Starting building materials business in Nigeria is one of the best ways to make money any time of the year. This business has the potentials to triple your capital and it is not affected by any season or time. Due to the current boom in real estate business, those who invest in building material business are always smiling to the bank at the end of the month.
Since one of the basic things of life is shelter, People are building houses here and there, every corner, both villages and town. This is the major reason why it’s important to tap into the goldmine in the real estate building material niche.
Setting up a building material business is a goldmine in Nigeria but many people don’t know the profit potentials that exist in the business. However, it is important to let you know that this business is capital intensive and stressful but believe me it’s profit margin is mouth watering.
This business thrives and sells fast in a developing site as people tend to build more building in a less developed area.
Now let’s go into the step by step guide on how to start a profitable building materials business in Nigeria.
Identify your niche product materials
Niche product materials are what you will be selling in your warehouse. Building material business is diverse so you need to choose where you want to focus on.
One of my friends who is into this profitable business sells cement and iron. That’s his niche. You can focus your niche market on plywood and slates.
You need to specialize in a particular material as this will let you know the full nitty gritty of the materials.
Get a good location
I believe you won’t want to start your building material business in a more developed site right? Even thou some materials still sells fast in a developed area but if you want to break into the big names of those cashing out from the industry in a big way, you need to get a well structured environment in a developing site. With this, you are good to go to start up the business.
Rent a shop
Either a warehouse, open ground or shop, it all depends on the type of niche product materials you want to focus on. Building materials like cement requires you to get a well secured shop for its security while building materials like long iron requires an open ground.
Link up with a supplier
You need to link up with a reliable supplier who will be supplying you with any building materials you need. You both need to be reliable because if you are reliable in your own part as a building material investor, your supplier can supply your materials on credit which is very good especially if you are doing this business with limited capital.
As an investor in this business, you don’t need to wait for buyers to come before you start marketing your products with word of mouth marketing. You need to go out there and tell people what you are into. Meet contractors, Developers, Real Estate consultant, these are the people that can patronise your business and make you smile to the bank with ease.
Also, you can leverage on the opportunity on social media to get more customers for your business. Get a good graphics designer, tell him or her to design a well structured banner ads that will contain your building materials then you start sharing it on groups that are related to Real estate and building projects on social media.
Building material business is a money spinner for those who are ready to commit their time and energy into the business. Even thou this business is capital intensive, you can start small and expand as time goes on.
With the little piece of information I compiled in this guide I believe you must have seen one or two tips on how to start a lucrative building material business in Nigeria.
If you have any questions concerning this business idea, kindly drop it in the comment box below.