7 Profitable Businesses to Start With Less Than Ksh20K

Many firms rely on Kenya’s favorable economic and technological conditions. Because of Kenya’s excellent road infrastructure, security, and devolution, you may conduct business nearly everywhere in the country.

But then again, the country is a vibrant and strategic business hub for the entire East African region. It attracts both residents and foreigners in equal measure making businesses thrive. And the icing on the cake? You can start with a modest Ksh50k for lucrative businesses like:  

1. Movie Shop
   The insatiable demand for western movies creates a way for a profitable movie shop in Kenya. With Ksh50k you can successfully set up shop and bring it to stability. A movie shop requires equipment, licenses, overheads, and movies.

2. Hardware
   Hardware is a lucrative business that has withstood the test of time in Kenya. With an increase in construction, the trick is to do a competitor analysis to unearth hardware items unavailable at the competitors. 

Conducting proper market research also shows you fast-moving items. Rent and other overheads depend on the business location, while a single business permit goes for Ksh10,000 per year. Other critical requisitions include a KRA ETR machine for tax payment purposes. Some of the fast-moving hardware items that can begin to rake in profits include:

Cement
Steel bars and rods
Plumbing materials
Door hinges 
Flooring tiles
Welding rods, plumbing.

3. Providing Laundry Services 
   Laundry services rank among the most profitable businesses; you can start with Ksh50k. To accomplish this, identify a suitable location along a busy street. A small single laundry drop-off room/office would do for a start. You can use that backyard as a work area.

4. Home Bakery 
   When establishing a home bakery, you can quickly create a niche and find the right equipment to kick-start your business. 

Standard baking tools and equipment include:

Pans 
An oven
Mixers
Cake decoration kit 
Raw materials.

5. Selling Second Clothes (Mitumba)
   A ready market for mitumba clothes and other items exists in Kenya. While you can start with the lowest capital, you have to focus on quality to attract customers and quickly make sales. 

Sourcing excellent quality mitumba clothes equals spending good cash. Depending on the source, you might spend about Ksh40k – Ksh50k for a grade A/crème bale/Camera. 

6. Car Wash 
   You can also start a sustainable and highly profitable car wash business with as low as Ksh50k.

Key requirements are: 

 Leasing Land space 
A car wash business license
Car wash equipment such as;
A pressure washer
Vacuum cleaner

7. Mobile Money Agency 
The mobile money agency, also known as agency banking, involves third-party delivery of financial services to customers. Kenya’s most popular mobile money agencies are Equity, Mpesa, and Airtel money. 

You should have an initial float to start a mobile money business. Even though some people pump vast amounts of cash, Ksh50k is sustainable.