The Kenya Private Sector Alliance (KEPSA), in partnership with Business Partners International (BPI), hosted an exclusive entrepreneurial breakfast forum aimed at fostering inclusive business growth through access to finance for small and medium enterprises (SMEs). The meeting took place on April 4th, 2024, in Nairobi and attracted over 45 entrepreneurs who were taken through strategies for scaling their businesses.

Speaking at the event, Michael Muthengi, BPI Country Manager, highlighted the critical aspects of investment. He stressed what investors look for, key among them being clarity on the problem a business aims to solve, the needs it addresses, and its target clientele. He also emphasized the importance of factors such as location, business viability over the next five years, understanding competitors, technology impact on different age groups, addressing client pain points, and staying abreast of developing trends. He further delved into the investment landscape, emphasizing the significance of understanding financial metrics such as margins, turnover, expenses, supplier and client relationships, and cash flow management. He reiterated the importance of having a clear vision for the business, garnering support from friends and relatives, and surrounding oneself with individuals who champion the business's success.

Levi Injendi, KEPSA SME Trade and Investment Officer, urged the SMEs on the importance of joining membership organizations like KEPSA, which provide SMEs with opportunities and platforms to grow their businesses while providing technical assistance. While at it, he also shared about the Jiinue Growth Program, which seeks to elevate young women and young men-owned/led MSMEs by addressing the funding gap for young women and young men-owned/led MSMEs by pairing up financial support with technical assistance, and a hands-on coordination strategy between various players in the entrepreneurial ecosystem.  Mr. Injendi also highlighted key areas that KEPSA is supporting SME entrepreneurs with, including SME loans, support for SME diversification programs, accessing local and international markets, providing technical assistance to de-risk SMEs, and organizing an annual SME innovation challenge to help scale SME innovations.

SMEs play a significant role in the economies of many countries, especially in emerging and developing countries like Kenya. The Central Bank of Kenya (CBK) estimates that SMEs account for approximately 98% of all businesses in Kenya and provide employment to about 15 million Kenyans. However, they face numerous challenges, including limited access to financing, poor infrastructure, limited market access, regulatory constraints, limited access to skills and technical expertise, inadequate business support services, and volatile market conditions. By addressing these challenges, SMEs can unlock their full potential and contribute even more significantly to Kenya's economic development.

BPI's Senior Investment Officer, Jenipher Odek, stated that the organization is focusing on sustainable job creation and poverty alleviation through loans ranging from 10 to 100 million Kenyan shillings to already established businesses in Kenya. Additionally, she mentioned BPI's provision of asset finance for expansion initiatives.

Lucy Mitei, Gender Specialist at KEPSA, emphasized the importance of promoting gender mainstreaming to foster inclusivity and contribute to business outcomes. She highlighted the significance of implementing gender-responsive policies such as equal pay for equal work, diversity and inclusion, and safeguarding, among others. Ms. Mitei further highlighted that KEPSA has provided direction by developing a private sector Gender Mainstreaming Policy that private sector actors can customize to suit their needs and implement to strengthen gender responsiveness in the business and workplace as well.

During the interactive session, entrepreneurs gained insights into strategies for growing their businesses and navigating the financial sector to secure capital for sustainable scaling. They also learned about integrating a gender lens into their business operations. The event provided an excellent platform for networking among SMEs.