7 Most Profitable Businesses to Start With 100K in Kenya [2024 Ideas]

One of the biggest challenges that aspiring entrepreneurs deal with is not knowing what businesses to start. You might have the capital but get lost on where to put it. Finding the right business can be overwhelming and often time-consuming.

If you are in that position right now, don’t worry. I did some research and found some of the most profitable businesses you can start in Kenya with 100k. These businesses are fairly easy to get into and won’t burn your seed capital in a few weeks.

So, by the end of this guide, you should be able to find a profitable business to start with 100k in Kenya. If you are not sure which business idea to choose, feel free to check out the tips at the end of this guide to help you decide.

Let’s get right into it. Shall we?

Most Profitable Business in Kenya to Start With 100K in 2023

• Bodaboda business
• Fish Farming
• Wines and Spirits
• Bakery Business
• Photography
• Fashion house
• Electronics Shop

RECOMMENDED: 5 Businesses You Can Start With 1K in Kenya

1. Boda Boda Business

The Boda boda industry makes a staggering KSh. 1 billion every day! ¹ That is how profitable this business is.

In fact, According to the Standard, the Boda boda business is a growing source of income for many unemployed Kenyans. ²

One thing I love about the boda boda business is that it has a low barrier to entry. You don’t need a lot of capital or paperwork like other businesses.

While 100k might not be enough to buy a new motorbike, you can get a second-hand one for about 40-80k. You can then spend the remaining amount on an insurance license, NTSA clearance, and other requirements.

Alternatively, if you don’t want to become a boda boda rider, you can consider motorcycle flipping. This is where you buy second-hand motorbikes in Kenya, renovate them, and then resell them for a higher price. Learn more about motorcycle flipping in Kenya.

2. Fish Farming

Commercial fish farming in Kenya is gaining traction to become of the most profitable agribusiness ventures in the country. For large-scale fish rearing, you will need significant startup capital. However, if you are starting with a few ponds, KSh. 100,000 will be enough to buy fingerlings, feed, and important equipment.

You should also be able to cover basic operating costs, labor, marketing, and maintenance. You might need more money if you are going to lease land. However, if you have your own land, 100k should be able to help you build a good foundation for your fish farming business.

Since fish is one of Kenya’s stable food, you will have a good market for your produce. The fish should be ready for the market in about 6-8 months depending on the species of fish you have.

3. Wines and Spirits

If you ask a lot of people what they would do with 100k in Kenya, a wines and spirits shop would probably be one of the businesses they mention. There is a good reason for that: guaranteed profitability.

Now, some people might tell you that this business is saturated and too competitive. In fact, we have listed it as one of the worst businesses to start in Kenya. This is partly true.

However, I think there is an insatiable demand for liquor products in Kenya. This means it is unlikely to go out of business with a wines and spirits shop. Not convinced?

Let’s look at the numbers:

Kenya is the leading consumer of alcohol in East Africa with close to 40% consumption rate, according to research published in the National Library of Medicine. ³

Other Statistics show that alcohol consumption in Kenya has increased significantly since 2010. In the business sense, this only means that there is demand and it is up to you to invest.

Ideally, 100k is not enough to start a fully-fledged wine and spirits shop but it is a good amount to start with if you are on a budget or want to learn the ropes first. As the business grows, you can invest more and expand as necessary.

To improve profitability, Set up your business in a strategic location with a high population of people who drink. These include major cities and near campuses or colleges.

4. Bakery Businesses

When we talk of a bakery, people always think of a big factory with loud machines and sweaty workers. However, this is one of the easiest businesses you can start with KSh. 100,000 in Kenya.

You can comfortably use this money to lay the foundation for a successful bakery business.

Some of the ways you can use the 100k include:

• Buying basic equipment such as ovens, mixers, and refrigerators. Only focus on the stuff you really need. You can improvise other equipment until you have enough money for a bigger bakery.
• Renting a business premise. Shop around to find affordable spaces.
• Legal requirements such as permits and licenses
• Marketing
• Hiring staff

To build a loyal customer base, you can start with one type of product such as queen cakes, and then expand to other products as the business picks momentum. Make sure to Actively market your bakery business on social media and offer discounts from time to time to attract more customers.

5. Photography Business

Let me be honest;

A good photography business requires a lot of seed capital and 100k will barely scratch the surface. However, if you start small, you might be able to grow a good operation with this money. For instance, instead of a fully-fledged studio, you can start small with basic equipment.

For 100k to work in this business, you will have to buy most things second-hand. These include cameras, lenses, tripods, flash drives, and editing software.

