secure steady supply of meat. This is where a steady meat supplier comes in. If for example you are setting up your butchery in Nairobi or around it, you can purchase your meat from City Market, especially those located within CBD. You can also purchase your meat from any of the slaughterhouses located in Dagoretti, Kajiado or Njiru. One (1) kilogram of beef in Nairobi slaughterhouses costs between 250 Kenyan Shillings and 320 Kenyan Shillings depending of course on the season, and the type of meat. Goat meat for example, usually costs no less than 320 Kenyan Shillings per kilogram.
- A Food and Hygiene license. Your butchery business just any other business that deals with food and drinks in Kenya, requires a food and hygiene license. It is usually issued by the Public Health Department of each county. You should be able to get one from the Public Health Department of the county where your business is situated.
- A County Business Permit. You will also need a county business permit. It is a mandatory license that gives you permission to basically set up shop within that county. You will be required to pay anything from 5,000 Kenyan Shillings to 20,000 Kenyan Shillings depending on your location.
- A white butcher’s coat.
- A Panga or preferably a meat cleaver if you can afford it. Regular home kitchen knives will not even suitable for a butchery. Please ensure that you Invest in quality butchers’ knives and or meat cleavers in order to make your work easier.
- Cleaning equipment including detergents.
- and white butcher’s coat.
- A Deep Freezer: Because Meat is perishable, you will need to have a sizeable freezer to help you keep your stock fresh overnight so as not to lose them to heat.
- A Display Counter. This will allow your customers admire your meat cuts. You can get a carpenter to make one for you. It is usually made from materials like window glass, an aluminium top, and wood.
- A Weighing Scale complete with Weights. While most butcheries now use digital weighing scales if you do not have a particularly big budget, you can opt for a manual weighing scale. Where digital weighing scales cost between 15,000 Kenyan Shillings and 30,000 Kenyan Shillings, the manual versions cost 5,000 Kenyan Shillings.
- Wrapping Material. You will also need to buy a large amount of wrapping paper, as you will need it for your customers.
Your Expected Earnings And Profit
Although most butcheries price their meat per gram, the selling price of your meat will vary depending on your location, and the size and standard of your butchery. If you are a higher end butchery, you can expect to charge your customers as much as 2,000 Kenyan Shillings per kilogram. For starters, you can opt to sell your meat starting from 100 Kenyan Shillings, to 1,000 Kenyan Shillings.
For added value and of course more profit, you can add Nyama Choma with Ugali or Rice to your menu.
And that is it! All you need to know about starting your very own Butchery business.
Is the butchery business 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.
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