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13
Feb

How to start an agribusiness in Kenya

How To Start an Agribusiness In Kenya

There is a far fetched notion in Kenya that agribusiness is a ‘rural man’s’ venture. However, this rural man’s venture is a multi-million goldmine that very few Kenyans know of. Agribusiness is considered the backbone of Kenya’s economy, contributes to 24% of Kenya’s GDP and accounts to 65% of Kenya’s exports. The agricultural sector has proven to be the saving grace for the unemployed in Kenya; especially the youth. Take for example Eric Mumo, the Jomo Kenyatta University of Agriculture and Technology First Class Graduate who started his agribusiness with Ksh. 150,000 and grew it into a Ksh. 16 Million business. Or Fabian Kibet, the Eldoret University Media graduate who earned his first million at the farm. Agriculture is a lucrative business venture for those who are willing to seek to research, save money, time and seek farming knowledge.

Are you thinking of dipping your feet in the farming industry? Here is how you can start your agribusiness in Kenya.

  1. Know Your Product

Before you think of setting up your agribusiness, you need to know what type of produce you want. There are many agribusiness ideas out there; tomato farming, poultry rearing, egg supply, potato farming, vegetable production, dairy farming, fruit farming; the list is literally endless! What can help your decision, is doing a market research of demand and supply of various products in whichever area you are in Kenya. Will the idea you choose thrive there? How is the climate in your area, will your idea be favored by your environment? A good is example are small time potato farmers who sell their potatoes in Ongata Rongai, where potato production is almost non-existent while demand is high. This is a good move as opposed to selling potatoes in Meru where production is at an all-time and the demand is low. You can also find a niche sector that few farmers have tapped in to for example earthworm rearing for the purpose of use by other farmers.

It is crucial to think about product and place in the case of agribusiness, unless you want to be your own consumer.

  1. Finances

Do you have any savings for your desired business? Many successful started their businesses from their personal savings and loans from close relatives; not necessarily banks or investors. The good thing about agribusiness is that not many ideas need a lot of money. For example, if you want to start poultry farming you will need good fencing, chicks, chicken feed, chicken shelter and water supply which may cost a minimum of Ksh. 30,000 for decent quality material. Mushroom farming on the other hand can be started with as low as Ksh. 10,000. Businesses like Dairy Farming need an upward of Ksh. 100,000. Depending on your idea, do thorough market research, talk to business owners already in that niche and find out the minimum amount you need, save or raise more than that.

  1. Draw Up Your Business Plan

You don’t need to have a very complicated business plan for your agribusiness in Kenya; you only need a blueprint to help you plan things such as funds allocation, farm location, possible bills, etc. If you find trouble writing your business, contact us and we will walk you through this process.

  1. Register Your Business

A lot of farmers skip this step because they take agribusiness as a ‘less formal’ type of business venture. However, your agribusiness will still need to be registered and set up as a company, a sole proprietorship or a Partnership, for the purposes of formalizing your business and making it easy to do business with corporate clients like supermarkets or even financiers like Banks and Saccos.  We are happy to help you set up your business within ten working days.

  1. Set Up Your Business

Once you have all the necessary documentation, you can go ahead and set up your business; whether it’s selling milk, eggs; poultry, you are good to go. Make sure you market your business strategically reaching as many people as you can. Your friends and family should always be your first customers. Make use of social for online marketing and depending on the range of products, you can open have a website and online store for more professionalism.

All in all, like any other business, agribusiness is not easy, just like any other business out there, farmers face challenges. They range from pests and disease, irregular and harsh weather conditions, to financial difficulties. However, they are hardships that can be overcome with, again, thorough research on your niche and financial discipline. Contact us today for a Free Business Consultation on how to start an agribusiness in Kenya and enjoy the fruits of agribusiness!

1
Feb

How To Start An Online Business In Kenya 

How To Start An Online Business In Kenya – Many Kenyans hold off their dreams to start an Online Business in Kenya because of lack of enough info on how to go about the whole process or because they lack info on the Numerous opportunities brought about by the Internet penetration In Kenya.

A study done by Internet World Stats shows that the number of Internet Users in Kenya has risen from 200,000 in the year 2000 to a whooping 43,329,434 as of the beginning of the year 2018. Kenya ranks third in internet usage behind Nigeria and Egypt with an 85% penetration population rate. This is good news for anyone wanting to venture into online business in Kenya; the market is ready.

