Skilled trades in Kenya are experiencing a resurgence, particularly among Gen Z, who are increasingly drawn to vocational professions. However, despite the growing appreciation for artisans, tradespeople face significant challenges that hinder their growth and financial success. From access to capital and market competition to regulatory barriers, the skilled workforce must navigate multiple hurdles to build sustainable careers.
1. Limited Access to Capital
One of the greatest obstacles for tradespeople is securing financial support to start or expand their businesses. Many artisans operate informally or as small-scale entrepreneurs, making it difficult to access loans from banks. Without proper collateral or credit history, tradespeople struggle to obtain funding, limiting their ability to purchase essential tools, materials, or rent workshop spaces.
To bridge this gap, some rely on personal savings or informal lending groups such as chamas. While these provide temporary relief, they do not offer the stability needed for long-term business growth. Government programs and financial institutions need to create tailored funding solutions for skilled workers to strengthen this vital sector.
2. High Taxation and Regulatory Barriers
For tradespeople looking to formalize their businesses, navigating Kenya’s tax and licensing regulations can be daunting. Many artisans lack clear information on compliance requirements, leading to penalties or closures due to failure to meet regulatory demands. The high taxation imposed on small businesses further complicates profitability, making it difficult for tradespeople to remain competitive.
Simplifying licensing procedures and offering tax incentives could encourage more artisans to formalize their businesses and contribute to Kenya’s economic growth. Accessible training programs on business registration and compliance would also benefit skilled workers transitioning into formal entrepreneurship.
3. Market Competition and Pricing Challenges
The skilled trades sector is highly competitive, with artisans offering similar services across multiple industries. Many struggle to differentiate themselves or secure loyal clients in an oversaturated market. Price wars are common, forcing tradespeople to undervalue their skills and labor just to attract customers.
Additionally, the presence of unskilled laborers offering cheap, substandard services further complicates pricing for professional tradespeople. To stand out, artisans must invest in marketing strategies, branding, and customer service while demonstrating the quality and reliability of their work.
4. Supply Chain Disruptions
Many tradespeople depend on locally sourced or imported materials, and supply chain disruptions—caused by inflation, logistical challenges, and global shortages—create instability. Rising material costs impact profitability, forcing artisans to either absorb the losses or pass higher costs onto clients.
Establishing a stable supply chain with reliable distributors could help mitigate these challenges. Additionally, government support in regulating material costs and improving importation policies would benefit artisans reliant on specific tools and raw materials.
5. Skills Gap and Limited Training Opportunities
Although technical training has become more accessible through TVET institutions and apprenticeship programs, some tradespeople lack access to advanced learning opportunities. Many artisans rely on informal training passed down through generations, which may not align with modern industry standards.
Offering more specialized courses on advanced trade techniques, business management, and digital skills could help artisans expand their expertise and remain competitive. Encouraging mentorship programs between skilled professionals and aspiring tradespeople would also promote continuous learning and skill development.
6. Customer Payment Delays
Late payments from clients are a common challenge for tradespeople, especially those working on contract-based jobs. Some customers fail to honor payment agreements, creating cash flow issues that affect the ability to buy materials, pay workers, or sustain operations.
Enforcing formal contracts and leveraging digital payment solutions can help tradespeople secure timely payments. Educating clients on fair payment practices and legal protections could also reduce exploitation in the industry.
7. Changing Consumer Preferences and Technological Advancements
While some trades remain highly in demand, others are being replaced by technological innovations. Artisans specializing in traditional methods must adapt to modern equipment and consumer preferences to stay relevant. Tech-driven changes in fields like automotive repair, carpentry, and welding require continuous learning to remain competitive.
Additionally, digital marketing and online platforms have become essential tools for tradespeople to reach clients. Many artisans struggle with online branding and advertising, limiting their visibility in a digital age. Training programs focused on digital transformation could equip tradespeople with the skills to navigate modern business environments effectively.
Overcoming Challenges and Looking Ahead
Despite these challenges, Kenya’s skilled trades sector continues to grow. With increasing support from digital marketplaces like Balozy, government initiatives, and financial programs, artisans can find solutions to their struggles. As social media drives awareness and appreciation for vocational professions, tradespeople have more opportunities than ever to build successful careers.
The path may be tough, but resilience, innovation, and skill mastery will continue to define the future of Kenya’s trades industry. With targeted support and policy reforms, skilled trades can become one of the most thriving sectors in Kenya’s economy.
