In brief
When a customer cursed the wrong payment number in an Instagram message, That Girl Boina realised her Nairobi waxing studio was being drained by employees. The loss of revenue forced her to shut the studio and sell remaining assets. Her viral TikTok video sparked a wider conversation, with other Kenyan shopkeepers, a Ghanaian electronics store owner and a Kenyan ready‑to‑wear brand founder confirming that employee fraud is a major threat to small businesses across Africa. Loss‑prevention firms estimate that more than 60 % of losses reported by small firms are due to staff theft, and experts urge tighter controls and swift disciplinary action.
In early September 2024 That Girl Boina opened Waxaholic Studio, a waxing and hydrafacial parlour in Nairobi’s central business district. A year later, after hiring a receptionist and two specialists, she decided to take a two‑week holiday to Europe. A week into the trip, an Instagram direct message from a client warned that money was being sent to a number other than the studio’s official account. The message forced Boina to investigate.
Boina found that the clinic’s revenue had been slipping since early 2025, and the DM exposed that a handful of staff were diverting payments. When she tried to confront them, she chose instead to close the studio, then put it up for sale with no buyers. She sold some equipment and dismantled the remaining decorations, effectively ending Waxaholic Studio in October 2025.
The closure hit Boina emotionally; she later shared her story on TikTok, which went viral after being reposted on X. Many Kenyan business owners responded, describing how employee fraud—ranging from payment diversion to stock theft—had forced them to dismiss staff, sell businesses or shut down entirely. A 2022 PwC survey showed 63 % of East African firms reported economic crime, compared with a global figure of 46 %.
The problem extends to large retailers. Tuskys and Nakumatt collapsed in 2020 and 2021, respectively, partly because of significant inventory and cash losses attributed to employee collusion. Loss‑prevention specialist Hipora estimates that staff theft accounts for more than 60 % of losses recorded by small businesses in the region. The theft is often sophisticated, involving collusion with external suppliers and manipulation of till records.
In Kenya, founder Cris Njoki of IKOJN discovered an employee encouraging suppliers to over‑price raw materials; after confronting him, the employee left the company and Njoki reinforced procurement controls. Across Africa, small firms struggle with thin profit margins, limited finance access and a large informal economy, making them especially vulnerable to theft. Experts advise that firms should tighten cash handling, stock movements and cashier procedures, and that the law requires employers to gather evidence, allow employee responses and only then take disciplinary action.
Boina says she will now hire more cautiously and fire employees quickly. Her experience underlines the need for robust internal controls and the real cost of employee theft to the livelihoods of owners and their workers.
