If you earn less than 50,000 you can still start a side hustle. The goal is always to have more cash flow. Having a business that earns you even 200 shillings a day is great.

So what businesses can I start?

Before you consider the type of investment you want to get returns from, here are primary factors to consider:

• Level of income: If you were to take part of your savings today and invest in income-generating activity, would you survive on the little left? Your level of income determines the type of investment you can afford.
• Nature of venture: A good investor takes time to understand what they want to invest in. Learn the basics about the investment opportunity, risks involved, how you will get returns and market.
• Risk: Well-done research and due diligence can help you understand not just what you stand to gain from investing, but also what you could lose. Calculating your risk and reward on investment is an essential skill to stem financial anxiety as well as naivety in investing.
• Returns: How viable is the business model or type of investment? What value do you receive from investing in it? Answering this gives you a clear conscience to do more research, learn and weigh your investing decisions clearly.
• Source of investing funds: Are you investing with money from savings or debt money? The latter is risky and should only be considered on investments yielding returns you are guaranteed on. i.e real estate.

Business investments for people earning less than Ksh 50,000 ($500) in Kenya

If you earn less than 50,000 you can consider these business options:

1. Jewellery and accessories

According to Solitary Centre, the fashion industry employs more than 75 million workers globally. A ready market is available for all favorably competing products.

With digital marketing, you can source assorted jewelry from Kamukunji and River Road, Nairobi, at Ksh 2,000. Sell to your immediate friends and family. From the initial capital investment amount, you can get up to 100% profit.

This is a great investment option if you easily keep up with trends. The advantage of this is;

• The risk in starting this is minimal
• Capital to start is fairly affordable.
• It requires minimal marketing efforts
• The returns are little but progressive

2. Women’s wear

Every Friday night, boutiques in Nairobi CBD stream in with female clients. With the nature of festivities over the weekend, many women invest in quality attire.

To succeed in this kind of venture, one needs to have an eye for detail.

Thrift stores are making a lot of money by offering more affordable options to their target market.

The advantage of women’s wear is;

• There will always be a demand for it.
• It is not labor-intensive.
• If you have an eye for detail, market prices are unregulated.
• Research on trends will keep you informed on the latest fashion wear

3. Baby clothes

One industry that has always thrived is the baby industry. Baby clothes can be gotten from Gikomba, washed, and re-sold. There are few women who have shared their mitumba success stories from selling baby clothes; an example is a family of three sisters who ventured into the business with a capital of only 10,000.

Click here to read their story.

4. Agribusiness

With less than 50,000 and arable pieces of land at home; you can start farming. Research on what the market needs and supply it. Do not settle for agricultural goods that exceed the supply at the market.

Bizna Kenya highlighted the story of a man who started his Kuku choma business with Kshs. 10,000 and makes 200,000 monthly.

In agribusiness, you can choose which end of the supply chain to invest in.

Producers: Are the farmers in charge of farming. Choosing to be a producer requires one to have access to land. For rare animals or plants, a huge investment has to be in place.

• Processor: They own technology that brands or processes the final products from the farm.
• Wholesaler: You can choose to bridge the gap between producers, consumers, and retailers by stocking up on fresh produce.
• Retailers: Choosing to be a retailer gives you direct access to consumers. Investing in retailing will have you enhancing products. You can make profits from adding value to the final product. For example; if you have a butchery you can decide to sell nyama choma.

5. Furnished apartments

Local tourists now prefer Airbnbs over hotels. Investing in furnished apartments may be ideal. After thorough market research, you can take a risk in the venture.

6. Technology products

Many new-age billionaires attribute their wealth to cryptocurrency. Remember the Belgian billionaire who gifted his Kenyan girlfriend over 100 million? His wealth was built from cryptocurrency.

The best investment you can make currently is in digital products. They increase in value over time. Research on the best financial digital products to invest in.

7. Food Business

The food business has always been a booming business. With the right marketing, you can make a turnover in your investment. Think about the local around where you stay, how much do you think they make from selling fries?

Or the woman who sells and delivers fish online?

The food industry will always be a good investing option.

Questions to ask before investing in the food industry:

• Always have an end goal in mind while investing in the food business.
• How can you serve your current base of clients better?
• What value can you add to attract more customers?
• How much are you willing to invest?
• Are you getting any return on investments?

Financially Fit offers education on investment options, click here to learn the best investment options for your income.