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How to Start a Restaurant Business in Kenya: The Complete Startup Guide

How to Start a Restaurant Business in Kenya

Market Overview

Globally renowned for its profitability, the restaurant industry has witnessed substantial growth in Kenya over the past five years, making it an attractive investment opportunity.

The Kenyan restaurant industry has been sustained by several factors, including:

• A burgeoning middle class: The growing affluence of Kenyans has led to increased demand for dining out, particularly at upscale establishments and those offering international cuisines.
• Urbanization: The concentration of people in cities like Nairobi, Mombasa, and Kisumu has created a fertile ground for restaurants to thrive.
• Evolving consumer tastes: Kenyan diners are becoming more adventurous, seeking a wider variety of culinary experiences, including global cuisines and fusion dishes.
• Technological advancements: Online food ordering and delivery services have opened up new avenues for restaurants to reach a broader customer base.
• Tourism: Kenya’s tourism industry attracts international visitors, driving demand for restaurants that cater to diverse palates.
• Local food appreciation: There’s a growing appreciation for traditional Kenyan cuisine, offering opportunities for restaurants to showcase local flavors and heritage.

How to Start a Restaurant Business in Kenya: A Step-by-Step Guide

1. develop a business plan:.

• Define Your Concept: Determine the type of restaurant (e.g., fine dining, casual, fast-food), cuisine, and target audience.
• Market Research: Analyze the competition, demand, and trends in the local food industry.
• Financial Projections: Create a detailed financial plan, including startup costs, operating expenses, and revenue projections.

2. Choose a Location:

• Consider Factors: Location, foot traffic, accessibility, zoning regulations, and rental costs.
• Assess Local Demand: Research the demographics and preferences of the surrounding area.

3. Register the Business and Obtain Necessary Permits and Licenses:

• Company registration; Register your business with the Registrar of Companies. The official BRS site

For step-by-step guide on the process of company registration in Kenya check this blog ;

• Register for taxes; Tax Identification Number (TIN): Obtain a TIN from the Kenya Revenue Authority (KRA).( https://www.kra.go.ke/)Tax Compliance: Ensure compliance with tax regulations, including corporate income tax, VAT, and withholding taxes.

7. Obtain Necessary Licenses and Permits:

• Business Permit: Register your business with the County Council.
• Food Handling License: Obtain a license from the Public Health Department.
• Fire Safety Certificate: Ensure compliance with fire safety regulations.

Other Permits: Depending on your restaurant type, you might need additional permits (e.g., liquor license, entertainment license).

4. Secure Financing:

• Personal Savings: Invest your own funds.
• Loans: Explore loans from banks or financial institutions.
• Investors: Seek funding from investors or venture capitalists.
• Grants: Research government grants or funding opportunities.

5. Design Your Restaurant:

• Interior Design: Create a welcoming and inviting atmosphere that reflects your restaurant’s concept and target audience.
• Kitchen Layout: Design a functional and efficient kitchen layout to optimize workflow and productivity.
• Equipment: Invest in high-quality equipment, such as stoves, ovens, refrigerators, and point-of-sale systems, to ensure smooth operations.

6. Hire and Train Staff:

• Assemble a Skilled Team: Recruit a talented team, including a skilled chef, attentive waitstaff, a capable manager, and other necessary staff.
• Provide Comprehensive Training: Ensure your staff is well-trained in their respective roles to deliver exceptional service and prepare high-quality food.

7. Develop a Menu:

• Menu Planning: Create a menu that reflects your concept and appeals to your target audience.
• Sourcing Ingredients: Establish relationships with reliable suppliers for high-quality ingredients.

8. Marketing and Promotion:

• Branding: Develop a strong brand identity.
• Online Presence: Create a website and social media accounts.
• Local Marketing: Utilize local advertising channels (e.g., newspapers, flyers, community events).

9. Launch and Operate Your Restaurant:

• Soft Opening: Consider a soft opening to test your concept and gather feedback.
• Customer Service: Prioritize excellent customer service to build a loyal customer base.
• Continuous Improvement: Monitor performance, gather feedback, and make adjustments as needed.

10. Compliance and Regulations:

• Adhere to Regulations: Ensure compliance with food safety standards, health regulations, and labor laws.
• Tax Compliance: File taxes and comply with tax regulations.

Frequently Asked Questions

• Why start a restaurant business in Kenya? The Kenyan restaurant industry is experiencing significant growth due to factors such as urbanization, rising incomes, and changing consumer preferences.
• What are the key challenges of starting a restaurant business in Kenya? Challenges include high competition, rising costs, regulatory compliance, and economic fluctuations.
• What are the key success factors for a restaurant business in Kenya? Factors like location, quality food, excellent customer service, and effective marketing are crucial for success.
• How do I develop a comprehensive business plan for my restaurant? A business plan should include market research, financial projections, operations plan, and marketing strategy.
• What are the essential sections of a restaurant business plan? Key sections include executive summary, market analysis, operations plan, financial projections, and marketing plan
• How do I choose the right location for my restaurant? Consider factors such as foot traffic, accessibility, zoning regulations, and competition.
• What licenses and permits are required to start a restaurant in Kenya? Essential permits include a business permit, food handling license, fire safety certificate, and potentially others depending on your restaurant type.
• How can I finance my restaurant business? Explore options like personal savings, loans, investors, and grants.
• What are the typical startup costs for a restaurant in Kenya? Startup costs can vary depending on the size and type of restaurant, but they typically include rent, equipment, renovations, and initial inventory.
• How do I create a successful restaurant menu? Consider your target audience, local tastes, and trends when designing your menu.
• What are the key factors for efficient restaurant operations? Effective kitchen management, quality control, and efficient staff management are crucial for smooth operations.
• How can I effectively market my restaurant in Kenya? Utilize a combination of online marketing (website, social media), local advertising, and public relations.
• What are some effective marketing strategies for restaurants in Kenya? Consider partnerships with local businesses, offering promotions and discounts, and participating in community even
• What are the key legal and regulatory requirements for restaurants in Kenya? Adhere to food safety standards, health regulations, labor laws, and tax regulations.
• How can I ensure compliance with food safety standards? Implement proper food handling practices, maintain a clean environment, and train staff on food safety procedures.

Remember to consult with legal /business consultant throughout the process to ensure compliance with local regulations and make informed decisions.

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How to start a restaurant business in kenya.

The restaurant business is one of the most profitable ventures in the world. The restaurant business in Kenya has been growing exponentially over the past 5 years and is proving to be a very promising industry for business investment. Starting a restaurant business differs from country to country. There are also different types of restaurant companies, from food trucks, fast food restaurants, fast casual restaurants to cafes and delis. Whichever the style, there are certain mandatory requirements and considerations for starting such a company. Starting a restaurant business in Kenya is no walk in the park, bit is a very profitable venture. Take for example the Java Group franchise that started out in 1999 as one branch because of lack of good coffee in Kenya: it is now spreading across the continent all the way to Ghana with more than 50 operational branches. The quickly growing Café Deli franchise is also a success story; the owner was once sold cheap liquor and cigarettes to make a living. Now he’s a multi-millionaire thanks to his restaurant business in Kenya. There are certain requirements and hacks that will make your business venture a success.

Here are five steps outlining what it takes to start a restaurant Business in Kenya,

• Compliance and Company Registration in Kenya

You will need to come with a name you would like your restaurant to be called and reserve it. Why is this important? You want a unique name that no one will hijack and make their own. Your identity remains your own and becomes part of your personal brand. We can do this for you by conducting a business name search and reservation. Once approved, you proceed to the business registration process. Here, there are certain requirements such as passport photos and documents needed to be signed to be submitted to the registry. After we have completed the registration for you, you collect or we deliver the required documents such as a memorandum and certificate of incorporation.

Another important requirement is the company KRA Pin for purposes of opening a bank account, filing your returns and acquiring a business permit. You should also consider having an ETR machine to process sales and issue receipts as well as keep a record of VAT transactions for easier filing of VAT returns.

You may also want to get clearance from type from ministry of health

• Business Location

This is also in regards to operation. Different counties have different restaurant operation rules and regulations. Consider setting up your restaurant in high areas of foot traffic, with thriving businesses. Setting up your business in a highway might not yield profitable results as there is little likely-hood of one stopping and parking in the middle of the highway to eat; there is also little to no foot traffic on highways. University campuses, Central Business Districts, small but busy towns, and other areas with thriving businesses are most suitable to set up a business.

For restaurants that have a bar facility, operation hours and locations are restricted in some counties.  Depending on the business permit you obtain, you will only be allowed operation until a certain time of the day or night, for example 12 midnight. Bars are also prohibited from operating near residential areas in some counties.

• Business Plan and Restaurant Design

Some businesses, if not all, need a Business Plan . The restaurant business is one of those that need one. In order to start your restaurant business in Kenya, it is important to draw up a proper business plan. A business plan will help you estimate and manage your finances and also enable you to calculate your desired financial projection in a year, two or even three years. Business plans also help aspiring restaurant owners to come up with the design they desire for their restaurant, that will attract customers and fit the estimated number of customers at a go.

This will also help you organize and visualize your restaurant’s design, an estimate of how much kitchenware you will need, as well furniture.