In this technological day and age, Buying and Selling has been made easier simply through social media. With the increased use of mobile phones and the age of the Internet, Commerce has now become e-commerce and almost everything is digitized. Kenya has evidently not been left behind in the contemporary world. With the emergence of e-commerce platforms like Jumia Kenya and Kilimall, business owners in Kenya are encouraged to try out online business and not be constrained by geographical boundaries and physical restrictions.

With that said, here are simple steps on How to Start an Online Business in Kenya.

  1. Business Registration

Just because you do not have a physical store does not mean that you do not need to Register your Business. You will still need to Register your Business for revenue purposes; that is, for the sake of registration with the various payment Gateways and Government Bodies. As a business you may also need to secure bank loans, so getting a business Registered may be a good idea to facilitate this as your business will be legal.

Business Registration will also help you protect your name from been used by anyone else to conduct business in Kenya.  In less than Ten days, we shall help you secure and Register your unique Business name relevant to your business.

  1. Find A Domain Name And Web Host

Now that you have a unique business name, you can use it as your domain name. You will also need a web host to host your website. When looking for a web host, do not settle for the cheapest one you find; cheap is expensive. Cheap web hosts are notorious for hosting several sites on one server hence your website will be slow, experience technical glitches and become painfully slow. We offer reliable web hosting services with prompt technical support.

  1. Set-Up Your Online Storefront

As your web host and designer, we will choose the best set-up for your store, including the check-out page, coupon codes as well as set up Search Engine Optimized URLs and load your Stock Pictures and Prices for you.

  1. Set-Up Your Payment Methods

We assume you know your target market for your products; local, international or both. Depending on your audience and their location, your payment method should facilitate everyone interested. The most reliable payment methods for international customers are PayPal and PesaPal, while local customers prefer M-Pesa. Credit Card payment is also an option although few people opt for it. As you consider payment options, it is also important to look at shipping options, from DHL to G4S, again, depending on where your market is.

  1. Add Contact Information

In case you have a physical store, consider adding your location and physical address for customers who may want to visit you physically. If you are only operating an online store, consider adding a functioning customer care phone number and professional customer care or sales e-mail address. This will instill faith in customers who know that they have someone to contact in case an order goes wrong or for queries.

It also helps to add a subscription box to build your e-mail database where you can share new product information and upcoming offers and promotions directly to your customers’ mailbox.

  1. Marketing

Now that you have you have your online store ready, you need to create social media pages for your business. Most of your target market are on social media; after all, you are an online business. Use Facebook and Instagram to connect to potential clients, advertising your products organically and also through paid promotions. Also add links to your website on your social posts and pages so that you can drive traffic to your store in case of interest.

Our Digital Marketing team is happy to help you come up with a proper Digital Marketing Plan and also Offer Search Engine Optimization Services to increase search visibility for your products, from cosmetics to Real estate. It is possible to get your site to appear among top searches without having to constantly run Google Ads.

Finally, take it a day at a time and watch your Business Grow. Contact us Today for more help on How to Start an Online Business in Kenya

18
Jan

How To Start A Restaurant Business In Kenya

How To Start A Restaurant Business In Kenya

The restaurant business is one of the most profitable ventures in the world. The restaurant business in Kenya has been growing exponentially over the past 5 years and is proving to be a very promising industry for business investment. Starting a restaurant business differs from country to country. There are also different types of restaurant companies, from food trucks, fast food restaurants, fast casual restaurants to cafes and delis. Whichever the style, there are certain mandatory requirements and considerations for starting such a company. Starting a restaurant business in Kenya is no walk in the park, bit is a very profitable venture. Take for example the Java Group franchise that started out in 1999 as one branch because of lack of good coffee in Kenya: it is now spreading across the continent all the way to Ghana with more than 50 operational branches. The quickly growing Café Deli franchise is also a success story; the owner was once sold cheap liquor and cigarettes to make a living. Now he’s a multi-millionaire thanks to his restaurant business in Kenya. There are certain requirements and hacks that will make your business venture a success. Here are five steps outlining what it takes to start a restaurant Business in Kenya, assuming you already have chefs and waiters.

