Best Profitable small businesses to start in Kenya with little capital in 2023

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The year 2022 is a year of opportunities in Kenya. Since job opportunities are few starting a business is the way to go. There are over 100 small businesses to start in Kenya that can easily make you a millionaire. We will only select profitable businesses in order to make it easy for you to pick one to run.

There are businesses you can start with a capital of as low as Ksh 1,000 and still make over Ksh 1,000 daily.

We will specifically list businesses which you can start with a capital of below Ksh 5 million because getting a capital of Ksh5 million and above is not a mean feat.

Here is a list of small businesses to start in Kenya with little capital 2022:

  1. Car wash business
  2. MPESA shop
  3. Selling bottled water
  4. Grocery shop
  5. Wines and Spirit
  6. Executive salon
  7. Barber shop
  8. Poultry farming
  9. Dairy farming
  10. Growing avocado
  11. PlayStation business
  12. Hardware shop
  13. Mobile phone repair shop
  14. Blogging
  15. Run a YouTube channel
  16. Electronics shop
  17. Bodaboda spare part business
  18. Motor vehicle spare part business
  19. Printing/photocopy business
  20. Bodaboda business
  21. Restaurant
  22. Recruitment agency
  23. Chemist
  24. Selling fresh juice
  25. Selling mitumba bales
  26. Cake baking
  27. Catering
  28. Own rental property
  29. Buying and selling land
  30. Start a private primary school
  31. Start a butchery
  32. Shylock business
  33. Selling construction material
  34. Own a garage
  35. Selling timber
  36. Cleaning household items
  37. Planting fruits and vegetables
  38. Online taxi business
  39. Start a security firm

Car wash business

Car wash business cannot disappoint you. You require a capital of Ksh 100,000 to Ksh 200,000 to start one. Setting up the business in Nakuru, Nairobi, Mombasa and Eldoret will be ideal.

With a busy car wash business, you’ll definitely make over Ksh2, 000 per day.

The only challenge with this business is to get the source of water.

  • MPESA shop

Though MPESA shop is flooded in most parts, there are still opportunities in many towns, like Nakuru.Even capital for starting MPESA shop is Ksh80, 000 to Ksh120, 000.

When setting up this business, make sure there is enough security and enough population in that area.

An MPESA shop will generate Ksh 500 to Ksh5, 000 per day.

  • Selling bottled water

Another business you should consider starting is selling of bottled water. Areas like Nakuru and Mombasa are ripe for this business. In Nakuru, the business will take less than 3 months to pick up.

  • Grocery shop

People have to purchase vegetables and fruits daily. A grocery shop is a profitable business, it can earn you even Ksh50, 000 per day especially in Nairobi.

Capital required to start a grocery shop ranges between Ksh 10,000 and Ksh200, 000.Location and source of your products are two important factors to consider before starting a grocery shop.

  • Wines and Spirit

A capital of Ksh 100,000 to Ksh 250,000 is required to start a wines and spirits business in Kenya. If police won’t harass you when running the business, you’ll be sure of making profits daily.

Expect to earn Ksh 2,000 to Ksh 20,000 daily from this one business.

  • Executive salon

To run executive salon effectively, ensure there is CCTV in the premise. Use the CCTV to monitor movement of customers and count the number of customers served that day. If the salon is busy, employ a manager, someone who will be responsible for smooth running of the business.

You’ll be required to fork out Ksh 200,000 and above to set up executive salon business.

  • Barber shop

Kinyozi business is very profitable but it’s only ideal if your intention is to use the profit to offset your monthly bills. Executive barber shop is the best for someone who wants to become rich. A capital of Ksh 150,000 is required to set up a serious Kinyozi.

You should incorporate SPA, Manicure and Pedicure sections in your Kinyozi.

Ensure location of your business is in posh estates where people can pay evenKsh1, 000 per head.

  • Poultry farming

Nowadays people want to eat Kienyeji chicken. If you have a compound, start rearing Kienyeji chicken. You’ll buy one for Ksh 120,take care of it for 1 year and sell for Ksh1000.imagine if you are rearing 1000 chicken—you’ll make more than Ksh 1 million per year.

  • Dairy farming

The demand for milk is more than supply. Milk processing companies like Brookside and KCC are selling milk expensively. With at least 3 cows, you’ll earn over 60k per month.

You only require a place in your compound and a capital of Ksh 200,000 to start this business.

  • Growing avocado

Most farmers in Kenya are turning to avocado farming because it’s a lucrative business. It takes 13 years for avocado to mature but once you start harvesting, you’ll make a lot of money.

But for you to grow avocado successfully, you need capital and more than 1 acre piece of land.

The capital required is Ksh 500,000 to Ksh2 million.

One acre of land will generate Ksh1 million to Ksh2 million per harvest.

  • PlayStation business

PlayStation business is booming in Kenya as many youths turn to this game to pass time. Before starting this business ensure that there is enough security in that area. You need a capital of Ksh 100,000 to Ksh400, 000 to set up a successful PlayStation business.