• Know Your Target Market

Knowing your target market goes hand in hand with knowing your target location. If your target market are students, based on your current location, then what type of restaurant you set up will matter. In Kenya, students always frequent fast-food restaurants or cafeterias rather that fast-casual restaurants. This is because fast food restaurant foods and cafeterias fall under the typical breakfast, lunch or dinner budget of a university student. While fast casual restaurants are a bit pricier for the average student.

Knowing your target market will also help you come with prices for your meals and beverages.

• Marketing And Managing Your Restaurant

Nairobi is a hub for fast growing restaurants, both casual and high-end. If you wish to start a restaurant business in Kenya you have to ensure that your marketing strategy is on point to get the restaurant out there and to ensure you reach your target market as desired. This can be done online on social media pages or on the business’s very own website complete with available dishes and a menu. In this era, most Kenyans, especially working class, like having their food delivered to their offices. This would be a good consideration as you develop your business. You can also choose to supply flyers, especially around CBDs to catch the attention of potential customers around your area. Whichever the method, marketing is an important aspect in developing your business in Kenya.

As you think of opening up a restaurant in Kenya, you should also think about your business management team. Will you need accountants, restaurant managers, waiters and chefs? If so, how will you recruit them? The success of a restaurant depends, to a great extent, on the management team. Finding trustworthy employees can be a tasking job so most restaurants go through q quick question and answer session before hiring. Consider taking your time and going through a full interview and shortlisting process, carefully analyzing your minimum requirements and doing background checks on all candidates whether janitor or manager. This will triple your chances of hiring competent employees compared to doing blind or fast paced hires.

To Start a Restaurant Business in Kenya you will not require a masters’ degree- or any degree for that matter. As long as you have your capital and the requirements stated above then you can get started. Contact us Today for guidance on How to Start a Restaurant Business in Kenya

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How To Start A Restaurant Business In Nairobi, 2024, Restaurant Business Ideas

These days, people are in Nairobi have adopted fast food for their daily meals, and that has presented a huge business opportunity. So in this business guide, we shall show you how to start restaurant business in Nairobi.

Nairobi is a city where the restaurant business is making huge profits, and it’s grown over the years.

The restaurant business is one of the best businesses and earns huge profits in Nairobi.

Table of Contents

Factors To Consider Before Starting A Restaurant Business In Nairobi

1. Identify the type of restaurant

There are many types of restaurant companies you can register for. The type of restaurant business will depend on the amount of your initial capital.

2. Identify a good location

The location of a restaurant business in Nairobi depends on how profitable that location can be profitable.

If your restaurant is located along or around footpaths or bus stops, it’s easier to attract passengers who are traveling or those who work in offices.

Those who work in offices aim at restaurants for lunch or breakfast. Make sure your business is located in busy areas of Nairobi.

3. Register your business with a name

Choosing a name for your restaurant is very important because it attracts customers.

The name of the restaurant should be impressive and can compel the public.

Do not name your restaurant very ambiguous names.

The name of the restaurant is a part of branding in your business.

4. A restaurant business plan

A restaurant business plan will help you know how much you need for the initial capital or the items needed for the restaurant to operate.

A well-designed restaurant will attract customers.

5. Have business permits and licenses

Common Types Of Restaurants In Kenya

These are the types of restaurants in Kenya:

a) Fast food 

c) Casual dining

f) Food truck

Register Your Business With The Nairobi City Council

 1. Have the A single business permit – this usually issued by the City Council annually, which goes for around 5, 000sh

2. A Food and Hygiene License – a fast food business needs a food and hygiene license to make sure that the food you prepare is hygienic. A health inspector inspects the premise to ensure the place is clean

3. A Fire Safety Certificate – all businesses in Kenya must have a fire and safety certificate. Since the business involves the use of fire, a fire safety certificate is very important.

Things You Must Do To Improve Your Restaurants Business In Nairobi

1. Have the necessary equipment for a restaurant -For instance, the furniture, cookers, gas cylinders, utensils, blenders, refrigerators, and a counter.

2. The hiring of good restaurant staff – For the restaurant business, it needs workers to operate. There are the bartenders, the waiters, and the kitchen staff

3. Creating a menu for your restaurant – A menu gives an outline for what kind of foods you offer in your restaurant.

9. Beware of the changing trends of the restaurant business in Nairobi – A shifting restaurant lifestyle can change where you require to give unique services.

10. Advertise your restaurant business online – Advertising nowadays is very cheap online through social media.

Here is where we leave you on the road on how to start a restaurant business in Nairobi.

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How to Start a Fast Food Business in Kenya

Starting a fast food business in Kenya is a lucrative business idea . There are many people working in towns, and they need a place to take breakfast or lunch. Many of these people prefer eating in restaurants and hotels. You can also start a fast food business and start making food deliveries in offices. Although the fast food business is competitive, you can succeed if you identify a different way of doing things from other businesses.    

Conduct a Market Research

It is crucial to conduct a market research before starting a food cafe business. A market research will help you identify market opportunities . You can conduct market research by talking to people already in the business. Try to find out what works and what doesn't work. For instance, you may need to know which is the commonly bought food.

Excellent market research will help you identify your target customers, their food preferences. It will also help you identify the best business location. Attending business networking events will help you meet entrepreneurs with valuable information in this business. 

Business Location 

Consider setting up your business in a place with a high number of foot-traffic. Places near institutions like colleges and busy market centers are ideal places to set up a fast food business. Depending on your business research, you can set up your business in an area with offices if you are targeting office workers. 

Write a Fast Food Business Plan

A business plan serves as a road map for your business. You will need a guide that will help you realize the short- and long-term goals of your fast food business. Outline the startup costs, sources of startup capital , risks, strengths, revenue projections and weaknesses of your business. A business plan will help you prepare for risks and figure out how to compete fairly with existing businesses. 

Register your Fast Food Business

It is important you register your business name for branding. Business names are important for brand identity and recognition. A business name should be impressive and easy to remember. It should also depict what the business is about. You can seek branding services from a professional to help you come up with an impressive brand name.

Once you have identified a business name, you need to register it so that no one else can use it. You can register the business name online through the eCitizen portal . Fill business registration forms and provide your national ID and KRA PIN for registration.

Acquire Licenses for Food Business in Kenya 

Failure to register your food cafe business will land you in trouble with the authorities. You can get business permits and licenses from your County governments offices. You need the following restaurant licenses in Kenya. 

• A single Business Permit.  You can obtain a single business permit from the City Council. A single business permit goes for around Ksh 5,000 annually, but it depends on the size of your business. 
• A Food and Hygiene License.  You need to obtain a food safety certificate to ensure that the food you sell is safe for consumption. A health officer will come to inspect your business premises to ensure that the place is clean and safe for food preparation before they certify your business. You can start your business upon receipt of the certificate. You will also need a Food Handler's certificate. 
• Fire Safety Certificate. All businesses in Kenya must be Fire Safety Certified. Since your fast food business involves the use of fire, you need fire extinguishers to manage any fire mishaps. A fire inspector will visit your premise for inspection, and if you are in compliance, you will be issued with a fire safety certificate.

Read more: How to start a yogurt making business.  

How Much Do I Need to Start a Fast Food Business in Kenya? 

The cost of starting a fast food restaurant in Kenya depends on your business size and the area of operation. Starting a fast food business in urban areas is expensive compared to the suburbs. You can start a small fast food business with Ksh 80,000 and expand the business with the demand.

Requirements to Start a Fast Food Business in Kenya

You need the following items to start a fast food business in Kenya. 

• Refrigerator 
• Gas cylinders 
• Cooking stoves

Due to high prices of food commodities in towns, you can buy farm produce directly from farmers. It will help you lower the operational costs of fast food business. 

What to Sell in a Fast Food Business 

The location of your business will determine what food you can sell. However, most fast food businesses sell foods like hot dogs, fried chicken, pizza , ice cream, kebab, chips, salads, hamburgers, cakes and soft drinks.

For business consultancy, strategic planning, organizational development, market research, financial management & accounting, risk management and business plan writing at an affordable fee, please reach out to us through a phone call 0728 621 138 or WhatsApp , or email: [email protected]

Develop a Marketing Strategy for Your Fast Food Business

The next thing you need to do is to promote your business. You can place banners and billboards or place posters for your business. Also, you can visit offices and ask them if you can deliver food and drinks to them during the morning tea break or during lunchtime.

You can start by offering free delivery services and giving discounts until you establish your business. It is an excellent way to retain your customers and to keep new ones coming in.

Read also: How to start a pizza business.  

Is Fast Food Business Profitable in Kenya? 

Yes. Fast food businesses are very profitable, especially those operating in urban areas. Many people working in towns prefer to eat at fast-food restaurants. The demand for food is high, especially during lunchtime. With a busy fast food restaurant in a town, the minimum profit you can make is Ksh 40,000. 

A food cafe business is lucrative if you adopt proper sales and marketing strategies. However, it is very competitive, and you need to be creative and determined to succeed. You can learn how to prepare unique recipes that your competitors do not offer. Also, strive to offer excellent customer service and create friendships with your customers. This way, you can get loyal customers.

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How to Start a Restaurant Business in Kenya

• Jennifer Mwikali
• November 29, 2020
• Uncategorized
• Comments Off on How to Start a Restaurant Business in Kenya

We often find ourselves sitting among friends, visualizing, and fantasizing about starting a business. While many successful stories may make it look like it is easy and straightforward, only a few seasoned entrepreneurs know the pain and agony behind the failure of a business.

