There is almost no household in Nigeria that does not make use of kitchen utensils to prepare the dishes they consume. With such widespread use of kitchen utensils in the country, venturing into kitchen utensils business presents positive prospects of earning income. You could choose to go into the importation of kitchen utensils from abroad to sell in Nigeria or become a wholesaler or retailer. But for this article, we will be discussing the steps to take to become a wholesale or retail kitchen utensils business in Nigeria.
How to start kitchen utensils business in Nigeria will be discussed below:
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Carry Out Market Research
Just as with any other business, performing market research is usually the first thing to do when considering starting a kitchen utensils business. In this stage, you should investigate the types of kitchen utensils customers are inclined to purchase and whether the customers will spend a certain amount to buy kitchen utensils.
In addition, you should carry out product surveys of various kitchen utensils to obtain insights about them to enable you to discover which kind of products (that is, kitchen utensils) will work in the market around you.
Also, perform a market survey for competitor analysis to identify each of your potential competitors, gather, analyze, and apply business information, and carry out an in-depth assessment of their strengths and weaknesses. Your focus here should be on tracking the types of kitchen utensils your competitors sell, the prices they sell those items, and other factors to get regular and actionable insights that you can use to your advantage.
In general, the market survey exercise will help you develop a successful marketing strategy based on the data you gather. This is because the exercise allows know who your potential customers are, the viable kitchen utensils to sell, and your competitors’ progress, among other insights.
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Develop a Business Plan
With the insights gained from the market research exercise, develop a well-structured business plan for your kitchen utensils business. The content of the business plan should include an outline of your goals, your target market, market strategies, financial projections, and operation plan.
In addition, the business plan should include details about the range of kitchen utensils you want to sell, your pricing strategy, and distribution channels. A comprehensive business plan for your kitchen utensils business will guide your business decisions and help you secure funding if needed.
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Source Startup Funds
At this stage, get the funds that you’d use to start the business. Depending on the scope of your proposed kitchen utensils business, your startup capital can be N700,000 to N1,200,000.
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Register Your Business with the Corporate Affairs Commission (CAC)
This step is very important, especially if you plan on investing in the kitchen utensils business as a major supplier. If you want to do the business of kitchen utensils retail, it may not be necessary to get registered with the CAC.
Registering your kitchen utensils business makes your business legitimate and credible. It also makes it easier to access bank loans and grants as well as protect your personal assets from any potential legal issues or debt that may arise from the business.
CAC registration for your business includes the following steps:
- Check the availability of the business name by visiting https://services.cac.gob.ng/.
- Complete the pre-registration form — CAC-BNo1 and upload the relevant registration document online using the CAC Company Registration Portal.
- Pay filing fees.
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Get a Shop in a Suitable Location
If you don’t intend to run your kitchen utensils business entirely online, this is the next step in getting into the business. To increase the chances of recording sales, ensure that the location for the shop of your kitchen utensils business is a place where you can be easily located. To get recurring patronage, opting for a shop in a market or along a busy road is the way to go.
After getting the shop for your kitchen utensils business, equip it with the shelves and hooks that would hold the kitchen utensils that you would be selling. In addition, ensure the shop has adequate lighting to illuminate the shop in times of darkness of poor visibility.
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Stock your Shop with Kitchen Utensils
Stocking up your shop with kitchen utensils is the next thing to do after you’ve got a shop. If you intend to be a wholesaler of kitchen utensils, you will have to approach the importers of kitchen utensils into the country to buy a range of kitchen utensils. If you intend to focus on the kitchen utensils retail business, look for the major wholesale dealers of kitchen utensils around you to buy your goods.
Getting your goods from the importers (as in wholesale kitchen utensils business) or the biggest dealers (as in retail kitchen utensils business) presents the opportunity for considerable markup on the selling price.
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Start Selling Your Goods
After getting the kitchen utensils from the importers or largest dealers the next line of action is to begin selling them.
If you carefully selected the location of your shop as we advised, you’d likely record sales from customers that walk into your shop to make purchases of the items you are selling. Ensure to place your wares in a manner that passersby can easily decipher that your shop deals on kitchen utensils.
To improve the rate of patronage, utilize the internet and online advertising to attract more customers. Consider getting a website for your kitchen utensils business or creating social media pages for your business.
However, keep in mind that building a customer base may take some time and effort. But if you are patient and persistent in your marketing effort and continue to consistently deliver value to your customers, your kitchen utensils business will grow over time.
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Common Kitchen Utensils to Sell in Nigeria
There are several kitchen utensils you can decide to sell. Below is a list of some:
- Pots
- Frying pans
- Sieve
- Spatula
- Grater
- Knife
- Chopping board
- Whisk
- Tongs
- Turning sticks
- Hand blender
- Etc.