Business opportunities in Cape Verde

Hi Anthony,

If you're going to create a business in Cape Verde, there are essentially 2 distinct markets. One is B2B and B2C targeting local residents. The other is B2B and B2C targeting tourists and expats.

You should ignore the first market. The number of local residents per island number in the tens of thousands (some are even less than that) except Santiago where it will be a couple hundred thousand. So if you are going to do business with the locals then you have to locate the business in Santiago and do business with the residents of that island OR nationally. However, the majorty of the local residents have low to no disposable income (it's a very poor country with high unemployment). So the only businesses that make sense are those that supply basic necessities (think food, clothing), or that provide nationwide services (think telecoms, utilities, interisland maritime services, domestic airline, etc). However, as you can imagine, there are THOUSANDS of formal and informal businesses trying to provide the basics so the competition is cut throat. A language school is a total loser because there are lots of competitors and they have lots of problems (students sign up but they don't attend classes and those who attend don't have money to pay). On the other hand, if you are going to provide a nationwide product/service, you'll need to invest hundreds of thousands to millions of Euros. So my advice is stay away from this market.

The best business opportunities are in the tourism sector. There are 800,000 tourists visiting CV per year and they are mostly from Europe (with the UK being the top source). Now, 50% of tourists visit Sal and 25% visit Boavista. So focus on Sal if you are going to target this sector. The number of tourists visiting Sal far exceed the total adult population of Cape Verde and they are all far wealthier, relatively speaking, than the average Cape Verdean. So, collectively, they have tons more disposal funds to spend while on vacation. However, the number of services to which they have access far outstrips what they are demanding. What this means is that you can start just about any kind of tourism business and you will make money (more than enough to have a high standard of living). Sp choose something you love to do as a tourist and pursue it. It's hard to go wrong.

But still, you must do your homework including your market research and business planning. You should enlist someone to help you through the entire process starting with research through the launch and initial operations of your business. Engage someone who is an EXPAT who knows the market (size, needs, competition, etc), the local business practices, the legal requirements and the language, to help you. If you hire a local to do this, they will charge you 3 times what you should actually pay (because they think all foreigners are rich and can afford to lose money LOL) PLUS they have no clue about the world outside Cape Verde. And more often than not, they also have little actual knowledge about how things work inside Cape Verde. They think that they can gain your confidence because they think that foreigners will easily trust that they are capable simply because they are local residents. A lot of foreign investors make this mistake and end up losing money paying someone who can barely or properly help them establish a business. Just be very careful who you engage. Check their background and talk to their existing clients.

Hope this helps. If you have more specific questions, just drop me a note in the private chat.

Regards,

Angelo

Antony J wrote:

Hi there, I am looking for business opportunities in Cape Verde as I have family potentially moving there to retire. I have been a teacher/ vice principal for 10 years in 3 countries, speak English, Spanish and Chinese (I understand Portuguese is the language of Cape Verde) and also have plenty of experience in bars, clubs and managing events. I am looking into the idea for a language school for locals, or a bar for tourists. Would anyone be able to help with advice on whether these ideas are worth a look into, or not? Thank you

Good afternoon sir
How much would I need to start up a little bar for tourist in sal

I'm not sure how to even begin to answer such a question. There are too many dependencies. Will you buy a property? Will you rent a space? What kind of bar?

Santa Maria is the tourist hub of Sal, and in fact of Cape Verde. Most people who start bars and restaurants in Sal are investors. They visit the location, look at various potential sites, look at the competition around and do their homework/analysis, so they have a very good idea of how much they will need to start up the type of operation they have in mind.

I would suggest that you will need at least €50.000 to consider opening a bar or restaurant in Santa Maria.

Good luck,

Angelo

coighochoko wrote:

Good afternoon sir
How much would I need to start up a little bar for tourist in sal

Dear Angelo,

Do you also know how it works to obtain a license to open a bar/restaurant?

If hygiene, health & safety courses must attend and certifications obtained?

