10 Profitable Businesses in Kenya to Start With 100k

Ida Musyoka

With 100k, you can start a profitable business in Kenya if you plan your finances well. In the initial stages, you need to keep your expenses minimal since it takes up to six months for most businesses to break even.

Creating a budget that will help you stay organized and disciplined is always a good idea. The budget should be as specific as possible when it comes to figures.

This article gives you five profitable businesses, how to start, and even how to budget.

10 Profitable Businesses in Kenya to Start With 100k

  1. Butchery
  2. Milk dispenser
  3. Nail parlor
  4. Retail shop
  5. Second-hand clothes
  6. Import and sell ladies shoes
  7. Small salon
  8. Fruit juice and pudding
  9. School supplies
  10. Liquor stor

Butchery

With 100k, you can start a butchery. The secret is to source meat at an affordable rate and get business premises without breaking the bank.

Depending on the location of your business, look for a slaughterhouse near your area where you will be buying meat. Since you are working with limited capital, you might be required to buy only a few Kgs instead of the whole animal.

When running a butchery, you need to get the right licenses to run the business since it involves handling food. Ensure you maintain good hygiene since meat can attract foul odors and flies. Paint the butchery and do the right branding to attract customers.

Requirements

  • Rental premises and licenses Ksh 40,000
  • Weighing scale Ksh 5,000
  • Knives and other accessories Ksh 10,000
  • Meat (stock) Ksh 30,000
  • Miscellaneous Ksh 15,000

2. Milk Dispenser

A milk dispenser is a good business for residential areas. The milk is dispensed in your milk dispenser/ATM, and later you sell to customers in different denominations from 20 shillings. You can set the machine to dispense milk at different rates.

The first step is to find a reliable milk supplier. Most suppliers who make pasteurized packet milk also supply milk to dispensers.

Before you set up this business, find suitable premises with a reliable electricity supply. You need a good electricity supply to cool the milk and the dispenser to work.

The business should also be in an area with high traffic to attract customers.

Requirements

  • Milk dispenser Ksh 45,000
  • Starting milk supply Ksh 25,000
  • Rent Ksh 20,000
  • Miscellaneous Ksh 10,000

3. Nails Parlour

A nail parlor is ideal if you are interested in the beauty industry. You can start to slow by doing manicures and pedicures; later, you can scale it up to a spa.

This business idea is best for urban areas. Before you start, get some training in nail technology. You do not have to go to a beauty school. A mentor can teach you all you need to know.

Look for a good location with enough space. Since it is a beauty business, you need comfortable seating, good hygiene, and some interior décor.

Once the space is set up, start marketing your business. A good way to market your business is to ensure the outside space has good branding. You can also use social media to show your latest nail design.

Requirements

  • Shop modification (seating and interior décor) Ksh 40,000
  • Nail supplies 20,000
  • Rent Ksh 30,000
  • Miscellaneous Ksh 10,000

4. Retail Shop

A retail shop is an easy-to-start business. With 100k, you can stock essential household items such as milk, bread, flour, sugar, and detergents. Start with items that are commonly used in the house.

The profit from a retail shop is highly dependent on the sales volume. Make sure the shop is in a high-traffic residential area so that you can get many sales. The profit margin is low, but the high sales translate to a good profit.

You can do a little marketing for a retail shop. As long as the location is right, you can get a lot of customers.

Requirements

  • Stock for the shop Ksh 60,000
  • Shop modification Ksh 10,000
  • Rent Ksh 20,000
  • Miscellaneous Ksh 10,000

5. Second-hand Clothes

Selling second-hand clothes is common in Kenya but is still very profitable. The secret is to select high-quality and unique pieces so that you can stand out from the rest.

The first step is to sell the type of clothes you want. You can sell kids’ clothes, ladies, men’s, or swimwear. The next step is to find a reliable supplier in Gikomba, where they sell in bulk.

Depending on the type of clothes you decide to sell, a bale of clothes can cost from Ksh 15,000 to Ksh 40,000. Find a space with many people passing by because you need them to be your customers.

Requirements

  • Buying stock Ksh 30,000
  • Renting space Ksh 20,000
  • Mannequins and cloth hangers Ksh 30,000
  • Miscellaneous Ksh 20,000

6. Import and Sell Ladies’ Shoes

Ladies’ shoes are affordable and easy to source. you can import ladies’ shoes from China through the Alibaba website. Log into the website and find unique and affordable shoes. After finding a supplier negotiate the price and logistics. When looking for a supplier, make sure that they are verified for your safety.

Once your supplier completes and packs your order, they can send it to the shipping agent. The shipping agent will ship your goods to Nairobi for pickup. You do not have to worry about taxes and clearance.

You can sell the shoes online from home without opening s physical location. Advertise the shoes through Facebook, Instagram, and TikTok.

Requirements

  • Cost of importing shoes Ksh 60,000
  • Cost of shipping Ksh 25,000
  • Advertising Ksh 10,000
  • Miscellaneous and logistics Ksh 5,000

7. Sell Fruit Juice and Pudding

With 100k you can start selling fruit juice and pudding. Since many people have adopted healthy eating a fruit juice and pudding business is very profitable. To start this business, you need to stock a variety of fruits to make juice from them. You might also need to chill the juice to keep it refreshing during the hot season.

Look for a busy location to set up the business. The business should have a reliable supply of electricity so that you can operate the juicer and fridge.

Make sure that you present the fruits and juices creatively to attract customers passing by.

Requirement

  • Fruits Ksh 30,000
  • Juice Ksh 20,000
  • Small fridge Ksh 20,000
  • Rental premises Ksh 20,000
  • Fruit jars and bowls Ksh 5,000
  • Miscellaneous Ksh 5,000

8. Small Salon

If you are good at making hair, you can start a small salon in your estate with just 100k. With 100k you might not start a high-end salon but it is good enough to get started.

Start with identifying a location with affordable rent and also a good flow of customers. When starting a small salon, stick to the basics and upgrade to more items as the business grows.

Requirements

  • Chairs (3) Ksh 10,000
  • Waiting bench Ksh 10,000
  • Mirrors Ksh 10,000
  • Hair blow dry and dryer Ksh 20,000
  • Rental premises Ksh 30,000
  • Hair suppliers Ksh 10,000
  • Miscellaneous Ksh 10,000

9. School Supplies Business

A school supplies business can be very profitable as long as you stock the right variety of products. School supplies include textbooks, story books, coloring books, crayons, and other items. This is a good business to stock near schools or residential areas.

You need to do some research to know the products that are commonly used in schools. Since you are working with a limited budget, make sure that you start with fast-moving items before you move to other products.

Requirements 

  • Stock Ksh 60,000
  • Shop modification Ksh 10,000
  • Rent Ksh 20,000
  • Miscellaneous Ksh 10,000

10. Liquor store

With 100k, you can start a fairly stocked liquor store. The capital is limited but it is good enough to stock most of the local alcohol brands. You can start with local brands and as your business grows you will introduce high-end brands.

Get in touch with distributors who can offer you local liquors at an affordable cost. Remember to have all the right licenses for peace of mind when doing business.

Requirements

  • Stock Ksh 40,000
  • Rent Ksh 20,000
  • Licences Ksh 20,000
  • Shop modification Ksh 10,000
  • Miscellaneous Ksh 10,000

Verdict

When starting a business with 100k, you need adequate planning. With this capital, you need careful planning and budgeting. Remember to set some money aside for miscellaneous in case something unexpected arises. 

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Business writer, part-time teacher, self-taught chef and mom. I love business, finance, trying out new recipes, teaching and learning.
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