Monthly Archives: February 2013

Questions about matatu investment.

!. Am a business man from Eastern Kenya;These matatus here are named Shuttle – and each makes a to and fro and makes around 4800/=per day. I prefer these shuttles more than the 14 seater, coz the 14 seater is full of stress by the police and conductors. These shuttles are well co-ordinated and you car is run on a minimum cost (e.g services, No corruption with the police, so your car loses no money in the route) and again you can run it with a fixed amount of delivery).
==That’s a lot of money, I can’t promise you that amount here in Nairobi especially town services. Here we operate with between 3.500 and 4k net. We make about 12.000 minus fuel and other expenses like salaries. You have every reason to think about investing in the shuttles; I agree with you on cutting cost with proper management, what Is basically what we as Rongai welfare are working on laying the foundations. Corruption by traffic officers is the biggest obstacle to matatu investment.
3. The shuttles here don’t have conductors coz there are stationed.
==That is another plus, passengers pay a fixed amount and mostly at stations; In our case, we need the conductor, town service jobs can’t be possible without their services.

Your quiz’s are:
1. I am caught up between buying a second hand (no so old) and buying a new one through a loan. (according to some matatus owners here; is that u cant pay the loan above that is almost 2.2 million, coz of the challenges involved nowadays.
==If you are talking about a Toyota hiace 14 seater / 11 seater shuttle, the idea of buying a new one is out of question, why; because the government stopped the licensing of 14 seaters. You can not register a new vehicle nowadays unless you buy a fleet of several vehicles as a sacco. If you can get a Toyota in good condition say from KBC—to –KBL—you can buy the vehicle from 750k to 900k.
==Buying a new matatu will mean a 29—33 seater minibus. The total cost to own a
minibus is 4.5m. Kenya Commercial Bank has a facility with General Motors- you get a form from the vehicle dealer and the bank finances the transaction on your behalf. i.e. they pay General motors and you pay back the loan according to the banks terms and conditions.
2. According to the politics in Kenya today , Do i wait the outcome or i should go ahead.
==Elections are the only obstacle that is hindering investment , but I have a lot of confidence with Kenyans that nothing out of normal will arise. It is advisable to do the research now, identify the vehicle of you choice, talk to your bank and see what they have to offer and by the mid-march we will have a clear direction as to where we are heading.
3. If i have to buy a second hand (what do and donts should i look for)
==The first thing you should not do is buy a vehicle that has been involved in a fatal accident; It’s not a myth but this vehicle don’t end up well. If possible buy a vehicle that was a shuttle not a uptown matatu. Vehicle are like young girls, the more they are exposed the more they can’t make a good wife. Shuttles spend more hours parked while waiting for passengers and this makes them the best choice when you want a car you will use for some years and still be able to get a good price when you want to change investment.
4. never done my business with a loan from any bank ) so having a loan is a challenge ,but i can face if well guided. i believe every business should run itself , so i don’t want to use my money from other sides to pay a matatu, it should cater for itself.
==To afford a matatu, you must have really worked hard to get where you are. What a loan does is get you hooked to your investment. Once you have put a certain percentage of your money in to buying something and then someone adds his money to your idea, it is scaring to imagine that you stand to loose even what you have contributed to the financer if you fail to honor the agreement. To somebody like you who know how to generate and grow monies it will largely depended on your cabability to manage the income. According to what you had mentioned above, this shuttles make 4—-4800 ksh.
5. Are new matatus registered these days.(TLB)
==Yes and no; any matatu carrying more than 25 passengers is being registered- but no new 14 seaters.
6. At how much a 5L,3L,and 7L matatu are costing these days and if you take it through loan at how much extra cost would it go for.
==A used Toyota 5L is in the market from 700k to 1.2m depending on trhe condition of the vehicle and year of registration. You can get a good 3L for about 500k and 600 most; many of this are KA—something. I don’t know how much 7L is going for but I wouldn’t recommend you to buy one as the spares have not flooded the market. It is still an expensive car to maintain.


Posted by on February 23, 2013 in Matatu matters


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My Stay home sunday. Dad’s day in.

