My business is collapsing; can I save it with Sh300,000?

My expenses are; Business rent Sh8,000, Kenya Power Sh2,500, DStv Sh7,500. Home rent, food, power, water, and black tax Sh25,000.

Unlike a few years ago when this business was booming, many people are now using the internet to watch matches and movies which has reduced the number of customers I get.

My earnings have reduced from Sh60,000 per month to barely meeting my basic home and business needs.

I am now afraid that the business will go under if I don't innovate or change tact. I have about Sh300,000 saved in a Sacco and I am wondering if I should use this money to buy a pool table and some smart tvs and introduce gaming to shore up revenues.

I am also wondering if it is time for me to move on from this business and if it is, what business I should start. Please help me.

- John

Also Read: I owe bank, friends Sh10 million. Should I sell my home to pay the debt?

Gertrude Njeri - accountant, personal finance and investment consultant

You built a business that was bringing in Sh60,000 a month; that means you know how to spot an opportunity and make money from it. What’s happening now isn’t failure, it’s change. The environment shifted. And the truth is, you’ve already figured that out. That’s why you’re asking these questions now instead of later when things get worse.

Right now, your business is under pressure, but it’s not dead. You’re still operating, even if margins are tight. On top of that, you have Sh300,000 saved. That combination gives you room to think and act, which many people don’t have. So the most important thing is this: don’t rush to spend that money trying to “save” the business. Let’s talk about your idea. The smart TVs and upgrades sound good on paper, but we have to be honest. The main reason your numbers dropped is that people changed how they consume content. They’re watching from their phones now. So adding more screens alone probably won’t bring back the crowd you used to have.

The pool table is a different story. That’s not competing with the internet. That’s giving people a reason to physically be there. But even then, let’s not guess. Say one pool game is Sh50. If you want to make just Sh1,000 a day from it, you will need at least 20 games. That’s doable in a busy area, but not guaranteed. So instead of going all in, the smarter move is to test first. Get one pool table, not a full overhaul. Keep your risk low. Give it 2 to 3 months and watch what happens. Are people coming in? Are they staying longer? Is your daily income actually going up? Let the numbers guide you, not hope.

At the same time, shift how you think about your space. You’re no longer just running a video hall. That model is fading. You’re running a hangout spot. So ask yourself, why would someone leave their house to come to you? It could be the atmosphere during big matches. It could be a place to watch games with others, some noise, some energy. You can even test small ideas like charging a small entry fee for big matches or bundling it with a simple offering like snacks.

You’re not competing with convenience anymore. You’re competing with experience.

Now, let’s talk about the bigger decision. Whether to move on. I wouldn’t tell you to shut it down immediately. Let it continue supporting you as much as it can. But at the same time, be very honest with your numbers. Sit down and calculate this clearly: After rent, power, DStv, and everything else, how much is the business actually leaving you each month? If the answer is close to zero or negative, then you know you’re in a transition, not a stable business.

That’s where your Sh300,000 comes in. Don’t treat it as rescue money. Treat it as your transition fund. Protect a good portion of it, maybe even half, as your safety net. That’s what keeps you afloat if things dip further. The rest is what you can use to test ideas, either within this business or outside it.

Now let’s talk about what’s next. You already have experience running a location, dealing with customers, and managing daily operations. That’s valuable.

So instead of jumping into something completely random, look at what’s already working around you in Eldoret. What are people consistently paying for right now? Is it food spots? Is it small gaming lounges done properly? Is it convenience services? Even something like a simple café setup combined with your current space could work better than a pure video hall.

The key is this. Don’t guess from your head. Observe what’s busy, what has repeat customers, and what people are spending on every day. And start small there, too. If I had to simplify everything for you, I’d say this: Don’t panic and throw money at the business. Don’t sit still and hope it recovers. Test small improvements like the pool table. Track your numbers honestly. And at the same time, start building your next move using part of your savings, not all of it.

You’re actually in a stronger position than you feel. You have no dependents, you have savings, and you’ve already run a profitable business before. This isn’t the end of something. It’s you adjusting to a new reality. Move carefully, test before you commit, and you’ll figure out your next winning move. All the best.

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