Hookah business plan: where to start and how much you can earn
Let's consider the production of coal for a hookah as a business idea in the field of production with minimal investment. According to experts, the market for tobacco products and related products is estimated at a serious amount of $ 20 billion. Not surprisingly, the lion's share of the surrogate and low-grade tobacco and charcoal for hookahs goes on sale. There are, of course, high-quality goods, but they are very expensive, since they are imported from abroad. This is the time to open your own production of hookah charcoal. Let's take a closer look.
Ready to go! Attention! March!
Start-up capital for starting a business is quite within our powers. It ranges from 100 to 500 thousand, depending on the scope. Next, we find out the demand and find customers. According to statistics 77, 59% of consumers of this product use coconut charcoal because they believe in advertising. The more knowledgeable public buys charcoal (16.22%). The quality of coal directly depends on the feedstock.
Hookah charcoal comes in round and square shapes. One such ember should burn for at least 90 minutes. Smoldering charcoal should never block the smell of tobacco. When taken with ticks, it must remain intact. If crumbled - garbage and not condition. To test, place an ember under the heel of one leg and lift the other. We don't need coal that has collapsed. The third indicator is density. Thrown into the water, he must drown. It is also important that the coals should not dissolve. Floating and dissolved coal speaks of poor quality, so it will be more difficult to sell.
Namely - march to choose a room and purchase equipment. What is required? The room is not large in size. A cottage or garage is fine. We purchase a hookah charcoal production machine. For example, the Chinese comrades offer the YP-12 model at a cost of 17-18,000 rubles. The Chinese woman is capable of producing over 250 pieces of coal per minute.
Where to get raw materials?
Raw material is coal powder. They either buy it or make it themselves. To produce powder, you need a forced air oven, like a blacksmith's forge. Firewood is placed in the ignition compartment completely dry. Suitable trees for the procedure are hornbeam, maple, ash, pear. When it flares up, the oxygen supply is blocked. The moment of pyrolysis comes. They do not need to be afraid of these terrible words. With experience, the necessary skills and abilities will come.
Next, the coal is ground with an ordinary meat grinder. The price of electric models is around 5-6,000 rubles. The resulting powder is sent to the press of the YP-12 machine.
Calculate the return on investment for the production of hookah coal
Alexey is a businessman and he is 24 years old. He does not write very well, but he has: 8 hookah bars; 38 coffee shops; copywriting studio. It is fashionable in youth circles to have a hookah bar. Many people dream of opening it, but something gets in the way and not everyone realizes their intentions. Businessman Alexey, who owns a chain of hookah bars, will answer popular questions.
Is it legal to open a hookah bar?
About hookahs in the law, if there is anything, then a couple of points. They cannot be opened at points where alcohol is sold. It is forbidden to make mixtures of tobacco and other hookah additives. Our people are resourceful and have long invented different ways to get around these prohibitions.
I will not give an example, I just have a kitchen where you can smoke hookahs, they don't drink alcohol here.
The main thing is that the room where people smoke is fireproof. Then the inspectors will have no complaints.
Where to start in the hookah business?
The place where the hookah bar is located is important. The main thing for visitors is the quality of the hookah. When Alexey decided to create a hookah bar, he acted spontaneously. I chose a suitable designer, paid him an advance, wrote in my blog that he would open an establishment soon.
Burned the bridges and had nowhere to retreat. It is important not to give in to difficulties, to solve problems, to go towards your goals.
The quality of the hookah can be average - this is not the main thing. You need to hire professionals and check their work at first. People can surprise with both good and bad. For example, Alexey hired an experienced hookah man, and he went into binge 3 times and did not show up for work on time. Was fired.
Where is a good place for a hookah bar?
Yes, hookah catering is now relevant to open in small towns, of course, if you do not have serious finances that make it possible to withstand serious competition. In Moscow and St. Petersburg, there are more than one hundred companies providing hookahs "at home". And this wave has just begun to reach the province, therefore, it's time to think about starting your own business.
Who orders hookah catering and why
Hookah catering is the departure of the hookah operator with his hookahs, tobacco, fruit for the bowl, and liquids to the customer's territory. People invite craftsmen to celebrate weddings and birthdays, to corporate parties, sometimes even to business meetings.
