Whether employed or non-employed, everyone is now venturing into this kind of business to earn a living for themselves. Retail business is now very popular in Uganda. Retail business is now stretched to communities, and it is not something being started now. Retail business deals with groceries and other home supplies like toiletries and other products. Therefore, if you want to know how to start a retail business in Uganda, follow the step by step guide below.
What to consider in before you start a retail business in Uganda
1. Capital to be invested. You need to find the total amount that it will take to set up the retail business. The capital involved will depend highly on the type of your business.
2. Target market. Know the kind of people you are going to sell retail goods to them. Identify the market gap in a community first before locating a business there. Look at the retail goods that are missing in that and take advantage of the gap. Provide goods that are not in the market. Compare the prices. Set your affordable prices.
3. Location of the retail business. The location of the retail business in Uganda is very important because it determines the profitability of a business. You can locate your retail shop near roads like the namugongo roads. The location should be attractive and accessible by public vehicles or even private cars.
4. Choice of the products for sale. Sale fast-moving products. Don’t sell things that will stay in the store for months. By doing market surveys, you should have found out the fast-moving products.
5. Suppliers. After knowing and identifying the target market, you have to find a regular supplier or distributor selling items at wholesale prices. Each community has its distributor.
6. Registration of your retail business is very important for legal operation. Get the local registration requirements from the municipal council or town councils of Uganda. You have to pay for the trading license to be given the trade license.
Factors to consider when deciding what to sell in a retail business
1. Profit margin.
2. Marketability of the products
3. Is it consumable?
4. What is popular
5. The level of competition
6. Quality of the products
Factors to consider when looking for distributors and suppliers
1. The reputation of the distributors and suppliers. Their ability to deliver the supplies on time and to deliver quality.
2. The quality they provide. The quality of the goods you provide to customers will be a great deal.
3. Working capital. The suppliers and the distributors should offer goods and services that are within your budget.