For ‘young’ people, starting your very own business and becoming self employed is the most suitable alternative to the ever growing hard to get 9 to 5 jobs. Starting a business is always the best alternative to the ever elusive jobs.
A survey by the Kenya National Bureau of Statistics (KNBS) revealed that seven (7) million Kenyans are unemployed. An additional figure of over 1.4 million are actively looking for employment. With those figures, it is easy to see why more and more people are looking for alternatives.
Because we know very many business ventures require huge amounts of capital to get started, this new How To series will only show you how to start and execute several small business that require capital from as little as 5,000 Kenyan Shillings. Thus giving you the keys to the kingdom of starting a profitable business with little or no capital.
If you are also just looking for a side hustle to maybe supplement your 9 to 5 or full time job, this is for you.
All that you need to thrive in these businesses besides capital, is good customer service of course, great managerial skills, a suitable business location, and a clear cut vision.
Today’s article will show you how to set up your very own Car Rental or Hire business in Kenya. While this is not exactly a 5,000 Kenyan Shillings capital business, I am sure you would agree that this is also a very viable option.
The car hire or rental business, is one that has slowly been picking up steam in Kenya. One major attraction of this business, is that you do not even need to own any of the cars yourself. You can enter into agreements with car owners and bring them on board as subcontractors, while taking a percentage off of each successful transaction.
How To Start A Car Rental or Hire Business In Kenya
How much do you need to start a Car Rental or Hire business? What paperwork, and or equipment are you required to have in Kenya? If you are considering this option, here is everything you will need to kickstart your Car Rental or Hire business in Kenya.
- Register your car rental or hire business. The Kenyan law has made it mandatory that all businesses operating in Kenya, must be registered. Doing this will benefit you greatly, because it guarantees that your Trademark is protected and your business name will not be stolen or appropriated by anyone else. Registering your business, also gives you the ability to set up a business bank account as soon as you have a business name certificate. In addition, banks in Kenya will only approve and provide loans to businesses that are registered.
Business name registration, is done online in Kenya. To register and choose your business name, simply:
- Log into eCitizen. If you do not have a eCitizen account, please create one.
- Next, find and select the Business Registration service option.
- Select Get Service.
- Once done, select the Make Application option. It should be on the eBusiness Page.
- Next select the ‘Name Search’ option as well as the ‘Reservation’ option. They are both available in the List of Services section.
- Go through the terms of service.
- Once done, select the ‘Apply’ option at the bottom of the page.
- Fill up the form for your Business Name Search and select Continue.
- Make sure you review your application details before finishing the application.
Please bear in mind that the Business name reservation will cost you 150 Kenyan Shillings and takes at least one (1) day to review and approve. Approval is not however, guaranteed and your application can be rejected. Business name reservations, expire after 30 days.
After your business name is approved, you can them move on to registration. Your registration certificate will be made available for download on your eCitizen account after a few days.
2. Business permits and licenses. This is very important for your car rental or hire business. These licenses, can be acquired directly from the government in your county.
3. A great location and business or office space. A Location. As with most businesses, a good location is one of the major factors that determine whether or not your car rental or hire business will succeed. Look for spaces that are easily accessible and close to other business or facilities that would require your services.
4. Purchase Cars or Look for Car Owners to subcontract. If purchasing your very own cars for the car rental business is a bit on the high side for you, you can instead start with outsourcing said cars. Look for or get in touch with car owners who would be interested in making additional income with their cars. Bring them on board. This goes without saying, but ensure that you pay them on time whenever you use their cars.
5. Marketing. You can execute this by making use of sponsored ads on the various social media platforms available today. You can also ask your clients to refer others. Maybe include a special discount too to spice things up. Feel free to utilize platforms like Rent And Return, OLX, Pigiame, as well as other major service platforms.
And that is it! All you need to know about starting your very own Car rental or hire business. Everything from weddings to Nongovernmental organizations (NGO), to even government parastatals and institutions need car hire services from time to time, making this a business venture to consider for entrepreneurs.
Is the Car rental or hire business suitable for you? That question, is left for you to think on and answer. This writer’s goal is to open your eyes to the various entrepreneurial opportunities that abound in the country.
Also while the prospects are very promising please have a realistic approach as well. As with any business, there is a chance that you might incur losses. Especially at the beginning, so keep your overheads low.
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