How To Attract Investors For Your Business In Kenya – One of the biggest challenges of Starting and Sustaining a Business is in Kenya is getting the Capital Required. Getting an investor is the best way to maneuver around money problems. Having an investor in Kenya is very beneficial to Kenyan start-ups and struggling businesses. Why? Not only do investors provide funding, they also contribute ideas, technical support and act as a motivation for businesses. Investors act as the best bridge for value connections between your business and various industry leaders and they honestly improve the image of your brand. Strategically, investors give less biased insights into your product or service, as positive critics, whether you’re fresh in the scene or have been in business for some years.
The best example is the renowned Japanese camera maker, Nikon. Nikon has experienced enormous success in business because of the rise of the need for photography. However, the invention of smartphone cameras or rather camera phones, has seen sales decline for Nikon with the hardest hit being after 2012, when they launched the digital camera. Since then Nikon saw a drop in revenue comparable to their income a decade ago, that is, 2002. Nikon employed strategic tactics by approaching over 600 investors internationally, last year and co-creatively transformed the struggling business into the success it had always been, by giving insights, analysis and feedback on the rise and almost-fall of the company.
Do you wish to start or further develop your business but need funding, or rather an investor? These are the top fool-proof ways to Attract Investors for Your Business In Kenya
A soft sell is pitching your product/service in a less formal way. Investors usually attend business events or conferences as panelists or keynote speakers. This is the best place to approach them with your elevator pitch. An elevator pitch is a short but persuasive speech that seeks to ignite interest in your service or product to a potential client or in this case to an investor. Just as the name suggests the pitch should be short and sweets and only seconds long. If your pitch was good enough, you may just end up with a business card or a set date for a subsequent meeting to discuss further what you already started. Studies show that investors are likely to take interest in business owners who made the extra effort to reach them personally rather than through cold calling or cold emailing. Alternatively, you can have organic conversations, picking their brains about trends in different industries, then introduce your product/service. At this point, you have already demonstrated a certain knowledge that they will appreciate depending on how well you package what you’re saying.
If you cannot reach your desired investor at an event or conference, then the sure way of catching their eye is through a strategic approach. This is through social media engagement. I am assuming you follow investors, especially on LinkedIn. Connect with them. Many are very generous with connections. Engage with them in whatever they post by not only liking, but commenting on their posts. Engage with other commenters as well; you surely will catch their eye! Do your industry research and ensure you are not just commenting for the sake of commenting and getting noticed, but for the sake of showing your knowledge and intellect. While having organic conversations and soft exchanges with this investor, throw in your company and introduce it. Again, depending on how well you introduce your company, your investor will be interested or not so the ball is in your court with your way with words. Do not send cold direct messages without at least getting acknowledgement on engagement with your investor; that is, likes and comments on your comments on his/her post. Before then, you are still a stranger to him/her.
Acquire customers, even if they are few before looking for an investor. Why? Traction matters a lot to investors. They want to see if you know what you’re doing, if you have market for your service/product and if your overall idea will really work. You can also add credible testimonials to your investment proposal. This instills some faith in the investor that at least you have satisfied customers under your belt and you know what they say: a happy customer is your biggest business strategy. Showing proven results is the best way to show an investor that they are not making a big mistake taking you on board and it also gives them a small view of their return on investment. If investing is worth a try or if it’s not. Showing them your numbers really saves them from asking the ‘what is in it for me?’ question.
If you are a start-Up in Kenya, consider joining accelerators and incubators in. These are workshops that offer training and mentorship for up and coming entrepreneurs Their importance is that they offer seed money, expert mentorship, training and office space to entrepreneurs. They are normally run by investors or venture capitalists and offer these services in exchange of equity or company shares. This is the best way to meet and keep an investor especially if you are a start up with no traction. They may be able to see your drive and potential for your idea while in these incubators and choose to invest early. Alternatively, you can graduate, start your own business and seek their advice on your progress, since you are already familiar. If you are doing well, they may be more than willing to come on board.
Once you get the opportunity to meet and talk to your potential investor, the most embarrassing set-back would be lack of knowledge of their industry or current affairs they are involved in. Most investors are likely to pick your brain about one or two things they or their industries are involved in. Failure to know even one area of what they are discussing is an insult to their time and a big blow to your opportunity. No matter how many investors you have set your eyes on, it is imperative to know the major facts of their business dealings down to the nitty gritty like the school they went to; to a moderate extent lest it seem like you are a stalker. An investor will most likely be impressed if you know more about them than what’s in the newspapers or their social media pages. You stand an even higher chance if you can link down to their start up days and compare your vision to their own. Chances of being taken seriously in this case would be 80% as opposed to 1% if you knew nothing.
