1. Background and Context Small and Medium Enterprises (SMEs) form the backbone of Kenya’s economy, contributing approximately 33% of GDP and employing over 80% of the workforce outside the agricultural sector. Despite this significance, SMEs remain disproportionately exposed to commercial disputes that are costly, protracted, and frequently unresolved through formal judicial channels. The Chartered Institute of Arbitrators (Ciarb) Kenya Branch convened a multi-stakeholder roundtable to interrogate the landscape of dispute resolution for SMEs, assess the efficacy of existing mechanisms, and identify entry points for scalable Alternative Dispute Resolution (ADR) interventions. The roundtable convened representatives from the Micro and Small Enterprise Authority (MSEA), the Judiciary, the Kenya National Chamber of Commerce and Industry (KNCCI), the financial sector, the insurance industry, and the youth entrepreneurship ecosystem. This report summarises the deliberations and perspectives presented by each stakeholder group, and distills shared conclusions, identified gaps, and proposed areas of partnership. 2. Micro and Small Enterprise Authority (MSEA) — Perspective Presenters: Maureen Gachogo- Registrar. :Agnes Thiong’o- Senior legal officer. 2.1 Nature and Typology of Disputes in the SME Sector MSEA’s frontline engagement with the SME ecosystem reveals that disputes within this sector are diverse in character and frequently multi-layered. The Authority identified three principal categories of disputes commonly encountered: •Governance disputes: These arise within SME structures, particularly cooperatives, chamas, and registered business associations, where disagreements over leadership, profit-sharing, decision-making authority, and member obligations create internal fractures. Such disputes, if unresolved, often result in enterprise dissolution or significant productive loss. •Resource disputes – Land use: A recurring category of disputes involves access to and use of land for business operations. These disputes frequently involve
