How to start barbershop/kinyozi business in Kenya

• Thousands of Kinyozi firms and associated supply chain businesses are present in the nation at the moment. But not everyone who launches a business is successful.
  This is due to the fact that operating a Kinyozi Business in Kenya takes finance, expertise, and experience.
• As with any business, there are dos and don’ts when operating a Kinyozi, as listed below;

Major Findings

1. Market Research: Conduct thorough market research to understand the demand for barbershop services in your target location. Identify your target customers, competition, and potential challenges you may face.
2. Business Plan: Create a comprehensive business plan that outlines your vision, mission, target market, services offered, pricing, marketing strategies, and financial projections. This plan will guide you throughout the startup process and attract potential investors or lenders.
3. Location and Setup: Find a suitable location for your barbershop. Consider factors such as accessibility, visibility, and proximity to your target market. Ensure the space is well-equipped with barber chairs, mirrors, hairdressing tools, and a waiting area.
4. Licensing and Permits: Obtain the necessary licenses and permits required to operate a barbershop in Kenya. Visit the relevant local government offices or county council to get information on the specific requirements and procedures.
5. Equipment and Supplies: Purchase high-quality barbering equipment and supplies such as clippers, trimmers, scissors, hair products, sterilizers, and furniture. Ensure you have enough stock to meet the demands of your customers.
6. Staffing: Hire skilled and experienced barbers who can provide excellent service to your customers. Look for individuals with proper training and a good track record in the industry. You may also consider training and developing your own team to maintain consistency and quality.
7. Branding and Marketing: Develop a strong brand identity for your barbershop, including a catchy name, logo, and signage. Create a marketing strategy to promote your business. Utilize both online and offline marketing channels such as social media, local advertising, and word-of-mouth referrals.
8. Services and Pricing: Determine the range of services you will offer, such as haircuts, shaves, styling, and grooming. Set competitive pricing that considers your costs, target market, and local competition. Consider offering loyalty programs or special promotions to attract and retain customers.
9. Customer Experience: Focus on providing excellent customer service to create a positive and memorable experience for your clients. Train your staff to be friendly, attentive, and professional. Maintain a clean and hygienic environment to ensure customer satisfaction and safety.
10. Financial Management: Implement proper accounting and financial management systems to track your revenue, expenses, and profitability. Keep detailed records of your transactions and regularly review your financial performance to make informed business decisions.

Capital requirements

1. Shop Rental: The monthly rental cost can range from KES 10,000 to KES 30,000, depending on the location and size of the shop. Allocate around KES 100,000 for a year’s rent.
2. Renovation and Furnishing: The cost of renovation and furnishing can range from KES 50,000 to KES 150,000 or more, depending on the extent of work required and the quality of furnishings.
3. Equipment and Tools: Budget around KES 30,000 to KES 80,000 for purchasing essential barbering tools and equipment.
4. Licensing and Permits: The cost of licenses and permits can range from KES 10,000 to KES 30,000, depending on the specific requirements in your area.
5. Staffing: Allocate a monthly budget for employee salaries or commissions. Depending on the number of staff members and their level of experience, this could range from KES 30,000 to KES 100,000 or more.
6. Marketing and Advertising: Allocate a monthly budget of KES 5,000 to KES 15,000 for marketing and advertising activities.
7. Initial Stock and Supplies: Allocate around KES 20,000 to KES 50,000 for purchasing initial stock and supplies.
8. Contingency Fund: Set aside around 10% to 20% of the total estimated costs as a contingency fund. For example, if the estimated total cost is KES 300,000, set aside KES 30,000 to KES 60,000 as a contingency fund.

According to these projections, Kenya’s small- to medium-sized barbershop/kinyozi business startup costs could range from between KES 250,000 to KES 600,000 or more.