As difficult as it may seem, finding an investor in Kenya is possible and investors are ready to Fund Businesses and expand their possibilities just as much as you desire to expand yours!
Contact Us Today for more insight on How to Attract Investors for Your Business In Kenya
Doing Business and Company Registration in Rwanda – Did you Know that Rwanda is the country with the highest ranking in World Bank’s Ease of Doing Business index in Eastern Africa, and the country with the second highest ranking in Sub-Saharan Africa. The Rwandan GDP has on average grown at a rate of 7.1% since 2004 and after Company Registration in Rwanda you get access to the East Africa Community giving you access to a market of about 150 million people and a market size with a GDP of Billion USD 145.
The Tax Regime in Rwanda is Quite Straight forward with the Tax rate for personal Income ranging from 0 to 30 %, Corporation Tax is at 30% and Vat at 18%.
For over 1 decade now, East Africa Business Consultants Has assisted many clients with the following Key Company Set Up Services in Rwanda;
|Entity||Subsidiary Company||Branch Company|
|How Long does the Company registration process Take?||3 Days||3 Days|
|How long Does it take to Open Bank Account?||5 Days||5 Days|
|After how Long can you Invoice and Hire||8 Days||8 Days|
|Minimum Number of Directors and Shareholders||1||–|
|Foreigner Can own the Company 100%||Yes||Yes|
|Can the entity hire expatriate staff||Yes||Yes|
|Tax Identification Registration required||Yes||Yes|
|Access to DRC double Tax treaties||Yes||Yes|
|Can bid for Government Contracts?||Yes||Yes|
|Can Secure Trade Finance?||Yes||Yes|
|Can Secure an Import and Export Licence?||Yes||Yes|
|Can Easily Convert into a PLC?||Yes||No|
|Can Secure Work permits for foreign Employees and Directors?||Yes||Yes|
|Multi Currency Bank Accounts Available?||Yes||Yes|
Kindly Click Here To Contact Us For Additional information on Company Registration in Rwanda or to Request for a Quotation.
How To Apply For An Investment Certificate In Kenya – The Kenya Investment Authority is mandated to issue the Investment Certificate to Foreign Investors that Invest at least USD 100,000 and Local Investors who Invest at least 1,000,000 KES. The Investors License Helps In Facilitating the Investor In terms of foreign taxpayer registration, immigration services, National Environmental Management Authority (NEMA) information, Kenya Power and Lighting Company (KPLC) services and Federation of Kenya Employers (FKE) services.
Another Major Benefit to the investor is that they are entitled to three class D Work Permits for management or technical staff and three class C, F or G Work permits for owners, shareholders or partners for a maximum period of two years.
We hope that this Blog gave you the insight you Needed on How To Apply for an Investment Certificate in Kenya. Feel free to Contact Us Today for any clarification on the same.
All the Best 😊
New Guidelines for application of work Permits in Kenya – The Government through the Interior Cabinet Secretary Dr Fred Matiangi has issued new guidelines requiring all foreigners looking to work in Kenya to apply for their work permits before their arrival in the country. According to the Department of Immigration Services, this move will help reduce the number of illegal foreign workers in the country.
The two Major forms of Permits Issued Include the Class G and Class D Work Permits
According to the Department of Immigration Services, this permit is issued to a person who is offered specific employment by a specific employer, the Government of Kenya or any other person or authority under the control of the Government or an approved technical aid scheme under the United Nations Organization or some other approved Agency (not being an exempted person under section 34 (3), who is in possession of skills or qualifications that are not available in Kenya and whose engagement in that employment will be of benefit to Kenya.
According to the Department of Immigration services, this permit is issued to a person who intends to engage, whether alone or in partnership, in a specific trade, business, consultancy or profession (other than a prescribed profession) in Kenya.
An applicant can also apply for a special pass which takes about 10 working days if they wish to enter Kenya or remain in Kenya for:-
Some of the New Guidelines are yet to be fully effected, We shall keep you Posted if there is a Change In the application Process. Feel free to Contact Us for any help in the application Process.
All the Best 🙂
How to Find Agents & Distributors in Kenya – Finding Agents & Distributors in Kenya can be at times a Daunting task for Companies and Business owners looking to expand their Market into this region. This However negate the need to find Local Agents and Distributors to help you access the Kenyan Market and also the Larger East and Central African Region with a total Population of about 140 Million People.
We really hope that this blog has answered your questions on how best to find Agents & Distributors in Kenya. Feel free to Contact Us Today for a detailed explanation on how best to Find Agents & Distributors in Kenya or for a customized approach that suits your specific needs.
Many thanks and all the best 🙂