In today’s fast-evolving business landscape, change is not just inevitable—it’s essential. One of Kenya’s most well-funded startups, Twiga Foods, is offering a masterclass in just that. In a bold and strategic move, Twiga has launched an internal restructuring campaign that includes forming a new holding company, referred to internally as “newco”, and laying off over 300 employees in a significant shift to an asset-light model.

At OfficePhase, we see stories like this as more than headlines—they’re playbooks for founders, operators, and business owners navigating growth, complexity, and sustainability.

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1. A Lesson in Structural Clarity: Why a Holding Company Can Unlock Efficiency

Twiga’s move to create “newco” is not just a bureaucratic reshuffle; it’s a strategic response to the chaos that often comes with growth. As Twiga expanded—acquiring three FMCG distributors across Kenya—it found itself managing multiple overlapping structures. A centralized holding company allows Twiga to streamline shared services like logistics, procurement, tech, and finance, and reduce duplication of roles.

At OfficePhase, we’ve seen coworking businesses, startups, and service providers get bogged down by operational sprawl. The takeaway? As you grow, periodically assess whether your current structure still works. What served you as a small team may not serve you as a group of companies, locations, or service lines.

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2. The Pain of Pivoting: Redundancy Can Be Necessary, But Strategy Comes First

Twiga cut over 300 jobs, most from supply chain roles, as it shifted from owning infrastructure to working with third-party logistics. It’s a hard truth in business: efficiency sometimes requires painful decisions.

The important lesson for operators and founders is to pair cost-cutting with clarity. Twiga’s pivot was part of a defined plan—codenamed Project Easter—which outlined specific steps, from acquisitions to staff realignment. At OfficePhase, we emphasize strategic pivots over reactive ones. If you must make tough calls, make them part of a forward-looking strategy, not a scramble for survival.

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3. Scaling Doesn’t Mean Owning Everything

Twiga is embracing an asset-light model, a trend we’re seeing across Africa and globally. Rather than own fleets, warehouses, or massive facilities, the company will now leverage partners—a move that significantly lowers costs and boosts flexibility.

If you’re building a business, especially in logistics, real estate, or distribution, the question to ask is:

“What can we partner on instead of owning outright?”

At OfficePhase, this thinking has guided how we design and run our coworking spaces—partnering with local service providers, tech platforms, and utilities rather than trying to build everything in-house.

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4. Consolidation Can Be a Magnet for Investment

Twiga hasn’t raised significant capital since its $35 million convertible note in 2023. But by streamlining operations and eliminating structural inefficiencies, it becomes more investor-ready. A lean, focused organization inspires more confidence than a sprawling, bloated one.

For startups and scaleups in our community, this is gold. Investors don’t just fund ideas—they fund scalable systems. If your house is in order, your books are clean, and your operations are coherent, you stand a better chance at attracting funding.

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5. Don’t Be Afraid to Move—Literally

Twiga is also rethinking its physical operations. The company may exit its hub at Tatu City, opting for more central and cost-effective logistics locations nearer to Nairobi. This is a reminder that where you work matters, especially as your business grows.

At OfficePhase, we’ve helped clients rethink not only how they work but where they work—shifting from expensive long-term leases to flexible workspaces that align with their growth phase and market needs.

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What This Means for You—Whether You’re a Founder, Freelancer, or Facility Manager

Twiga’s story isn’t just about food logistics—it’s about operational discipline, strategic restructuring, and staying investor-ready. Whether you run a startup, a consulting business, or a service company, these are lessons worth noting:

✅ Don’t wait for chaos before you restructure.
✅ Asset-light doesn’t mean less impact—sometimes it’s more.
✅ Tough choices are easier when they align with long-term strategy.
✅ A well-run business is always more fundable.

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At OfficePhase, we support businesses at every stage of growth. From flexible workspaces and meeting rooms to strategic planning support, we provide environments where teams can adapt, grow, and thrive.

We’re inspired by how African startups like Twiga are evolving—and we’re here to help others do the same.

Let’s build smarter.
Let’s grow stronger.
Let’s make room for change.

—OfficePhase