Cement business is one of the most lucrative buying and selling business in Nigeria, there are different ways of doing this business, you can either be a distributor, a sub-distributor, or a retailer. Distributors earn their income from monthly commission they get from the number of trailers they sold per month. There are secret in every business but then you should be smart too, and because income is from commission for distributors, they sometimes sell cheaper than factory price in other to meet up with their monthly expectations. This happens towards the end of the month, once you cross the threshold you will get paid and commission ranges from ₦10000,000-₦150,000. Once you reach company monthly target for distributors, commission is guaranteed. As a beginner you need to start as a retailer to gain experience and gather enough customers before going into distributorship.
Types of cement in Nigeria
Starting as a retailer
You can start with as low as 100-200 bags even without a shop but having a shop is ideal(so others can see you) but your shop should be mobile, because you can’t continue staying in a place that has been fully developed with only a few persons patronizing your business maybe for renovation. So you may not necessarily need a shop just get pallets and tampoline then get a supplier that supplies directly from the company, instead of going for a sub-distributor.
Place your business in areas that are just developing where there are lots of construction works, arrange for mobility: motorbike, wheelbarrow, van etc. Customers most likely leave the transportation of the cement to sellers and if you don’t deliver, they will move to another trader who is ready to take advantage….