I could not find much info online.

Thanks

SF

Dear Angelo,
Do you also know how it works to obtain a license to open a bar/restaurant?
If hygiene, health & safety courses must attend and certifications obtained?
I could not find much info online.
Thanks
SF
-@kayaman71

Hi SF,

Opening a restaurant is simple. You must first register a business entity indicating that it will engage in the activities of a restaurant.

Then you find a space where the restaurant will be operated, and you set up the restaurant.

Finally, you request the license from the Câmara Municipal where the space is located and pay for the license.

The Câmara Municipal will perform an inspection of the restaurant and provide the license. It is that simple. There are no courses to attend.

Where do you plan to open/operate such a restaurant?

Best regards,

Angelo

Hi,

Sir! How a Taxy driving job is here in Cape Verde? How can a foreign National buy a taxy car in CV and start hi business in Sal? What amount needed for all this.

Thanks please

Kausar

Hi,
Sir! How a Taxy driving job is here in Cape Verde? How can a foreign National buy a taxy car in CV and start hi business in Sal? What amount needed for all this.
Thanks please

Kausar
-@kausar110313

Hi Kausar,

You asked two different questions. First is how to be a taxi driver. This is trivial. To drive a taxi, you simply need to hold a Cape Verde driver's license. Then you must pay the owner of a taxi a daily rate to use their taxi. The owner of a taxi (in Praia) will charge you about €30-40 per day and you will keep the rest of the taxi fares you earn each day. However, you also have to pay for the fuel you use.

In addition, the owner of a taxi (in Praia) will pay you a fixed amount of about €250 per month if you rent the taxi from them on a daily basis over the long term.

I do not know what daily rate the taxi owners charge drivers in Sal or any other island, or what fixed rate they pay each month to the long term drivers. It will depend on the island and city. Just ask the association of taxi drivers in that island. Praia is the capital city, so there is a massive utilization of taxis and thus the payments and charges are likely to be much higher in Praia than elsewhere.

To become a taxi owner, you will need your own car and you are required to pay €10.000 to the municipality for a taxi license. You will also have to paint your car in the colors required for taxis in that municipality. Many people own taxis and hire drivers to ply the car. Of course, if you own a taxi, you can drive it yourself.

Finally, if you import a car which is to be used as a taxi, you will not have to pay the import duty.

Best regards,

Angelo

bom  dia, Sr. ngelo eu pretendo ir dar aulas para PRAIA e gostaria de saber duas coisas: como arranjar casa independente com boas condições e num local sossegado; e como é ser professor em Cabo Verde: compensa? Tem bom ambiente nas escolas? Obrigado

bom dia, Sr. ngelo eu pretendo ir dar aulas para PRAIA e gostaria de saber duas coisas: como arranjar casa independente com boas condições e num local sossegado; e como é ser professor em Cabo Verde: compensa? Tem bom ambiente nas escolas? Obrigado

-@Adriano Cabral

Olá Adriano,

Para encontrar um apartamento ou uma casa para alugar na Praia, basta navegar no site do IMOR.  Procure-os pela pesquisa do Google.  Ou envie-me uma mensagem privada.

Infelizmente, para se tornar um professor em Cabo Verde, você deve ter seu diploma universitário e primeiro passar os exames de certificação dados pelo Ministério da Educação.  E então, só eles podem colocar você em uma das escolas.  Eles escolhem em qual escola você estará localizado e isso pode ser em qualquer ilha e em qualquer comunidade que eles escolherem.  Você não terá escolha.  Além disso, pode levar um ou dois anos para ser colocado, desde que você seja selecionado.

Claro, você pode se candidatar para lecionar em uma escola particular, mas há muito poucos deles e obviamente há muita competição por esses empregos porque eles pagam melhor do que as escolas públicas.

Abraço,

Angelo

obrigado pela resposta, Senhor ngelo. Eu já sou professor há 18 anos. Tenho todas as certificações e vou tratar disso desde aqui.