8 Successful Business for Sale in Kenya for 2020
21st century, the perception of working just to have money has been changed, people are now focused on their persona, meaning that now, people continue to look at what makes them happy, not only what gives them money, the challenge now is to search for a balance.
In many countries, the focus is now finding activities that feed passions, ways of living that cause a life to be worthwhile. But not in Africa. On this great continent amazing businesses come out from solving problems, because it is a place with unique problems full of wonderfull passionate people wanting to find a solution.
“Everyone can rise above their circumstances and achieve success if they are dedicated to and passionate about what they do.” – Nelson Mandela
Over the last couple of years, Africa has been at the center of the global debate, thousands of Africans are fleeing the continent and why is this? As stated before, they face too many complications, no jobs and very few opportunities. What its very curious is that while its people are flying away, Europe, China, the Middle East and USA are flocking to Africa; and the reason is that these same problems are inspiring investors and entrepreneurs to crack them.
This article will focus on Kenya and some of the most promising business opportunities for sale in 2020 that are creating capital and jobs and will very likely increase its millionaires.
Buying a Successful Business or Starting from Scratch?
One of the main factors that drive people to start a business from zero is that they will be their own boss, have their own rules and things will be done their own way. It all sounds great, but there are many factors that are involved in this decision. It is not only the freedom that this is about and starting building a business from scratch is not the only "way out". Whereas many people have the courage to start a business from scratch, there are other options to be valued, such as buying a successful business, which does NOT take the "freedom away". While it is true that you get to be your own boss as a business owner or as a franchisee, there are major differences between both options that you should take into account before making any decision.
So, why is buying a successful business an option? Well, when buying a business, people automatically enter a system that has already been stablished and proven to be a success. For example, buying a franchise, the buyer will be the owner of it, his/her own boss, and the the paperwork, numbers, administration, legal and boring excel things are done, all we have to do is follow instructions and keep the fire going. Buyers will have ongoing guidance, operational assistance and things such as training programs.
It all sounds pretty pink when its written like that, unfortunately life is not easy. Even if all the administration and paperwork is done, there are certain instructions or guidelines that need to be followed. It is like a recipe, everything you are supposed to do is given, but it is up to you if the cake tastes good or not. People have already tried the cake, if it doesn't taste the same, you will be the one to blame.
BUSINESS FOR SALE IN KENYA: STARTING FROM SCRATCH
Creating your own business, putting everything that is dancing in your head into paper, then turn it into numbers and so on, you rely 100% on yourself. From the business planning to the design its all yours. Sounds good right? Some of the benefits are the innovation and creativity will be all yours, the only rules are the ones the owner stablishes; there will also be fewer upfront costs, this means that the owner decides how much money will be invested each months, there is no rush, people go to their own pace.
There are people that state that starting a business from zero is being bolder, which is true, there is much more risk but more freedom, as everything is up to you. There are some disadvantages as well, it is important to realize that when people say "Start from scratch" it means literally start out from zero, people put everything they have into a project because they also lack of resources; so if it turns out wrong, they loose everything.
Buying a business is having always a backup, it is knowing that it is really hard to fail, as the business is already successful, people have the security and trainings they need, they have continuous support and assistance in every aspect of the business. People still do things their way, but they always depend on others for the decisions that need that need to be made.
So...Buying a Business or Starting a new one? Pros and Cons
BUYING A BUSINESS
|Agreement with franchisor|
|Operational Assistance||Little room for creativity|
|No experience needed||Pressure|
|Easier to secure finance||No renewable (Franchise term )|
STARTING FROM SCRATCH
|Own Rules, Freedom||Higher risk of failure|
|Fewer upfront costs||Low compensation|
|Professional Growth||Lack of resources|
|Space for innovation and creativity||Lack of processes|
|Greater costs in the long run||Huge amount of stress|
There is not right or wrong, there is no better or worst, that evaluation depends on every person. People will always have a rough path as well as a great one; every decision will be a roller coaster, somedays it will go up and sometimes it will go down. Everything depends, there are many factors people should take into account to take a decision like this.
