3 Easy Steps To Starting A Lucrative POS Business In Nigeria

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Co-vid 19 due to the pandemic caused so many Nigerians to think outside the box of various lucrative ways they can leverage to make make money for themselves.

This results into lot of Nigerians Venturing into the starting a lucrative POS Business here in Nigeria. 

Although the ‘Point Of Sales business’, abbreviated for POS has been there before the pandemic but it wasn’t as common as it is today, now the POS business in Nigeria is currently what most average Nigerians are into. 

I am sure you’re probably thinking “why talk about how to start up a POS business when the business is rampant already?” 

Yes, even though so many Nigerians are actively into this particular business doesn’t change the fact that it is still an amazing small business opportunity with loads of benefits especially in places where banks and ATMs are quite scarce. 

You can actually start up your lucrative Point Of Sales business and make lot of money in Nigeria.

Truth is, people don’t really care if you make profit in your business or not, they just want their problems solved. Become the solution to their problems!

Starting up a lucrative Point Of Sales business isn’t difficult. I have put down Step by Step process guiding you on starting a lucrative POS business in Nigeria and the fundamental extracts you need to get started today.

Step 1: Raise Or Source for Capital To Start The Business

You might be asking, how much does it cost to start up a lucrative POS business in Nigeria? 

Well, starting a lucrative POS business in Nigeria can cost you between 30-50 thousand Naira or even lesser depending on the agent you are dealing with.

First things first, of course in planning a startup business, getting capital is required. How then do you source for or raise capital to start up a lucrative POS business in Nigeria?

Also read:  4 Things You Don't Know When Startups Raise Funds

Okay, getting money to start a POS business shouldn’t be an issue. As you can actually get started with nearly ZERO capital. 

Yes! Most Nigeria banks give out the POS machine for free with terms and conditions. You can approach your bank. Tell your bank you want to become an agent for them. You’ll be asked to fill some forms. Ensure you fill them correctly. 

After that, you’ll be contacted by the bank.  

Asides that if you don’t want to go through the bank and you want to own the machine yourself, you can raise up capital by 

• Savings

• Seeking investors or

• Reaching out to cooperatives for a loan.

Step 2: Get A Very Good Location

Getting a very good location is important in starting a profitable POS business in Nigeria. A well populated area with the demand for cash works great for a POS business. 

Check out crowded areas where there’s no banks or ATMs, pedestrian traffic such as markets, motor parks, residential areas and so on. 

Here are some of the key things you should put into consideration before relocating to a particular location for your POS business in Nigeria.

• Sound Network Connection

What is the need of running a POS business when there’s no sound network connection?

In choosing a location ensure the network connection in that area is sound and reliable.

• Number Of Competitors

In choosing a good location, be sure to know the number of Competitors who are into the same line of business in that location and determine if you can be able to cope.

Most people close down their business before starting because they were unable to manage competition in business.

Also read:  Ways to Connect with Customers

• The Level Of Corruption

The high level of corruption in Nigeria can make people do anything to get money. 

When choosing a location be wise to investigate the potential level of corruption in that locality.

Step 3: Approach Your Bank

As explained earlier, you can actually approach your bank. Offer to be an agent. And you’d be given free access to a POS machine for Free.

The only thing you may be required to do, is to fill some required documents then wait for about two weeks to get your application approved. 

Below are certain things you might be required to provide:

• Evidence Of Business Registration

• Current Account References

• Valid Means Of Identification (like driver’s license, Voter’s ID Card, etc.)

• Bank Verification Number 

• Passport photographs 

Immediately your application is accepted, you will get the POS machine which you’ll begin rendering your services to clients and start making money.

How Exactly Do POS Agents Make Profits?

The POS business has open great way for many Nigerians to create different sources of income. If you’re wondering how POS agents make their profits, check out this two points:

• Service Charges

As long as you provide services to your community by solving their problem with your POS business, you can charge them according to the amount they want to withdraw or deposit including subscriptions.

• Commissions

If you start the POS business with a bank as an agent, your banks will pay you commission depending on the amount of transactions you Carry out on their behalf.

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