By ordering such a service, people receive additional entertainment for guests, while they do not need to cook hookahs themselves, even if they have them, and worry about the taste - a professional will cope with this task much better. In addition, some hookah-makers offer not only to cook and "smoke" everyone, but also to hold a cooking master class or arrange a whole show. Simply making a bowl of fruit can look very impressive.
Craftsmen prepare unique dishes with bright colors, fruits, berries, use illuminated hookahs, which looks especially cool in dark rooms.
You can even order craftsmen for open-air events. Some of them may come with their own counters or tables, then the customer will not have to worry about placing a hookah man at all.
How to organize the delivery of hookahs and what you need for this
Often the delivery of hookahs is organized by hookah bars, so they receive an additional service, respectively, and revenue, and also attract new customers to their institution. But catering may well exist separately from the hookah.
In fact, anyone could organize such a company. You need to have a good hookah maker (or be one yourself), several good modern hookahs, a good selection of tobacco, transport, preferably a folding table (stand) for cooking.
Hookah bar is a cozy place for hookah smoking, which should be good for every guest. Various factors play a role in the popularity of the club; location, service, tobacco quality are especially important. The main risk area is fire safety; you must take into account all the requirements for the premises so that they do not complain about you to the fire department.
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If you start calculating how much it costs to open a hookah bar, it might seem that this business does not require large investments; in fact it is not. The cost of hookahs, coal and tobacco is not high, but for the establishment to become popular, you will have to invest money and time and carefully think over a business plan.
The margin is about 400%.
Initial investments - from 1,000,000 rubles.
Average monthly revenue is 110,000 rubles.
The business starts to generate income 6 months after launch.
Features of the hookah business
Often a hookah bar is a semi-closed club. Access to it is by a club card. The guest shows his passport, fills out a questionnaire and signs a short form, which confirms his readiness to join the club and consent to smoke nearby.
The Customer Lounge is a separate enclosed area for small and large companies. The room, as a rule, is twilight, soft background music is constantly playing - lounge or other similar genres, selections are easy to find on YouTube or Spotify.
Administrator "over a year ago
Initial investments and prices
After preliminary calculations, we realized that you need about 50 rubles to start. We immediately got a job, on weekends we went to hookah shops, tobacco shops, talked with friends. We studied the range of all hookah products, prices. After 2 weeks, they already knew most of the top names in the city and the average retail prices and approximate purchase prices of goods. And accordingly we found out where to buy, it turned out to be Moscow markets - "Lyublino", "Gardener", "Southern Gate".
In the third week on the weekend we went to Moscow to negotiate prices. Accordingly, t. of our suppliers, no one knew us, the prices were lifted to the skies, but we were happy with them too. I will clarify right away that the first goal was to start with the purchase and subsequent resale by delivering only tobacco products.
And so, we managed to go around all 3 markets in 1 day, in the evening we went home by bus. We had the following prices for the most popular tobaccos:
- Fumari - 600 rubles per 100 gr. (on the market average 950). - Darkside - 900 rubles 100 g. / 1900 rubles 250 g. (on the market average 1200 rubles - 100 g., 2500 rubles - 250 g.) - Alfakher - 70 rubles 50 g. (on the market average 120). - Adalya - 80 rubles 50gr. (on the market average 120). - Sherbetli - 80 rubles 50 gr. (on the market average 150). - Afzal - 100 rubles 50 gr. (average market 180). - Nakhla -180 rubles 50 gr. (on the market average 250).
Coal prices: - Cocobriko - 190 rubles per 1 kg (the market average is 290). - Coconaru - 190 rubles per 1 kg (the market average is 290). - Cocobriko - 80 rubles per 100gr. (market average 100).
Promotion of services for the delivery of tobacco and charcoal for hookah
Upon our return, we knocked out the prices, chose the most favorable purchase prices. And we decided to open a group in VK. Accordingly, inviting all friends there. T. we were 19 years old, most of our peers were potential clients. We opened the group on the 4th week after the decision was made to launch this business. They invited friends, asked to repost records from the group, and also wind up subscribers up to 2 thousand for the solidity of the group.
1 week left until September 1st. The sales start date was set exactly on September 1st, i.e. are expected during meetings of students, with a large number of people and, accordingly, an increase in demand for our products.