One of the most profitable businesses in Kenya today is a point of sale (POS) operation. It entails providing financial services like money transfers, airtime purchases, utility bill payments, and insurance premiums among others. It draws a lot of people who wish to start their own business as a result. What is the minimal cash needed to start a POS firm is one of the most commonly asked questions by business owners looking to launch one.
The amount of capital needed to launch a POS firm varies depending on a number of variables, including location, size, and services provided. A POS firm typically needs a capital investment of Ksh 50,000 to Ksh 100,000. This sum pays for costs like buying a POS device, renting space, and initial transaction float. It is crucial to keep in mind that this sum is flexible and could be larger or lower based on the particular needs of the company.
The services provided are a determinant in a POS business’ success in addition to the quantity of money needed. Money transfer services like M-PESA, Airtel Money, and T-Kash are some of the services that draw enormous transaction volumes and produce substantial revenues. Payments for utilities like energy, water, and internet are becoming very popular. Additionally, selling airtime and insurance premiums is an excellent method to create extra revenue streams.
If you’re wondering what to do with Ksh 20,000, you may use money to launch a small POS company. Finding an appropriate area with a lot of foot traffic, like a market or busy shopping center, is the first step. Then, you can obtain a POS device by leasing or buying one from a financial institution. You can build up a little kiosk and get some float for transactions with the leftover money.
You must provide in-demand services like M-PESA transactions, utility bill payments, and airtime purchases in order to earn Ksh 2,000 per day from a POS business. To draw in more clients, you should also make sure that the company is situated in a busy neighborhood with lots of foot traffic.
In conclusion, a minimum capital investment of between Ksh 50,000 and Ksh 100,000 is needed to launch a POS firm in Kenya. However, this sum could change based on the particular needs of the company. Offering in-demand services like money transfers, utility bill payments, airtime purchases, and insurance premiums is crucial for the firm to succeed. Additionally, drawing a large number of consumers and making a lot of money depends on the business’s location.