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How to start and own M-Pesa business | Cost of starting M-Pesa shop | Requirements for starting M-Pesa shop


Safaricom introduced MPesa, which is a mobile-based money transfer service, in March 2007. Because of the large number of individuals who need to send and receive money, pay for products and services, and transact business, the MPesa business is growing increasingly popular. MPesa stores are profitable and extremely simple to set up and run.

Requirements for starting M-Pesa

– One must incorporate their MPesa firm as a Limited Company. The business should have been open for at least six months.

– You must have at least three stores that are run by a registered limited business.

– You must make an initial investment of Ksh 100,000. You must also verify that the same amount is maintained in all stores.

– Make certain that your Mpesa firms are operating in separate counties.

– To obtain an MPesa line, you must give Safaricom with business licences for each of the stores, VAT and tax certificates, police clearance certificates, and a banking license from a respectable financial institution.

– The MPesa agent head office application form and the MPesa agent shop application form must then be completed.

One can join the M-Pesa business either as an agent or sub agent

Agent or Dealer

Working as an agent is more profitable than working as a sub-agent. You must complete the whole registration procedure. Safaricom directly pays MPesa agents.  

As an agent one will expected to invest the following amounts;

  • Kshs 100,000 per outlet for float.
  • Kshs 100,000 for SIMEX (SIM replacement cards).
  • Kshs 100,000 per outlet for additional outlets for float.


It is less expensive to operate as a sub-agent rather than an aggregator. MPesa sub-agents are the most common and are located throughout the country. To run a sub-agent MPesa company, you must be employed by a licensed Safaricom Agent.

It is the agent’s responsibility to supply the sub-agent with a till for transactions. Sub-agents are paid 80% commission, while the agent is paid 20% commission directly by Safaricom. MPesa sub-agents must keep a minimum float of Ksh 30,000 in Mpesa.

Cost of starting M-Pesa

For Standard Outlet

In Kenya, a basic Mpesa store costs at least Ksh 400,000. The following is a summary of the beginning costs for three Mpesa agent stores in Kenya.

  • Least float of Ksh 100,000 in every store – Ksh 300,000
  • Business registration – Ksh 15,000
  • Branding – Ksh 20,000

For a sub-dealer

You would require roughly Ksh 70,000 to establish a Mpesa sub-dealer firm. A minimum float of Ksh 30,000 is required. You will additionally require Ksh 15,000 in goodwill for the non-aggregated line. However, you must work for a licensed Mpesa agent and pay them a commission for utilizing their line.

Cost of M-Pesa Line

The cost of a Mpesa line is determined by the agent with whom you are dealing. For a Mpesa line, the agent might charge you between Ksh 10,000 and Ksh 20,000. In addition, you must have a minimum float of Ksh 10,000 in your line.

Challenges facing M-Pesa business

  • The competition is high
  • Attacks by thieves
  • Adherence to Safaricom’s strict rules.
  • Mpesa shops require high startup capital.

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I am a writer, an author, communication expert, a linguist, Kiswahili specialist and media enthusiast whose ambition is to give media and journalism a different and new perspective. I hold a B.A degree in Kiswahili and Communication from the Catholic University of Eastern Africa, CUEA.