Is Ksh100k Enough to Start a Side Hustle?

Did you know that the average millionaire has seven income streams? We all dream of achieving financial freedom and becoming millionaires someday, but relying on a single source of income will hardly get you there—especially with the rising cost of living, tough economic times, and an unpredictable job market. Seeking additional income streams is now more crucial than ever.

Luckily, you don’t need a fortune to begin. Here are a few side hustles you can launch with Ksh100,000 or less.

Common Side Hustles in Kenya

Agribusiness

Agriculture is the backbone of every economy. In Kenya, it contributes 33% of the Gross Domestic Product (GDP). With the rising demand for fresh organic produce, farming presents a lucrative opportunity for generating income.

As an urban settler, leasing land on the outskirts of Nairobi, in areas such as Kiserian or Kajiado, could be a practical starting point. Land in these areas is relatively affordable, with rates as low as Ksh15,000 per acre, while those which have a water connection  will be slightly more expensive - up to Ksh 25,000. This land is ideal for cultivating seasonal crops like watermelons, onions, tomatoes, or maize.

For instance, watermelon farming is a profitable venture with relatively low production costs. According to Rich Farm Kenya, half a kilogram of watermelon seeds costs about Ksh11,000, sufficient to plant one acre. You will also need an employee to take care of the farm and this you can do for between Ksh8,000 to Ksh10,000. You could hire from the local community, or get a farmhand elsewhere, in which case you will incur an additional cost of about Ksh3,000 to get them a rental unit. 

You will need to set aside his salary for at least 3 months as you wait for the first season to mature. The potential returns are impressive. With an average yield of 15,000 kilograms per acre and an average market price of Ksh30 per kilogram, you could generate Ksh450,000 per acre.

However, this venture has various challenges. Fluctuating market prices for watermelons, difficulty finding reliable farmhands, and unpredictable weather conditions can significantly affect profitability. Other profitable agribusiness options include poultry farming or growing vegetables to cater to the increasing demand for high-quality food products.

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E-commerce or Retail stores

Online shopping has taken root in Kenya, thanks to platforms like Jumia, Kilimall, and social media sites. This shift presents an excellent opportunity to generate income by selling mobile phone accessories, personal care, or beauty products on these platforms. The barriers to entry are relatively low, with minimal startup costs.

For instance, you can establish a pick-up station in town by renting shelf space for as little as Ksh1,500 per month. You could then use the rest of the money to source items and market the products on social media platforms using Google ads. Since it’s a side hustle, you will need to work with a reliable rider who can pick and drop items and pay them per delivery. This setup is ideal for storing products for local buyers, ensuring a seamless shopping experience.

Additionally, traditional retail businesses like kiosks and M-Pesa shops remain lucrative ventures. With Ksh100,000, you can operate a sub-agent M-Pesa business under a licensed Safaricom agent. Here’s a breakdown of the costs:

• Minimum float requirement: Ksh30,000
• Business registration: Ksh15,000
• M-Pesa line cost: Ksh10,000
• Shop Rent and deposits Approximately Ksh20,000
• Operator’s salary: Ksh10,000/month

You will also need a permit from the county government and this may vary depending on the location. To succeed, ensure the shop is located in a high-traffic area to attract more customers. Sub-agent M-Pesa businesses are highly profitable, with monthly profits ranging between Ksh30,000 and Ksh50,000, depending on transaction volumes.

Whether venturing into e-commerce or a retail business, these opportunities offer practical ways to increase your income with a relatively small initial investment.

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Cleaning and Moving Business

Moving can be a stressful experience that requires time, energy, and resources. Many people find it overwhelming and often rely on friends or family for help. This presents a perfect opportunity to monetize the gap by offering convenience and ease through a professional moving service.

To start a moving company, you’ll need to identify your target market and develop strong planning, time management, organizational, and communication skills. With an investment of Ksh100,000, you can start small and grow your business over time.

Here’s how:

• Startup Costs: Use your initial investment to purchase essential items such as packaging boxes and fund marketing expenses.
• Truck Rentals: Instead of buying a truck outright, rent one for around Ksh5,000 to Ksh20,000 per move, depending on the size and duration of use.
• Hiring Staff: Contract staff to assist with the move. You can pay them approximately Ksh1,000 or Ksh 1500 each, depending on the workload.
• Service Charges: Moving service fees typically range from Ksh15,000 to Ksh50,000, depending on the scope of the job and distance.

Consider offering complimentary services such as house or office cleaning for additional income. Bundling cleaning services with moving packages can increase your appeal to clients and boost your revenue.

Read Also: Starting a Mitumba Business in Kenya: All You Need To Know

Boda-Boda Business

The boda boda business in Kenya is booming, generating about Ksh365 billion annually, as estimated by C&G. Most boda boda riders earn a daily profit of Ksh1,000. With a modest investment, you can tap into this industry and create a steady income stream.

You could start by;

Purchase a Boda Boda: Invest in a second-hand boda boda for around Ksh60,000.

Insurance: Allocate Ksh5,000 to purchase the necessary insurance for the boda boda.

Miscellaneous Expenses: Use the remaining funds for safety gear, minor repairs, or permits.

Once you have the boda boda, you have two primary ways to monetize it. Employ a rider and pay them a daily salary based on commission. This approach allows you to maintain ownership of the boda boda while earning regular income from its operations.

You could also rent the boda boda to companies offering delivery services, such as Sendy. These companies handle logistics, and you earn income without actively managing the operations.

Read Also: I Copied Someone's Business Idea and Lost Ksh400,000. Here's What I Learned

Local Tours and Travel Business

If you love travelling or exploring new places or activities. You could monetize this passion by helping organize short trips to scenic locations or fun weekend activities such as outdoor movies and & sip-and paint activities that allow people to unplug and rejuvenate. Organizing these events will require extensive marketing efforts on social media platforms. For out-of-town events, you can hire tour buses from around Ksh 16,000 or more depending on the seating capacity. 

Freelance Business

Freelancing is one of the easiest and most flexible ventures, especially if you have developed marketable skills during your professional career. Evaluate your skill set and passion and start offering your services on freelance sites such as Upwork and Fiverr.

Some of the in-demand freelance skills in the market include virtual assistance, digital marketing, web development, and online tutoring. Optimize your LinkedIn profile and social media pages to stand out and attract clients to showcase your expertise. Consider creating a professional website for your services. A well-optimized website enhances your credibility and improves discoverability through SEO, helping you generate inbound leads.

Wrapping Up

Starting a side hustle doesn’t have to drain your finances or consume all your time. The secret lies in assessing your passions and leveraging the available resources. Choose an opportunity that best aligns with your skills and interests.