An internet café or cybercafé is a place where one can use a computer with Internet access, mostly for a fee, usually per hour or minute. Sometimes one can have unmetered access with a pass for a day or month, etc. It may serve as a regular café where food and drinks are served. The total investment is estimated at cost of US$6,602 per year while revenue is estimated at US$ 22,620 per year.
Internet café business has grown over the years. There is ready market from students, business men, schools, corporate, researchers and scholars. The business is suitable in Urban areas. There are very many players in this business as they are widely spread all over the Country.
Capital investment in US$
|Capital investment item||Units||Qty||Unit cost||Amount|
|Total cos 8,963|
Production Operating costs in US $
|Other requirements|| Production
|Staples and punching machine||25|
|Utilities(water and power)||75||900|
|Depreciation(Asset write off)Expenses||3||41|
|Total Operating Costs||490||6,602|
Production costs assumed 312 days per year with a daily capacity of 550 services of faxing, surfing printing and photocopying
Depreciation (fixed assets write off) assumes 4 years’ life of assets written off at 25% per year for all assets
Direct costs include materials, supplies and other costs that directly go into production of the product.
Project Product Cost and Price in US$
|Pdn cost /yr||Unit Price||Total Revenue|
Profitability Analysis in US $
|Profitability Item||Per day||Per month||Per Year|
|Less production and operating Costs||21||550||6,602|
Source of Supply of Equipments
The necessary tools are readily available in Uganda, e.g. at; Kazinga Channel Entebbe Road, PC World Bombo Road e.t.c.
The Government divested from all issues of areal communication sector and liberalized through establishing a Communication Commission, which regulates and governs all the affairs pertaining to the sector.
Research was done by Business Synergies for Uganda Investment Authority SME Department.