In this day and age, more and more activities have to be done through computers. Therefore, people who do not have computers, tourists, and business people often need to use computers. By opening an internet cafe, you can make money with fun, through your hobbies and computer skills.
Step
Method 1 of 6: Planning an Internet Cafe
Step 1. Prepare an internet cafe (warnet) operational plan
Write down the services you want to provide, and the target market for your internet cafe. Visit other internet cafes in your city or area to find business ideas.
Discuss with other cafe owners, and ask about the advantages and disadvantages of doing Internet cafes
Step 2. Find out if your plan is working
Do a survey in your destination. Find competitor's markets and cafes nearby. Estimate how much capital you will need to buy computers, furniture, software, and other furnishings.
- Find furniture prices online, through catalogs, or by visiting an ATK store.
- Do not choose an area with a middle to upper economic population, because most likely the local population already has their own computer at home. Also avoid areas near libraries, because libraries generally provide computers that can be used for free.
Step 3. Create a complete business plan
Write down all the details about your cafe, from the computer you have to buy to the long-term operating costs. Take into account the results of your research, and explain how your internet cafe will benefit. Include the following elements in your business plan:
- Business concept: Describe the business and market share for your internet cafe.
- Market research: This important section describes the characteristics of the market you will be entering. Write down your main competitors, target market, and needs of your target market.
- Marketing plan: Write down how you will meet market needs, communicate with consumers, and advertise the cafe.
- Operational plan: Describe the day-to-day operations of the cafe, such as opening hours and the employees and furniture required.
- Financial plan: Write down how you will raise capital, how much capital you will need, and a five-year profit plan.
- Make sure your business plan is clear and easy to understand, and can be explained easily to anyone (especially to those who don't understand specific terms).
Method 2 of 6: Finding Capital and Location
Step 1. Calculate how much initial capital you need with the help of the financial plan you have written
Also determine annual gross income and expenses. Prepare capital worth the initial capital and operating costs for a year. If you don't have enough capital, you may need to apply for credit.
- Operational costs include licensing fees, insurance, building rental/installments, security systems, employee salaries, computer hardware and software, as well as professional services such as accountants.
- You can rent or buy used equipment to save on operating costs.
Step 2. Find the initial capital
You can break into savings, get capital from business partners, or borrow from banks. Generally, entrepreneurs take advantage of credit products from banks, pledge their homes, use credit cards, or apply for KUR.
Step 3. Contact your local bank to apply for a KUR or micro business loan
You can apply for this credit at the nearest bank branch. Some banks do not require collateral for this credit product.
Step 4. Consider pledging your home
Some banks offer loan products with home collateral, which means you will pledge your home to get a loan. Make sure you can pay the installments in full so that the collateralized house is not confiscated by the bank. Also, make sure your name is not on the BI blacklist.
Step 5. Consider an online micro-lending service
With this service, you can find loans in small amounts, up to IDR 2,000,000. Check loan service sites, and know the rules of the game to avoid misunderstandings.
In Indonesia, one of the micro-loan service sites that is on the rise is UangTeman
Method 3 of 6: Finding the Right Location and Picking a Name
Step 1. Find a location for your internet cafe
Choose a location that is easily accessible to customers or regular visitors. If you choose a location near a school or college, you will attract young visitors, and if you choose a location near cafes or other shops, general visitors may be attracted to your cafe. If possible, you can also choose a location near major hotels, which are frequented by business people.
Step 2. Contact a real estate agent
An experienced agent will be able to show you a property that suits your needs and the funds you have. You can also contact the developer directly for your preferred location.
Alternatively, you can acquire an internet cafe that is already running and has regular customers. Real estate agents may also be aware of this opportunity
Step 3. Do market research in the destination area
Know the old designation of your chosen location, and statistical data such as the average income of residents there. Also find competitors around the location.
- After finding a suitable location, observe for a few hours, and look at the traffic of people around you. Is your preferred location near public transportation or a highway? Is the parking space conducive enough?
- Also do demographic research in the destination area, with the help of a local librarian or real estate agent. Does the income of residents there match the visitor profile you want?
- After finding a suitable location, purchase building and fire insurance.
Step 4. Create a unique cafe name, so that your cafe is different from the others
Use internet databases to find the name of the cafe so you don't choose the same name as someone else. You can also get tips for choosing a name on various internet sites.