  1. Company Registration and Compliance

You will need to come with a name you would like your restaurant to be called and reserve it. Why is this important? You want a unique name that no one will hijack and make their own. Your identity remains your own and becomes part of your personal brand. We can do this for you by conducting a business name search and reservation. Once approved, you proceed to the business registration process. Here, there are certain requirements such as passport photos and documents needed to be signed to be submitted to the registry. After we have completed the registration for you, you collect or we deliver the required documents such as a memorandum and certificate of incorporation.

Another important requirement is the company KRA Pin for purposes of opening a bank account, filing your returns and acquiring a business permit. You should also consider having an ETR machine to process sales and issue receipts as well as keep a record of VAT transactions for easier filing of VAT returns.

You may also want to get clearance from type from ministry of health

  1. Business Location

This is also in regards to operation. Different counties have different restaurant operation rules and regulations. Consider setting up your restaurant in high areas of foot traffic, with thriving businesses. Setting up your business in a highway might not yield profitable results as there is little likely-hood of one stopping and parking in the middle of the highway to eat; there is also little to no foot traffic on highways. University campuses, Central Business Districts, small but busy towns, and other areas with thriving businesses are most suitable to set up a business.

For restaurants that have a bar facility, operation hours and locations are restricted in some counties.  Depending on the business permit you obtain, you will only be allowed operation until a certain time of the day or night, for example 12 midnight. Bars are also prohibited from operating near residential areas in some counties.

  1. Business Plan and Restaurant Design

Some businesses, if not all, need a Business Plan. The restaurant business is one of those that need one. In order to start your restaurant business in Kenya, it is important to draw up a proper business plan. A business plan will help you estimate and manage your finances and also enable you to calculate your desired financial projection in a year, two or even three years. Business plans also help aspiring restaurant owners to come up with the design they desire for their restaurant, that will attract customers and fit the estimated number of customers at a go.

This will also help you organize and visualize your restaurant’s design, an estimate of how much kitchenware you will need, as well furniture.

  1. Know Your Target Market

Knowing your target market goes hand in hand with knowing your target location. If your target market are students, based on your current location, then what type of restaurant you set up will matter. In Kenya, students always frequent fast-food restaurants or cafeterias rather that fast-casual restaurants. This is because fast food restaurant foods and cafeterias fall under the typical breakfast, lunch or dinner budget of a university student. While fast casual restaurants are a bit pricier for the average student.

Knowing your target market will also help you come with prices for your meals and beverages.

  1. Marketing And Managing Your Restaurant

Nairobi is a hub for fast growing restaurants, both casual and high-end. If you wish to start a restaurant business in Kenya you have to ensure that your marketing strategy is on point to get the restaurant out there and to ensure you reach your target market as desired. This can be done online on social media pages or on the business’s very own website complete with available dishes and a menu. In this era, most Kenyans, especially working class, like having their food delivered to their offices. This would be a good consideration as you develop your business. You can also choose to supply flyers, especially around CBDs to catch the attention of potential customers around your area. Whichever the method, marketing is an important aspect in developing your business in Kenya.

As you think of opening up a restaurant in Kenya, you should also think about your business management team. Will you need accountants, restaurant managers, waiters and chefs? If so, how will you recruit them? The success of a restaurant depends, to a great extent, on the management team. Finding trustworthy employees can be a tasking job so most restaurants go through q quick question and answer session before hiring. Consider taking your time and going through a full interview and shortlisting process, carefully analyzing your minimum requirements and doing background checks on all candidates whether janitor or manager. This will triple your chances of hiring competent employees compared to doing blind or fast paced hires.

To Start a Restaurant Business in Kenya you will not require a masters’ degree- or any degree for that matter. As long as you have your capital and the requirements stated above then you can get started. Contact us Today for guidance on How to Start a Restaurant Business in Kenya

17
Jan

Professional Business Plan in Kenya

Professional Business Planing Services in Kenya

Going into business without a Professional Business Plan in Kenya is like Hiking Mt Kenya without a map or GPS support – you’ll eventually get lost and starve

Many entrepreneurs know exactly what they want to accomplish with their new business, they know what products or service they will offer, what makes their product better than the competition and how to operate their business, however, many have never written business plans before and hence need professional help and guidance along the way, whether in research, forecasting sales, calculating costs or creating financial documentation, this is where I come in.

