How to Start a Delivery Service Business in Kenya

This article will provide you with detailed information on how to start a delivery service business in Kenya.

Kenya’s economic environment has improved, and numerous investors have opened businesses in all major towns. As a result, there is a greater need for the rapid distribution of products and packages, which the national postal service has been unable to provide adequately.

However, the few large courier businesses that dominate the market have not been able to provide the kind of efficiency that most customers expect.

In Kenya, delivery services have become a rapidly expanding industry. Most enterprises and businesses strive to increase their online presence by providing delivery services to their consumers; you can take advantage of this trend by purchasing a motorcycle and advertising your services online.

How to Start a Delivery Service Business in Kenya

1. Acquire transportation

New motorcycles may be purchased for less than Ksh 100,000. Three motorcycles and a modest storefront in town will get you started. Another option is to buy a cheap secondhand car and a motorcycle. You will also need to rent an office space. Rent on an excellent stall ranges from Ksh.4 000 to Ksh.15 000 per month in Kenya.

2. Choose a location

Given that your company’s success is less dependent on passing foot traffic, you have more flexibility in choosing a location for an office. Situating your business outside CBD or on a higher floor is cheaper. Perhaps then you won’t have to pay goodwill fees or excessive rent.

3. Get a business license

The Communications Authority of Kenya regulates courier services. To begin, you must apply for the Ksh30 000 intra-city license. This will allow you to deliver packages across every major city in Kenya.

For delivery services, motorbikes can get the “town operators” license, which also costs Ksh30 000. Larger businesses can apply for a regional license for Ksh50,000. You will also need a single business license which costs around Ksh20,000 per year. Liability insurance is something to consider in addition to getting the necessary permits.

4. Get the necessary equipment

Making sure you’re prepared for the market takes a little work, but it pays off in the long run. The first step is to modify your motorcycle or vehicle by adding a compartment for carrying small packages.

5. Market your business

Prospecting is one of the most inexpensive and productive ways to find new customers. To achieve this, you’ll need to make cold calls and knock on prospective customers’ doors to expand your network. Provide your prospective assurance and confidence by promising you’ll give them more personalized service than the big corporations.

Distribute your business cards. You should also coordinate with local businesses that get a lot of foot traffic so that you may leave a stack of your company’s flyers for regulars to read.