Joseph Githiaka doesn’t have an air of defiance that surrounds many self-made millionaires. But for a man who has never had anything handed to him on a silver platter, Githiaka has done well for himself.
Having completed his O level in 2002, the opportunity to continue with his education hit a dead end because of financial constraints and he decided to get into the juakali sector.
Armed with just passion to excel, Githiaka embraced the trade of repairing sufurias, gutters, and metallic watering cans along Kanu Street in Nakuru where he could make less than Sh100 a day. “I had no capital for the trade, only a scissor and a metal bar I used in repairing the sufurias and other materials.
I could even go home with no cash on a bad day,” Githiaka said. A lot of water has passed under the bridge in the last 14 years and today Githiaka is a renowned entrepreneur in Nakuru after he opened a mabati company worth over Sh100 million.
Speaking to People Daily, Githiaka, the Managing Director of Mabati and Steel Enterprises Ltd attributed his success to God, sheer hard work and a saving culture. “Having grown up in a family of 11 siblings where our parents’ income was meagre, life was not a walk in the park, but my desire to succeed was burning in me,” he says.
Recalling his journey from Kanu Street to the Managing Director of his company, the reality of his struggle seems to sink deeper. Kanu Street is a 1.5km stretch, mostly lined up with bars, nightclubs and lodgings and commercial sex workers who prowl the street at night.
Therefore, a juakali artisan repairing sufurias and gutters would seem a little out of place. “I could save Sh20 or Sh50 depending on what I could make in a day,” he added. His saving culture came in handy when he planned to expand the business.
He acquired a loan from the youth fund in 2006 using his household goods as collateral. “I had to fight on and with time, there was light at the end of the tunnel.
Business began to flourish and I could make Sh1,000 a day. In 2006, I approached officers from the youth fund and requested for a loan amounting to Sh500,000.
The collateral was my household goods,” Githiaka added. With Sh500,000 in his account, Githiaka registered his enterprise as a sole proprietor in 2007.
With the experience in the jua kali sector, and improved financial status, Githiaka toured China in 2006 and 2007 to gather information about their steel industries. “The tours were insightful, which helped me settle on the mabati industry,” he added.
He approached several banks for extra financing and his quest was successful. “I approached Family Bank, I, however did not have collateral for a loan but luckily, the officer I met was considerate and he accepted my post-dated cheque as collateral,” Githiaka added.
This year, Githiaka opened the factory to the public after importing a plant to manufacture iron sheet for roofing, jembes, wheelbarrow and other steel materials. He sources for raw materials from China. Currently, the company is producing 500 metric tonnes of iron sheet monthly.
“The company has employed over 50 people and as we expand, others will get opportunities,” he said. The entrepreneur cites lack of finances, support centres for potential entrepreneurs, and poor policies on industrialisation as the biggest hurdles for those venturing into the steel industry.
“We call upon the national government to offer tax exemptions to local investors who are starting companies the same way it extends such incentives to foreign companies,” he said.
Meanwhile, Githiaka has challenged youths to take advantage of government financing such as the Youth, Uwezo and Women fund to venture into entrepreneurship.
“The government has done well in trying to empower the youth and women through the 30 per cent tender requirement, hence it is time to venture into business rather than white collar jobs,” he said.
During the launch of Githiaka’s company, Governor Kinuthia Mbugua said local investors are drivers of the economy for county and national government.
This feature was first published in the People Daily’s MediaMax.