My name is Michael, and I live in Kampala, Uganda. Like many Ugandans with big dreams, I wanted to build a business that could give my family a comfortable life and financial security.
In 2022, after months of planning, I made a bold move—I borrowed 50 million shillings from the bank to invest in a business I believed in.
I felt confident because I had done my research, drawn up a business plan, and received encouragement from family and friends. With the loan money, I rented a shop, stocked it with products, and even hired two employees. For a short while, it looked like my dream was finally coming true.
When Things Fell Apart
The excitement did not last long. Sales began to slow down because of stiff competition, high operating costs, and a struggling economy. I found myself spending most of my earnings on rent, employee salaries, and bank loan interest, instead of making profits.
Within just six months, my business was on the verge of collapse. I had little stock left, almost no savings, and the bank kept calling me daily to demand repayment. I felt hopeless and even thought my life was over.
The Turning Point
But instead of giving up, I decided to fight for the business. I started by cutting unnecessary costs—I reduced my staff, moved to a smaller shop with lower rent, and focused only on fast-moving products instead of stocking everything.
I also reached out to mentors and experienced business people for advice. They taught me how to improve customer service, use social media marketing, and negotiate better deals with suppliers. Slowly, I started to see small changes.
Another important step was talking to the bank. Instead of hiding from them, I explained my situation honestly and requested for a restructured repayment plan. To my surprise, they agreed to give me more time, which eased the pressure and allowed me to focus on rebuilding.
Recovery and Lessons Learned
By mid-2023, my sales began to stabilize. The business had not yet reached the level I first imagined, but I was no longer drowning in debt. Today, I am steadily paying off the loan and even planning to expand again—this time with more caution and better strategies.
Looking back, I realize that success in business is not just about having capital. It requires discipline, resilience, adaptability, and continuous learning.
My advice to anyone planning to take a big loan for business is this:
• Start small if you can, and test the market first.
• Don’t rely only on encouragement from friends—seek professional advice.
• Have a backup plan because the economy can change anytime.
• And most importantly, don’t give up when things get hard. There is always a way to recover.
A Story of Hope
What almost destroyed me became one of the biggest lessons of my life. Today, I share my story so that others can learn: failure is not the end—it can be the beginning of something stronger if you don’t give up.
