10 Most profitable businesses to start with Ksh1 million in Kenya 2026

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If you want to start a business in 2026 with Ksh1 million, identify one that is easy to manage and make money from. Since economy is not doing so well, businesses related to luxury may not be profitable. Below we have identified the ideal businesses for the capital:

Mitumba Bale Business

Invest in Mitumba Bale business where you buy bales and sell in a room, just like Think Twice. You will make upwards of Ksh2,000 per day.

Dairy farming

Buy 5 cows and start dairy farming in the village. The 5 cows will yield at least 40 litres of milk daily. In any given day, you will earn over Ksh3,000.

You can do zero grazing, a system that doesn’t require a lot of space.

Mali Mali business

With Ksh1 million, you can start a successful mali mali business especially in Nairobi. You can be a wholesaler or retailer. This is one of the most profitable businesses at the moment. The business will do well in Gikomba market, middle income estates ,Mombasa , Nakuru ,Kisumu and Eldoret. Kisii is also another place to start the business.

Goods worth Ksh1 million will yield daily profits of Ksh 2,000 to Ksh 20,000.

Water refilling business

Nakuru, Mombasa and Kisumu are the best places to start water refilling business. Capital is Ksh1 million to Ksh1.5 million. In Nakuru, you will generate more than Ksh 5,000 daily profits.

Food joint

Food joint in major towns will be profitable at the moment. Even if the economy isn’t doing well, people must eat. Set up a food joint in Nairobi and make over Ksh3,000 daily.

Alternatively, Start fast food restaurant near a university or college.

Pig farming

Pig farming will also generate decent profits. You need a capital of Ksh100,000 to Ksh 1 million to start the business. You will be exporting, sell to Farmers Choice or to local butcheries.

With a capital of Ksh1 million, you will make at least Ksh 100,000 in your first year. The income will be growing over time.

Airbnb

Airbnb won’t disappoint you—it’s one of the best businesses in Kenya at the moment. Capital of Ksh1 million is enough for one bedsitter and one bedroom, two of them.

Build 6 bedsitters

If you have land, build 4-6 bedsitters on it. You will earn Ksh 15,000 to Ksh30,000 monthly. To build 1 bedsitter will cost you Ksh180,000 to Ksh250,000.

Sheep farming

Buy at least 200 sheep and grow them. 1 sheep will cost Ksh4,000 to Ksh5,000. You will sell it for Ksh10,000 to Ksh15,000. Sheep farming is very profitable.

Clinic plus chemist

Go to a place like Eastleigh and start a clinic plus Chemist. The clinic will be alongside a chemist. Ksh1 million is enough capital for this business.

Most people running this business make over Ksh3,000 daily.