We guide you throughout the business planning process and help you document your business concept, vision, research and all other elements of your Business into a presentable and professional business plan that you can use as a management tool or to share with external entities such as government authorities or investors.

The Benefit of Having a Professional Business Plan In Kenya Includes the Following;

  • Clarify your vision and decide whether to forge ahead with the idea.
  • Determine if your product and/or service has a enough market to support it and whether or not it will be profitable.
  • Provide an estimate of your start-up costs and how much you’ll need to invest or finance.
  • Convince investors and lenders to fund your business.
  • Define your target market (who your customers are or will be) and how to best reach them through strategic marketing actions or expanding market coverage or reach.
  • Establish or reevaluate your competitive position within the marketplace, by conducting a thorough analysis of the competition (finding out where your competitor’s weaknesses are and how you can take advantage of them).
  • Define corporate objectives and programs to achieve those objectives.
  • Help your business make money from the start by developing effective operational strategies.
  • Understand the risks involved and anticipating potential problems so you that can solve them before they become disasters.

Click Here to talk to a Consultant or to request for a Professional Business Plan in Kenya

10
Jan

5 things to Consider before Starting a Business in Kenya

Kenya is a Growing Hub for Entrepreneurs because of its vast Business Opportunities. For that reason, a lot of locals and Foreigners aspire to get a piece of the pie; from the Manufacturing Sector, to Tourism, and even Infrastructure. However, before dipping your feet into cool waters, it is important to consider what it takes to start a business in Kenya to best put you in a position to succeed, assuming you already have the capital. Otherwise, you might encounter pitfalls that will pull you back just as you start out your Business Venture.

Here are 5 things to consider before Starting a Business in Kenya.

  1. Your Business Idea

You have your business idea. You need to sit down, review it and do market research as to how that business will thrive in Kenya. There are many profitable business ideas that may not necessarily do well in Kenya, while some seemingly unusual business that can do well, on the contrary. For example, the dog grooming business is booming in the United States but hardly has a market in Kenya. Extensive market research in line with your business should help you decide whether to proceed or not.

  1. A Business Plan

They say ‘He who fails to plan, plans to fail’. While some entrepreneurs swear by succeeding in their businesses without a Business Plan, it is important to have one and not rely on luck. Not having a business is like going on a journey to an unknown destination without a map. You will get lost.

  1. Target Market and Customers

Before you launch a product or service, you must know your target market and audience to help you understand how to maneuver around making sales. You must know where they are, for example, rural or urban centers (or both), ease of access to your product/service and how they receive your product/service. It would be disastrous to launch a product that your target audience find hard to or may not reach, leading to a decline in sales. It is also important to know the Kenyan lifestyle; are you selling a product that requires habitual shoppers? Are Kenyans habitual shoppers? Finding out the income class of your audience will also help you best position your selling point and know how to price your products/services before you start your business in Kenya.

  1. Competitor Analysis

Before a soccer team sets out for a match against their rival, they analyze the other team’s performance, possible injuries, weak points, whether midfield or defense and player line-up so that they can have an upper hand and know how and where to attack for chances of winning. Same to business. Before you start your business in Kenya you have to research on your competitors, possibly conduct a small SWOT analysis on them and most of all see whether they pose a potential threat to you so that you can develop a risk management plan, just in case. Do they have opportunities to jump on? The competitor can be your biggest boost to success if you leverage on the information you have well.

  1. Rules and Regulations

After ticking the boxes for what you need to set up a business in Kenya, you finally need to review the Kenyan rules and regulations for starting a business, no matter how small. This includes: licenses and permits, Tax Compliance, Business Name Registration, Labor and Employment Laws and even Environmental Regulations. Understanding these rules and regulations can be tasking. What is imperative is knowing which ones directly affect your business, whereby non-compliance can lead to shutting down the business or more serious penalties. These regulations vary from country so it is advisable to contact a business consultant to shed more light into legal matters.

The Kenyan business environment is very competitive and new businesses emerge day by day. Contact Us to help you get prepared to break barriers in 2019 and for help in Starting a Business in Kenya