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How Onyango built a billion-dollar logistics empire

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Ms Lillian Musana Onyango, the chief executive officer of Laiken logistics during the interview. PHOTO/MICHAEL KAKUMIRIZI

Lilian Onyango’s story is one of relentless determination, courage, and perseverance. From humble beginnings, she rose to become a trailblazing entrepreneur in the clearing and logistics sector, an industry historically dominated by men. Her journey is one of defying the odds and breaking barriers that many thought were insurmountable.

Reflecting on the early 2000s, Onyango recalls a time when business owners in her field were silenced and humiliated.
"They were often insulted, labeled as illiterate, and denied the right to ask questions," she shares.

At the time, Onyango was working part-time at her father’s business, which sparked her curiosity and laid the foundation for her future. Eventually, she ventured out on her own, though her first business attempt did not succeed. Undeterred, she joined Rocks Electronics, gaining invaluable experience that would shape her career in the years to come.

Onyango’s entrepreneurial journey began when she volunteered to handle administrative tasks at her father’s small clearing agency.
It was here that she witnessed firsthand the exploitation of business owners by a small group of individuals. Despite lacking formal education, these individuals possessed street-smart skills in customs and clearing procedures, but they often misused their positions.

"They handled substantial amounts of money without accountability and yet insulted the very people they were supposed to serve," Onyango reflects.
She spent many evenings sitting on the veranda of her father’s business, where her curiosity grew into a passion to learn and master the trade.

"Through these experiences, I realised that there was a need for change, a need to empower business owners to ask questions and demand transparency," Onyango says with pride. "I played a significant role in bringing about that change, and I’m proud of the impact I made."

Now, at 40 years old, Onyango stands at the helm of Laiken Logistics, a thriving clearing and forwarding company she founded. Her company is a testament to her unwavering perseverance and resilience in an industry that remains largely male-dominated. With an investment value of $500,000 (Shs1.8 billion) and over 200 clients, Laiken Logistics located in Bweyogerere -Buto, continues to grow, contributing a net worth of Shs100 million per month.

Laiken’s success is reflected not only in its financial growth but also in its solid reputation. Onyango’s team of six dedicated permanent employees serves a diverse clientele, ranging from individual entrepreneurs to large corporate companies and government ministries.

"Our business volume is substantial," she notes. "We calculate this based on the value of the business we receive from our customers each month."

But the road to success was not without its struggles. In 2014, Onyango handled only two containers a month, totaling about 24 containers for the entire year. With just five clients, she learned the importance of responsibility and stress management while navigating the challenges of starting from scratch.

"It was a steep learning curve, breaking barriers and positioning myself in a competitive environment," she recalls.
Her approach to business has been rooted in humility and a desire to understand. One particular incident stands out in her mind: a client had given her an order for handbags and wallets, but she mistakenly declared it as 'purses.' The error led to a significant penalty, one she could not afford to pay.

"I had to own up to my mistake," Onyango admits. "That experience taught me the importance of clear communication and precision in every detail of my work."
As a customs agent, Onyango faces the challenge of overcoming deep-rooted stigmas and stereotypes that often paint clearing agents as dishonest or corrupt.

"Someone once said to me, ‘I could never marry a clearing agent; they are thieves.’ It is a hurtful generalisation," she reflects. "This perception is ingrained in society, sometimes even in schools, where children feel ashamed to admit their parents are customs agents."

Onyango, however, has always focused on maintaining integrity, especially when mistakes are made.
“The risk of losing capital or revenue is real. But as ethical professionals, we must take responsibility for our errors,” she stresses. "It’s important to maintain our principles and pay for our mistakes, rather than passing the costs on to clients."

Her choice to adopt a non-asset-based model for her logistics business was another strategic decision. While some businesses in logistics opt to own their trucks and warehouses, Onyango decided to hire or lease equipment from established partners. 

This approach has allowed her to manage costs more effectively and focus on what truly matters—providing excellent service.
"Managing owned equipment requires a substantial workforce, which can be difficult for SMEs," she explains. "Leasing allows us to scale more efficiently and focus on our core competencies," Onyango explains.

But the logistics business is not without its unpredictability. "One year, a customer may bring in significant business, only to be surpassed by another the next year. This unpredictability is a constant challenge," Onyango admits. "A loss today doesn’t mean the end of the world. As long as I can get back on my feet, I’ll try again tomorrow."

The COVID-19 pandemic, however, posed one of the biggest challenges in Onyango’s career. The impact on her business was devastating, reducing operations by 90 percent.
"We lost a significant amount of money, including $200,000 (Shs740 million), due to clients refusing to honour their obligations," she sighs.

Yet, even in the face of such adversity, Onyango's resilience has helped her adapt.
"I accept the new normal and focus on the present moment. Dwelling on the past doesn't help. It is all about making the most of what I have and moving forward."

Onyango is not only proud of her success but also of the way her journey has influenced others. Four of her siblings have followed in her footsteps, now running their own logistics businesses.

"It’s wonderful to see them thriving in the industry, and I’m proud to have played a role in their growth," she smiles.
Through it all, Onyango has learned valuable lessons about integrity, humility, and the power of human connection.

"Doing the right thing is often easier than taking shortcuts," she reflects. "Empathy and humanity are essential, especially when you're in a position of success. There is no weakness in asking for help or being there for your partners, competitors, and community," Onyango says.

As a mother of three, Onyango’s life is a testament to the fact that with determination, hard work, and unwavering faith, anything is possible. She is not just the proud founder of Laiken Logistics; she is an inspiration to others, proving that women can succeed in even the most challenging industries.
 


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