I spent the whole Sunday at home, the first for me this year. I combed the kid’s hair and tacked their shirts as they went for church service; I had promised them that i would catch up with them later but i knew it wasn’t true. I was left home alone rolling on the couch watching television. It’s like this are the last days when the gospel will be preached in every corner of the Earth before the end. Every station has become religious! Televangelists have taken every available airwaves; I don’t think many people go to church nowadays. Why go to a congested hall while you can stay At home where you have the freedom to choose, and not just that; you can attend up to five churches/ different sermon; at the comfort of your living room; you can even send offerings through mobile phone M-pesa. Well if this is the situation, I guess in a way, it means more indoor family times. Christianity has moved from analog to digital.
I still don’t know why Christians can’t come up with a one worship center; say like hire or build a stadium and all of us can meet there instead of opening churches in every corner; some even separated by a thin wall. I’m not innocent on this issue as I and my family also pass so many Christian churches to go to church.
Anyway let’s talk about my stay home Sunday; I had made up my mind that I would be off any duty. I had been holding on to lots{ I mean lots } of complain from the woman who fills in for me when the kids wants something. She had not been complaining or saying it openly, but she been murmuring a lot of comments about the time I was spending with them.I thought running an office was much easier than driving a matatu but reality is proofing me wrong. I most often find myself in the office way past 11pm. And I don’t close the office because I’ve finished my work: No, it’s because I have to buy breakfast before the last shop closes at midnight and also to catch some sleep and change cloths.
I’m up again before seven to escort the kids to school and be at the office by 8am. My new vocation requires me as the secretary and also the project leader, to perform all the secretary’s’ jobs and also the directors duties. We hold a board meeting every morning from 10 to 11am. I have to write the minutes and then held to the cyber café to reply mails, update the blog, respond to comments, advertise the welfare and seek funding for a Matatu drivers road safety campaign project.{ We are planning to give every matatu driver a copy of the HIGH-CODE BOOKLET for refreshment of the laws and rules that govern the movement of vehicles; especially now that we have new roads and tough laws.}
I leave the cyber at around 2.30—3pm when I go back to the office for lunch break. The next three hours are mostly not very busy but unfortunately, I happen to live far from the office, as much I would love to be with the family, I just can’t rush home. My next duty starts at 8 when matatus start closing their job leaving me to balance the equation and forward the income to matatu owners’ accounts. This takes up to midnight sometimes.It was not for nothing that the murmuring had intensified at home. And that explained the reason i had to be home this Sunday.
I waited until mama and watoto return from church around 2pm. I had dozed off, for more minutes than I had watched the TV, When they were seated eating their lunch, I acted like the daddy and asked the hundred years old question that I had been asked by my parents and probably they were asked by their parents and their parents for centuries. “What did you learn today?” My father used to ask me that very question every time I came from school or church.
My son is very attentive in school and also in church, I’m proud of him for that. He told me they had been taught about “not judging other people or thinking they are worse sinners than we are” The pastor had read a book in the new testament that tells a story of a woman who was caught committing adultery and was brought to Jesus. I have heard the story hundreds of times but I wasn’t ready for the question my ever curious son had for me.
Dad?, What did this woman do that she deserved to be killed?” I looked at my wife expecting her support like always, but she cleared the table and disappeared to the kitchen.I have never thought or imagined that a biblical reason could suddenly turn into a sex education. “How do you tell 10yrs old that adultery is having sexual intercourse with a person who you are not authorized to do it with? Where do I draw the line between permitted and illegal? I was wondering if I had to tell him; and his much younger sister; what sex is, and why it is so important such that, if you are caught doing it with the wrong person, the law says you should be put to death. I played with words as usual and I finally managed to convince them but I was surprised that they did not look surprised about my sex education. It left me wondering; just how much do they know about that topic?
The rest of the day was spent eating, drinking and watching “Honey, I slunk the kids!”. Two liters of Soda and two boxes of biscuit did the magic for me. Were it on an election day, they would have voted for me as the best parent; but I know better.


Posted by on February 4, 2013 in Its life, Matatu matters


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