Do you want to become a Safaricom Mpesa agent in Kenya? It is a profitable business where you earn commissions after customers make withdrawals or even purchase airtime through you.
Mpesa agents make a lot of money these days as many people adopt Mpesa as a method to do away with cash as it is easier to check on transaction history and track spending when using the cashless mode. This article highlights the cost, requirements and how to be a Mpesa agent in Kenya.
How much does it cost to buy an Mpesa line?
You have two options; you can either buy standard Mpesa lines directly from Safaricom shops or purchase aggregated Mpesa lines from a certified Safaricom dealer. Standard Mpesa lines are usually expensive and cost Ksh300,000, while aggregated lines trade between Ksh10,000 to Ksh15,000.
Mpesa agent requirements
Mpesa agents’ requirements are categorised on the types; super-agents and sub-dealers. Mpesa super agents must be registered as a limited company and have operated for not less than six months. Their proposed outlets shall be audited prior to commencement of business, and only areas of opportunities shall be considered.
Super agents must have atleast three Mpesa outlets and must pay the Ksh300,000 Mpesa agent registration fees in the following amounts: Ksh100,000 per outlet for float, Ksh100,000 for SIMEX (SIM replacement cards) and Ksh100,000 per outlet for additional outlets for float.
Other technical requirements are:
* 1 Computer and ancillary equipment approved by Safaricom. At least 512 MB with Windows 2000.
* At least 2 people to handle head office operations on a day to day basis (may not be on a full-time basis).
* Internet connectivity with connection speeds acceptable to Safaricom.
* 1 printer for printing downloaded reports.
* Any other items/equipment necessary to conduct the business like desks chairs, stationery, pens and a pay point.
* A telephone line, either landline or mobile for contact.
* An official E‐mail contact.
* An ETR Machine.
Mpesa sub-dealers are those that acquire aggregated Mpesa lines from licensed dealers at a slightly lower cost. To get an aggregated Mpesa line, you must meet the following requirements:
* Must have a police clearance certificate
* Pay Ksh10,000 to Ksh15,000 as the purchase price
* Have a Mpesa branded shop
* Must have a business permit
* Be a holder of a national ID
* Deposit a minimum float of Ksh20,000
How to register for an Mpesa line
Becoming a Mpesa agent can 40 working days when you have the required documentation and the capital to venture into the lucrative business. To register a Mpesa agent line for yourself, simply visit the following steps:
1. Visit a Safaricom office
2. Present the following documents, which should be verified by the Commissioner of Oaths;
* Certificate of incorporation
* Form CR12 or an equivalent form valid for the last 3 months
* Copies of IDS of Office Administrators and Primary Assistants as indicated in the application forms
* Completed agent application forms
3. Submit your original identification documents for verification
4. Pay the subscription fee
5. You will get the Mpesa agent line after 40 business days after all the processes are complete
How much do you need to start an Mpesa business in Kenya?
To start a Mpesa agent shop as a super dealer, you need around Ksh500,000 to carter for enrolment fee, labour and equipment costs, while becoming a Mpesa sub-dealer will cost you around Ksh70,000 for a float charge, rent and labour cost.
How much commission to Mpesa agents make?
Safaricom has pushed the lead in 2022 through commission hikes to see an increment in the honorarium offered to the Mpesa agents. Deposit commissions were increased from 12% to 17%, and also lower scales of transaction bands were introduced to facilitate financial inclusion for all the social classes that use the leading mobile money service in Kenya, which has over 30 million active monthly users.
Mpesa agents get varying commissions on deposits and withdrawals.
What are the Mpesa agents’ commission for deposit 2022?
|Customer’s deposit amount||Commission|
|Ksh50 – Ksh100||Ksh4|
|Ksh101 – Ksh510||Ksh8|
|Ksh511 – Ksh1,010||Ksh9|
|Ksh1,011 – Ksh1,510||Ksh10|
|Ksh1,511 – Ksh2,510||Ksh11|
|Ksh2,511 – Ksh3,510||Ksh12|
|Ksh3,511 – Ksh5,010||Ksh14|
|Ksh5,011 – Ksh7,510||Ksh20|
|Ksh7,511 – Ksh10,010||Ksh28|
|Ksh10,011 – Ksh15,010||Ksh40|
|Ksh15,011 – Ksh20,020||Ksh55|
|Ksh20,021 – Ksh25,020||Ksh71|
|Ksh30,021 – Ksh35,020||Ksh103|
|Ksh35,021 – Ksh40,020||Ksh119|
|Ksh40,021 – Ksh45,020||Ksh135|
|Ksh50,021 – Ksh70,000||Ksh190|
What are the Mpesa agents’ commission for withdrawals 2022?
|Customer’s withdrawal amount||Commissions
|Ksh10 – Ksh49||N/A||N/A|
|Ksh50 – Ksh100||Ksh5||N/A|
|Ksh101 – Ksh500||Ksh8||Ksh8|
|Ksh501 – Ksh1,000||Ksh10||Ksh10|
|Ksh1,001 – Ksh1,500||Ksh12||Ksh12|
|Ksh1,501 – Ksh2,500||Ksh15||Ksh15|
|Ksh2,501 – Ksh3,500||Ksh20||Ksh20|
|Ksh3,501 – Ksh5,000||Ksh25||Ksh25|
|Ksh5,001 – Ksh7,500||Ksh30||Ksh30|
|Ksh7,501 – Ksh10,000||Ksh35||Ksh35|
|Ksh10,001 – Ksh15,000||Ksh45||Ksh45|
|Ksh15,001 – Ksh20,000||Ksh60||Ksh60|
|Ksh20,001 – Ksh25,000||Ksh65||Ksh65|
|Ksh25,001 – Ksh30,000||Ksh70||Ksh70|
|Ksh30,001 – Ksh35,000||Ksh70||Ksh70|
|Ksh35,001 – Ksh40,000||Ksh100||N/A|
|Ksh40,001 – Ksh45,000||Ksh150||N/A|
|Ksh45,001 – Ksh50,000||Ksh180||N/A|
Mpesa commissions are paid by Safaricom PLC each month. The money is deposited directly to the holder’s account, and they can withdraw it at a Withholding Tax (WHT) of less than 5% or keep it as a Mpesa float.