How to Start a Logistics Business with a Pickup in Kenya

Are you looking to venture into the logistics business in Kenya but don’t know where to start? Maybe you already have a pickup—or you’re considering purchasing one—and want to turn it into a profitable business. The good news is that you don’t need an entire fleet of trucks to get started. With just one pickup, a solid plan, and a bit of strategy, you can establish a sustainable logistics business.

Here’s a guide to help you kickstart your logistics venture with a pickup truck in Kenya.

1. Purchase a Pickup Unit

First things first, you’ll need to acquire your pickup truck. The cost of a good pickup unit in Kenya ranges anywhere from 500,000 KES to 2 million KES, depending on whether you’re buying new or used.

There are multiple ways to finance this purchase:

• Personal Savings: If you’ve saved up for a rainy day, now is the perfect time to put that money to use.
• Bank Loans: Many Kenyan banks offer loans specifically for vehicle purchases. Be sure to shop around for the best interest rates and repayment terms.
• Family and Friends: If you have a strong support network, don’t shy away from asking for help in raising the money. Sometimes, a family loan can give you the head start you need.
• Chama or SACCO Funding: In Kenya, group savings schemes like chamas and SACCOs are a trusted way to pool resources. You can also seek financial support from these organizations to help fund your vehicle purchase.

The key is ensuring you have the right truck for the job—one that can handle the wear and tear of transporting various types of goods across different terrains. Once you have your pickup, the journey really begins.

2. Keep Your Pickup Well Maintained

Your pickup truck is the backbone of your business, so keeping it in good condition is critical. Regular servicing will prevent breakdowns and ensure your vehicle runs efficiently. Maintenance includes everything from regular oil changes and tire checks to engine servicing. A breakdown in the middle of a job not only costs you money but also damages your reputation.

Additionally, make sure you have comprehensive insurance for both the vehicle and the goods you’ll be transporting. This ensures you’re covered in case of accidents, theft, or damages.

3. Join a Chama or SACCO

In Kenya, chamas are more than just savings groups—they are key to community-based financial empowerment. Joining a local chama or SACCO is an excellent way to access financial support, business networks, and welfare benefits.

Here’s what you should know:

• Registration Fees: Joining a chama typically requires a registration fee, which can range from 10,000 KES to 200,000 KES, depending on the group.
• Benefits: Once you’re a member, you’ll gain access to financial support like loans that can help grow your business. Some chamas offer welfare benefits like insurance or even support during tough times.
• Loans: Many chamas provide low-interest loans to their members, allowing you to purchase additional pickups or invest in expanding your logistics business.

Not only can you access funding, but the networking opportunities alone can help you gain more business as other members refer clients your way.

4. Decide: Will You Drive or Hire a Driver?

Here’s where you have to make an important decision: Will you drive the pickup yourself, or will you hire a driver?

If you’re driving, then you’re all set to get started! Driving yourself means you’re saving on driver wages and have more control over your business operations. In fact, if you’re driving your pickup full-time, you can generate between 50,000 to 70,000 KES per month, depending on the gigs you land. That’s a conservative estimate, but it gives you a sense of the potential earnings.

On the other hand, if you’re hiring a driver, make sure they are trustworthy, experienced, and have a valid driver’s license. The better the driver, the better your chances of maintaining a good reputation with clients. Keep in mind that you’ll need to account for the driver’s salary, which will impact your profits.

5. Maximize Your Gigs: Join Our List of Drivers and Truck Owners

Now that your pickup is ready for business, how do you get consistent gigs?

One way to ensure you have a steady flow of jobs is by joining platforms like To Somewhere Logistics, which connects drivers and truck owners with customers in need of logistics services. Whether it’s short hauls, long-distance moves, or recurring delivery contracts, our platform helps you maximize your business opportunities.

By joining our network, you’re increasing your chances of securing well-paying gigs and growing your business.

Sign up here: Driver and Truck Owner Sign-Up

If you hire a driver, make sure they also sign up on the platform. This ensures they get access to the same opportunities and helps maximize your business’s potential.

Final Thoughts

Starting a logistics business with a pickup in Kenya is a viable and lucrative option if you have a solid plan and the right resources. With an investment of 500,000 KES to 2 million KES for the pickup, careful maintenance, a supportive community like a chama, and access to consistent gigs through platforms like To Somewhere Logistics, you’ll be well on your way to success.

Whether you choose to drive the pickup yourself or hire a driver, the opportunities are endless. You just need to get started. Ready to kick things off? Join our network today and tap into a steady stream of gigs.

Sign up for more gigs here: Driver and Truck Owner Sign-Up