WHICH ARE THE BEST BUSINESSES FOR SALE IN KENYA FOR 2020?
According to KenInvest, Kenya is the largest and most advanced economy in East and Central Africa. It has a very strong growth and its prospects are supported by an emerging middle class which has an increasing demand for high-value and good services.
Below, some of the best businesses for sale in Kenya for 2020 will be listed.
Off-Grid Solar :
Global warming, renewable energies needed, and a continent that has 300 days of extremely hot weather. Makes a click? While continents such as America and Europe are debating about the best energy transition for their countries, Africa has a clean and open state for renewable energies, especially solar. Solar power across Africa is now a multi-billion industry which attracts entrepreneurs and investors from within and outside the continent. Countries such as Kenya have a massive demand. Below some examples to evaluate a business for sale:
Company Origin UK Kenya Holand Annual Revenue $ 12. 3 M $ 60 M Main hub: Nairobi Countries in Africa Main Main hub: Kenya. Footprint spreading around Africa $ 5M Malawi
HealthcareAfrica is a poor continent, a very competitive sector is the healthcare sector, due to the fact that many people in Kenya (and other cities), lack of easy access to healthcare. This sector is growing in a fast pace as pharmaceuticals have their eye on the African region. It is important to say that Kenya is a perfect place for business owners and investors to invest. The overall environment is conducive for the entrepreneur. People will not only get an established legacy to work on, but you also are economically benefitted. Another factor to take into account is that Cape Town is surrounded by oceans, this creates abounding opportunities to grab (not leaving aside the quality lifestyle in this part of the globe). The market value is of $ 2.2.billion!
Laundry Digital Services:
This is one way through which fast money can be made in Kenya. People in the business do not need to learn additional skills except for a few requirements. Depending on the financial capability, people can set up a laundry shop or carry out the business on a domestic basis. Wait.. why not have an APP that does both things? Take a sneak peak at the video below so to see the real thing.
4. Hairdressing services:
An environment for entrepreneurs creates more business, more noise in a city, more chaos, more meetings, more occasions to be tidy; this is why investing in hairdressing services is a great idea. And, it is not only because the city is growing and people need to look nice, it is also because hairdressing is never going to be over, everybody needs to cut their hair once in a while, they will never go "extinct". BUT this is why, if people will invest in these type of services, they should be innovative, there is so many competitors out there that if entrepreneurs do not focus on innovating, they will be stepped on.
Business Process Outsourcing (BPO) is a multi-billion-dollar transnational industry that is expected to reach $52 billion market size by 2023 growing an average rate of 11% per year. In Kenya, there are firms such as Samasource that use the locals that know about technology to support some of the "big ones" such as Google, Sillicon Valley, Microsoft and so on in the use of artificial intelligence (AI). Africa is the proof that as the digital economy expands, young people that know a lot about technology present a major attraction and great opportunities for the global BPO companies to serve the growing demand in America and Europe.
Kenya is a great city visited in Africa, one of the top cities. This means that there are many tourists every year; the combined impacts of rapid urbanization, high population growth and the strong economic potential, means that Africa's real estate sector will keep being an interesting space for entrepreneurs and investors. Kenya is one of the main cities that is experimenting potential growth in this sector, with apartments and hotels This massive market spends 1.2 trillion per year, for the growing demand of the hotels in Africa.
There are many different types of business ideas to invest in with high profits, from farming to laundry franchises, there is a great potential in this country that has to be noticed and taken into account. The key to success is to follow your passion, work hard, and be open minded to have clear the opportunities and the markets needs.
"You have to be burning with an idea, or a problem, or a wrong that you want to right. If you're not passionate enough from the start, you'll never stick it out."
- Steve Jobs
You also may be interested in:
- 2020 New Business Trends of the Future to Know About
- What business can I start with $30k? - 2020 Guide