Employee theft is emerging as a significant challenge for small businesses across Africa, with entrepreneurs reporting losses linked to missing cash, manipulated sales records and alleged collusion between workers and suppliers.
Stories from Ghana and Kenya illustrate how internal theft can undermine businesses, drain owners’ savings and threaten years of investment, particularly when owners have limited resources to monitor daily operations.
Kenyan entrepreneur and content creator That Girl Boina experienced the consequences after opening Waxaholic Studio, a beauty business offering waxing and hydrafacial services in Nairobi’s central business district, on September 1, 2024.
While she was on a two-week holiday in Europe, a customer reportedly contacted her to say that staff had requested payment to a different number from the one displayed by the business. The incident raised concerns about how payments were being handled while she was away.
The business subsequently experienced declining revenue from early 2025. Boina eventually closed the studio in October 2025 after failing to find a buyer willing to take over the business as a going concern. She sold some of its equipment but said she had not recovered the money she invested.
Her account, shared on TikTok in September 2026, attracted widespread attention and highlighted the difficulties business owners face when they cannot fully trust the people responsible for daily operations.
“I cannot teach you integrity,” became the central message associated with her experience, reflecting the frustration of an entrepreneur who had invested in a business only to face serious concerns about staff conduct.
In Ghana, JoyNews sports journalist Muftawu Nabila also recounted difficulties involving employees at his electronics shop in Accra. He said three workers had been involved in theft over a period of four years, with the most recent case threatening the business while he was in the United States covering the FIFA World Cup in June 2026.
According to his account, discrepancies between sales and stock records exposed the problem. He estimated that on a day when the shop generated about US$200 in sales, as much as US$30 could go missing. He said the latest suspected theft continued for approximately two months before the discrepancies became apparent.
Nabila explained that income from his journalism work helped him rebuild the business. His experience highlights the additional pressure faced by entrepreneurs who must balance their main occupations with managing small businesses.
Kenyan fashion entrepreneur Cris Njoki, founder of IKOJN, described another form of alleged internal fraud. She discovered that an employee was reportedly working with a supplier to inflate quotations for raw materials, with the excess amount allegedly shared between them.
In response, Njoki introduced tighter procurement procedures, including a system in which the finance team dealt directly with suppliers and handled payments. The changes were intended to improve accountability and create a clearer record of transactions.
Research has also highlighted the scale of economic crime affecting businesses in the region. A 2022 PwC survey found that 63 per cent of respondents in East Africa said their organisations had experienced economic crime, compared with 46 per cent globally.
Large retailers have also faced substantial losses attributed partly to employee theft and weaknesses in internal controls. Reports concerning Kenya’s former supermarket chains Tuskys and Nakumatt highlighted problems involving missing stock, cash manipulation and alleged collusion. Both businesses eventually collapsed amid broader financial and operational difficulties.
Business consultant John Wanjohi of Hipora Business Solutions East Africa has emphasised the importance of stronger controls in reducing losses. One pharmacy branch reportedly recorded an increase in daily sales from KSh80,000 to KSh200,000 after tighter procedures were introduced for cash handling, stock management and cashier operations.
Experts generally advise business owners to establish clear payment procedures, conduct regular stock checks, reconcile sales records, separate financial responsibilities and investigate unexplained discrepancies promptly. Digital payment records and restricted access to business accounts can also help improve oversight.
However, suspected misconduct should be investigated carefully. Employers should gather evidence, follow applicable labour laws and give employees an opportunity to respond before disciplinary action is taken.
The experiences of entrepreneurs in Ghana and Kenya show that employee theft can have consequences extending beyond immediate financial losses. For small businesses operating with limited capital, even relatively small amounts taken repeatedly can threaten their ability to pay expenses, maintain stock and remain open.
Strengthening internal controls, improving supervision and establishing transparent procedures may help business owners protect their investments while building workplaces where trust is supported by accountability.
Source: Thepressradio.com
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