As e-learning becomes useful to learning institutions worldwide, an assessment of e-learning readiness is essential for the successful implementation of e-learning as a platform for learning. Success in e-learning can be achieved by understanding the level of readiness of e-learning environments. To facilitate schools in Kenya to implement e-learning, the government selected five public secondary schools in each district and provided funds for Information Communication and Technology (ICT) infrastructure development and teachers training on ICT. The selected schools are also intended to serve as reference e-learning centres for other schools. In attempt to implement e-learning, the institutions involved need to be assessed to ascertain their level of preparedness lest the noble initiative be of no benefit to the society. The study investigated the preparedness of ten schools which benefited from ICT development funds within Rachuonyo South and Rachuonyo North districts. The survey examined the level of technical competency and computer literacy among teachers and students, their attitude and perception towards the use of e-learning. Descriptive research was used to obtain information concerning the level of e-learning implementation readiness and to describe the scenarios with respect to conditions in schools. Teachers' and students' computer literacy as well their perceptions and attitude towards technology were significant measures of e-learning implementation readiness. This research findings show that teachers and students are ready to embrace e-learning technology, but there is needed to enhance their technical capacity through training for successful e-learning adoption. Though most students accept e-learning, they lack basic computer skills required of them to effectively use e-learning platform. The study revealed a positive correlation between computer literacy and e-learning acceptance.