Romance is never complete without a
candle lit dinner and a bar of chocolate. In particular, chocolates do
not only induce romance, but also provide an aura of consolation,
relaxation and comfort. For Martin Ruga, though, chocolates are a source
of livelihood.
This is because the 27-year-old runs a chocolate processing business known as Desserts Anyone Limited.
The business that is based in Baba Dogo,
Ruaraka, in Nairobi, processes low or no sugar, cocoa-rich, whole-fruit
infused or dairy free chocolates. “We are in the business of
giving
consumers the license to indulge in a guilt-free, healthy experience of
their beloved chocolate,” says Martin Ruga.
Ruga started the business as a gift to
his friends and family members. “I started the business in 2015 after
making a simple dessert that contained chocolate-coated strawberries for
my friends and family,” he says.
Many of those who tasted his dessert
gave it thumbs up because of the strawberries that he had added. “I
realized that the strawberries had created the illusion of a healthy
dessert, and that many of those who tasted it would have shied away if
it was plain chocolate due to health concerns such as weight gain,
dental cavities and the aftertaste,” he says. “This got me thinking;
does a solution exist that can deliver a wholesome, untainted experience
to chocolate lovers?”
Armed with a capital of Sh. 10,000, Ruga
decided to pilot a chocolate processing business. “I started by testing
out my business hypothesis among my family and friends. The feedback
was positive and it encouraged me that this was a business that could
command a good market,” he says.
He developed a business plan and a
simplified test data that could show how and why his business idea could
work. But his capital of Sh. 10,000 was too small to set off the
business. “I knew that I would need more capital and decided to start
applying for funding from angel investors,” Martin Ruga says.
He applied for the inaugural Tony
Elumelu Entrepreneurship Programme in 2015. Fortunately, his business
pitch sailed through and he was awarded with a seed capital of Sh. 1
million (USD 10,000). “In the same year, my business was picked up by
the Centum Investments Foundation for mentoring and resource provision,
which helped us to lay a solid foundation on which the business stands
on today,” he says.
Despite receiving funding and
mentorship, Ruga still faced numerous start-up challenges. He says that
his biggest challenge was focusing on a small set of product ideas in
order to get the business moving.
“As entrepreneurs, we sometimes tend to
generate ideas faster than we can execute them. This is a booby trap
that I got caught up in. But as time passed, I learned to slow down and
execute my business plan more stealthily,” he says.
Today, Ruga is reaping the fruits of his
toil. His business has served over two tonnes of chocolate to over
50,000 primary and secondary consumers. “We mainly supply other
businesses through the Business to Business supplier model. We tie their
business objectives to the emotion that we often attach to chocolate
with our custom-branded chocolate squares.”
Ruga also reveals that his business is
beyond its break-even point. “Our projections show that we shall be
having increased profitability in the coming business periods,” he says.
Over the past three years, Ruga’s
business has grown from a team of one to about seven employees. During
this period, Ruga has scooped equity investments from the KCB Lion’s Den
entrepreneurs programme, completed fellowships with startup mentoring
projects, and won the Young Entrepreneurs Awards’ top youth entrepreneur
in the hospitality industry.
Martin Ruga says that one of the key
business lessons he has learned in his journey is the management of his
cash flow. “No idea should be launched without piloting. This will save
you from sinking too much capital in a venture that might turn out as a
dead end,” he says.
Though he has not suffered from any
major financial losses, Martin Ruga says that he has had a loss of time
with either delayed or hastened business decisions. “I have learned that
as an entrepreneur, there are times when you need to be haste with
decisions. This is not easy, especially when the decisions need
retrospection and accurate business growth forecast,” he says.
Currently, Ruga’s main challenge is
managing demand from the retail side vis a vis his processing capacity.
“The business is now aiming to further our distribution channels by
opening chocolate kiosks in high traffic retail locations, and an online
distribution channel,” he says. He has laid out an eight-year plan that
he expects to transform his business into a processing and exporting
chocolate company. “I have dared to dream. Dream, as well, but always
beware that you can start with what you have from where you are. In the
end, everything will fall into place. Trust your gut, be patient, be
persistent, have fun, and build your grit.”
- Bizna
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