How Much Money is Okay For Starting Supermarket Business in Nigeria
Supermarket business is one of the most popular businesses both in Nigeria and abroad.
In Nigeria supermarket is one of the most predominant type of business for obvious reasons.
Across major urban and semi urban centers, supermarkets are found in and around all corners.
Even rural areas are not left out as research has shown that the business can also thrive in rural areas of Nigeria provided there isn’t much competition in the area.
Starting Supermarket is one of the easiest business one can start in Nigeria.
However, maintaining a supermarket business is tedious and requires attention to details and discipline.
Supermarket is a one stop shop where basic household items such as gloceries, detergents, drinks, baked foods etc are sold. In Nigeria supermarkets are next to malls in hierarchy.
Some people in Nigeria also refer to it as superstores.
Most Nigerians have ventured and are still venturing into supermarket business in Nigeria.
This is because of the viability of supermarket business in Nigeria.
Some people always ask how lucrative is supermarket business in Nigeria.
The answer is obvious as the business is paying well especially when the owners do their home work very well.
Starting a supermarket business in Nigeria requires certain logistics and tips.
Some of these logistics will require finance while some other will require initiative and smartness.
How Much for Starting Supermarket in Nigeria
Supermarket business is just like every other businesses in Nigeria and capital is soul of every business.
No amount of money is too big for starting Supermarket business because it is a one stop shop business.
So capital for starting Supermarket will also determine how and where the business will be sited.
Based on current economic realities in Nigeria, starting Supermarket business in urban or semi urban centers in Nigeria will require minimum of N500,000.
In rural centers, lesser amount can be managed.
The bigger the capital the better as it will afford the owners easy take off and smooth running of the business.
So how much amount is good for starting Supermarket in Nigeria is N500k minimum for urban centers.
Steps To Starting Supermarket Business in Nigeria
There are certain steps to be considered when starting Supermarket business in Nigeria.
Below are steps for starting Supermarket in Nigeria.
Capital: Capital for starting a supermarket in urban cities in Nigeria shouldn’t be less than N500k.
However if bigger capital can be sourced preferably from families and friends it should be done.
Even capital of N5,000,000 isn’t too big for starting a supermarket rather it will smoothen the take off and make it come on in a bigger way.
Nevertheless, people with capital less than 500k shouldn’t be discouraged.
This is because people still pull off big supermarket business out very little capital.
But it require sacrifice and getting a good and cheaper locations.
Location: Location is one of the major steps to be considered when starting Supermarket.
The location must be a well trafficked location with both human and vehicular movements.
It should also be devoid of natural disasters like flood etc.
Above all, it should be a location with considerable good security atmosphere.
Rent: when renting an apartment or shop for supermarket business in Nigeria, the future should be considered as the business is open to immediate expansion.
However, thing line should be maintained between rent and affordability.
While a bigger and apartment with space is ideal type of shop for supermarket, the rent and cost of rentage should be put into cognizance.
The cost of rent should exceed the cost of stocking up the apartment.
For a start the rent should be affordable to give room for most of the capital to go into goods.
Best Goods for Starting Supermarket: For a starting, the supermarket should be stocked with everyday consumable and usable items such as detergents, gloceries, breads, pampers, writing materials etc.
This is so as to encourage immidiate sales and as well attract customers.
Sales Girl/ Boy: Running and managing supermarket isn’t an easy task.
The business opens early and closes late. So, extra hands are always needed especially if the supermarket will be starting in a bigger way.
Getting a disciplined sales girl or boy will be helpful as extra hands are always needed for successful running of supermarket business in Nigeria.
Electricity: Supermarket business isn’t one to be managed without adequate and regular electricity.
The drinks and ice-cream has to be chilled. So, getting a sizeable generator should be considered as a step to be taken towards starting Supermarket in Nigeria.
Security: Securing an entire supermarket from both internal and external enemy is cumbersome.
For those who are starting Supermarket in bigger way or with larger capital, installation of security camera is right step.
It helps keep enemies both the ones within and outside in check.
Tips for Supermarket Business in Nigeria
There are certain tips for starting Supermarket business in Nigeria.
With this tips new investors can be well guided.
Seek for Credit Facilities from Suppliers: most of stocks found in supermarkets and malls are not fully purchased by owners.
For expansion, you will seek to be supplied certain stocks while you pay as you sell.
This is one secret to running supermarket business in.
Not all goods and stocks on the shelve are fully paid for.
Do Away with Debtors: If you are operating supermarket business in Nigeria avoid selling your stock on credit no matter who is involved.
This is because how much profit people make from supermarket in Nigeria is based on turnover and regular sales.
Be Customer Friendly: Being polite and courteous is one of the ways of wining and keeping customers especially in supermarket business.
Never treat customers according to their money or purchasing power.
Best Prices: Standard of living in Nigeria is low and majority of Nigerians does not have too much money to cater for their daily needs.
Through setting good and competitive prices, customers will easily be won and kept in supermarket business in Nigeria.