How To Start a Chips & Chicken Cafe Business
Potato chips (fries) is a favorite meal for many people and especially women and children. This makes the chips business in Kenya a lucrative venture. The business is viable in most parts of the country, both rural and urban areas.
This article covers on chips and chicken cafes in Nairobi CBD and surrounding areas. You can use it as a guide only. Prices and other factors will automatically change depending on the area and location.
The areas covered are Odeon area, Mfangano, Moi Avenue, Tom Mboya Street and Roast House area.
*Chips*
Many of these cafes get their supply of potatoes for making chips from Wakulima Market (popularly called “marikiti’) in Nairobi. A sack goes for around Ksh.3,000 – Ksh.4,000 on normal days.
During times of scarcity, be ready to spend Ksh.5,000 or even Ksh.6,000 per a sack.
These cafes commonly sell a plate of chips at Ksh.100. If you decide to set up this business, you should set your price in this range, don’t price yourself out of the market.
Some places even lower their prices to Ksh.70 per plate to attract even more crowds. When there is a shortage of potatoes in the market, prices can shoot up to Ksh.120 per plate, to maintain profitability.
You can also make and sell bhajia, which has also become very popular. A plate of bhajia sells at an average price of between Ksh.130 to Ksh.150 depending on location.
In busy places, the cafes consume almost 3 bags of potatoes in a day, making a profit of between Ksh.6,000 and Ksh.7,000 from chips alone.
You can notice how this can be profitable, especially if you are located in a busy location.
*Chicken*
In addition to chips, fried chicken is also a very popular delicacy in these cafes. Chicken is readily available from City Market. Many of these cafes in town actually rely on City Market for their supply of chicken.
At City Market, raw chicken goes for between Ksh.350 and Ksh.500 each depending on type, size and seller, although the common price is Ksh.350 but it is advisable to work with slightly higher prices in your budget.
During times of scarcity, be prepared for a hike in prices.
You will sell fried chicken in parts such as ¼, ½ or even full. You will sell one ¼ of chicken at between Ksh.150 and Ksh.200 while a full chicken goes for Ksh.500 to Ksh.600.
Selling quarter pieces will bring you more cash than selling full fried chicken. If you sell four quarters, which make a full chicken, you will end up with between Ksh.600 and Ksh.800, compared to a full chicken sold once at Ksh.500.
Now compare this with your price from City Market of Ksh.350. Busy cafes sell 100 chickens in a day although one reported moving about 200 in a day.
Assuming that you can crack it to sell even 50 of the birds a day, when doing badly, you will rake in about Ksh.7,500 net profit before you consider other costs such as electricity, oil, labour etc. This is just from chicken alone. If you sell 100 or more, you can work out how much net profit that will be.
*Other Foods*
Apart from chicken and chips, you can also include other items such as soft drinks, juices, smokies, samosas and sausages in your menu.
Many people will ask for a combination of foods such as chips/ sausage, chips/chicken, chips/burger, chips/samosa and others.
Many of these can be made in your café. You can get beef and pork from City Market for making your sausages, samosas, etc. For about Ksh.390 and Ksh.450, you will get a kilo of beef and pork respectively, just like many of these cafes are doing.
Your sausages should sell at between Ksh.30 and Sh.40 to be within market price but can also be higher depending on location. If you don’t want to go through the process of making sausages, you can still buy from the many supermarkets around and just fry.
In addition to the good profits from chips and chicken, you can greatly increase your income by addition of other foods. In fact many of your customers will expect to take their chips or chicken with other foods once in a while.
*Salaries*
The salaries that are paid to the workers in a chips and chicken café will depend on location, size, experience, training and also whether they are casuals or in full employment.
*Finally,*
Starting a chips & chicken business in Kenya is a profitable venture. It is a trending business due to the high demand for chips and chicken in Kenya especially in Nairobi.
People working in offices need fast food like chips. You can look for orders to deliver chips to offices. Alternatively, you can start a small chips & chicken business and grow your business to a large business.
As we always tell you, there’s no marathon race that has ever been won by those who did not start the race. If you like the idea discussed above and you have what it takes to actualize it…then don’t wait to start…just do it.
By
Timothy Angwenyi
Business Consultant
Justine Nyachieo
Business Man & Mentor
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