This archive report was first published on 27 September 2021.
With a background in interior design, Kami Mbaabu co-founded Interiors by Tifi Ltd, a company that offers comprehensive interior design solutions to homes and commercial spaces. Founded in a small interior décor startup, the business has grown into a recognizable medium-sized brand, serving both local and international clients.
From Sh1,500 to over Sh1 million, the company's products and services cater to diverse client needs. To succeed, Mbaabu emphasizes the importance of providing tailor-made solutions and being innovative. 'You must give customers what they want, and you must be willing to adapt and innovate to stay ahead,' she says.
Initially, Mbaabu struggled with managing her finances, mixing business and personal money, and lacking a proper accounting system. This led to cash flow and operating capital problems. To rectify this, she hired a professional accountant and independent auditor, who helped her set up a proper business and personal finance system.
One of the biggest lessons Mbaabu has learned is the importance of avoiding credit. The company has lost an estimated Sh500,000 from credit alone, with some clients disappearing without paying. 'Credit is not a friend to business,' she warns. 'It compromises cash flow and can lead to business collapse.'
Mbaabu has developed four methods of saving, including MShwari, Chama, insurance policies, and a Sacco. She has found Saccos to be a good place to access affordable loans and earn passive income in the form of dividends. The Chama is an investment platform where members pool funds for investments.
Partnerships and business collaborations with the right people and organizations are crucial for success, according to Mbaabu. Her team includes a projects engineer, creative director, finance director, and quality assurance director. 'We have an amazing team spirit, group synergy, passion, and commitment to our cause,' she says.
Despite the challenges, Mbaabu remains committed to her business. 'It's taken us tears, sweat, and blood to get here,' she says. 'But with hard work, trustworthiness, authenticity, smart thinking, and quick decision-making, we've been able to stay ahead.'
