How to start an online business in Kenya with Little or no Capital

Gone are the days where 9 – 5 jobs were the only way to make steady incomes – this is what you should know when starting an online business in Kenya with little or no capital.

The internet is arguably the most important invention of the modern era. It has helped create millions of job opportunities where none existed. Rolling back the years, who would have imagined that one day anyone with a computer could open a shop in Nairobi and use Facebook to sell the products instead of renting a physical stall? That one could operate a whole company that serves thousands of people using nothing but a PC and some internet connectivity?

Gone are the days where 9 – 5 jobs were the only way to go about making a steady income. Thanks to the internet, we now have genuine reasons to consider quitting our jobs and starting online businesses in Kenya. But as with all important decisions that we often face, the most difficult part taking action. There always seems to be a million reasons not to do it. “I don’t’ have the capital”, “it’s too risky”, “what if it fails?”, “I’m not good at managing people”.

The best way to overcome the fear of starting a business is by focusing on the end results rather than the action itself – the life you could be living. Besides, the worst that could happen if it failed is that you would have to find a job. Here are a few things that you can do when starting an online business in Kenya with little or no money.

1. Bootstrapping

Bootstrapping is the idea of funding a startup using only the resources which are readily available. Such may include the cumulative skills and experience within the team, working from home instead of an office, doing all the work instead of hiring people, using personal savings in instead of taking loans, etc.  A startup that boostrapped in its early days will not have many liabilities such as bank debts or annoying investors that have a say in every decision. Check out some other realistic sources of funding that you can leverage when starting out.

2. Avoid silly costs

Costs are a natural part of operations. A company with zero expenses is like a human that does not eat food. The key thing here is to draw a line between the fundamental expenses that are necessary for the life of the company, and the ones which add no meaningful value.

For instance, working from home is much cheaper than renting an office. Making calls on Whatsapp is a lot cheaper than the traditional phone calls. Regular business cards are cheaper than the fancy ones. Social media is a cheaper alternative to the other marketing mediums such as newspapers. A business that can avoid costs equating to 500 Shillings each day would end up saving almost 200,000 Shillings at the end of the year. Every little expense can compound and become a lot if you look at it in the long term. Avoiding silly costs is the mantra of many millionaires and billionaires all around the world.