Sometimes it’s the financial constraints, sometimes it is the lack of knowledge and expertise, and sometimes it is plain bad luck. 

But unlike many other businesses, when it comes to opening a restaurant in Kenya, the chances of becoming a success are very high. The reason is straightforward, as well as relatable.

In this 21st century when a lot of people work dozens of hours a week, they want to fill their tummies without having the burden of cooking and washing dishes.

Lunches and dinners now serve as the only reasons for a break. That is why the restaurant industry is booming. But like any other thing, it is also prone to failure; that is why it is essential to plan well to reduce the chances of failure. 

In this article, we will talk about how to plan and start a restaurant business in Kenya effectively and efficiently.

Starting a restaurant requires a lot of preliminary planning. No matter how much you wish, you cannot just start it without properly planning it out.

One of the biggest reasons restaurants fail within the first few months despite having great food is lack of planning. If your business’ planning scale is done right, there is nothing significant that you have to worry about after that.

Here are a few things one needs to plan before starting your own restaurant business:

The Target Market

The most crucial step of planning is choosing the right target market; the people you are looking to attract to your restaurant.

A lot of restauranteurs have a hard time accepting the fact that their restaurant will not be able to please everyone. That is why it is better to focus on a specific niche.

You can target people based on their demographics, income class, diet preferences, or even ethnicity (for example starting an Indian restaurant).

Concept of the Restaurant 

Will your restaurant have dine-ins only or takeaways? Or both? Will your restaurant be upscale, quick service, or midscale?

Usually, fast-food restaurants are also known as quick-service restaurants because the food is prepared quickly and often charged less than other restaurant types.

Quick service restaurants are for casual hangouts and, as the name suggests, for quick and relatively cheaper food.

Moreover, midscale restaurants, as the name suggests, fall somewhere between quick-service and upscale restaurants. They have a variety of food options and are not limited to fast food only. Such restaurants either have waiters who serve the customers on their tables or customers take their food from the counter, also known as self-service. 

Upscale restaurants usually focus on the quality of their cuisines and are relatively pricier than the other two.

MENU PLANNING

While all the steps are essential, this one probably the most. What will be on your menu? What will your restaurant service to its customers? Will seafood be the concept of your foodservice?

Here are a few restaurant and menu ideas and concepts you can choose from:

A steakhouse falls in the upscale or midscale level of restaurants. While the setting is casual, it is a perfect spot for family hangouts and sometimes, even for friends for celebrations.

If you wish to know how to start a small restaurant as a steakhouse, you must make sure the whole ambiance and aura are that of a steakhouse too, which is formal but not too formal. 

When it comes to the concept of having a pizzeria, you have two options. You can either start a small-scale restaurant that is casual and has self-service.

This type of restaurant is known for having pizza as its specialty, and people go there only for that, along with some other Italian food items on the menu. The other option is to have a menu that is not entirely focused on pizzas. 

Bakeries are on the boom too. Now we see many malls and superstores having in-house bakeries. While this market is competitive, the point to think upon is, who does not love bakeries and their aroma?

LOCATION AND KITCHEN PLANNING

To ponder on the question, how to start a small restaurant in Kenya, you need to put together your finances first.

Location entirely depends on how much capital you have, how much you’re willing to spend and whether the business can realistically generate enough income to pay rent.

You can easily find great places on low rents with big and clean kitchens to prepare great food. 

Similarly, the kitchen has to be one of the most important parts of the entire layout when it comes to a restaurant. Check out  this article  to learn more about what you need to open your restaurant.

You can find some good quality commercial kitchen equipment for sale in Kenya here , including ovens, deep fryers, stainless steel tables, baking equipment, and much more.

Starting a restaurant business is not easy; however, there is nothing that can’t be achieved with proper planning. That is why it is said that if you have planned it well, there is nothing else in your way to success. 

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Don’t Start A Restaurant Before You Read This Brutally Honest Guide

August 17, 2015 Published by: James Keru -->

The moment you choose to compromise marks the beginning of your slow death. Moreover, underpayment of staff only increases chances of pilferage and negligence at the workplace – and this as you know means no good either.

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How to Start a Bar Business in Kenya

Putting up and running your own bar sounds like a good business idea in Kenya at the moment. But are you up to it? Running your own bar requires careful planning, hard work and long hours. All you have to do is research carefully and set your goals properly. In this post, we are going to highlight some of the factors you have to put into consideration before starting a bar business in Kenya.

Getting Started

The most important aspect of starting a bar business in Kenya is the location. Before location hunting, decide on what you want your bar to look like and the kind of customers you want. Then make sure it is accessible and has sufficient parking.

After you’ve found a location, study the area and its demographics, your competitors, and other factors like rent. Rent is important because your bar may be packed night after night, but you’ll have to close it eventually if you’re making just enough money to pay the rent. You don’t require a huge space to start a bar business, it can be expanded later as the business grows.

In the recently passed Alcoholic Drinks Control Act 2010 — commonly known as Mututho Law — the alcohol industry has become more regulated and, consequently, the initial high start-up cost is required to cover licenses.

Basically, the following legal procedures and licenses are required;

• A liquor license that costs Sh50,000 in urban center / 15,000 for rural areas – This will be renewed yearly.
• Approval by National Environment Management Authority NEMA – Ksh3,000MCSK License – Ksh3,000
• Nairobi City Council license for registration of the business that attracts Sh3,500.
• Furthermore, you will be required to pay for a health certificate that attracts Sh3,500.

Requirements for setting up

The requirements for setting up depend on your long-term goals and capital constraints. An average bar requires up to Ksh 500,000 while a big one can cost you up to Ksh 2 Million.

On average rent, prices range from Ksh 70,000 – Ksh100,000 depending on the location. For employees, you can start with four to six waiters and waitress, remember that you are just starting up. For the decor and layout, you can spend up to Ksh 100,000 because they determine the atmosphere that customers experience.  You will also need to have an automated payment system (POS)  so that you can track the sales easily. As the proprietor, it’s advisable to be controlling matters of finance and management at the start. Alternatively, you can hire an effective manager. The competition is stiff, and you will have to be always on your toes to stay ahead.

On Fridays, you can hire a DJ for the purposes of entertainment. Remember that this is an investment, you must learn to give all it needs to make it a success ( good ROI)

Cost Breakdown

• Licenses – Ksh70,000
• Furniture (Shelves, Display area, Tables, Chairs etc.) – Ksh 100,000
• Insurance – 30,000 ( 1.5% to 2% of gross sales)
• Music system – 70,000 + 2 Flatscreen Tv –  90,000
• Salary for the Waiters-  60,000 – 4
• Security – 30,000 – 2 bouncers
• Stock – Ksh200,000
• Miscellaneous – Ksh100,000

TOTAL- 750,000

Associated  Challenges

The first challenge you are going to face is intense competition. You will need to provide quality services and best prices in order to retain old customers who will, in turn, keep coming back with their friends. You also need to appreciate the challenge that you can only open your business from 5.00pm – 11.00pm on weekdays and 2:00 pm – 11:00 pm on weekends and public holidays.

At the start, it will be difficult to procure your products directly from the manufacturers as you have to gain a relationship with them, which will be built with time as your yearly turnover also grows. You must also learn to deal with dishonest or inefficient staff and customers fighting or using drugs. Here, I recommend tight security and good relations with the police station in your area.

You will need to invest significant resources in marketing your bar. The idea is to create buzz about your business and to bring large crowds into your establishment as soon as possible. Discount are useful startup marketing idea, but they may require enough reserve capital to absorb operating losses during the first few months of operation.

Another challenge you will face is the time commitment and hours of operation. If you are an early riser, you might not enjoy having to work until 3 or 4 am at your bar. If you have a family, you need to discuss how owning a bar will affect them. Many days you will have to be at your bar from the time you wake up–say, around 10 or 11 am to the time you go to sleep that is around 4 or 5 am.

As you can see, this could take its toll on your family life. Also, if you’re the kind of person who would rather deal with paperwork or sit in an office where you don’t have to talk to people, this business is not for you. You will need to be out there talking to people and shaking hands!

All the best!

Victor Matara

I help you to save time and live more with the most up-to-date lists, guides, reviews, and advice.

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Start a Restaurant Business in Kenya – Legal and Licensing Requirements

• December 5, 2018
• Posted by: simba001
• Category: Starting a Restaurant

In order to start a restaurant business in Kenya, there are a few legal and licensing requirements that you must adhere to. Luckily, most of the legal/licensing procedures can be undertaken online without having to physically visit many government offices.  Basically, the legal/licensing requirements involve business registration, tax registration and county business permits

Business Name Registration.

The registration of businesses in Kenya has been made easier and faster. One can now do a name search and even register their business fully online on eCitizen . It’s important to note that from 15th October 2017, no manual registration of businesses will be done by the registrar of companies.

Here is the new process you’ll follow to start a restaurant business  in Kenya :

Company/business name reservation

1 Register with eCitizen  (FREE)

This is a one-stop portal for accessing most Kenyan government services

2 Apply and pay for company name search (Ksh 150 per Name)

You can apply for up to 3 names in one order

3 Obtain company name reservation in 1-3 days   (Free if Name Search is successful)

This is usually sent to your email/eCitizen account and can be downloaded.

