START A SUGARCANE JUICING OUTLET AND MAKE KSH.10,000 PER DAY
If you want to succeed in any business you first need to learn the art of casting your net where the fish is.
One business opportunity that can help you cast your net wider is that of processing sugar cane juice and selling to the public.
This trend has already gathered momentum around the coastal area and Nairobi and Kisumu are just getting started.
So what about you start your own outlet in areas like Embakasi, Ongata Rongai, Machakos, Thika, Nakuru, Garissa or even Turkana?
This business thrives in places with warm temperature as people seek to restore energy and quench thirst.
Initially, the idea might sound petty, but a planned and well-run sugarcane juice business can be a major profit earning venture in Kenya and Africa in general.
Let us take a closer look at what you basically need to set up such a business.
*Step 1: Spotting The Opportunity*
This business can do well in a populated place with a community of mostly people who earn above Ksh.10,000 per month. That is to say, you can locate this business even in a place like Kibera and still make some sales.
Alternatively, you can locate the business in a high-end area like Kileleshwa and target the high-end market.
It’s virtually a business that you can start anywhere in this country although hot, coastal and semi-arid areas seem to have the best fortunes.
Normally, sales are better during the hot season than during the cold season (for obvious reasons).
*Step 2: Get The Machine*
A sugarcane crusher or juicer is the most important asset you will need to conduct this business. If you are a small investor then you can start with a small manual machine which is made by Jua Kali artisans around the country.
On the other hand, if you are planning to set up a more organized and efficient outlet then an electric machine would be your best investment option.
*Step 3: Book An Outlet*
There are two options when it comes to booking an outlet. First, you can choose to go all out and lease a space in one of the busy streets along major urban centres in the country.
That will of course necessitate for a county single business permit license and rent payment (the advantage being that you will most likely get more customers).
The second option is to put the machine in your home and market your products door-to-door or through online media until you generate enough market to sustain a fully-fledged outlet (this is a cheaper alternative but you may not get many customers).
*A small space of 5×5 square feet would be ideal.
*Step 4: Put Your Tools of Trade Together*
Now that you have spotted the opportunity, bought a machine and identified an outlet you are pretty much almost ready to get started. The only few tools remaining are: aprons, hygienic gloves, drinking glasses, glass jars and a dustbin in which to collect the sugar cane remains.
Remember, since this is a food and beverage business you basically want to ensure that you are upholding the highest possible levels of hygiene.
*Step 5: Get Your Canes And Start*
As you set up your business, be sure to shop around for the cheapest sources of quality cane. If you have means, you can order directly from places like Kisii and Western Region where canes are sold at throw-away prices.
The good thing with sugarcane is that they are not highly perishable and hence you can acquire your weekly supply in bulk.
*How Much To Invest*
A good electrical sugar juicer goes for between Ksh.100,000 and Ksh.150,000. Overall, it will cost you a maximum of Ksh.200,000 to set up the business including paying rent, licenses and acquiring tools.
Machine – Ksh.125,000
Sugar Cane – Ksh.10,000
Licenses – Ksh.10,000
Tools – Ksh.10,000
TOTAL = Ksh.155,000
*How Much To Expect*
A meter long cane can produces 2 liters of cane juice. You can purchase such a cane for about Ksh.30/- and sell the juice produced for Ksh.200 translating to nearly 10 times returns. On a good day you can sell about 60 litres of your juice and make Ksh.10,000.
*A cup of cane juice goes for Ksh.50/- in Kayole area of Nairobi, the same goes for Ksh.100/- in Kileleshwa area of Nairobi.
*In the coastal areas sugar cane juice is commonly known as “mkwaju”
*The baggase (waste) that remains after the sugarcane has been crushed can be sold to farmers as animal feeds
*Final Word*
This is a good idea particularly if you identify a good place to locate your business and if you invest in good marketing and customer maintenance tactics.
For instance, you can introduce different sugar cane juice flavours by adding some ginger and lime to your drink.
By
Timothy Angwenyi
Business Consultant
Justine Nyachieo
Business Man & Mentor