Founded in 2008, the Kenya Top 100 mid-sized companies Survey (‘Top 100 Survey’) is an initiative of KPMG and Nation Media Group. The survey seeks to identify Kenya’s fastest growing medium sized companies in order to showcase business excellence and highlight some of the country’s most successful entrepreneurship stories.
The first Top 100 Survey Kenya Chapter was launched in April of 2008. Since then, we have Chapters for Tanzania, Uganda and Rwanda.
The rationale behind the survey
Mid-size companies are the drivers of the economy and employ the bulk the workforce in Kenya. KPMG and Nation Media Group (NMG) strongly believe that there is a need to celebrate these entrepreneurs. The intention, therefore, is that new role models and national heroes will emerge from the Survey. Additionally, the Founders envisage:
- the creation of industry databases making it possible for companies to benchmark themselves against their peers
- policy makers recognise these companies’ contribution to economic growth. This can trigger formulation of policies that support them
- support of mid-sized companies by linking them with key service providers. These service providers will form relationships with mid-sized companies by sponsoring the survey, Top 100 forums and Club 101 forums
- facilitation of networking amongst the Top 100 mid-sized companies
- the creation of platforms for the mid-sized companies to engage in corporate social responsibility (CSR) activities and particularly those related to promoting entrepreneurship education amongst youth.
Participation in the Survey is voluntary. A company can take part as long as it meets the following criteria:
- Turnover range between KShs 70m and KShs 1 billion
- Has three year audited financial records
- Not listed on a stock exchange
Banks, law firms, SACCOs, and insurance companies are excluded from participation.
The identification of the fastest growing company is based on positive growth in period under review by the Survey. The audited statements for the 3 years under review must be confirmed by an Auditor who is in good standing with the Institute of Certified Public Accountants of Kenya (ICPAK).
The ‘Top 100 Mid-sized Company” (‘Top 100 Company’) is one which ranks ahead of its peers in terms of revenue growth, profit growth, returns to shareholders and cash generation/liquidity. A Top 100 company has succeeded in progressively growing its market position in the industries in which it operates and over time, this growth has translated into both returns for its shareholders and a fairly sound financial position.
To facilitate identification of the Top 100 companies, survey participants are required to submit data on seven financial indicators under the financial questionnaire. In addition we capture other characteristics of these companies such as their business confidence outlook, talent management policies, involvement in corporate social responsibility, and the role played by innovation in their operations. We also seek to capture their contribution to job creation whilst bearing in mind that not all industries are labour intensive. However the final Top 100 list shall be based on quantitative criteria only, based on selected financial indicators.
In addition to these factors, since the award is focused on ‘Fastest Growing’ companies, then this should be reflected in the year on year growth in revenue.