How To Start a Garage Business In Kenya
How To Start a Garage Business In Kenya
Starting a garage business in Kenya can never go wrong especially if you play all your cards well. Currently, many people in Kenya afford automobiles thus increasing the demand for vehicles in Kenya today. Having many vehicles will also mean more vehicle breakdowns which will most certainly require repairing and maintenance. With basic or deep knowledge about engineering or car mechanism, you can start up a car repair garage to earn profit and help car owners solve their car’s mechanical problems whenever they pop in. Owning and running a successful business is every entrepreneur’s goal. Therefore, follow the procedure I’m going to outline below and consider the factors stated to start a garage business in Kenya as soon as possible.
Requisites for starting your garage business
• Business plan
As we all know, a business must have a good business plan to flourish and become outstanding in its target market. A good plan should contain opportunities, start-up costs as well as the average number of customers you have entrusted. Basically, it should have a list of services that your repair garage offers and state their costs as well.
• Your business’ Brand name
Above all, make sure you choose a brand name that depicts the kind of service your company offers. The company’s name is chosen during the first stages of starting up your garage business. Make sure you take reasonably enough time on this because it’s a longterm factor that will affect the progress of your business all along. Since there are probably many other garage businesses around your repair garage, consider choosing a unique and catchy name too. Moreover, choose an easily memorable name to help your customers remember it efficiently and keep coming back for more.
• Nature of the business
It’s important to let your customers know the model of your business i.e. a partnership or a sole proprietorship. One can decide to start a brand new garage or go for a second hand. For a second-hand garage, one doesn’t have to stress up to about purchasing new tools since the previous owner must have left a collection of tools around. However, individuals opening a garage business for the first time might have to buy the appropriate goods required to run the business as soon as their shop is set.
• Repair and equipment costs
Depending on the type of business an individual owns, there’s always a collection of tools or equipment used to run the business efficiently. Having all the car repair equipment is one essential factor that the garage business owner should consider before getting on course. Therefore, make sure you buy all the tools in your checklist are purchased on time. If challenged by inadequate capital, you can decide to go for hired repair tools to keep you going for the start-up. Beyond having to invest in the repair tools, you might have to incur the following costs when starting a garage business in Kenya today
1. Business permits/license
2. Employees’ wages and salaries
4. Insurance costs
5. Registration cost
To start a standard garage business in Kenya, you need an average capital of Ksh.150,000- Ksh.250,000. Moreover, you can apply for a job as a mechanic from the start until you raise enough capital and own your garage. However, with enough capital, you can start a simple car repair business and grow it gradually.
Identify your fund’s source
To start your garage business in Kenya today, you will have to determine your financial source first since capital is the key factor to startup business. In your business plan, make sure you have your funds source included. One can acquire startup funds from banks, saccos, private lenders and other financial instotutions. Make sure you have a plan on how you’re going to repay the lender if the money for starting up your business is borrowed.
Obtain the required business permits and licenses
For a swift-running of your garage business, you will have to obtain the required licenses and business permits to avoid having conflicts with the local authorities in times of inspection and check-up. One can acquire these permits from the city council or county government as well. The costs paid will be determined by the size of your business and its financial potential. However, you can visit the KBLP (Kenya Business Licensing Portal) online to access these licensing services easily.
As an emtrepreneur, it’s advisable that one should get insurance for their Garage business to cover any risks that the business is likely to face. Getting to insure your garage business gives you an assurance for compensation in case of any losses incurred. In case any of your client’s property or any insured property on your premise gets damaged, the insurance company gets to cover the losses to prevent your business from lagging.
Tips to running and managing your garage business in Kenya
Succeeding in your garage business mainly depends on how the investor gets to manage the business, relation with the customers, and efficient service production. Therefore, hereby are a few tips that will help you run your garage business successfully:
a.) Learn the necessary skills
Before setting up your garage business, make sure you’ve acquired the niche-specific skills required in the field to offer repair services to your customers. You can learn and master these skills by taking mechanic and motor repair courses in the appropriate schools and institutions that offer the respective course that you want to venture into. However, you can still employ specialized personnel in your business to help you run the firm effectively. Make sure you hire qualified and transparent personnel to increase your garage’s productivity
b.) Offer quality services
Typically, customers will always stick to the business which offers high-quality services or product in the specific niche. Therefore, consider having a good relationship with your clients and ensure that their needs are accommodated at the end of the day. Enhancing efficiency in your business will make your business outstanding amongst your competitors.
c.) Increase brand visibility
Beyond offering high-quality services, one should market his or her brand to increase the awareness of your brand or service in the target market. Through advertising and other digital marketing strategies, you can make your brand known and increase the number of visitors to your business.
Offer emergency and mobile vehicle repair services
To increase the productivity of your garage business in Kenya, you should consider offering your customers mobile vehicle repair services in case of any emergency breakdown in the middle of nowhere. This lifesaver service can increase the authority of your business in your target market due to increased sales. You can even go for promotional offers and bonus services to draw customers to your business. One can even consider fixing a car wash in your garage to increase the income earned to the business.
Read through the text above and learn how to start a garage business in Kenya today. You just need the right skill set, adequate capital, and a perfect business plan to start your investment and keep it running. With the right strategy and good relations with your customers, you can earn revenue by starting a car repair business. Remember to read and consider every tip stated above to manage and run a successful garage business that will accommodate your target market’s needs.