Business Venture: Nintendo Cafe

crazyegg

New member
Jan 24, 2010
11
0
0
Hi All,

I am in the very initial stages of gauging the feasibility of opening up a Nintendo Cafe in La Romana.

These cafes charge about 20 pesos per hour of game time.

Based on having 4 game consoles and each console being played for a conserative 5 hours, I would gross 400 pesos per day.

Most kids go the school only half day so I see lots of kids in these joints.

That would be 2,800 pesos per week gross.

To put that into perspective, my brother in law drives a bus in the DR for 12,000 per month.

The main reason for this venture is to creat a job for my other brother in law. Rent and labour will be free for me. The only variable cost will be electricity.

Does anyone have any insights or experience in this venture? Is my math correct???

Regards,
ed..
 

DavidZ

Silver
Aug 29, 2005
3,512
238
63
www.vipcigartours.com
Without running the numbers I'd say you'd barely net half of that even with free rent and labor....electricity isn't cheap. But even if you netted all of it, that's hardly a venture worth pursuing. It's just above minimum wage, with no benefits...
 

Tamborista

hasta la tambora
Apr 4, 2005
11,747
1,343
113
He'll probably sell the game consoles when nobody is looking along with the screens. You are better off buying him an old pick up truck and a megaphone and set him up with a scrap metal business, and installing Lo-Jack.
 

Black Dog

Bronze
May 29, 2009
1,761
154
0
I would just like to advise the OP to be careful where he floats his business ideas. If you post a really good idea you may find someone beats you to it!
 

crazyegg

New member
Jan 24, 2010
11
0
0
Hi All,

Thanks for the feedback and cautions...

FYI, Nintendo Cafes are not a revolutionary concept in the DR. They have been around for a long time.

Like colmados, compra y ventas and bancas, they can be found on every street corner.

To this day, I still cannot fathom how on earth one city block can support 6 (or more) colmados! But it appears to work for some reason...

PS: Does anyone know the total cost per kilowatt (including all taxes and delivery fees) of electricity in La Romana? To put it in perspective, in Canada, I pay about 12 cents all in.

Regards,
ed...
 

Chip

Platinum
Jul 25, 2007
16,772
429
0
Santiago
FYI, Nintendo Cafes are not a revolutionary concept in the DR. They have been around for a long time.

Like colmados, compra y ventas and bancas, they can be found on every street corner.

Funny, it must be a southern thing as I've been here 4 years and have yet to see one.

At any rate, I would plan on having the business make much more than RD12000 - because you won't see it anyway more than likley. :glasses:
 

MrMike

Silver
Mar 2, 2003
2,586
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www.azconatechnologies.com
Your numbers are OK more or less but its all about location, in your case you want to be near junior high and high school students.

These kids don't have much money for games and they will spend alot more time hanging out gawking than playing.

Your basic idea would work better most likely if you did an internet place instead, alot of kids would come in to do their school work and the expense is more justifiable to them, so they can more easily beg the money off their parents. (even if in reality they waste alot of time on stuff other than work)

In this situation your preferred location is near a university.

You could also put some video game consoles in and see what gets more traffic. I am guessing that you will end up deciding the console is a waste of space, as I did.

If you do get a nice crowd in, you can also sell them snacks and drinks, even beer if the crowd is old enough.

In my case with beer + Internet I grossed over 5k a day average, but I was in a premium location as far as university proximity.

I eventually moved on to better money but it was fun while it lasted.
 
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DavidZ

Silver
Aug 29, 2005
3,512
238
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www.vipcigartours.com
I would just like to advise the OP to be careful where he floats his business ideas. If you post a really good idea you may find someone beats you to it!

I don't think he has to worry about that! :bunny:

but to the point that they are on every street corner...I've seen hundreds if not thousands of street corners in this country, and have never seen one. As mentioned above, an internet cafe is a realistic business, with the nintendos being an additional revenue source maybe. Or if you had a dozen or more machines and a very high traffic area maybe...and don't forget serious security...even with 4 machines and a few thousand pesos a week...in cash... that will be a targeted location for anyone in the 'hood who needs money...

Take the money you'd spend setting this up and pay for some job-training, english classes or other education for your brother-in-law...or just buy him a shotgun...then he can make more money as a guatchie...with benefits!
 
Last edited:

Snuffy

Bronze
May 3, 2002
1,462
6
0
I'll give it to you straight.

You sound like a nice, kind rookie to the DR. It isn't going to happen the way you envision it. Chances are your good deed will not go unpunished. I know you are trying to 'teach him to fish'...but the odds are that you will be disappointed. I'm not saying it doesn't work sometimes, but more than likely it will not. Just be prepared to be disappointed and feeling like you had wasted your time, effort, and money. Better to just give the wife money from time to time or bring food, clothing for the kids or have fixed something they really need fixed.

A man in the DR, if he is wired a certain way, can get out and work and save money a little at a time. I have heard these stories which I believe to be true. He then gets enough money to start some small venture. He slowly builds it into something. You either have that ability or you don't. And getting a nice fat startup from a kind family member is not going to insure success. No, it is better that he earns it inch by inch.
 

ExtremeR

Silver
Mar 22, 2006
3,078
328
0
Your numbers are OK more or less but its all about location, in your case you want to be near junior high and high school students.

These kids don't have much money for games and they will spend alot more time hanging out gawking than playing.

Your basic idea would work better most likely if you did an internet place instead, alot of kids would come in to do their school work and the expense is more justifiable to them, so they can more easily beg the money off their parents. (even if in reality they waste alot of time on stuff other than work)

In this situation your preferred location is near a university.

You could also put some video game consoles in and see what gets more traffic. I am guessing that you will end up deciding the console is a waste of space, as I did.

If you do get a nice crowd in, you can also sell them snacks and drinks, even beer if the crowd is old enough.

In my case with beer + Internet I grossed over 5k a day average, but I was in a premium location as far as university proximity.

I eventually moved on to better money but it was fun while it lasted.

That's pretty good, which were your profit margins if you don't mind me asking?
 

ExtremeR

Silver
Mar 22, 2006
3,078
328
0
You sound like a nice, kind rookie to the DR. It isn't going to happen the way you envision it. Chances are your good deed will not go unpunished. I know you are trying to 'teach him to fish'...but the odds are that you will be disappointed. I'm not saying it doesn't work sometimes, but more than likely it will not. Just be prepared to be disappointed and feeling like you had wasted your time, effort, and money. Better to just give the wife money from time to time or bring food, clothing for the kids or have fixed something they really need fixed.

A man in the DR, if he is wired a certain way, can get out and work and save money a little at a time. I have heard these stories which I believe to be true. He then gets enough money to start some small venture. He slowly builds it into something. You either have that ability or you don't. And getting a nice fat startup from a kind family member is not going to insure success. No, it is better that he earns it inch by inch.

How can you start inch by inch is you don't have a margin to start saving for startup capital even for a little business. I believe what crazyegg is doing is right. Although you'll have to strictly supervise the business the first 6 months, and if you see him slacking, cut him off right away.