US-based Kenyan entrepreneur Margaret Nyamumbo gained attention last year when she made an impressive pitch on the popular TV show Shark Tank for her coffee company Kahawa 1893
As the founder of Kahawa 1893, Nyamumbo has not only established a thriving coffee business but also created a platform for empowering women farmers across Africa. Nyamumbo’s story began in Kisii, where she developed a deep appreciation for the coffee industry. Her pursuit of higher education led her to the United States in 2007, where she studied Economics at Smith College before earning an MBA from Harvard. This academic foundation was complemented by professional experience in investment banking at Citigroup.
In 2017, Nyamumbo founded Kahawa 1893, drawing inspiration from her roots and the rich history of Kenyan coffee. The company’s name cleverly combines the Swahili word for coffee with the year commercial coffee cultivation began in Kenya. Initially a side project, Kahawa 1893 quickly became Nyamumbo’s primary focus, prompting her departure from Citigroup in 2018. Kahawa 1893’s business model is built on ethical sourcing practices, primarily working with women farmers in Kenya, Tanzania, Rwanda, and the Democratic Republic of Congo. This approach ensures fair compensation for farmers while promoting sustainable agricultural practices. The company’s commitment to quality extends from sourcing to roasting and packaging, resulting in a premium product with a compelling story.
The COVID-19 pandemic presented significant challenges for the fledgling company. However, a pivotal partnership with Trader Joe’s in 2020 provided a crucial boost, expanding Kahawa 1893’s market presence and paving the way for collaborations with other major retailers like Target. This strategic alliance played a key role in the company’s impressive financial performance in 2023, with revenues reaching 387 million Kenyan shillings. Nyamumbo’s appearance on the popular TV show Shark Tank marked a turning point for Kahawa 1893. Her compelling pitch, which emphasized the company’s mission to empower women farmers and showcase African coffee globally, secured a 44 million Kenyan shilling investment from British businesswoman Emma Grede.
This investment, in exchange for an 8% stake in the company, provided not only financial support but also valuable mentorship and increased visibility. The success of Kahawa 1893 is reflected in its diverse revenue streams. In 2023, the majority of its income came from supermarkets and wholesale distributors, supplemented by significant online sales through the company’s website and Amazon. Smaller wholesale accounts, including cafes and offices, also contributed to the company’s impressive financial performance. By leveraging her understanding of both Kenyan coffee culture and the American market, she has created a business that transcends geographical and cultural boundaries.