Most DSLR cameras in Kenya cost more than 100k, so buying a brand new one is not an option; unless it is the only thing you will need. You can get a second-hand camera for less than 50k.

Other things you can do to cut costs include:

• Renting a studio. You can use someone else’s studio for a small fee
• Sharing studio costs and some equipment with other photographers
• Using free editing software

With the right strategy, you will quickly realize that this is one of the best businesses you can start with 100k in Kenya.

6. Boutique

There couldn’t be a better time to start a boutique business in Kenya. I have to say this is one of the most profitable businesses you can start with a KSh. 100,000 capital.

Now, a boutique business can be a little tricky to master but once you learn the ropes, you can easily turn it into a money-maker.

Start by finding a good location. The success of your boutique will depend on how strategically you are positioned. You will also need to do some research, access your competition and create a business plan.

After that, find a good supplier. Remember that you are starting with limited capital, so I recommend taking baby steps in the beginning. Get a small inventory to kickstart you and work with local suppliers until you can stand on your feet.

You will also need to market aggressively on social media. Take great pictures of your products and post them on Facebook and Instagram. You can also distribute flyers and collaborate with local businesses for cross-promotion.

7. Electronics Shop

There is an ever-increasing demand for electronic products in Kenya. Everyone is looking for the latest smartphones, TVs, laptops… and a host of other electronic products.

That said, the electronics business has good profit margins. However, you will need good startup capital to enjoy higher profits. With 100k, you can start a small shop and reinvest the profits to grow your business.

Like many businesses, you will need to find a good location. If you do your research, you will notice that this kind of business is more profitable in an urban setting compared to rural areas. So, if you can afford rent in one of the major towns, I recommend you go for it.

If you have a good strategy and a well-laid-out plan, this might just be the best business to start with 100k in Kenya.

How to Choose a Profitable Business to Start With 100K in Kenya

Finding profitable 100k business ideas in Kenya is not as easy as picking one of the businesses from the list and investing in it. There are a few factors you will need to consider to ensure you are putting your money in the right business.

Here is how to pick a good business to start with 100k in Kenya:

• Identify your passions and interests: Some people will tell you that passion doesn’t matter as long as the business is profitable. However, it is very important that you not only have the interest but also the skills and expertise to do the business. Therefore, when looking for a business to start with 100k in Kenya, ensure you choose an idea that aligns with your passions, as this will increase your motivation and dedication to make it successful.
• Conduct market research: Once you have a business idea in mind, conduct thorough market research to evaluate its viability. Analyze the demand for your product or service, study your target audience, and assess the competition. Look for gaps in the market that your business could fill or areas where you can outwit your competition.
• Evaluate profitability: Consider the potential profitability of the business idea you choose. Look at things like revenue potential, profit margins, and long-term sustainability. You should also assess the costs you will need to set up and run the business. These include overhead expenses, production costs, marketing, and staffing.
• Test your idea: Before you fully commit to investing KSh. 100,000 in a business, I recommend testing it on a small scale. For instance, you can start with a small inventory or only buy basic equipment to see if the business picks up. Testing will provide valuable insights and feedback, allowing you to refine your business model before scaling up.
• Consider scalability: The most profitable business in Kenya to start with 100k should be easily scalable. This means that you should be able to expand and grow the business in the future. Otherwise, it would be hard to boost profit margins.
• Analyze ROI: If you are going to invest 100k in a business, you should be able to make a good profit. Therefore, develop a financial projection for the business idea you choose to estimate the potential returns on investment. Consider factors such as sales volume, pricing strategy, customer acquisition costs, and operating expenses. It’s important to have a realistic understanding of the financial viability of your business idea.
• Seek advice and mentorship: Not sure how to start? Why not consult with experienced entrepreneurs, industry experts, or business mentors who can provide valuable guidance and insight? Their expertise can help you validate your ideas, refine your business plan, and avoid common pitfalls.
• Consider your long-term goals: The best business ideas you can start with 100k in Kenya should align with your personal and professional aspirations. Look for opportunities that have the potential to grow and evolve over time.

The Bottom Line

As you can see, there are a lot of profitable businesses you can start with 100k in Kenya. Do your research and understand what works best for you. Although most of these businesses are proven to be profitable all of them will not be the right fit for you.

So, take your time. Evaluate your resources, passion, and skills to find the best 100k business ideas in Kenya.

1. Business Daily, How boda boda riders make Sh1bn every day
2. The Standard, Boda boda, a growing source of income for many
3. National Library of Medicine, Determinants of harmful use of alcohol among urban slum dwelling adults in Kenya