Company/business registration

1. Apply and pay for company registration (online eCitizen , about Ksh 11,000)

A limited company is the most ideal business type. Companies can have a single director or more.

Alternatively, you can register a Partnership (about Ksh 2,500) or Sole Proprietor (about Ksh 850)

2.  Submit signed application forms

3.  Obtain company registration documents (2-3 weeks)

Kenya Revenue Authority (KRA) PIN

KRA is the Tax authority in Kenya and all companies must have a Company Tax registration PIN number.

The entire registration process can be done online on the KRA iTax Portal . The process entails:

1. Taxpayer registration (Submit Director(s) Personal KRA PIN plus ID Copies

2. Apply for company PIN  (Online, KRA iTax Portal)

3. Submit PIN acknowlgement receipt

4. Obtain company PIN

NSSF and NHIF Registration can also be done online for Companies to submit employees’ PAYE deductions

County Business Permit

For you to conduct or start a restaurant business in Kenya, you also need an annual business permit from the City Council. The details on the cost depend on the size of your premises and the industry you have chosen to do business in. For example, a regular sized bakery City Council permits costs Kshs. 8000 per year.

Talk to your local City Council officers on the cost and they may visit your premises to confirm the size of the location and they will advise on how to pay. You will get a receipt when you pay, and then the certificate itself after about a week.

Food/ Health Related Permits.

The Restaurant/Food  industry that requires health thus you  will require a Health Inspector to visit your place of business and after they have inspected your location, you will be certified. When you pay you to receive a receipt and about a week later, you get a certificate and can go ahead to start a restaurant business in Kenya

Fire Safety Certificate

Currently, all businesses are required to be Fire safety certified. This requires you to have at least a fire extinguisher and any other fire safety requirements a Fire safety inspector will advise you on, based on your business. After the inspection, you will be certified and get a Fire Safety Certificate.

The Unified Business Permit in Nairobi may cost around Ksh 50,000 for a full-fledged medium size restaurant in Nairobi CBD and nearby suburbs

New Regulations (Nairobi County Unified Business Permit)

Just recently, the Nairobi City County announced the launch of the Unified Business Permit which consolidates all the requirements for running a business within the County.

This is a one-stop source whereby, after acquiring your Unified Business Permit, you will have paid for a Single business permit, fire Clearance Certificate, Advertising Signage (300mm by 600 mm or less), Health Certificate, and Food Hygiene .

In order to succeed in the Restaurant/Bar industry, you need to be smart and use our Restaurant Software in Kenya . Get in touch today with us today via  email  or call  +254 715 103 468 and see your business grow!

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Contact us at the SimbaPOS office nearest to you or submit a business inquiry online.

Bizhack Kenya

Think Once.Think Twice.Think Business.

How to Start a Bar Business in Kenya and Succeed

By Bizhack Editorial

Last updated on March 2nd, 2024 at 05:44 pm

Are you thinking of starting a bar business in Kenya?

Bars are a lucrative business, and there’s a lot of potential for growth in the market.

But before you get too far ahead of yourself, there are a few things you need to know.

In this article, we’ll discuss the basics of starting a bar business in Kenya.

We’ll cover everything from licensing and permits to marketing and financing.

By the end, you’ll know exactly what it takes to get your business up and running.

So let’s get started

Identifying Potential Locations

When starting a bar business in Kenya, you need to identify potential locations.

One thing you’ll want to keep in mind is the population density of the area. You’ll also want to consider the competition and what types of bars are popular in the area.

You’ll also want to make sure that you have the necessary permits and licenses in order to open your bar.

Once you’ve identified a good location, then it’s time to start planning out your business.

Securing Financing and Acquiring Licenses

Next, you will need to secure financing and licenses to get your bar off the ground.

It’s also important to be realistic about the amount of money you will need to start and sustain your bar business.

This includes the cost of acquiring permits and licenses, as well as setting up your business and stocking your bar.

Your best bet is to speak with your local licensing authority to get a better understanding of what is required, and then start saving up.

However, the process can take some time, but it’s well worth it once you’re able to open the doors to your very own bar.

Pursuing Essential Supplies and Equipment for your bar business

So you want to open a bar business in Kenya? Well, as with any business venture, there are some essential supplies and equipment you’ll need to secure first.

Licenses and permits from the relevant authorities are a must, as is getting your business registered.

You’ll also need to stock up on bar supplies like liquor, glasses, straws and napkins. If you’re looking to set your business apart from the competition, you can consider investing in some specialty equipment like a blender or an ice machine.

But before you can worry about any of that, you need to figure out what type of bar you want to open.

Do you want a laid-back lounge where people can come to relax?

Or maybe a dance club that’s always jumping?

Once you’ve nailed down the concept, you can start working on the finer details and securing the necessary permits and licenses.

Choosing a Concept and Designing the Space

Choosing a concept for your new bar business in Kenya is one of the most important steps in the process. You’ll want to pick something that stands out and captures the attention of potential customers.

First you can start by researching existing and popular bars in the area, compiling ideas, and then picking a concept that sets you apart from the rest.

After that, it’s time to get to work on designing your space. You’ll want to consider factors like design style, lighting fixtures, furniture, seating capacity, and even music and entertainment options.

What are people drawn to?

What will make them want to visit your bar?

Answering these questions will help you create a unforgettable atmosphere that keeps people coming back for more.

Take your time when designing your bar space – it’s key to making sure your business is successful.

Promoting Your Brand and Generating Revenue

Now that you’ve gotten your bar business up and running, it’s time to get creative and think about how to promote your brand and start generating revenue.

One great way to promote your bar in Kenya is by offering specials or discounts.

For example you may decide to offer discounted drinks during the weekdays or a discounted price for early birds who come to the bar before a certain time.

This could help bring in more customers and build loyalty.

Another option is to host special events throughout the year.

For instance you can rent out space for birthday parties, corporate events, or even concerts.

This will help you earn more money since people are likely to purchase more drinks and food in bulk.

In addition, if your bar has a strong reputation in the community, this could be a great way to gain exposure and attract new customers.

Finally, don’t forget to invest in digital marketing campaigns such as social media ads or influencer campaigns.

Because promoting your bar business online can be an effective way of reaching out to people outside your locality and gaining visibility for your business in Kenya.

Staffing, Training, and Optimizing Your Operation

Now that you have a license, the next step is to nail down the details concerning your staff and operations.

When it comes to staffing, it’s important to clearly define your expectations. This means creating job descriptions and manuals for the different roles within your bar and making sure that everyone understands their responsibilities.

In addition, make sure you provide thorough training on drink recipes, customer service, and any other skills they need to be successful in their role.

This is especially important because many customers will judge you on the quality of service they receive.

Plus, it’s essential that you make sure all members of staff are adhering to health and safety rules.

Also, you need to create a regular monitoring system to ensure compliance with these regulations in order to avoid pricey penalties or worse—issues with patrons.

Finally, don’t forget of taking advantage of technology such as analytics and POS systems so that you can optimize operations and keep track of financials like inventory management.

These are the basics you need to know in order to start a bar business in Kenya. Just remember to do your research, put in the hard work, and stay focused on your goals, and you’ll be well on your way to achieving success in no time.

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Molly Liu named CEO of Starbucks China

• Denny's hires a president with a familiar name, along with a new IT chief
• Cracker Barrel's CEO sees a long road ahead, but with returns already emerging

7 Brew hires former Walk-On’s CEO Christopher Dawson as president

• Starbucks' North America CEO is retiring

MOD Pizza's plan to stabilize the business: They're working on it

With a new executive team in place, MOD Pizza is working on a plan to grow top-line sales and stabilize the business.

This according to Lyndsey Patel, MOD’s vice president of marketing, who said in an interview with Restaurant Business on Friday that the fast-casual pizza chain’s go-forward strategy under new owner Elite Restaurant Group is still taking shape.

The fast-casual pizza chain was acquired in July following months of speculation that the Bellevue, Washington-based company was heading for bankruptcy . The company at the time was exploring options to improve its capital structure.

In stepped Elite, which has been a collector of financially troubled restaurant chains over the years, including brands like Slater’s 50/50, Project Pie and Patxi’s Pizza, as well as Marie Callender’s and Gigi’s Cupcakes. It’s not clear what other brands Elite still operates and Patel could not speak beyond the MOD Pizza brand. Patel, who worked previously with Raising Cane’s, joined MOD in June, around the time of the acquisition. She works with MOD CMO Jennifer Anderson (the former CMO of Raising Cane’s who joined MOD in April) and the two are among the only top executives to stay with the brand under the new ownership.

Gone are MOD CEO Beth Scott, who was appointed in January this year, as well as Chief Restaurant Officer Becky Mulligan, Chief People Officer Dayna Eberhardt, CFO Bob Baker and Chief Development Officer Stephen Blum.

The new leadership team at MOD now includes Michael Nakhleh as CEO, Asif Sheikh as executive chairman and Marina Daniels as COO.

And, with the leadership team in place, Patel said the company is now working on setting the tone and vision for the brand, and moving forward with a sense of urgency.

Last week, for example, the company announced plans to refranchise company-owned units, which make up the majority of the 492-unit chain (89 are franchised). But Patel said MOD has not yet determined how many company units might be refranchised or in which markets.

