25 Small Business Ideas & Opportunities in Tanzania

There are many kinds of businesses that you can start in Tanzania. The Government of Tanzania promotes many business ideas for the development of the economy.

Tanzania has a rich reserve of minerals including gold, iron ore, copper, silver, and diamonds. Hence there are business opportunities for you in Tanzania in such sectors.

The transport network in Tanzania mainly depends on road transport. That is why you can set up your business related to transport or logistics.

The economy of Tanzania is making growth as well as expanding. This is an advantage for you to start your business in Tanzania. There are various businesses that you can start here in this country. Some of them are discussed here.

25 Small Business Ideas in Tanzania for Locals & Foreigners

1. Teaching and Training

Tanzania has a great demand for good teachers. Hence you can start teaching students of different classes and levels which will fetch you a good profit. Training in job-centered courses also has good demand. So start your teaching or training center and earn good money. You can teach from home, in a classroom or rented center, or online. Good networking with the students as well as parents is very important to grow your business.

2. Commercial Farming

Commercial farming has a good prospect in Tanzania because there is no scarcity of fertile lands, good climate, and cheap labor in the country. You can start your business of commercial farming on a large plot of land using modern machinery. Both food crops, as well as cash crops, grow well in Tanzania. Food crops include Maize, Cassava, Sweet Potatoes, and Sugarcane, while cash crops are coffee, tea, tobacco, etc. You can choose any of them. The farming business will fetch you a good profit.

3. Open a Poultry Business in Tanzania

The poultry business is very profitable in Tanzania. You can choose a plot and start your poultry of breeding chicken, which has a very good demand. Supervision of the poultry is very important and it is best to do it yourself. Also, keep good contact with a vet for any health-related problems of the chicks. Co-ordination with the market is also necessary for the sale of your products.

4. Food Processing

Tanzania grows a variety of crops like maize, sweet potatoes, bananas, coffee, tea, etc. However, very few know the processing and preservation method of the crops. Hence food processing business will be a profitable venture for you. You can start a food processing unit located close to the farms and earn good money by selling the processed crops.

5. Mobile Car Wash

Mobile car washing service is a good business idea for you in Tanzania. Apart from the cleaning essentials, you need a van to reach your customer’s place to provide a car washing service. If you can add a repair service along with a car wash, you can earn more money.

6. Solar Panel

Solar power is in much demand in Tanzania as it is blessed with bright sunshine around the year. Hence you can start a solar panel manufacturing business. Adding the services of installation and repair of solar panels will give you more profit.

7. Co-working space

You can start a business of co-working space in the big cities of Tanzania as many medium and small entrepreneurs are unable to or do not have an office. You can offer sitting arrangements, computers, printers, scanners, internet facility along with a conference room in your co-working space based on rents. Renting the space to multiple clients will get you a good income.

8. App Development

Different kinds of apps are much sought after in Tanzania. You can avail of this opportunity and start your business app development company. Try making apps for different service companies wherein the app will make their companies easier to reach customers. On the other hand, the customers will also find it convenient to use the apps for their benefit.

9. Computer and Smartphone Repair

The uses of computers and smartphones have increased to a great extent in Tanzania. Therefore there is a demand for repair of these. If you are skilled in computer and smartphone repair, you can start your repair service business. You can do it from your home and after your business scales up rent shop space. A good personal network both at the official as well as local level will fetch you a good income from this business.

10. Food Truck

The food truck business has a good market in Tanzania. You need a truck with cooking arrangements and your culinary skill for this business. Serve fresh and tasty food, mainly different fast food from your truck. Take the truck to different crowded places throughout the day for maximum sales. Focus on the lunch hours when the sale is maximum.

11. Haulage

Haulage of petroleum products throughout the country is a lucrative business in Tanzania. The demand for petroleum products is rising and the roadways are the main system of communication. Therefore you can start the haulage of petroleum products like diesel or kerosene from the ports to the farms. You need to invest in oil tankers and dependable drivers for this business. Along with that, you need the necessary license and permits.

12. Warehouse

The rapid growth of the economy along with industrialization has created a need for warehouses. You can start your warehouse and distribution company under which you will be responsible for receiving as well as distributing the products of different companies. This is a profit-making business provided you do the research well. You will need a certain license and permits to start your warehouse business.

