With Shs 3 million, a teacher started a phone shop in Hoima. Now he's earning profit of Shs 40 million per year
Today, I want to share with you another business story with the permission of the business owner of course. I always have to get permission from our clients to share their private information we access during the course of doing our work with them.
The story that am sharing is of a secondary school teacher who runs a business that last year made over Shs 250 million in revenues having made less than 500k in their first year.
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As a teacher earning a meagre salary, he always wanted to find something to supplement his salary. The first thing he did was take on a job to supply sugarcane to Kinyara Sugar Works in Hoima where he hails from.
This business however didn't last beyond five months and left him Shs 8 million in debt. He abandoned it and started a restaurant which also closed after about four months.
Disappointed and with no job and responsibilities over his siblings, he decided to take a teaching Job in Bushenyi miles away from home.
Shortly after that, his young brother completed S4 and but he couldn't push him further. So he decided to ask the brother to come to Mbarara where they started a phone shop selling phones and phone accessories.
The business was bringing in some money but it wasn't enough to support the business's running costs so after some time they closed it and decided to go back to Hoima.
During this time, he enrolled his brother in a school to learn how to repair phones because it was his passion so when they went back to Hoima, starting a phone repair business was the only logical thing to do.
With Shs 3 million he rented a place, bought some phone repair tools and a few phone accessories to sell. In Hoima they were home so costs were low making it easier than it was in Mbarara but also this time around his younger brother had learned phone repairing skills.
They started slowly and the business started picking up slowly. To date, four years later they have stock worth Shs 80 million and make about Shs 900,000 daily in sales.
They supply phone accessories in the whole of Hoima and Bunyoro sub region. They made almost Shs 40 million last year in net profits from about Shs 180,000 in their first year and look to grow the business further.
He still teaches at a local school as his young brother runs the phone business. From the business he has started an electrical shop with about Shs 30 million. His target is to reach at least reach Shs 100 million in net profits annually in the next two years then quit and start a hardware and construction company something he's always dreamed of doing.
Jaluum Herberts Luwizza is a Speaker,Writer and Business Columnist with the Nile Post. He is also a Business Consultant at YOUNG TREP East Africa's No.1 Business Management and Consultancy firm that helps people start and grow profitable businesses.
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