Work Permits

1. Business Registration: Register your business with the relevant government authorities. In Kenya, you can register your business as a sole proprietorship, partnership, or limited company. Visit the nearest Huduma Centre or the Kenya Revenue Authority (KRA) office to register your business and obtain a Business Registration Certificate.
2. Trade License: Apply for a trade license from the county government where you plan to operate your barbershop. Visit the county office or relevant sub-county office to obtain the application form, pay the required fee, and submit the necessary documents, which may include your Business Registration Certificate and proof of premises.
3. Work Permit: If you are a foreign national planning to work in your barbershop in Kenya, you will need a work permit. Work permits are issued by the Department of Immigration. Contact the Department of Immigration or visit their website to obtain the relevant application forms and requirements for a work permit. The specific category of work permit you will need may depend on your circumstances, such as whether you plan to work as an employee or as a business owner.
4. Premises: Find a suitable location for your barbershop and ensure that it meets the necessary requirements. This may include compliance with health and safety regulations, zoning laws, and building codes. You may need to obtain approval from relevant authorities, such as the county government’s public health department, before starting operations.
5. Tax Compliance: Ensure that you are compliant with tax regulations in Kenya. Register for a Personal Identification Number (PIN) with the Kenya Revenue Authority (KRA) and fulfill your tax obligations. This includes paying taxes, filing tax returns, and keeping proper records.

A list of equipment needed

Starting a barbershop business in Kenya requires careful planning and investment in the right equipment. Here’s a list of essential equipment you will need to set up your barbershop:

1. Barber Chairs: Invest in high-quality barber chairs that are comfortable for clients and adjustable for different haircutting and shaving positions.
2. Barber Tools:
   • Hair Clippers: Purchase professional-grade hair clippers with various guard sizes for different hair lengths.
   • Trimmers: Get a good quality trimmer for detailed work and edging.
   • Scissors: Invest in a set of high-quality barber scissors for precise cutting.
   • Straight Razor: Purchase straight razors for shaving services, along with disposable blades.
   • Comb and Brush Set: Buy a variety of combs and brushes suitable for different hair types.
   • Hairdryer: Invest in a hairdryer for styling and drying hair.
3. Barbering Accessories:
   • Barber Cape/Gown: Provide capes or gowns to protect clients’ clothing during haircuts.
   • Neck Strips: Have disposable neck strips for hygiene and client comfort.
   • Towels: Purchase an ample supply of towels for drying hair and cleaning up.
4. Hair Products:
   • Shampoos and Conditioners: Offer a range of hair care products for different hair types.
   • Styling Products: Stock up on hair gels, pomades, waxes, and other styling products.
   • Aftershave and Pre-Shave Products: Provide aftershave lotions, balms, and pre-shave oils for shaving services.
5. Sanitization and Hygiene Supplies:
   • Disinfectants: Have disinfectants for cleaning tools and surfaces between clients.
   • Barbicide Solution: Use Barbicide solution for disinfecting combs, brushes, and other non-electrical tools.
   • Gloves: Provide disposable gloves for hygiene and protection.
   • Alcohol-Based Hand Sanitizer: Have hand sanitizers available for clients and staff.
6. Waiting Area Furniture: Invest in comfortable seating for clients in the waiting area.
7. Reception Desk and Cash Register: Set up a reception desk with a cash register for handling payments and scheduling appointments.
8. Mirrors: Install large, high-quality mirrors at each barber station for clients to see their haircuts from different angles.
9. Lighting: Ensure proper lighting in your barbershop for accurate hair cutting and styling.
10. Music System/TV: Consider installing a music system or TV to create a pleasant atmosphere for clients.

NOTE: This is not an exhaustive list.

Estimated revenue and incomes

The revenue of a barbershop in Kenya can change depending on a number of variables, including location, clientele, pricing, and the scope of services provided. Giving a precise number is difficult because revenue varies greatly from barbershop to barbershop. I can give you a broad notion, though.

A barbershop in an urban area of Kenya can make an average monthly income of Ksh 30,000 to Ksh 100,000 or more. However, depending on the particular circumstances, this amount may be larger or lower.

In Kenya, the pay for barbershop attendants might differ based on the barbershop’s customer base, geography, expertise, and talents. In Kenya, barbershop attendants often make between Ksh 10,000 and Ksh 30,000 per month. This range is flexible, though, and certain attendants may make more or less depending on the aforementioned elements.

