Top Businesses to Start in Uganda with Low Capital in 2025


A night aerial view of Kampala City. (Courtesy Photo)

Starting a business doesn’t always require a fortune. In fact, the top business to start with low income in Uganda can often be launched with minimal capital and smart planning. As Uganda continues to experience growth in the informal and SME sectors, many enterprising individuals—especially youth and women—are exploring affordable business ventures that match local demand and market trends.

Whether you’re based in a rural area or an urban center like Kampala, here are some of the most promising and practical low-income business ideas for 2025.

1. Mobile Money & Airtime Business

With Uganda’s heavy reliance on mobile money services like MTN MoMo and Airtel Money, this business is one of the fastest and easiest to start. All you need is:

  • A registered line
  • A small booth or desk
  • A startup float of UGX 100,000 to UGX 500,000

It’s a daily cash-flow business that thrives in busy marketplaces, taxi parks, or near schools and hospitals.

2. Second-Hand Clothing (Bale Business)

Selling mitumba (second-hand clothes) is another top business to start with low income in Uganda. With as little as UGX 300,000, you can buy a bale of mixed clothes, shoes, or children’s wear and start selling at local markets or via social media.

Profit margins are high, especially if you target specific segments like office wear, baby clothes, or fashion-forward youth.


3. Urban Farming & Vegetable Growing

Urban gardening and backyard farming offer a steady income source from a very low investment. With UGX 50,000–200,000, you can:

  • Grow tomatoes, sukuma wiki, green pepper, or eggplants
  • Use sacks or containers if space is limited
  • Sell directly to neighbors, roadside vendors, or local restaurants

This is especially viable in towns where fresh produce prices are high.

4. Charcoal and Firewood Retail

In many Ugandan households, charcoal and firewood remain the primary cooking fuels. Starting a small charcoal retail business requires basic storage space and UGX 200,000–300,000 for stock.

Strategically position yourself near residential areas, trading centers, or student hostels to tap into regular demand.

5. Chapati, Rolex & Street Food Vending

Food never goes out of demand. A small food stall making chapati, rolex, samosas, or fried cassava can earn daily profits of UGX 30,000–50,000. Initial capital can be as low as UGX 150,000–300,000 for ingredients, a charcoal stove, and utensils.

This is one of the most popular top business to start with low income in Uganda for youth and school dropouts.

6. Liquid Soap & Detergent Making

The demand for affordable household cleaning products has increased. Liquid soap production is cheap, easy to learn, and scalable.

With UGX 100,000 you can:

  • Buy ingredients
  • Make your first 20–30 liters
  • Sell to salons, restaurants, homes, or retail shops

Training is available from local community groups or online platforms.

7. Phone Charging Booths

In off-grid areas or places with unreliable power, phone charging businesses thrive. Using a solar panel or generator, you can set up a booth where customers pay UGX 500–1000 to charge their phones.

Startup cost: UGX 300,000–700,000 depending on your power source.

8. Matooke, Fruit, and Juice Vending

If you’re near markets or urban centers, fruit vending or fresh juice preparation is a great business. UGX 200,000 can get you bananas, watermelon, sugarcane, pineapples, a knife, and a display table. Juices sell especially well during hot seasons and in busy town centers.

9. Tailoring and Repair Services

If you already have tailoring skills or can afford short training (many cost UGX 100,000–300,000), you can start a simple tailoring or garment repair business from home or in your veranda.

With a second-hand sewing machine and fabric worth UGX 500,000 or less, you can begin creating or adjusting clothes for local customers.

10. Bicycle Delivery or Errand Services

In areas like Wakiso or Mukono with poor transport coverage, bicycle courier services for groceries, documents, or food delivery are gaining popularity. With a decent bicycle (UGX 300,000–600,000), one can start an eco-friendly, low-cost logistics business.

Turning Small Capital into Big Impact

The top business to start with low income in Uganda is the one that aligns with your skills, local demand, and dedication. With Uganda’s growing entrepreneurial spirit and a supportive digital environment, small startups can grow fast with the right strategies.

Remember: Start small, learn fast, reinvest your profits, and stay consistent. Your journey to financial independence might just begin with a chapati, a bale, or a plastic container of tomatoes.


UG Editor