How To Start Foodstuff Business In Nigeria- If you desire a business that will give you daily income, then you should consider starting a foodstuff business in Nigeria. People consume food daily, averagely twice daily or even more. We can’t do without food. We need food to carry out our daily activities. So foodstuff business in Nigeria is one that would always thrive. In this post, we would guide through on how to start a foodstuff business in Nigeria.
How To Start Foodstuff Business In Nigeria
1. Do In-depth research
You need to research about the business you want to get into. Interact with people that are already into foodstuff business in Nigeria. Relate with them in a friendly manner, ask questions. You will find someone that would give you audience. Some of the research you should carry out include:
- How do I source for goods?
- How are foodstuffs stored preserved?
- How do you handle external factors like pest and insect attack?
- What are the selling price of the foodstuff?
- What are my likely profits?
One sure way that would always work is to go for internship. Look for someone doing fine in the foodstuff business and attach yourself for some weeks/months. Ensure that while you are there , you are of great help and value. Don’t just sit all day asking questions like a lawyer. Get involved in what is being done there. When the boss sees your seriousness, he/she is the one that will call you aside and start giving you critical information needed to succeed in foodstuff business in Nigeria. He may even go as far as introducing you to his major suppliers. There is nothing like getting to buy from the main source, it implies buying cheap and buying quality too.
People in the southeastern Nigeria adopts this method of internship before starting any business and it really works for them.
2. Source for capital
Food stuff business in Nigeria can be capital intensive . The truth is the more profit you would make. You will need funds to rent a shop/ store and also buy goods to stock. Here is how to source for capital.
- Personal savings
- Bank loan
- Soft loan
- Crowd funding
- Gifts from family and friends
3. Get a shop/store
After sourcing for capital, the next step to take is to start looking for a shop/ store to be able to stock your goods. Even if you are going to be selling online, you still need a place to store up your goods. Even if you are going to be selling online. Now you need to be strategic in the renting of a shop. If you intend to run the business fully onground, then you should rent a shop in a busy location where people can easily access and buy from you. But if you intend to sell purely online, then you can get your shop in any location. Infact, if you have some space/ extra rooms in your house, you can use such as store for your foodstuff business in Nigeria.
4. Get necessary permits and licenses
Every state / country has regulations guiding the operations of business. In Nigeria, If you are going to operate a shop, there are certain permits/licenses you need to get. Find out about such and ensure you procure them before you start selling.
5. Buy the foodstuff from the supplier
If you took sometime to learn under an experienced business man that does foodstuff business in Nigeria, you should have gotten a list of suppliers. But if you don’t have them, you will have to go search for them . One funny thing about Nigerians is this: when your shop is well-stocked with goods, they will take you serious and prefer to buy from you. But if your shop appears scanty, they will feel you are not ready for business and possibly your goods will be more expensive, so they wont stop by such shop.
That is why I said at the beginning that foodstuff business in Nigeria can be capital-intensive. So as much as possible, stock up your shop well on first opening.
6. Buy in bulk
Ensure that each time you want to re-stock, you buy in bulk. This will save you cost (e.g transportation) and also increase your profits. Moreso, when you buy your goods in bulk, you buy at a cheaper rate.
7. Get necessary materials/tools
To start foodstuff business in Nigeria, apart from buying the foodstuffs, you will also need some materials. For instance, measuring cups/ containers , nylons, bowls/ basins to display your foodstuffs, etc.
You need to get some notebooks , pen and ledgers for documentation . You should have sales book where you record sales, have a book for purchases made. You should also have a receipt (highly important if you are selling in wholesale quantity.
9. Start selling
After all set and done, you should sit in your shop and start selling. Be optimistic , expect the customers and prepare for them. Remember to treat everyone that stops at your shop well. Even they are just there to make inquiries . Be polite. Your good attitude can change the heart of a window-shopper. Remember to thank them after each purchase.