13. Start a Salon Business in Tanzania

The salon is a profitable business idea for you especially in the urban areas of Tanzania. Professional services, use of top-class beauty products, and a cool décor will fetch you many clients. You can also sell beauty products from your salon.

14. Handicraft Shop

Handicraft items are much in demand. You can start your handicraft store where you can buy the items from rural artisans and sell them through your store earning a high profit. Choose a good location for your shop to attract more customers.

15. Fashion Designing

Fashion designing has a good demand in Tanzania, especially wedding dresses. You can start your fashion designing brand and sell your creations through your boutique or online store. Good networking and marketing are essential for the growth of this business.

16. Car and Scooter Rental

Car and scooter rentals are quite profitable business ideas in Tanzania. You can start this business in urban areas where there is a good demand for these services. Start with a few cars and scooters and rent them on a daily or hourly basis. With the growth of your business, invest in more cars and scooters. Stress on having regular and captive clients.

17. LPG Distribution

LPG or cooking gas distribution is a good business idea for you. It has good demand. You can start your distribution business in a place where there are fewer competitors. You need the required license and permits for this business. It is a very profitable business.

18. Business Consultant

In a growing economy like Tanzania, there is a good demand for business consultancy. You can start your consultancy firm and provide consultancy on financial services, accounting services, business planning and strategies, business viability, profit projection, and preparation of bankable project reports. You have to be an expert in finance and banking to be a successful business consultant.

19. Manpower/Employment Agency

Medium and small industries need manpower on regular basis and often the laborers quit the job and the employer faces great difficulty. You can fulfill this requirement by starting your business as a manpower agency. Your agency will have its team of manpower with various skills and specializations and you will provide them with the contact of the employer and settle their fees with the employer. Your income will be commissions received from both ends.

20. Open a Bakery

The bakery business is very profitable in Tanzania like most of the other countries. Start your bakery shop serving regular bakery items along with snacks and fast food. Find a good location for your shop and serve good and fresh food. Supplying against special orders and selling online will give you more profit.

21. Start a Restaurant Business in Tanzania

Opening a restaurant is a profitable venture. Choose a location near the office areas or at prominent market places. Serving good local or international food with prompt service and take away facilities will fetch you a good profit.

22. Meal Delivery

Many people prefer home-cooked food at the workplace or home. If you have an acumen for cooking, you can start the business of meal delivery at the workplace or home. The food should be well-cooked and as per order and the delivery has to be prompt and punctual. Advertise your service online and offline and depend on referral clients also.

23. Child Care

The busy parents of Tanzania need a good child care service for their kids. You can start a child care business either personally as a nanny or with a team setting a child care center for many children. The set up of a child care center must be clean, hygienic, and comfortable for the children. Hire caring and responsible staff for your child care center as taking good care of the child demands care as well as responsibility.

24. Digital Marketing

With the gradual growth of the economy, there has been a good demand for digital marketing in Tanzania. If you are an expert in digital marketing and its tools like SEO or social media, you can start your digital marketing business. You will have different categories of clients to serve.

As a digital marketing consultant, you have to chalk out the marketing program, assist in making the website, write SEO content and make an impressive marketing strategy for social media and online advertising. You need your company’s website and good networking for this business.

25. Event Management

Event management is a lucrative business. You can start your event management company and work as an event manager taking all the responsibilities of organizing a corporate event or social events like Marriage, birthdays, and other parties. You need good contacts, efficient staff, and immaculate service to become a successful event manager. The website of your company is also essential.

Frequently Asked Questions

How can I make my business profitable in Tanzania?

Tanzania is a developing country according to some indexes. However, the economy is growing and the government is assisting the new entrepreneurs to set up their business here and earn good profits.

Can a foreigner open a company in Tanzania?

Yes, foreigners are encouraged by the local government to invest in Tanzania. Entrepreneurs from outside the country can register a new limited liability company (local company). Else, one can also establish a foreign company in Tanzania.

What are the best cities in Tanzania to start a business?

Here are the top 5 cities in Tanzania to start a new business:

  • Arusha
  • Dar Es Salam
  • Mwanza
  • Mbeya
  • Zanzibar City

What is Development Vision 2025?

It is the development and investment plan of the Government to uplift the economy of Tanzania by 2025.

The East African country of Tanzania is rising fast. Hence it is a good place to start your business here and be apart of the economic growth.