Kenyans who run businesses that don’t have day jobs, popularly known as sideline jobs, still want a full-time job.
According to a report of a survey by the SME consultant Viffa Consult, 85 percent of Kenyans who have part-time jobs are looking for formal employment despite profitable ventures.
Meanwhile, a similar margin of 85 percent of respondents said their side businesses are profitable.
Victor Agolla, managing director of Viffa Consult, has associated the insatiable love for 9 to 5 jobs with social norms which, on the contrary, prevent secondary jobs from developing into full-fledged companies.
“I think Kenyan society has not fully understood entrepreneurship as a way to make a decent living, and it shows in the way business is started. 90 percent of sideline jobs remain low while 79 percent of companies remain informal, ”he said.
“Society’s attitudes towards self-employment and entrepreneurship can be changed by incorporating it into the overall curriculum and sharing more stories about successful businesses.”
Starting a side business as a premium remains the greatest motivator for creating businesses before investing disposable income and retirement plans.
Agriculture and construction are the most preferred ancillary businesses ahead of media and entertainment, business services, education, transportation, wholesale and retail, financial services, ICT and hospitality.
Despite the rise in online retailing in recent years, 62 percent of part-time workers said they didn’t sell their products online, partly due to the type of businesses that, among other things, prefer a brick and mortar model.
“Formal retail penetration in Kenya is generally low (less than 30%) and e-commerce is even lower, at less than 5%, due to various factors such as a lack of trust and a lack of systemic addressing system,” added Agolla added.
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