Entrepreneurship is being promoted by government as one of the ways that could help reduce youth unemployment, increase household income and also spur the national economy. However, many of us fear to engage in business thinking that one needs huge sums of money in start-up capital. The situation is made worse with most banks not ready to fund new businesses, especially small-and-medium enterprises (SMEs). However, worry no more as one can be able to start with as little as Rwf5,000 or Rwf10,000, depending on the type of enterprise, of course. The more ambitious ones can comfortably use Rwf100,000 for a small venture in retail trade, including airtime, mobile money, setting up a neighbourhood shop or engaging in produce trade. Remember, the idea is getting started and growing the business, one step at a time. Experts agree that having a clear business plan is the most important thing one needs to guide their entrepreneurship journey.

Claudine Muhawenimana, a resident of Kicukiro town, says she started her small business with Rwf5,000. Muhawenimana sells ground nuts, avocado and vegetables, including tomatoes. She says her venture has now expanded and she has a stall where she earns Rwf25,000 per day.

"I have been able to look after my children with money raised from this business. So, it’s advisable that one starts small and expand the enterprise after saving more money and gaining experience,” she says. She adds that people have to be aware that there will those who are bent on discouraging their efforts, saying that the best way to treat those with negative energy is to ignore them and stay focused on your goals.

Protais Zigiranyirazo, a small retailer in Gisozi, says he invested Rwf12,000 as start-up capital. The trader says for one to survive in business, they must be ready to work hard, persevere during bad time and invest time to learn how to manage their business.

Hans Maniraguha, from Click Limited, a company that deals in the web and software development in Kicukiro District, believes that passion is essential for one to join business, arguing that if one has a lot of money but they are not passionate or have no motivation to grow the enterprise, they will eventually fail and the venture will collapse.

"When you have the passion, especially for start-ups in whatever sector, everything else is possible,” he adds.

However, he emphasises that there are businesses that need a lot of start-up capital and there are those that need little money and patience to grow them.

Young business owners speak out

On the other hand Patrick Buchana, the founder and CEO of AC Group, which deals in introducing the cashless (software development), says there is no problem if one has the capacity to start big, but adds that "not all of us can begin on large-scale” because we have different capacities as far as raising the initial capital for the business is concerned.

"So, don’t be held back because you have Rwf300,000 if you had plan for a project of say Rwf1 million. Go right ahead and set up the enterprise as you mobilise more funds,” Buchana advises.

Prince Mugisha, the owner of Prince Shop in Downtown Kigali, says one should never throw their dream to the wind "because they think they have little money to start”.

He says the beauty of opening a business with ‘small’ money is that it will give you time to learn and develop your other skills like marketing abilities and enterprise management.

Mugisha, who vends airtime, cash power, and offers mobile money transfer services and agency bank services, says with better skills and customer care one can grow the small business into a big enterprise in a couple of years.

"Businesses, like selling airtime cards, mobile money services or agency banking do not require a lot of machines and warehouses to start. If you have good services, customers will not care whether you are working from small space or not. They care about the kind of service you offer and how you handle them,” he says.

Deborah Ingabire, the country director of AISEC, an international non- governmental organisation that provides leadership and entrepreneurship skills to young people and women, says the wrong perception among the public that one needs a lot of money to start a business is affecting efforts geared toward job-creation. Ingabire says many youth have abandoned their planned ventures "because they feared to be laughed at by peers if they started small businesses”.

More informal sector players

Some businesses require determination and innovation. Jack Nshimiyimana, who sells fruit salads, says he buys about Rwf2000 worth of fruits and vends them door-to-door, especially in offices. He makes Rwf1,000 profit per day.

Murenzi Fred, a sorghum dealer, says the business does not need huge sums of money to start, adding that with Rwf10,000 or Rwf20,000 one can trade in dry beans or onions.

So, listen not to people that are saying that you need Rwf2 million or Rwf5 million to start a small business. Those types of people are condemning you to poverty and dependence syndrome, in the process suffocating your dream of becoming an entrepreneur and a job-creator.