10. Promote your foodstuff business
With the advent of social media, advertising and promotion of business is much cheaper than before. There are some people that will trace your shop and come to buy because of the advert placed online. Create social media account and place your business details there. You can also do some promotional sales for the first few days of sales e.g get a special gift for every bag of rice you purchase, etc.
Skills Needed To Excel At Foodstuff Business In Nigeria
1. Communication skills
When I mean communication skills, I don’t mean ability to speak some good grammar. Rather , ability to speak the language of the environment. If its Yoruba language that is the dominant, you should be able to speak and understand a little. Customers are delighted to receive greetings in their native dialect.
The truth is this: a customer will keep coming back to a shop that he feels at home/ welcomed. One way to make a customer feel at home is by relating with him/her in their own dialect.
2. Interpersonal skills
You must know how to relate well with people to be able to do foodstuff business in Nigeria. Be the first to greet and welcome your customers. Use kind words. Don’t be harsh even if you are under pressure. Treat people nicely and they will keep coming back.
3. Negotiation skills
You will need this when relating with your suppliers. Don’t be afraid to bargain or ask for discount freely. So you must exercise some boldness.
Other skills include Attention to details, organizational skills, etc.
Why You Should Get Into Foodstuff Business In Nigeria
1. It is an in-demand business
Food is being consumed daily. Food items is therefore always in high demand 24/7. Once your prices are good and you have good customer retention plan, you will do well running foodstuff business in Nigeria.
2. It’s a lucrative business
Foodstuff business in Nigeria is not only in-demand business but also a lucrative one. You can get to make a lot of profits doing foodstuff business in Nigeria.
3. Business can be done online
You don’t have to sit all day long in a shop in the name of doing foodstuff business in Nigeria. Moreso, renting a shop is not cheap at all. So if you don’t have money to rent a shop, you can use some space in your home to store up the foodstuffs. You can promote your goods on social media space such as Whatsapp, Instagram, TikTok, Facebook and Twitter. There are actually some people who don’t have the time to shop for foodstuffs. You will find a crop of such people online who you can sell to and deliver at their doorstep.
4. It can be done as a side-hustle
You don’t have to quit your 9-5 job to start food business in Nigeria. Infact, your current job is a plus for the foodstuff business. This is because your colleagues at work can form your first set of customers, from which you can build on. However, you have to be sure that whatever you do, don’t violate your company’s policy so you don’t get sacked.
Tips On How To Run A Successful Foodstuff Business In Nigeria
- Be sure that your shop is in a good location e.g at junctions, bustops, etc.
- Sell quality foodstuffs
- Offer some discount
- Create a brand for yourself e.g God is good food shop, Man must chop enterprises, etc.
- Always ensure to re-invest a percentage of your profit (e.g 50%) back into the business. Don’t eat all your profit.
List Of Profitable Foodstuff Business In Nigeria
Here is a list of food items you can stock your shop with for your foodstuff business in Nigeria.
- Yam flour (Elubo)
- Soya beans
- Groundnut oil
- Palm oil
- Dried ground pepper, etc.
The beauty of running a foodstuff business in Nigeria is that you can run it as a side-hustle. You don’t have to quit your job. You can run alongside your job and improve the quality of your life.
Frequently Asked Questions
Is foodstuff business a profitable one in Nigeria?
Yes. Foodstuff business is highly profitable. Everyone eats to survive and do their daily activities. You can never go out of business as a foodstuff seller. Once you can follow the tips explained in this post
What foodstuffs can sell the most in Nigeria?
How much do I need to start a foodstuff business in Nigeria.
Foodstuff business in Nigeria can really be capital-intensive, that is if you want to make much profit. But you can always start with what you have and move up from there. If you have about 1 million naira or more, you can start a foodstuff business in Nigeria
- www. nairarush. com. ng – How to start a profitable foodstuff business in Nigeria
- www. Hospitalityinsights. ehl. edu – How to start your food business : an 8-step guide
- www. Infoworth. com- How to start foodstuff business in Nigeria