Here is What You Need to Become a Successful Businessman in Kenya

The majority of business people don’t succeed in the long term in Kenya. This can be proven by the fact that over 75% of all new businesses in the country fail within the first year of operation. To get on the 25%, here is what you need to become a successful businessman in Kenya.

Business success is dependent on various factors and skills that you need to compete effectively. These can be gotten through formal learning and business experience.

Become a successful businessman in Kenya.

Some of the key needs include;

1. Market research

You have to be conversant with the market before getting into the business. The only way to achieve this is through doing adequate market research. Some of the ways to do market research include doing surveys, engaging your potential customers, and speaking to existing business people.

Through research, you get to understand key details such as the market gap, pricing, and competition strength.

In return, this information helps you to come up with strategic business decisions such as where to set the business, the products and services to offer, and the best pricing approach.

2. Patience

Normally, a new business takes time before it can break even and become profitable. This is because, in the early days, not many customers know about it.

Hence, this creates the need to have patience and give the business a chance to grow. The amount of time it takes a business to break even differs. However, this could be in the window of 6 months to 2 years.

The more the business runs, the more customers know about it and hence the higher the chances of success.

3. Use of Technology

In the current business setting, technology has become almost inseparable from a business if you want to become a successful businessman in Kenya.

Technology helps you to engage your customers online and also reduces manual costs. Hence, you need to have a strategy for implementing technology in your business to become successful.

Some of the benefits of using technology include a reduction in operating costs and improved customer experience. Key elements that contribute to the long-term success of the business.

You don’t need to have deep technology but start with some basic basics such as having a social media business page and creating a business website.

Later when the business grows, you can do more automation.

4. Having adequate capital

You need adequate capital if you want to become a successful businessman in Kenya. This is the amount of investment you put in as the business owner to get it going.

Some of the key uses of capital include paying for permits, paying premise rent, paying salaries, and meeting emerging costs.

Capital is necessary to keep the business running until such a time when it can sustain itself. Hence, this creates the need to have reserve capital that can run the business for at least 6 months.

Inadequate capital is one of the reasons why most businesses fail as the owner is unable to sustain it until the breakeven level.

Some of the key sources of capital include savings and loans either from family and friends or commercial institutions.

5. Legal compliance

Every business must comply fully with the set regulations to run legally. In Kenya, there are various set laws that you need to meet if you are running a business.

Some of these cover elements such as permits and licenses, tax payments, and labor laws that cover your employees.

Lack of compliance could lead to legal consequences such as prosecution or business closure. Hence, this is why it is necessary to ensure compliance if you want to become a successful businessman in Kenya.

Below is a recap of what you need to become a successful businessman in Kenya.

1. Market research
2. Patience
3. Use of technology
4. Having adequate capital
5. Legal compliance