Best profitable business to start in Kenya with Ksh 1 million to Ksh5 million (2023/2024)

Ksh 1 million is good enough to start a business that will yield over Ksh 3,000 daily. There are a number of profitable businesses to start with Ksh 1,000,000 to Ksh 5,000,000, such businesses guarantee returns. We will avoid loss making businesses, because we don’t want you to lose the money you have toiled to save.

• Hardware

Hardware shop will require a capital of Ksh 2 million to Ksh 5 million. It’s among the few businesses that do not make losses. If you set up in areas where construction work is high, you will certainly make over Ksh 10,000 daily.

Nairobi, Mombasa, Nakuru, Kisumu,Kisii and Eldoret are among the best places to start hardware business.

• Restaurant in Nairobi CBD

If you live in Nairobi, the best business to start in the CBD is a restaurant. The capital required is Ksh 3 million to Ksh 5 million.

I have a number of friends who own restaurants in Nairobi especially in the CBD and they are doing amazingly well. One of them makes sales of Ksh7 million daily. If you subtract the cost and expenses, he takes home over Ksh 200,000 daily.

• Chemist

Another very profitable business you should start is a chemist. The capital might be as low as Ksh 500,000.But if you want to generate a profit of more than Ksh 10,000 daily, inject a capital of Ksh 2 million and above.

To start a Chemist, you have to be a qualified pharmacist. In case you don’t possess the qualifications, look for someone with the same and start the business as a partnership.

• Petrol Station

A basic petrol station will cost Ksh 5 million but if you want to set up one like Rubis,you require a capital of Ksh 15 million.

Petrol station is also very profitable, running one is also easy.

In case you have Ksh 5 million and above, think of how to start a petrol station.

• Build rental houses

I will advises anyone with Ksh 1 million to Ksh 1 million to look for land and build rental houses. Ksh 5 million is enough to build 20-40 bedsitters. Every month you’ll collect over Ksh 50,000.

Rental property is a passive income venture, the houses will yield income for the rest of your life.

It’s extremely hard for rental houses to generate losses.

• Electronics shop

Set up a well-stocked electronics shop in Nairobi, sell smartphones, TVs and Woofers. You should also include mobile phone repair shop. These two will give you value for your capital.

• Car spare part business

Also to be considered is car spare part business which is always profitable. The capital for starting this business ranges between Ksh 1 million and Ksh 5 million.

• Selling boda boda

Start the business of selling boda boda.You can sell them on loan and get paid with interest or in cash.Boda boda sales on loan yield more profits than those sold in cash. The capital will range between Ksh 1 million to Ksh 5 million.

• Long distance transport business

Buy a truck to transport good long distance. The cost of a truck is Ksh 3 million to Ksh 8 million. If you start with 1 truck, within 2-4 years, you’ll buy another one through the profits from the first truck.

• Guest houses & Airbnb

Build guest rooms and Airbnb houses, this is a sure investment. You can start with a couple of houses and build more over time through the profits from the first guest house.

Airbnb is booming at the moment, you will get clients immediately.

• Start a club and nyama choma joint

Club for selling alcohol and nyama choma joint is also another profitable business you should start in Kenya with Ksh 1 million to Ksh 5 million.

• Wines & spirits wholesale business

Avoid retail business when it comes to wines and spirits venture, go for the wholesale one.However,the wholesale business is capital intensive, but Ksh 1 million to Ksh 5 million is enough.

Once you set up, running it won’t be difficult.

• Hass avocado farming

Hass avocado farming is one of the most profitable ventures in Kenya at the moment. Recently, Kenya overtook Tanzania to become one of the biggest exporters of hass avocado. With Ksh 1 to Ksh 5 million, you will plant approximately 3 acres of land. Within 3-5 years, you have recovered your capital.