MPesa is the most popular mobile money service in Kenya. Operating an M-Pesa agent shop is a growing, lucrative business as millions of people use M-Pesa every day. MPesa is a mobile-based money transfer service launched in March 2007 by Safaricom. The MPesa business is increasingly becoming popular due to the high number of people required to send and receive money, pay for goods and services and transact business.
How To Start Mpesa In Kenya
Starting an M-Pesa business is free. When starting an M-Pesa business, you need to choose whether you want to be an M-Pesa Agent/Aggregator or a Sub-agent. There are no charges for whichever category you choose. However, there are requirements you must meet.
Requirements for M-Pesa Agent/Aggregator
- You must have a registered Limited company that has been in operation for the last six months
- Have at least three outlets operating under a registered limited company
- Make an initial minimum investment float of Ksh 100,000
- Maintain a minimum float of Ksh 100,000 in every outlet
- The outlets must be spread over two different counties
To become an M-Pesa agent, you will need at least Ksh 400,000 to hire staff, M-Pesa float and outlet rent. You also need to know that becoming an M-Pesa agent or sub-agent does not make you an entrepreneur. You are an employee of Safaricom. You share your earnings with Safaricom. Safaricom will get its share for every transaction you make, while you will also get your share.
How to Become an M-Pesa Sub-agent
M-Pesa sub-agents are the most common and they are the ones you often see and visit. To become a sub-agent, you must work under a Safaricom Agent. They are the ones who recruit you. The Agent provides the subagent with a till which they will be using for M-Pesa transactions. Sub-agents need to maintain a minimum float of Ksh 30,000. After meeting M-Pesa sub-agent requirements, you need about Ksh 150,000 to hire staff and pay store rent.
The sub-agent gets 80 per cent of the earnings while the Agent receives 20 per cent from the sub-agents revenues. The sub-agents need to have a bank till form where Safaricom will be depositing their gains.
How to activate M-PESA
On the SAFARICOM Menu:
- Select the M-PESA menu then select Activate or Wezesha
- Enter the ‘M-PESA PIN received via SMS
- Create your own Secret PIN and confirm it
- Enter the ID number used during registration
After successful registration, you will receive a confirmation message with your balance.
Download the Safaricom App and access among other services, Fuliza M-PESA, Bill Manager and M-PESA Global