Best places to open barbershops in Kenya

1. Major Cities: Kenya’s major cities, such as Nairobi, Mombasa, Kisumu, and Nakuru, offer a large customer base due to their high population density and bustling commercial activities.
2. Urban Centers: Consider urban centers like Thika, Eldoret, Nyeri, and Machakos, which have seen significant growth and urbanization, providing opportunities for barbershop businesses.
3. Tourist Destinations: Kenya’s popular tourist destinations, including coastal areas like Malindi, Diani, and Watamu, as well as national parks and reserves like Maasai Mara and Amboseli, attract both locals and tourists, making them potential locations for a barbershop.
4. Residential Neighborhoods: Explore densely populated residential areas in different cities or towns, where a barbershop can cater to the grooming needs of the local community. These areas could include Lang’ata and Rongai in Nairobi, Nyali and Tudor in Mombasa, and Kondele and Manyatta in Kisumu.
5. Commercial Zones: Look for areas with thriving commercial activities, such as business districts, marketplaces, and shopping centers. These locations often have a steady flow of customers seeking grooming services. Examples include Upper Hill and Westlands in Nairobi, Moi Avenue in Mombasa, and Central Business Districts in various towns.
6. University Campuses: Consider areas near universities and colleges, where students and faculty members can become regular customers. Universities like the University of Nairobi, Kenyatta University, and Moi University have a significant student population and can provide a steady stream of clientele.

Barbershop business plan template

1. Executive Summary: The executive summary provides a brief overview of the key elements of the business plan for starting a barbershop business in Kenya.
2. Business Description: 2.1 Name: [Insert Name of Barbershop] 2.2 Location: [Specify the location in Kenya] 2.3 Legal Structure: [Specify if it’s a sole proprietorship, partnership, or limited liability company]
3. Market Analysis: 3.1 Target Market: Define the target market based on the location and demographic characteristics, considering factors like income level, age, and lifestyle preferences. 3.2 Competitor Analysis: Identify and assess existing barbershops in the vicinity, highlighting their strengths, weaknesses, pricing, and services. 3.3 Market Strategy: Define the unique selling proposition (USP), pricing strategy, and promotional activities to attract and retain customers.
4. Services and Pricing: 4.1 Services: List the grooming services your barbershop will offer, including haircuts, beard trims, shaves, and additional services like facials or manicures. 4.2 Pricing: Set competitive pricing for each service based on market research, considering factors like overhead costs, equipment, staff salaries, and desired profit margins.
5. Operations: 5.1 Location and Facilities: Describe the physical space required for your barbershop, including size, layout, and necessary equipment. 5.2 Staffing: Outline the roles and responsibilities of each staff member, their qualifications, and any training programs or certifications you plan to provide. 5.3 Supply Chain: Identify reliable suppliers for grooming products, equipment, and consumables, ensuring a steady supply of high-quality items.
6. Marketing and Sales: 6.1 Branding: Develop a compelling brand identity, including a logo, tagline, and overall visual aesthetics. 6.2 Marketing Channels: Determine effective channels to reach the target audience, such as social media, local advertising, or partnerships with complementary businesses. 6.3 Customer Relationship Management: Implement strategies for personalized service, feedback collection, and effective communication to build long-term customer relationships.
7. Financial Projections: 7.1 Start-up Costs: Estimate the initial investment required for setting up the barbershop, including leasehold improvements, equipment, licenses, and initial inventory. 7.2 Income Projection: Forecast monthly or annual revenue based on pricing, target market size, and estimated customer footfall. 7.3 Operating Expenses: Identify ongoing expenses, including rent, utilities, staff salaries, supplies, marketing, and maintenance. 7.4 Break-Even Analysis: Determine the point at which revenue covers all expenses, indicating the timeline for achieving profitability.
8. Legal and Regulatory Compliance: 8.1 Licenses and Permits: Obtain the necessary licenses and permits required to operate a barbershop in Kenya, ensuring compliance with regulations. 8.2 Insurance: Evaluate insurance options to protect the business, staff, and customers. 8.3 Tax Obligations: Understand and comply with tax obligations applicable to the barbershop business, seeking guidance from a tax advisor.
9. Risk Management: 9.1 Identify potential risks and develop strategies to mitigate them, such as implementing hygiene protocols and contingency plans. 9.2 Security Measures: Implement measures to protect premises, staff, and customers, including surveillance cameras and secure cash handling procedures. 9.3 Business Continuity Plan: Develop a plan to ensure the smooth operation of the barbershop during potential disruptions or emergencies.