“I’m a 21-year-old Kenyan saving KSh 5,000 every month with one goal — to start my own M-PESA shop by next year. I’ve researched the process, talked to real agents, and now I’m sharing everything I’ve learned with you. Whether you’re unemployed, side hustling, or looking to grow your income, this guide is your complete roadmap.”
The M-PESA business is still one of the most accessible and profitable businesses in Kenya today. With mobile money being a daily necessity, becoming an M-PESA agent offers you a chance to earn passively while serving your community. In this guide, I’ll walk you through the step-by-step process, from capital to licensing, profits, and hidden tips you won’t find elsewhere.
📌 What Is an M-PESA Agent?
An M-PESA agent is a licensed individual or business authorized by Safaricom to offer mobile money services like deposits, withdrawals, airtime, and bill payments. Think of them as the face of M-PESA — the trusted shopkeeper or kiosk owner who makes mobile money accessible to everyone, even in remote areas.
In 2025, M-PESA agents remain essential. Even with digital apps and mobile banking, millions of Kenyans still rely on agents for cash access, especially in areas with limited bank presence.
Here’s how it works: you register as an agent, Safaricom activates your agent line, you fund it with float (digital money), and customers walk in to transact. You earn a commission for every successful transaction done through your line.
It’s not just about transactions — it’s about building trust. Your customers will return daily if you are honest, reliable, and always have float ready. That’s why many M-PESA agents have become respected businesspeople in their neighborhoods.
✅ Why Start an M-PESA Business?
- Steady cash flow from daily transactions
- Low operating costs once set up
- Trusted brand — Safaricom handles marketing
- Works well with other businesses like retail, pharmacy, cyber cafés
💼 Requirements to Start an M-PESA Business in 2025
- Initial capital: KSh 50,000 – KSh 150,000 (for float, branding, and setup)
- A registered business (with a Business Permit from your county)
- National ID (Kenyan citizen over 18)
- Bank account in your business name
- Secure business location with visible branding and foot traffic
📑 Licensing & Application
There are two routes:
- Option 1: Apply to become a primary M-PESA agent through Safaricom directly — requires high capital (over KSh 500,000) and 3+ outlets.
- Option 2 (Best for beginners): Become a sub-agent under an existing M-PESA principal agent. You'll be using your own SIM line but managed under a licensed dealer.
Find registered aggregators near you via Safaricom or retail shops already offering the service.
📊 Profitability & Commissions
M-PESA agents earn through transaction commissions based on Safaricom’s set structure. Here’s an estimated breakdown:
- Deposit KSh 100–500: ~KSh 4–6 commission
- Withdrawal KSh 501–1,000: ~KSh 9–12 commission
- Daily earnings: KSh 500 – KSh 2,500 (location-dependent)
You’ll also earn from float usage and possibly combine it with other services like KCB M-PESA loans, airtime sales, and bill payments.
🔐 Risks to Watch Out For
- Fraud from fake SMS or reversal tricks
- Employee theft — always train and monitor staff
- Inadequate float during peak hours
→ Invest in a reliable cash drawer, security camera, and regular float tracking systems. Also consider business insurance for added protection.
🧠 Pro Tips for Success
- Place your M-PESA booth in a highly visible, busy area
- Combine with another business (like retail, cyber, or photocopy)
- Always have enough float & cash for peak hours
- Keep receipts, and balance books daily
📘 Final Thoughts
In 2025, starting an M-PESA business is still one of Kenya’s most practical side hustles or main businesses. If done right, it offers predictable income, minimal risk, and long-term growth.
I’ve personally started saving KSh 5,000 monthly to launch mine. If you're interested in financial freedom and smart businesses, keep following Smart Money Guide by Globlaize for real ideas you can act on.
❓ Frequently Asked Questions (FAQs)
How much do I need to start an M-PESA shop?
You can start with as little as KSh 50,000 if you're a sub-agent. This covers float, branding, and basic setup. Full agency setup requires more.
How do I become an M-PESA agent?
You can either apply directly to Safaricom as a primary agent or join an aggregator as a sub-agent.
Do I need a business license?
Yes. County governments require all businesses to have a valid single business permit and KRA registration.
Can I run M-PESA from home?
It’s discouraged. Safaricom recommends locations that are secure, accessible, and publicly visible. Shop-based setups perform better.
How long does it take to be approved?
If you join through a principal agent or aggregator, approval can take 3–7 days once documents and SIM registration are complete.
