Find 4 Most Lucrative Businesses in Kenya
If you want to start a business in Kenya, do not allow procrastination to hold you back. The rich natural and material resources combined with skills have made Kenya a strategic haven for any lucrative business idea to thrive.
The current wave of the economy is unforgiving. The advent of the pandemic has placed the financial infrastructure to a test and challenged the existing businesses to come up with proactive inventions to stay in the market. It became clear that the winds of change are not transient.
If you’re wondering how to get started, here are some of the most lucrative businesses in Kenya that can earn you Ksh. 100,000 per month. Read on.
- The Snacks business
People need to eat irrespective of their geographical location. The snack business is quite versatile as you will have the autonomy of choosing what to make for your clients. Most snack sellers have made a fortune from selling sausages, boiled eggs, soft chapatis, mandazis, samosas, and cakes. These snacks are in high demand and will earn you a quick source of income. So, if you are thinking of getting into the snack selling business, you can choose any or all of them, and serve them with drinks.
A capital of Ksh 5, 000 is enough for you to start the snack business on a small scale. But if you want to go bigger, then the capital of Ksh 100,000 is enough.
As a small business entrepreneur, the lowest profit you can make is Ksh 200 -700 per day. A large-scale business owner can make up to Ksh. 25,000 per day. The good part is you spend little and earn more.
So, which are the requirements and conditions that can boost the growth of the snack business?
- The location:
Whether you choose a confined shop, roadside store, or even your own house as a business point, the place should have a strategic inclination about circulation of people. It should be close to junctions, industrial areas, close to learning institutions, marketplaces or bus stops.
Invest in a vending cart (Ksh.5, 000) and find reliable suppliers like the (Farmer’s choice outlet) to ensure you meet the demands of the clients adequately. Allocate Ksh.500 for the purchase of Kachumbari to spice up the snacks.
- The cake making business
Cakes are the centerpiece of any celebration ranging from weddings, office celebrations, bridal showers, and birthdays. Since the demand for cakes is eminent, you’ll need excellent baking and marketing skills to showcase your services. A starting capital of Ksh.50, 000 can give you the first move.
Creating a personal brand for your business will get you an excellent online presence for your customers. Before starting, you’ll need to select the type of cakes you intend to sell. For instance, would you focus on the birthday, wedding, or cakes for all events? To make a candid decision, conduct research.
If you prefer to sell from an online store, create a high-end website to display your cake samples to your clients. Many Kenyans can access the internet; it makes it convenient even with a mere Facebook page.
If you choose a physical shop, scout around for a strategic place and ensure you fit within the rental budget. You also need a business plan to guide you to find the start-up costs, expenses, operating costs, target audience, machinery, and equipment. You’ll also need a license which ranges between (15000 to 20,000). Additionally, get a food handling certificate from the ministry of health to reinforce your business authenticity.
The charges for your cakes depend on factors like packaging, preparation, decoration, and the duration of preparing the cake. It is therefore up to you to come up with your pricing strategy.
The secret is: much as you enjoy baking a cake, you also need the profit. So, aim for exclusive services at reasonable prices.
- Car Wash Business
It is one of the best money-spinning businesses to start in Nairobi. It won’t fade out of style anytime, as long as people keep using cars. With approximately Ksh.165,000, you can begin a car wash business and provide your clients with what they need; a clean car.
The cost depends on the type and size of the car, the equipment in use, and any other additional services. On average, a small car earns ksh.150-200. Therefore, if you clean ten cars in a day, you’ll end up with ksh. 1500. Before starting this business, you need to consider the license cost (2,000) and the leasing land cost (15,000)
- Butchery Business
First, you’ll need to locate an area with high human traffic for your business. Meat is a delicacy to many Kenyans; this business has all the potentials to thrive. In a low-income area, the capital of ksh.100,000 is enough. Around Nairobi, you can get meat from Njiru, Dagoretti, and Kajiado. You can as well get supply from the City market.
The price depends on the site of the slaughterhouse, the season, and the type of meat. Goat meat costs Ksh.320 per Kg, while beef goes for around Ksh.250 per kilo at wholesale price.
If you start a bigger butchery, you can sell more if you consider selling boiled, roasted or fried beef with ugali, rather than focusing on selling raw meat. Such butcheries can fetch at least as 3000kgs per day. The smaller ones which only sell raw meat can manage 50-100kgs. On comparison scales, a bigger butchery earns attractive returns after selling at 400 per kg that translates to 1,200,000 per day! Just find out the type of meat people like in your area, plan on the operating cost and remember to maintain hygiene be honest to your loyal clients.
It is never too late to start. These four lucrative businesses are just a few of the many ventures that will earn you reasonable profits in Kenya.
So, what next? Building a profitable business takes time. If you can wait, it’s often worth it since income snowballs over time. The best way to begin as an entrepreneur is choose the “risk” and get into it. Select the one that fits within your interests and budget. The possibilities and benefits of a business are endless.