Government and Policy

You Need More Than 14 Licenses To Operate A Hotel In Kenya

BY Juma · August 18, 2023 10:08 am

KEY POINTS

Stats from the Kenya National Bureau of Statistics indicate that at least 450,000 SMEs close shop annually in Kenya. This translates to 30,000 monthly and at least 1,000 daily.

The cost of doing business in Kenya is just out of this world. No wonder investors are closing shop and opting for other countries such as Tanzania, Uganda, and Rwanda. Running a successful business in Kenya is among the 1000 ways to die.

Shockingly, all the businesses dying in Kenya have the government of Kenya to blame. It seems the government does not care whether a business succeeds or fails provided they milk taxes out of it. Government policies are the number one killer of businesses in Kenya.

Statistics from the Kenya National Bureau of Statistics indicate that at least 450,000 SMEs close shop annually in Kenya. This translates to 30,000 monthly and at least 1,000 daily. Ironically, 1,000 businesses are registered daily in Kenya according to KNBS.

If you wanted to start a hotel in Nairobi or any other part of the country, you will need to possess more than 14 licenses, a failure to which you will not be allowed to operate.

Here are the licenses:

County Government License
National Government License
Music Copyright License
Signage License
National Environment Management Authority (NEMA) License
Ministry of Health license
Covid-19 License
Business Permit
Liquor Permit
Tourism Catering
Fire Inspection
Tourism Regulatory Authority
Workplace Registration
NSSF
NHIF

Many investors wanting to set up hotels in Kenya often give up on the approval processes and requirements. And the above are exclusive of bribes. Nothing in this country is given for free. You have to pay a bribe and this has chased away so many investors.

At one time, the then President, Uhuru Kenyatta, was on record saying that the success or the failure of a business does not depend on the government of the day. This formed one of the scariest and most ignorant statements ever made by a Head of State concerning businesses.

About Juma

Juma is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it. (020) 528 0222 or Email: info@sokodirectory.com

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