Top Township Business Ideas With Proven Profit Margins

South African townships, often referred to as 'Kasi' have some of the most successful businesses by Kasi entrepreneurs.

So if you were looking to become your own boss, then you're going to love these township business ideas. These Kasi businesses may require some upfront capital to get started, but once up and running, you'll enjoy all the benefits.

Big businesses do not focus on building and expanding their companies into the township economy, which opens the door for people to own businesses.

It's to grow and become a business owner with the following tested and profitable business ideas.

Let's get started.

Kasi Real Estate

Building back rooms at home for rental is the most profitable and popular business model in South African townships.

I call it "Kasi Real Estate".

As you may know, many millionaires in the world have built their wealth around the real estate - buying apartments and renting them.

However the Kasi real estate is different, you don't buy expensive properties but build back rooms and rent them out.

In Gauteng, rent starts at R1,000.00 for single rooms right up to R2,700.00 for a full house, depending on the location of the township.

So if you build 12 back rooms in Alexandra township and rend them for R1,500.00, then you'll have a business with R18,000.00 guaranteed monthly income.

This may require money to get started however you can be strategic in your approach for this model. Initially build 4 rooms, then use the income for these rooms to expand your business.

Moving Furniture

Another great opportunity that compliments the rental business idea if you have a pickup truck or bakkie.

Here, you'll assist people with moving furniture into new rooms from different locations in the township. I've seen this, people move to better places mostly at the end of the month, when not happy with the current landlord.

You'll charge between R650.00 to R1,200.00 based on the weight of the furniture and the distance you'll need to travel.

Internet Cafe

Township internet cafes offer people affordable access to the use of the internet and other printing services.

People will come to your places to make copies of documents, send important emails and submit job applications.

You can also offer writing and design services in your kasi internet kafe. You'll design birthday cards, event posters, and so on. And help write professional-looking curriculum vitae for job submissions.

Car Wash

One car in the township costs a minimum of R50.00 full wash, a car wash. And trust me, many young people don't like washing their cars. They also enjoy hanging out at a car wash, on a soulful Sunday.

So this is another good business idea in the township with profit margins so high because the operational costs are much less. In most townships, water is free to use, so your costs to start a car wash business would be to buy other pieces of equipment.

And you're good to go, wash and clean at least 10 cars per day and you'll have made about R500.00. At the end of the month, you could make a total of R15,000.00 before operational expenses.

Kota Place

There's nothing popular in townships as a kota area. A kota refers to a quarter of bread for a delicious kasi sandwich.

Find a great spot that's easy to access with a lot of traffic of people passing by and you're good to go.

Most importantly, offer customers the best and fresh kota sandwiches in the township to win more clients.

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