HOW TO START A SMALL MOVIE SHOP IN KENYA: A STEP BY STEP GUIDE A number of Kenyans own a DVD player or laptop thus they find it easy to entertain themselves at home. Movies and T.V series are a great option for most Kenyans to unwind in the evening or during the weekends and with the current digital T.V content, it is quite expensive to access the latest movies and series unless you pay for the premium subscription through your decoder.
That is the gap that movie shops fill. Most Kenyans love being on top of popular movies and T.V shows and are willing to pay at least Ksh.50 for a disc.
Movie shops started out as a small business but currently, they are one of the most lucrative businesses to venture into right now especially for young people. If you are a movie junkie and have been thinking of running a profitable movie shop, here are a couple of things you need to know;
- GETTING STARTED Before getting into the movie shop business, you need to be clear about how the business works and have answers to specific questions;
1.How will I get the movies? 2.What equipment will I use? 3.Which customers am I targeting? 4.What licences do I need? 5.Where is the best location? 6.How much do I need to get started?
- LICENSES To legally operate a movie shop, you need to have a license from MCSK and a single business permit from your county government. Lack of these two licenses will lead to your equipment being confiscated for lack of compliance.
Single Business Permit: The cost of it will depend on the size of your business and from an analysis from your area ward rep. A small shop will cost Ksh5,000 – Ksh15,000 per year to license depending on your county.
MCSK: A MCSK license will cost you Ksh. 3000 and you’ll also pay Ksh. 5000 to the Kenya Film Censorship Board (KFCB). You’ll then be given a license to put in your business premises.
- LOCATION All businesses need to factor in where they intend to locate their business but for a movie shop, location is particularly important. You need a location that is close to your target market and where the demand is high.
Some suggestions for a good location are
1.Near a campus/school 2.Next to a student’s hostel 3.Town centers 4.Near bus stations 5.Shopping centers in your estate 6.One advantage of opening a movie shop is that they generally don’t use up too much space. However, the amount of rent depends on the location. A front stall that is just in front of the pavement in town will cost you approximately Ksh.25K in downtown. However, within the CBD, you may part with anywhere between Ksh. 5k – 20k. Renting a shop in your local estate is much cheaper.
- BASIC EQUIPMENT If you are new in the movie shop business, here are the basic equipment you should invest in;
EQUIPMENT APPROXIMATE COST 1 Good Quality Computer Ksh. 20,000 1 LED T.V 32INCHES Ksh. 13,000 Woofers Ksh. 3000 - 10,000 2 Blank DVDs @ Ksh. 700 per packet 2 Felt Pens Ksh. 100 Movie Posters (Papers + Printing cost) Ksh. 350 Furniture (Chairs, Counter, Bench etc) Ksh. 15,000 depending with your area Envelopes for packing movies Ksh.100 each packet 5. HOW TO GET THE MOVIES There are two ways to get movies; You can also download T.V shows through certain sites. The cheapest way to get movies and series is to buy from other movie-shop which offers wholesale 100 movies or series you can get @ 10 bob each 6. INVESTMENT VS. PROFIT To start small, a movie shop will set you back any amount between Ksh 10,000 – Ksh 100,000 depending with where your financil status.
If you get 20 people buying one disc a day, that is Ksh. 1000 a day and Ksh. 30,000 a month. That guarantees a return of investment in 3 months latest but nowdays people are mostly using flash disk,laptops,harddisk or phones which brings us to ksh 600 a day aand ksh 18,000 per month depending on your area.
