Hisham Abu says the incident happened just after he opened his store, Sam's Market, on Wednesday morning.
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Abu says the man came in with a lottery ticket and became angry when he was told it wasn't a winner.
EXCLUSIVE: New SF DA explains how she plans to clean up city, hold criminals accountable
EXCLUSIVE: New SF DA explains how she plans to clean up city
"He told me you sold a fake ticket, and he had a balloon in his hand, with a pin from the front, and he had a piece of wood almost one foot long," said Abu." (He) hit the balloon with a piece of wood, and bullet goes out and it hit my shoulder."
Abu says he didn't realize he was shot until someone else told him.
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The suspect is in custody and Abu says he hopes he'll stay there so he doesn't hurt anyone else.