It appears another 20 restaurants have been closed since the acquisition, when MOD had 512 units. At that point, MOD had already shuttered 44 underperforming restaurants this year. Another 20 would bring that total to 64 so far.

But Patel could not immediately clarify the unit count or the number of units that have been closed.

“You will continue to see them evolve with growth and transition to franchise ownership,” she said. “Part of our strategy will be franchising and growing with our existing group of franchisees, and we’re excited to introduce more partners into our system.”

Last week, MOD also rolled out a new pricing structure designed to add more value options . MOD has long been known for its One Price, Unlimited Toppings, and that’s still an option. But now customers can select a one-topping pizza at a lower price, and a cheese-only pizza for an even lower price than that.

“We’ve been taking the opportunity to listen to guests and making sure our menu is as accessible as we want it to be,” she said.

The menu refresh also included the return of roasted broccoli and ricotta among the topping options, which Patel said guests have been requesting. And the company has been retraining staff—what MOD calls Squad members—on things like order flow on the makeline and how to communicate the new pricing options.

Founded in 2008 by Scott and Ally Svenson, MOD was once the fastest-growing fast-casual pizza concept. The brand was known in part for its mission of being a second-chance employer of people who faced certain workforce barriers, like previous incarceration, homelessness or developmental disabilities.

Patel said those core values won’t change under the new ownership.

“We’re going back to what already exists in our rich brand DNA,” she said.

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17 food business ideas in Kenya – start with 15000 Kenyan Shillings or less

If you want to start a business in Kenya – and build a profitable company around your idea in the food industry (niche) in Kenya with the little capital you already have , below are a few food business ideas in Kenya to inspire you and help you narrow down on at least one or two ideas you can start working on immediately to turn into a real and profitable business – with satisfied customers and clients bringing you repeat business.

Why start a food business in Kenya?

• 1 Why start a food business in Kenya?
• 2.1 Popcorn business in Kenya
• 2.2 Mandazi business in Kenya
• 2.3 Cake business in Kenya
• 2.4 The business of selling ground nuts in Kenya
• 2.5 Fruit salad business idea in Kenya
• 2.6 Blended juice small business
• 2.7 Chapati and pancake business in Kenya
• 2.8 Samosa business in Kenya
• 2.9 Chips, crisps and bhajia business in Kenya
• 2.10 Rice + beans and githeri business in Kenya
• 2.11 Eggs – fried or boiled – business in Kenya
• 2.12 Maize business ideas in Kenya
• 2.13 Meat business ideas in Kenya
• 2.14 Yoghurt and ice cream business in Kenya
• 2.15 The business of selling fresh fruits and vegetables in Kenya
• 2.16 Catering business in Kenya
• 2.17 Start a cafe business in Kenya
• 3 How much capital does such and such a food business take to start?
• 4 How long will it take me to make a profit from such and such food business idea?
• 5 What is the best food business idea in Kenya right now that can bring a lot of profit with a little work – or capital?
• 6 I have a full time job, children, a family but your article inspires me to start a food business and become an entrepreneur in Kenya. My problem is that I’m always busy and pressed for time. Can I still succeed and be a successful business owner in Kenya?
• 7 What permits do I need to start any kind of food business ideas listed above?
• 8 I see many food businesses in Kenya, even the big ones, make losses and fail. Should I focus on this sector or start a business in another industry?
• 9 Don’t forget to download the free PDF business startup Kenya book
• 10 Your thoughts, tips and experiences – Share them with me and other readers

It is something we all do on a regular basis – a few times a day if we have access to the money – and markets to buy food from.

Another reason is that the population of Kenya is ever on the increase (with more and more people having disposable income besides earning higher salaries from their jobs), so more mouths to feed.

There is demand for healthy food – fresh, organic, packaged and all kinds of foods. And the demand will keep increasing.

Now is a good time for you to get in and start supplying and meeting the needs of your fellow Kenyans.

There is also room for new players to enter the food industry even when it looks, sometimes, like the big companies and manufacturers dominating various sectors of the food (agricultural) sector in Kenya, making millions and billions of shillings every year selling different kinds of products, besides fast moving consumer goods (FMCG), are already meeting Kenyans’ demand for healthy foods.

Another reason to start a food business is simply because of the lower barrier to entry. For anyone serious at making it big in this sector , doing things long term, an amount like Kenya Shillings 15000 is enough to get started.

That is if you pare things down to the essentials, implement your business idea , hit the ground running and spend reasonable amounts of your time and resources marketing your products and services.

Food business ideas to turn into real businesses in Kenya and make money from – 17 of them

Popcorn business in kenya.

This is a business that you can do well if you already have an outlet (like a shop, grocery store) strategically located where there is foot traffic. So, location is very important.

You can also succeed by hawking your wares by moving around and selling your popcorn to people – or supplying them to shops and kiosks around your neighbourhood, town, city or village.

If you don’t want to do the above, you can buy corn cheap and package the grain for sale to individuals and businesses who can later make their own popcorn for their own consumption (at home) or for sale (at their premises).

Mandazi business in Kenya

Every morning (or evening) many households think about breakfast – tea or porridge and something to go with it: Githeri, potatoes, yams, bread, pancakes, croissants, chapattis and of course, mandazi – at Kenyan Shillings 5 each or more depending on the size, taste and quality.

You can make mandazi and sell to shops (schools, companies and organizations and event organizers) in your neighbourhood or part of town.

You can make them and sell them via your shop. There are also many men and women who cook them (by the road side = a place where there’s foot traffic – encouraging impulse purchases) and sell them to the people in their neighbourhoods.

People love eating good mandazi – and they take them at different times of the day – some in the morning, in the afternoons during lunch time, in the evenings with tea – and for some bachelors (and single women) as part of their meals at night.

Cake business in Kenya

You can network and sell your cakes locally (in your neighbourhood – to shops, hotels, restaurants – or within your circle of friends – at home and work) or online (via the many popular online shopping websites in Kenya, business directories in Kenya or Kenya’s classified ads websites and even solicit business via social networking sites and messaging apps like Facebook, WhatsApp and Instagram).

You can also have your own website created for you by a web hosting company in Kenya – where you can sell your cakes.

Use any search engine to research the keyword ‘buy cakes kenya’ to see examples of websites owned by individuals who entered the cake business and are making sales offline and online via referrals and their websites.

The business of selling ground nuts in Kenya

Do you ever see the many people who hawk packaged ground nuts and sim sim (sesame) for 5, 10 or 20 shillings a pack? You can join in and sell to travelers or in bulk to shops.

You can also sell your stuff in popular markets near you – where many Kenyans flock to do their grocery shopping.

Fruit salad business idea in Kenya

This business can also compliment any other business you may already be running (like a business selling different kinds of refreshments).

You can also walk around (keeping your food fresh and clean) and sell your fruit salad to other small business owners – at their place of work – like jua kali artisans, boda boda riders…

Or sell to canteens inside various learning institutions and hospitals (ask for access and then meet the demands of students, staff, patients and other workers by being a reliable and trustworthy supplier).

Blended juice small business

Then go out and sell your juice in bottles – (you can start with clean ones used initially by mineral water companies to sell water) or pour the juice in glasses – and charge for each in a way that leaves you with profits.

You can sell the juice anytime especially when the sun is up and people are thirsty and in need of a health-boosting fresh drink – served by a person who pays extra attention to cleanliness and satisfaction of their customers.

Chapati and pancake business in Kenya

You can make them in your neighbourhood (or house) wrap them for your customers – and let them carry and enjoy the delicacies at home – or right there at the source – with tea, beans, meat or soup.

You can also sell them – if people really love your chapattis – to your colleagues and make extra income.

Samosa business in Kenya

Again, this is something you can make at home or in a strategic location in your neighbourhood, and sell to people passing buy.

You can also rent a place where customers can seat and order their samosas – perhaps with a cup of tea or glass of juice.

You can also make samosas in bulk and distribute to shops, offices, schools (for teaching staff) and businesses with employees they serve tea or lunch at work.

Chips, crisps and bhajia business in Kenya

And this is a good business if you have access to a good supplier for potatoes, time / labour to turn the potatoes to chips and a good location – where people going about their other duties – can stop and pick their bag of chips.

Same with bhajia.

With crisps, you can make them in bulk, package them and distribute to shops and supermarkets.

Rice + beans and githeri business in Kenya

So, you come in and make them ready meals – prepared and served in a clean place.

With this business, your regulars can also pay you in advance – for example – a month’s worth of lunches.

So, you have more money to grow your business – and even offer takeaway food (especially beans and githeri) for busy parents who have no time to wait for hours just boiling the food – you know those who want to spend their focus on the frying and eating part before they shift their focus to something else important to them.

Eggs – fried or boiled – business in Kenya

If you cannot do that, buy the eggs – a few crates at a time – or more depending on the amount of capital you have or agreements you make with the person supplying the eggs to you.

You can also sell eggs to shops and families in your neighbourhood – if you are keeping your own layers as a business or if you can source eggs from suppliers at a cost that leaves you with a good margin to still turn a profit that can sustain and grow the business.

Maize business ideas in Kenya

Sell the grain in bulk – and you are in the cereal business.