  • Hardware shop

Hardware business may require high amount of capital, it’s capital intensive business, but the returns are good. Once the business us up, you’ll start earning profits immediately. With a capital of Ksh3 million, you are assured of making over Ksh100,000 monthly.

Make sure you have a vehicle for delivering items for your clients.

  • Mobile phone repair business

If there is business that’s profitable in Kenya at the moment, it’s one dealing with mobile phone repair. Some guys in Nairobi make more than Ksh30,000 per day. The business is not yet flooded.

  • Blogging

University students, graduates and unemployed youths are the ones pursuing blogging business. There are no restrictions to becoming a blogger in Kenya. All you need is internet and a laptop. Create a WordPress site and join AdSense. Most Kenyans make money from their blogs through AdSense.

Blogging require a capital of Ksh 5,000 to Ksh20,000.

A new blog takes approximately two years for it to break even. If you manage to get 1 million views per month, be assured of earning over Ksh150,000.

With your blog, you can also earn from affiliate marketing and sponsored content.

  • Run a YouTube channel

YouTube is generating modest income for YouTubers in Kenya. People like Eve Mungai are pulling in over Ksh 1.5 million monthly. You don’t need any capital to start a YouTube channel—starting is free. But you have to create your own videos, and they must be good in order to stand a chance of earning.

YouTubers make money through AdSense or sponsored posts. To start earning via AdSense, your channel must have 1000 subscribers and above, it should be at least 12 months old and have over 4000 watch hours.

YouTube pays in terms of views, the more your channel gets the more you get paid. If you get 1 million views, you earn over ksh150,000.

  • Bodaboda spare parts business

There are bodaboda everywhere. Instead of venturing into bodaboda business, start selling spare parts to the operators. I guarantee you that the business will generate over 100k monthly.

A capital of ksh300, 000 and above is required for setting up bodaboda spare parts business.

  • Electronics shop

There is no day people will stop buying electronics, this is business that will exist even up to the end of the world. Set up a business of selling smartphones and electronics. You need a capital of Ksh500,000 and above.

In Nairobi CBD,you’ll make over Ksh 10,000 daily from the business.

‘Motor vehicle spare parts business

Capital required is above Ksh1 million. Before you start the business, you should know where to source the spare parts from. They must be imported.

You will become a millionaire within a short time if you venture into this business.

  • Chemist

If you studied nursing or pharmacy in college, start your own Chemist. You will be 100% sure of making profits from the business.

Chemist is one of the few businesses where you set your own price. You can buy a drug for Ksh 1000 and sell it for Ksh3000.

  • Recruitment agency

Start an agency for recruiting Kenyans to the Gulf. They will pay Ksh120,000 each to be taken to Dubai ,from that money, you’ll make Ksh40,000 to Ksh60,000 as profit.

Setting up to business require a capital of Ksh 150,000 to Ksh300, 000.

  • Build rental properties

There is nothing as good as earning passive income. Rental properties are some of the ventures that will generate passive income for you. Buy a plot of Ksh 1 million, build bedsitters for Ksh 2 million and makeover Ksh50,000 monthly until you get old.

  • Sell fresh juice

There is a place I visit in Nairobi which sell fresh juice, we call it ‘dawa’.This juice helps to regulate pressure, treat diabetes, cleanse blood and boost your immunity. It’s always filled with clients.

All you need is to know the fruits to mix in order to come up with the juices. A capital of Ksh200,000 to Ksh300,000 is required.

  • Selling mitumba bales

I have a friend called Shiro who started selling Mitumba bales, she is now a millionaire. She started with a capital of Ksh1 million.

You will be selling the bales to small traders.

  • Shylock business

Most Kenyans in towns are surviving on loans. Since most of them won’t access the loans from Saccos and banks, they go to Shylocks. This is business you should start and become rich quickly.

  • Cake banking business

Nowadays people prefer cakes to bread. The demand for cake is growing exponentially. Birthday parties, graduation ceremonies, weddings and other ceremonies require cakes. There are also other Kenyans who buy cakes to take for breakfast.

Cake baking business require a capital of Ksh 300,000 to Ksh 1 million.

The business should be set up in a town.

  • Start catering and events management company

Catering business is booming, it’s one of the best businesses to start in Kenya today. Nowadays people are lazy even to cook during Christmas.

With a capital of Ksh150,000 to Ksh300,000 you are ready to go.

  • Selling and transportation of construction material

Buy a couple of vehicles to transport construction materials. This is the best business especially in big towns where construction is happening everywhere. You will charge over Ksh 5,000 to transport sand or concrete.

You can also start selling sand, construction blocks and concrete.

  • Selling of timber

The licensing business for timber business is hectic because the government discourage deforestation. But if you manage to set up the business, you’ll easily become a millionaire. The business require a capital of Ksh 1 million and above.

  • Cleaning household items

Buy a machine for cleaning houses and household items like sofa sets and carpets. If you set up the business in Nairobi, I can assure you, becoming a millionaire is a dream come true.

A capital of Ksh 20,000 to ksh100,000 is required.

  • Garage business

A have a couple of friends who make over Ksh30, 000 daily from garage business. They invested less than Ksh 1 million in the business but today they are doing very well.

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