Opening up a factory in Somalia (Business idea)

[Fisherman 75]

Assuming we get cheap energy prices soon, what would be the total set up cost to open up a factory in Somalia? Could be any type of factory around the Greater Mogadishu area.

 

[Hilmaam]

This factory in 2004 was opened for around 8.3 million which is even more money in 2024. Probably can open something cheaper but with super high land prices, small market cap, and security its tough. I always advice people do business in west first way easier to get loans, way more customers with big spending power. Then when you have experience try somalia which is very difficult. seen many amateurs lose money in somalia anything goes back home

https://fb.watch/qW0rmmL8Wh/

 

[Fisherman 75]

This factory in 2004 was opened for around 8.3 million which is even more money in 2024. Probably can open something cheaper but with super high land prices, small market cap, and security its tough. I always advice people do business in west first way easier to get loans, way more customers with big spending power. Then when you have experience try somalia which is very difficult. seen many amateurs lose money in somalia anything goes back home

https://fb.watch/qW0rmmL8Wh/

Agreed. Things like national factory require huge amount of investment also that the FGS should be investing in. It is 2024 and Somalis import 90%+ of all used goods.

Welcome back also sxb.

 

[johnsepei5]

This factory in 2004 was opened for around 8.3 million which is even more money in 2024. Probably can open something cheaper but with super high land prices, small market cap, and security its tough. I always advice people do business in west first way easier to get loans, way more customers with big spending power. Then when you have experience try somalia which is very difficult. seen many amateurs lose money in somalia anything goes back home

https://fb.watch/qW0rmmL8Wh/

What do you mean by security ?

 

[Hilmaam]

What do you mean by security ?

You or business gettting attacked, extorted. Anything goes back home you can’t just enter and dominate market no govt that can protect you against terrorists competition and corruption.

 

[NordicSomali]

what are you producing?

 

[CABDULWALI XASAN.]

This factory in 2004 was opened for around 8.3 million which is even more money in 2024. Probably can open something cheaper but with super high land prices, small market cap, and security its tough. I always advice people do business in west first way easier to get loans, way more customers with big spending power. Then when you have experience try somalia which is very difficult. seen many amateurs lose money in somalia anything goes back home

https://fb.watch/qW0rmmL8Wh/

8.4 Million dollars? I very much doubt that number and does not make sense for 2004 somalia. But other then that the company idea is very good, Ill be posting my list shortly

 

[Hilmaam]

8.4 Million dollars? I very much doubt that number and does not make sense for 2004 somalia. But other then that the company idea is very good, Ill be posting my list shortly

Xamar even small 20x20 plots of land will cost you lots of money. Plus to get buildings and equipment into somalia is very expensive . this is soda facotry with lots of machinery i can see it be millions ver easily

 

[Bahal]

You open a factory, push local businesses out of the way, they pay arsenal to blow your shit up

 

[Hilmaam]

You open a factory, push local businesses out of the way, they pay arsenal to blow your shit up

people in west dont see this risk. doesnt even have to be arsenal can be local druggies and alcholils being sent to kill you by established businesses.

clan beefs also will result in your stuff being held hostage. hebel from your clan owes some money and now your truck and shipments being held hostage from something you have no control over. Somalia business is difficult as it gets. eveyone got hand out and you miss 1 key person and now you in deep trouble

 

[Bahal]

people in west dont see this risk. doesnt even have to be arsenal can be local druggies and alcholils being sent to kill you by established businesses.

clan beefs also will result in your stuff being held hostage. hebel from your clan owes some money and now your truck and shipments being held hostage from something you have no control over. Somalia business is difficult as it gets. eveyone got hand out and you miss 1 key person and now you in deep trouble

Then people wonder why Somalis would rather invest in Nairobi and other foreign cities.

The truth is doing business in Somalia is asking for trouble. The competition is quite literally cutthroat

 

[Adeer_Boomer]

Somalis are notoriously against hard labor. Unless you wanna hire oromo refugees and Madowwayne folks, don't even bother because whatever you produce will be the of the lowest quality.