The key is to be updated on the price of a bag of maize in different parts of the country at all times, have some money for transporting it to your location, packaging it and distributing it to your customers – turning a profit and reinvesting the money back into the business – to reach more customers and expand your business without sacrificing efficiency.

You can sell to schools, organizations, parents with families and children to feed, county governments (when they have tenders), children’s homes and even businesses in need of a reliable supplier for the grain.

You can also go beyond maize to package, distribute and sell other grains like soya, rice, beans, green grams, millet, wheat etc.

You can also roast or boil fresh maize and sell it to customers.

Meat business ideas in Kenya

Popular nyama choma include goat meat, beef, bacon, chicken, quail and rabbit meat.

Location is very important as well as other foods and drinks that compliment nyama choma moments.

Of course, if it makes business sense, also make soup and also avail, to your customers, fried meat – they can eat right at the source or take away home with them.

Other things you can roast or fry for your customers include cassava, bananas, potatoes and fish – all of which they can eat at your place of doing business or carry home.

If you keep, or can buy, livestock in bulk, you can also get into the meat packaging and distribution business in Kenya.

Meaning you can get in the business of selling rabbit meat, keeping broilers for meat, packaging and selling beef (via your butchery or as a farmer supplying butcheries and big institutions like schools – or functions) or bacon.

You can sell smokies and sausages – that can be consumed at the source or that your customers can carry home.

Yoghurt and ice cream business in Kenya

If you are not afraid of marketing and persistently working on building something from scratch to an income generating venture then you can join the big yoghurt and ice cream companies and brands in Kenya and East Africa.

If you don’t know how to make the yoghurt (or ice cream), take a lesson.

Ask around for good teachers – or take a course from one of the colleges, polytechnics and universities in Kenya.

You can also take an online course – some free (AKA watching YouTube videos) or paying for some premium course that other students have taken and benefitted from.

You can also ask around for someone who can teach you because – believe it or not – there are many Kenyans with valuable skills all around us who are ready and willing to pass on their knowledge, tips, strategies and rich experiences to others.

The problem is people who can benefit from these skills don’t go to them – and submit to their leadership.

Among those who get the courage to seek out the help from these skilled individuals, a big percentage don’t want to pay any money for their training (and time devoted to them).

Some are not serious students at all (people who need your help but acting like you should cater to their every whim).

And there are those who go for the skills with a tinge of malice (jealousy, pride – rubbing it in their teacher’s faces once their venture begins to show signs of success).

And of course there are those who still believe that for any important skill they need to master – they must first enroll for a course in a university or college and get a certificate – a degree the better – not realizing that business in itself is often a good teacher to owners (entrepreneurs) who are ready to learn, adopt and respond to what their customers (and the market) need or want.

The business of selling fresh fruits and vegetables in Kenya

And more families in Kenya love the idea (and the practicality) of having some fruits to accompany most meals – especially lunch and supper.

With your stall, you can help more Kenyans fulfill this desire and constant need by offering them a variety of fresh and nutritious fruits and vegetables like passion fruit, avocado, mango, pears, apples, pineapples, apricot, plums, oranges, bananas, kales, cabbages, tomatoes, carrots, cucumbers, garlic and onions.

Catering business in Kenya

Communication is key here. And more than money, your word matters a whole lot. Time and expertise preparing various dishes (often in bulk) is something you have to master before you get into this business.

Then you can start small and grow – even have a big team that can tend to different functions Monday to Friday – or even weekends.

For now, start with the friend, colleague or family friend having many guests over that don’t have the time, experience or patience to prepare good meals for their large number of guests.

Network with event planners – the ones planning weddings, birthdays, burials and office parties. They are often willing to outsource some of the tasks involved in making an event go smoothly – like having someone good at preparing food do just that.

Start a cafe business in Kenya

Also remember that another great idea you can make money from is that of delivery. Delivering food to business, homes, offices and organizations.

Of course, you have to make it easy for people to order meals from you via your website, third party websites, social media, email, phone calls or via messaging apps.

You can also become a distributor for products made by other companies and make good profit depending on your effort and money management skills.

You can distribute bread, cookies, queen cakes, spices, ice cream, powder milk, yoghurt, cooking oil, fruit flavoured energy bars, chocolate, buns, juices and different kinds of snacks – the kind children and adults like to buy from shops and supermarkets.

You can also be involved in this sector as the girl or guy who helps food businesses in Kenya by solving some of their needs like accounting, consulting, online and offline marketing – including building websites for them, writing copy for them as a freelancer, doing reviews, managing their social media accounts and pages among other tasks they may want to outsource to capable hands – your hands.

Now, to answer a few questions a person may want to ask after reading this far:

How much capital does such and such a food business take to start?

Another thing that matters is how quickly you implement your ideas – so that you can have more time to devote to sales.

For example, there are many companies in Kenya, selling wheat or maize flour. Do you think they all started with the same amount of capital? Your bet is as good mine if your answer is a no.

Another example involves the route different people take. Say, you want to get in the business of selling eggs to shops, various institutions and businesses (like hotels and restaurants), there are many angles to attack this idea.

One person will buy one day old chicks and rear layers – then wait for months before they can start collecting eggs on a regular basis.

Another person can go straight to farmers with layers who haven’t figured out how to market their produce (eggs), buy in bulk (with an agreement in place between them and the farmer or two farmers or more), arrange for transportation and then profitably sell the eggs to, say, a restaurant or hotel in their town or another city.

Same solution to a problem (supplying eggs to those who need them), different ways to go about it (and probably different amounts of money involved in the implementation).

So, know what you want in the long and short term – then start with what you have – for the purposes of this article that is 15,000 Kenyan Shillings.

How long will it take me to make a profit from such and such food business idea?

Sales. Your ability to sell will be a good predictor of this.

Not even the best food business idea will make you lots of profits as some newspaper articles, TV shows, posts in agribusiness blogs in Kenya, magazines and other publications would make you believe if you don’t do the selling part diligently – long term.

Another good predictor is management, which is often tied to your skill level, expertise and any kind of help you may seek.

Not everyone who got into the quail business made hundreds of thousands of Kenyan shillings. Some failed, miserably.

Not every dairy farmer (supplying milk and other products like cheese and ghee) smiles to the bank.

Not every Kenyan farmer into value addition is making a killing. Some do. But not all.

If you focus on God your Creator (His promises, teachings and commands – don’t dismiss this), being skilled in your area, thinking long term, selling and closing more deals, getting help (e.g from agricultural extension officers, consultants and other business owners), reinvesting in your business and being frugal while also paying attention to these 10 Things You Should Look at if You Are Thinking of Starting a Business in Kenya (a free ebook you can download here on Niabusiness.com) , it won’t take you long to be profitable (both in experience and money – and of course great contacts and happy repeat customers).

What is the best food business idea in Kenya right now that can bring a lot of profit with a little work – or capital?

Thinking of right now – and a business idea that can bring you quick profits now (short term) –  isn’t entirely a bad thing. But you must balance the short term with the long term and play to your strengths.

That’s how some successful entrepreneurs in Kenya and the world over are doing it.

Take an idea. Put in the work. See what works and what doesn’t. Do more of what is working and find ways (including hiring employees, freelancers and consultants) to make work what is not working for you.

I have a full time job, children, a family but your article inspires me to start a food business and become an entrepreneur in Kenya. My problem is that I’m always busy and pressed for time. Can I still succeed and be a successful business owner in Kenya?

Of course, you can be successful. But to be frank with you, anyone who always has this excuse (yes it is an excuse. I’ll explain why in a minute) or fear (and refuses to change their mindset) before implementing their ideas always find that the weight of their uncertainties of the future (of their venture) is enough to crush their business to powder before it can even crawl.

I’m serious about this.

Another thing is that, people who say this always want to see quick success – which often requires massive action; which in turn often requires a lot of time focused on just one thing; time which they don’t have, because they are busy.

So, they have failed 50% (in their mind before they have even started implementing their idea) before they even start their food business.

Why do I say this is an excuse? Because no person has a day with extra hours. We all have twenty four each day and 168 each week – and of course 52 weeks each, every year.

So, how come there are millionaires and billionaires in Kenya in various sectors including the food industry (and I’m not talking about those who loot from government coffers)?

You know why.

You either want to do something or you don’t.

Nature is brutal that way. You embrace the rules and stick to them or you don’t and just watch your excuses, like a mirror, reflect back to you the idea just waiting for you to turn it into a successful business.

See how reducing the amount of time you spend watching movies, series and TV shows or the time you gain by becoming an early riser can be channeled into more worthwhile pursuits like starting and growing your business .

What permits do I need to start any kind of food business ideas listed above?

Approach and talk to the business owners already doing what you want to do – in person, via telephone or email. Most of them are open to sharing this information and their experiences with you.

Also, visit relevant county government offices or Huduma Centres to get answers.

If you don’t ask, you won’t know.

Good thing, is most of the people with this information are willing to share it with you for free. Also read related business articles on Niabusiness.com blog for more insights.

I see many food businesses in Kenya, even the big ones, make losses and fail . Should I focus on this sector or start a business in another industry?

This is a personal choice you have to make.

Gather data – not only the kind that supports the idea you already have – that food businesses in Kenya aren’t that good.

Why do this? To be in a good position to make a sober choice – that takes into account the true picture of the supply and demand forces on the ground.

