Dr Victor Ng’ani, a respected professional and entrepreneur, has announced the closure of his small business after 20 months of operation. Dr Ng’ani feels sorry for the seven employees they had to let go after closing the business. He lamented the harsh environment for small businesses in Kenya, citing excessive levies, lack of support, and alleged exploitative regulations as major challenges.
Why Dr Ng’ani’s eatery struggled to remain afloat In a post on X, Dr Ng’ani disclosed that the development had rendered seven employees jobless. He highlighted a specific example of a newly introduced catering levy, 2% of gross revenue.
“This levy, like many others, is paid by struggling businesses yet funds government operations from our taxes,” he added. Dr Ng’ani called for reforms to address small businesses’ challenges, including reducing unnecessary regulations and levies.
How Kenyan Gov’t can support small businesses When reached for comment, he told TUKO.co.ke that they had invested in an eatery in Upperhill, hoping to capitalize on human traffic. However, Dr Ng’ani clarified that he never paid the 2% catering levy for the entire duration of the business’s operation. “They sent us police summons and demand letters and threatened to shut down the eatery, but we stood our ground to the last day,” he said.
He reiterated that providing tax incentives, improving access to affordable credit, and protecting entrepreneurs from exploitative financial practices would help entrepreneurs. Dr Ng’ani sympathises with now-jobless employees He decided to close the business after it sustained significant financial losses while attempting to keep it afloat.
The mounting challenges proved insurmountable despite his efforts, forcing them to throw in the towel. He expressed concern over the livelihoods of the seven employees who have now been rendered jobless. “It’s my staff I feel for the most. They are good people, and I honestly feel they put in a good shift. Where do they start?” he asked.
by Hillary Lisimba
