Think big, start small and start now, says Kenyan entrepreneur
Eric Kinoti is the 27-year-old founder and managing director of Shade Systems East Africa. He talks to How we made it in Africa’s Regina Ekiru about his journey from cashier to successful businessman.
Eric Kinoti
How did you get into business?
I got into business in 2004 while working as a cashier in Kenya’s coastal town of Malindi. I would travel across the country to source for eggs, which I supplied to tourist hotels. After the post-election violence at the end of 2007, I relocated to Nairobi and took up the job of sales representative at a local bank. I noticed the high demand for milk and began distributing milk to hotels in the morning before I reported to work.
It is during this time that I met someone who wanted a tent. I made the supply and was shocked at the high margins involved in the business. I decided to raise approximately US$670 as capital and started Shade Systems East Africa to manufacture and supply tents. This has been very successful. Currently we employ 18 permanent staff and 12 others on contractual and part-time basis. Our target is to double our current monthly turnover. It is no easy task, but it is doable.
What products does Shade Systems East Africa offer?
We manufacture and supply military and relief tents, branded gazebos, restaurant canopies, car parking shades, marquees, luxury tents, wedding party tents canvas seats and bouncing castles across the region. We have made supplies to Sudan, Somalia, Congo and Rwanda, mostly to non-governmental and humanitarian organisations purchasing relief tents for personnel and refugees. We have overcome competition from Asian-owned enterprises founded decades ago to carve a niche for ourselves in the industry. We are ridding on innovation, quality and customer-friendly prices.
What challenges have you faced?
Being in the manufacturing industry, which is highly capital intensive, we have encountered cash flow problems. As a small start-up, earning the trust of potential clients was not easy. We have proved wrong the sceptics who felt we were not up to the task. We have been able to deliver beyond their expectations and ultimately won their trust
As a successful entrepreneur, what is your advice to other aspiring business people?
On entrepreneurship, I think today’s youths are highly innovative but have been inhibited by, among other things, the lack of capital. Ignorance and the usual ‘thinking-inside-the-box’ have crippled the entrepreneurial desires of many youths. Most have succumbed to pressure from family and friends to go for job opportunities and have a stable life as opposed to taking the rough terrain of entrepreneurship. Education should foster innovation. To succeed they should take the risk. Youths should not wait to have a lot of money before they can venture into business. They should think big, start small and start now.
What’s next for the company?
We will soon be establishing manufacturing plants in Kigali (Rwanda) and Blantyre (Malawi) in a bid to widen our regional reach. In five years’ time we will be among the top ten mid-sized firms Kenya. In our projections we should have an annual turnover of around $5.5 million and have set footprints across the entire region. We have also recently registered another firm, Multi-Trading Limited, which will deal with supplies for the military, hotels and restaurants, schools and relief agencies. This will help expand our portfolio.
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this is just too awesome i love seeing great guys like this in Africa, there no doubt that Africa got talent to build life providing solution, all i can say is we shouldn’t stop putting in more efforts to get this working, only Africans can build solutions for African problems.
I see that Shade Systems is expanding to Blantyre Malawi, am a local and interested in his products, how can i get in touch?
you know I’m siting here devastated not know where to start I’m currently working in Dubai but from cape town.As I have big business concept but just need to meet right people I think I will make it big like Eric kinoti big broer proud of you man.
please any one who have an interest for the investment please touch me here couse I have got huge project concept which is very productive for our brothers and sisters, black ownership and empowerment is concern.you can contact me here gqibavuyani@gmail.com contact is 00971 5571 05260 please dont use this contact for wrong purposes please.thank you
I would like to say am encouraged, motivated and happy for this guy. I’ve been wondering all along as to where l will get large sum of money as capital. Well this guy’s motto or concept of “think big, start small and start now” have really put me into drive mode. I am a small scale miner for gold. Thanks for this article, keep up the good work. Africa Arise and Shine!!!!!!!!
happy 4 u eric really wish to share wat am going thru the ideas i have and need an advice
hi
what an interesting read,
i am alos involved in south africa, and supply in southern africa mainly all relief canvas tents safari tents etc, we carry stock of pvc tents blankets and all military tents and equipment in pretoria, please do contact me as i would like to work with you for east africa market,
kind regards
aadil ayob
army surplus stores
60 mitchell street
pretoria west
gauteng
south africa
0027123273282
aa@relief.co.za