If you want to skip the food sector and invest your money in another business venture, fine.

Just make sure, you do your research – well – before you jump.

Don’t forget to download the free PDF business startup Kenya book

Download your copy of the free ebook: 10 Things to Look At if You Are Thinking of Starting a Business in Kenya here .

Read it and more importantly implement what you learn – using the ideas presented in the ebook to help you do what you want to do in business – and not as a substitute of your own ideas and plans of execution.

Your thoughts, tips and experiences – Share them with me and other readers

If you have read this post in its entirety and have comments, questions, stories, experiences or suggestions you want to make, I’d love to hear them – and so would other readers of Niabusiness.com blog .

Post them in the comments section below – and of course no spam promoting your business, website or telephone number unless mentioning such is relevant to the needs of those who will be reading this article.

Download this PDF ebook and read on your smartphone, tablet, laptop or desktop computer >> 10 Things to Look At if You Are Thinking of Starting a Business in Kenya. Click here .

4 thoughts on “17 food business ideas in Kenya – start with 15000 Kenyan Shillings or less”

Great business ideas for Kenyans who want to offer products and services to their fellow citizens – and while at it make some profit.

I’d only one thing. To anyone who wants to implement any of the ideas above, go a step further and learn from others already running successful businesses related to any of the business ideas you want to implement.

Don’t just read success stories of Kenyan business owners on the internet. Supplement the information you get from this blog (and any other business website you go to) with information you get from the ground. What I mean is, approach the people in your locality (neighbourhood, town, city, village or county) who have started similar businesses and ask them about their journey.

Listen to their story – and if they permit, ask them questions pertaining to their business, success, challenges, and their strategies for growth.

Learn from them. And then pick your one business idea and implement it. Give yourself time with one idea. Don’t go around hopping from idea to idea hoping to make quick money even if one of the business ideas (like fast food joints and restaurants) you pick is considered a booming business by many Kenyans.

Start with one idea. Implement. Work hard and make changes as necessary.

And pray for God’s guidance always. He will take you far.

it’s good to start with one idea and implement – putting a lot of effort to build a profitable business.

Thanks for your comment.

You know whichever food item you may start with. Make sure it’s offered at reasonable rate and you should have the guts to communicate with social media to spread awareness about your products.

It’s a great idea to check the rates offered by other food business owners Neha.

Anyone interested in any of the ideas above should learn from the pricing used by others conducting similar businesses.

They can then use what they find from their research to decide how much to charge for the foods or drinks they offer – after all the other costs have been factored in.

Doing the research will help you learn more. Help you see how different pricing strategy works for different locations or businesses.

It can even help you reach more great people willing to help you and your business. For example good suppliers who charge amounts you can work with and still be profitable – and have money left to reinvest in growing your business, hiring more labour and selling more to new and existing customers.

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Italy's automotive workers plan to strike on oct. 18 over a fall in output at stellantis.

Associated Press

ROME – Workers in Italy's automotive sector will go on strike on Oct. 18, the main metalworkers unions said Tuesday, in protest of declining output from Stellantis , the biggest carmaker in the country.

The unions also called for a national demonstration in Rome on the same day.

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Stellantis, which was created in 2021 from the merger of Fiat-Chrysler with PSA Peugeot, registered a sharp drop in output at most of its Italian plants in the first half of 2024, according to data provided by the FIM-CISL union.

Projections are now for just over half a million vehicles produced by Stellantis in Italy in the full year, down from 751,000 in 2023, the union said.

Over the past 17 years, the struggling carmaker has slashed its Italian production by nearly 70%.

Stellantis, which counts the Jeep and Ram trucks among its brands, is currently looking for a new CEO to succeed Carlos Tavares, in what the company described as a normal leadership succession plan. The company added that it’s possible Tavares will stay on longer.

Tavares oversaw the merger of PSA Peugeot and Fiat-Chrysler but has come under fire from U.S. dealers and the United Auto Workers union after a dismal financial performance in the first half of the year.

Its North American operations had been the company’s main source of profits, but they have struggled this year amid larger market changes.

In Italy, Stellantis has been in talks for months with the right-wing government over plans to increase output there, but no agreement has been reached so far.

In a statement issued later Tuesday, Stellantis confirmed its commitment to finding “shared solutions to address the challenges regarding the automotive sector." The group also stressed that the energy transition is a priority that can no longer be postponed and requires “huge and urgent measures” aimed at reducing production costs.

“We are confident that close collaboration with trade unions and the Italian government will allow us to find effective and sustainable solutions for our common future, transforming this crisis into an opportunity,” it added.

Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.

Kenyan Business Ideas

How to Become a Restaurant management in Kenya

If you are looking to become a restaurant manager in Kenya, you have come to the right place. Restaurant management is a rewarding and challenging career that requires a combination of business acumen, customer service skills, and culinary knowledge. In this guide, we will discuss the steps you need to take to become a successful restaurant manager in Kenya.

We will cover topics such as the qualifications and skills required, the job responsibilities, and the salary and benefits associated with the role. We will also provide tips on how to stand out from the competition and land the job. By the end of this guide, you will have a better understanding of what it takes to become a restaurant manager in Kenya.

What Are the Latest Trends in Restaurant Management in Kenya?

The restaurant industry in Kenya is rapidly evolving, and restaurant managers must stay up to date with the latest trends in order to remain competitive. Here are some of the most important trends in restaurant management in Kenya:

1. Technology: Technology is playing an increasingly important role in restaurant management in Kenya. Restaurants are using technology to streamline operations, improve customer service, and increase efficiency. This includes the use of point-of-sale systems, online ordering systems, and mobile apps.

2. Social Media: Social media is becoming an essential tool for restaurant managers in Kenya. Restaurants are using social media to promote their business, engage with customers, and build relationships.

3. Delivery Services: Delivery services are becoming increasingly popular in Kenya. Restaurants are using delivery services to reach more customers and increase sales.

4. Menu Innovation: Restaurants are experimenting with new menu items and ingredients to keep customers coming back. This includes the use of locally sourced ingredients, fusion cuisine, and vegan options.

5. Sustainability: Sustainability is becoming an important trend in restaurant management in Kenya. Restaurants are focusing on reducing their environmental impact by using sustainable practices such as composting, energy-efficient lighting, and water conservation.

These are just a few of the latest trends in restaurant management in Kenya. By staying up to date with these trends, restaurant managers can ensure their businesses remain competitive and successful.

How to Create an Effective Restaurant Management Plan in Kenya?

Creating an effective restaurant management plan in Kenya is essential for any restaurant business to succeed. A well-thought-out plan will help you to stay organized, manage costs, and ensure that your restaurant runs smoothly. Here are some tips to help you create an effective restaurant management plan in Kenya.

1. Set Goals: Before you start creating your plan, it’s important to set goals for your restaurant. Think about what you want to achieve in the short-term and long-term. This will help you to create a plan that is tailored to your specific needs.

2. Analyze Your Market: It’s important to understand the market you’re operating in. Research the competition and analyze the trends in the industry. This will help you to create a plan that is tailored to the needs of your customers.

3. Develop a Menu: Developing a menu is an important part of any restaurant management plan. Think about the types of dishes you want to offer and the pricing structure. Make sure to include a variety of dishes to appeal to different tastes.

4. Create a Budget: Creating a budget is essential for any restaurant management plan. Think about the costs associated with running your restaurant and create a budget that will help you stay on track.

5. Develop a Marketing Plan: Developing a marketing plan is essential for any restaurant management plan. Think about the types of marketing strategies you want to use to promote your restaurant. This could include social media, print advertising, or even word-of-mouth.

6. Hire the Right Staff: Hiring the right staff is essential for any restaurant management plan. Make sure to hire staff that are experienced and knowledgeable about the industry. This will help to ensure that your restaurant runs smoothly.

Creating an effective restaurant management plan in Kenya is essential for any restaurant business to succeed. By following these tips, you can create a plan that is tailored to your specific needs and will help you to stay organized and manage costs.

What Are the Best Practices for Managing a Restaurant in Kenya?

1. Develop a strong business plan. Before you open your restaurant, it is important to develop a comprehensive business plan. This should include a detailed budget, marketing strategy, and operational plan.

2. Hire the right staff. Hiring the right staff is essential for the success of your restaurant. Make sure to hire experienced and qualified staff who are passionate about the restaurant industry.

3. Focus on customer service. Providing excellent customer service is key to success in the restaurant industry. Make sure your staff is trained to provide the best possible service to your customers.

4. Keep up with trends. The restaurant industry is constantly changing, so it is important to stay up to date with the latest trends. This includes menu items, technology, and customer service.

5. Invest in marketing. Investing in marketing is essential for the success of your restaurant. Develop a comprehensive marketing plan that includes both online and offline strategies.

6. Monitor your finances. Keeping track of your finances is essential for the success of your restaurant. Make sure to monitor your expenses and profits on a regular basis.

By following these best practices, you can ensure the success of your restaurant in Kenya. With the right strategies and dedication, you can create a successful and profitable restaurant.

What Are the Challenges of Being a Restaurant Manager in Kenya?

Being a restaurant manager in Kenya can be a challenging job. From managing staff to ensuring customer satisfaction, there are many responsibilities that come with the role. Here are some of the challenges that restaurant managers in Kenya face:

1. Staff Management: Managing staff is one of the most important responsibilities of a restaurant manager. This includes hiring, training, and motivating staff, as well as dealing with any disciplinary issues that may arise.