Method 4 of 6: Managing Business Licenses
Step 1. Register the business name if required
For example, in America, you need a DBA (Doing Business As) license to open a business under a name other than your real name. The permit is usually registered through the local government office.
Step 2. File a NPWP at the nearest tax office
Record income from your cafe carefully, including the VAT you charge visitors if any.
Step 3. If you open an internet cafe in the US, get a federal tax ID
You will need to file a separate business tax return. Therefore, you will need a federal tax ID which can be filed online at www.irs.gov.
Step 4. Get a place of business license
Contact the city government office to find out what type of permit is required. If necessary, contact a notary to fill out a permit form. Instead, pay for the charging service instead of bothering yourself if something goes wrong.
Method 5 of 6: Setting Up Hardware and Software
Step 1. Choose an internet service provider/ISP
Your internet cafe may require a more "strong" internet connection than a regular home connection. Negotiate with the ISP of choice because ISPs usually have special business packages or internet cafes. Also know if you need a static IP for local LAN networks and related programs.
A static IP address can only be used by one internet subscriber. A dynamic IP address will be randomly assigned to your ISP every time you log in to your computer. With dynamic IP addresses, you automatically share IP addresses with many other customers
Step 2. Arrange the layout of the room according to the building
If possible, hire a professional designer. Make sure the designer knows the specific needs of your cafe. For example, you may need to customize your kitchen so that food/beverage preparation doesn't damage electronic components. Also involve an electrician to ensure that the building infrastructure can meet the electricity needs of the cafe.
Step 3. Purchase the necessary equipment according to the business plan, such as a computer, network cable, router, printer, crimping tool, and RJ45
If you want to sell food, also buy plates, glasses, and microwaves.
Step 4. Set up your cafe room
Perform building construction and renovation work, arrange cafe's electricity, install computer networks, assemble and install software on computers, and add security systems. If necessary, prepare a room to provide additional services, such as a kitchen for cooking food/drinks.
Step 5. Manage cafe software effectively
Use free software like Linux as an alternative to Windows/Mac OS, and OpenOffice/LibreOffice instead of Microsoft Office. Consider using a live CD system without storage media or dumb terminals on the client computer to reduce repairs.
- Install a firewall on the router if the router does not provide this functionality. Firewall serves to protect your network from worms, viruses, and other outside attacks.
- Find software to protect your computer from viruses, such as an antivirus or live CD.
Method 6 of 6: Preparing to Open an Internet Cafe
Step 1. Create a human resources plan for your cafe
Take into account operating hours, employee salaries, and overtime pay, as well as anti-discrimination rules. Find out about your local employment laws by visiting the Ministry of Manpower or doing an internet and library search.
Step 2. Interview and accept the employee
Advertise on sites like OLX or Facebook. Choose employees with good technology skills, have trusted references, are friendly, and easy to work with. Make sure you find out about the employee's background before accepting it.
You can find out the employee's background with the help of the nearest police station
Step 3. Advertise nearby internet cafes through brochures, newspaper ads, word of mouth systems, and social media
You may need to create a site for an internet cafe. To create a site, use a free template, or choose a service like WordPress for around US$70 per year. Create a Facebook page for your internet cafe, and update the page regularly.
Consider hosting the opening event with a gift or discount coupon. Advertise internet cafe openings in newspapers, radio stations, Facebook, and websites. You can also offer free food and entertainment on opening day
Step 4. Receive feedback from customers
Customers may find the internet speed at your cafe unsatisfactory, or complain that the computer they are using is infected with spyware. Contact an expert to resolve the issue if your cafe does not have a suitable administrator.
Step 5. Consider another business field, such as a printing service or a gaming competition
Receive suggestions on additional services according to the needs of consumers in your area.a.
Tips
- Remember to put the customer first in every activity of your business.
- Your customers pay for the service you provide, so make sure your service is satisfying and meets their needs.
- Evaluate your business performance. Know what steps worked and didn't work.
- Anticipate circumstances, and adapt.
Warning
- Install a basic network monitor that doesn't violate customer privacy, but at the same time detects excessive bandwidth usage.
- If your cafe is having copyright infringement issues, tell customers what they can and can't do on the internet. If necessary, block P2P ports.
- Use free software on your computer, rather than pirated ones, to prevent lawsuits.
What you need
- Business plan
- High quality computer, with monitor, mouse and keyboard.
- Software, such as operating systems, productivity apps, and games
- Network devices, such as routers, switches, and network cables
- UPS to prevent computer damage due to power outages
- furniture
