10 Tips On How To Run a Spaza Shop
- Always open early and close a bit late.
- Always have change and good customer care.
- Always have fresh products, especially food.
- Do market research when it comes to pricing.
- At least get a new product once a month.
- Your spaza shop must always be clean and attractive.
- Treat each and every customer with respect, they will advertise on your behalf to their friends and families.
- Do a promotion once in a while.
- Have steady suppliers.
Opening of a Space Shop
I have practical experience in starting and running a Spaza store. Starting a spaza shop isn’t one of the hardest things. It can be done by anyone and requires no education other than basic literacy and math. The purpose of starting a spaza store is to sell products to your local community, and how to run a spaza shop.
What You Will Need
First, you need to decide where you will be running your Spaza store from. Most foreigners in South Africa invest in building candy stores or buying containers for their spaza stores.
But for someone who doesn’t have a big budget; this can be difficult. In most rural areas of South Africa, people open spaza shops directly from their homes. This is easier to do in rural areas than in municipalities.
After finding your operating facilities; you will need capital for the first lot of your shares. I started my space with just R1000 specializing in wors, chicken, sodas, snacks, and milk, among other things. But you may need to start with a lot more, especially if you are in a busy area.
You should be careful where you store your products, and try to stock them with wholesalers who sell them at a lower price so that you can set competitive prices. It will be difficult for you to set competitive prices if you buy your products from retailers such as Shoprite and Pick n Pay.
You need a means of transport, you didn’t know the importance of reliable transport when you open a spaza shop. Transportation is required to purchase products that sell out quickly.
You may find that most of your products are in stock and some are out of stock; if not, you will have to quickly replace them; You run the risk of your customers going to your competitors.
Spaza Shop Suppliers
It is very important to have around 3 reliable suppliers. Providers differ from place to place, the best way to find them in your area is to do a little research. Wholesalers are your best bet.
How Much Can a Spaza Shop Earn in One Day?
The honest answer is: it depends. However, I was earning around 1500 a day when I was running my spaza shop, but that is not the earnings. A spaza store in a busy area may produce around 1,500 – 5,000 per day. This depends on the items you sell and their demand.
How Do I Get a Spaza Shop Permit?
You are eligible to apply if you are a spaza store owner or South African general dealer and have a valid business license or business permit. If you meet these criteria, please go to the nearest Nedbank branch, the Nedbank counter at your nearest BOXER store, or the nearest Standard Bank branch for help applying.
Do You Need a License for a Candy Store?
If you are selling or supplying meals/food from a restaurant, takeaway, candy store, spaza store, fast food store, supermarket, grocery store, or wholesaler, you need to obtain a license commercial and can renew it every year.
Do Spaza Stores Pay Taxes?
Spaza shops must register with the SA Tax Service, the Unemployment Insurance Fund, and the Companies and Intellectual Property Commission (this requirement is to give legal effect and does not imply that spazas will start paying taxes)
How Do Poor People Make a Living From Spaza Shops?
Spaza stores are the little shops that are the lifeblood of many poor South Africans. Some earn through a car wash or a car guard or even just washing the windshield and being tipped by car owners.
Why Do Spaza Shops Fail?
Some Spaza shop owners may have insufficient bargaining power or business knowledge to negotiate discounts effectively, putting them at a disadvantage. There is also little collaboration or communication between these companies, and they rarely have opportunities to learn or support each other.