2. Customer Satisfaction: Ensuring customer satisfaction is essential for any restaurant. Restaurant managers must ensure that customers are happy with their experience, from the food to the service.

3. Financial Management: Restaurant managers must be able to manage the restaurant’s finances, including budgeting, forecasting, and controlling costs.

4. Food Safety: Food safety is a top priority for any restaurant. Restaurant managers must ensure that all food is prepared and served in a safe and hygienic manner.

5. Regulatory Compliance: Restaurant managers must ensure that the restaurant is compliant with all relevant regulations, such as health and safety regulations.

These are just some of the challenges that restaurant managers in Kenya face. It is a demanding job, but it can also be very rewarding. With the right skills and attitude, restaurant managers can be successful in their role.

How to Develop the Skills Necessary to Become a Restaurant Manager in Kenya?

If you’re looking to become a restaurant manager in Kenya, you’ll need to develop a range of skills to be successful. Here are some tips to help you get started.

1. Learn the Basics of Restaurant Management: Before you can become a restaurant manager, you’ll need to understand the basics of restaurant management. This includes learning about food safety, customer service, and financial management. You can take courses or read books to learn more about these topics.

2. Develop Leadership Skills: As a restaurant manager, you’ll need to be able to lead and motivate your staff. You should focus on developing your communication, problem-solving, and decision-making skills.

3. Get Experience: Experience is key when it comes to becoming a restaurant manager. You should look for opportunities to gain experience in the restaurant industry, such as working as a waiter or bartender. This will help you understand the day-to-day operations of a restaurant and give you the skills you need to be successful.

4. Network: Networking is an important part of becoming a restaurant manager. You should attend industry events and connect with other restaurant professionals. This will help you build relationships and learn more about the industry.

5. Stay Up-to-Date: The restaurant industry is constantly changing, so it’s important to stay up-to-date on the latest trends and technologies. You should read industry publications and attend seminars to stay informed.

By following these tips, you can develop the skills necessary to become a successful restaurant manager in Kenya. Good luck!

What Are the Benefits of Becoming a Restaurant Manager in Kenya?

If you’re looking for a career that offers a variety of challenges and rewards, becoming a restaurant manager in Kenya could be the perfect fit for you. As a restaurant manager, you’ll be responsible for overseeing the day-to-day operations of a restaurant, ensuring that customers have a positive experience and that the restaurant runs smoothly.

There are many benefits to becoming a restaurant manager in Kenya. Here are just a few:

1. Job Security: The restaurant industry is booming in Kenya, and there is a high demand for experienced restaurant managers. This means that you’ll have job security and the opportunity to advance your career.

2. Variety: As a restaurant manager, you’ll be responsible for a variety of tasks, from managing staff to creating menus and overseeing the financials. This means that you’ll never be bored and will always have something new to learn.

3. Flexibility: Restaurant managers often have flexible hours, allowing them to balance their work and personal lives.

4. Networking: As a restaurant manager, you’ll have the opportunity to meet and network with a variety of people, from customers to suppliers. This can open up new opportunities and help you build your career.

5. Leadership: As a restaurant manager, you’ll be responsible for leading and motivating your staff. This can be a great way to develop your leadership skills and gain valuable experience.

Overall, becoming a restaurant manager in Kenya can be a rewarding and fulfilling career. With the right skills and dedication, you can make a successful career out of it.

What Qualifications Do You Need to Become a Restaurant Manager in Kenya?

If you’re looking to become a restaurant manager in Kenya, there are a few qualifications you’ll need to meet. First and foremost, you’ll need to have a high school diploma or equivalent. This is the minimum requirement for most restaurant management positions.

In addition to a high school diploma, you’ll also need to have some experience in the restaurant industry. This could include working as a server, bartender, or cook. Having a few years of experience in the restaurant industry will give you a better understanding of the day-to-day operations of a restaurant and will make you a more attractive candidate for a restaurant management position.

You may also need to have some formal training in restaurant management. Many employers prefer to hire candidates who have completed a certificate or degree program in restaurant management. These programs provide students with the skills and knowledge they need to be successful in the restaurant industry.

Finally, you’ll need to have excellent communication and customer service skills. As a restaurant manager, you’ll be responsible for ensuring that customers have a positive experience in your restaurant. You’ll need to be able to effectively communicate with customers, staff, and vendors.

By meeting these qualifications, you’ll be well on your way to becoming a successful restaurant manager in Kenya. Good luck!

Becoming a restaurant manager in Kenya is a great way to start a career in the hospitality industry. It requires a combination of hard work, dedication, and the right qualifications. With the right qualifications, you can gain the necessary skills and knowledge to become a successful restaurant manager. Additionally, you should be prepared to work long hours and have excellent customer service skills. With the right attitude and commitment, you can become a successful restaurant manager in Kenya.

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September 24, 2024

From Tomato Waste to Paste: Unlocking the Upcycling Potential in Kenya’s Tomato Value Chain

By Carolyne Maina

Across Kenya, low-income families struggle to eat affordable, varied diets and particularly to consume the necessary volume of fruits and vegetables. At the same time, hundreds of thousands of metric tons of fresh fruits and vegetables go to waste in the country. Are there solutions to both problems?

Editor’s note: The following article was originally published on Agrilinks .

The journey of a tomato

On a sprawling farm in Kimana, Kenya, where every tomato plant receives equal attention and care, the fruits that emerge tell a different story. Despite being nurtured with the same resources; each tomato grows into its own unique form. Some tomatoes are perfectly round, while others grow in unexpected directions. A few bear small spots or signs of disease that make them less appealing to consumers.

At the first selection point, tomatoes that do not fit the ideal mold are cast aside. Their slight imperfections or irregular sizes seal their fate as food waste, as they are deemed unworthy of the market’s high standards. The second level of selection occurs upstream in Kimana’s open-air market, where less-than-perfect tomatoes are left behind while the perfect ones are stacked in 130-150 kg wooden crates, stacked in 10 MT trucks to travel to urban markets.

Finally, in Muthurwa, a downstream market in Nairobi, 200 km away from the farm, over 100 traders gather and bring in large volumes of tomatoes. Here, the tomatoes face yet another challenge. They must compete with fresher, newer arrivals, leaving the older, ripened ones to languish. In less than five days, many will become food waste.

Access to nutritious foods 

Kenya produces an annual estimate between 683,000 – 1 ,000,000 MT of tomatoes, but an average of  32% are lost along the supply chain due to seasonality, pests and diseases, improper handling, lack of storage facilities, and high perishability.

The WHO reports that less than 2% of Kenyans meet the recommended 400g of daily fruit and vegetable intake, with an average of 140g consumed per person daily. Seasonal availability and price fluctuations limit access, especially for tomatoes. Glut seasons occur in June-August and January-February, lowering prices and improving access. Off-season shortages lead to higher prices, with low-income consumers using bouillon cubes and paste as a substitute. This was established in the  human-centered design phase, where we tested with consumers different concepts, including tomatoes that were dried, powdered, paste or sauce. Results showed most preferred fresh  and  tomato paste as a second choice.

The business case for upcycling food loss in Kenya’s tomato value chain 

A robust business case is critical to effectively leverage the private sector for impact. TechnoServe is building a business case for upcycling Kenyan tomatoes by developing a supply and demand model, comparative case studies with learning from Egypt, Senegal and Nigeria and tracking the tomatoes from farm to market to ascertain the losses and potential to upcycle from upstream and downstream markets.

The design challenge for the program explores how to process the 32% of tomatoes that are lost along the supply chain annually, creating non-augmented, nutritious products used in the off season. 

In 2022, FAO estimated that Kenya imported an average of 3,050 MT of tomato paste, worth $2.6 million. The country’s growing dependence on imported tomato paste, coupled with a third of total production volumes being lost annually, presents a compelling case for upgrading local processing infrastructure. TechnoServe research also indicates that local production of tomato paste is estimated to be 13% more cost-effective than importing. 

These factors informed the justification for increased capacity investment and local market linkage for processors. By investing in local processing capabilities for tomato paste, Kenya can reduce its reliance on costly imports and exchange rate fluctuations. For example, production of 100% tomato paste requires industrial condensers. However, nearly all industrial condensers  in Kenya have been directed to fruit jams/marmalades, which historically have had a greater profit margin. While a business case has emerged for tomato paste production, capital equipment currently limits market testing and full-scale launch.

Take action against food loss and waste

Taking lessons from African tomato production giants like Nigeria and Egypt may offer opportunities to shorten the learning curve. Facilitating capital expenditure for efficient equipment is going to be catalytic for food processors in low-income countries in reducing food loss and waste. This will enable the production of minimally processed foods, addressing the nutrition gap and improving food availability by enhancing local food processing capabilities. 

The NutriSave program, implemented by  TechnoServe  with funding from the  Bill & Melinda Gates Foundation  and the  Foreign Commonwealth and Development Office (FCDO) , has a dual objective to reduce food loss and waste and improve nutrition in low-income communities. For more information on how to work with us, please contact Kenya’s country director Kris Ansin ([email protected]) and NutriSave’s program director Carolyne Maina ([email protected]).

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