This post is intended to shed light on provision store businesses....A provision store is one of the cheapest businesses to start, yes it is. Depending on how big you want it to be, it is cheap to start. You can even start it on a tray.
It involves sale of daily needs and consumables like soaps, beverages in satchets, matches, salt, seasoning, biscuits, sweets and other snacks, soft drinks, drinking water, pen, pencil, etc.
The profit from this business is small so it relies on high turnover to make tangible profit.Meaning that if you don't make plenty sales, you may end up packing up especially if you eat from it.
Now talking about eating from the provision business, you need to set aside a sum of money for injecting into the business from time to time for it to stand, if not, it will pack up in a twinkle of an eye, considering the low profit.
Another thing is if you have children, you need to be very strict and vigilant for them not to run down your business. You know children are ignorant of what business entails.
Let's say you have three children, you give them two biscuits each with one pack of children's drink each to school every day. They come back in the afternoon and cry for sweets which you give them, in the evening they cry for bread and tea, you give them.
If you don't pump in money from external source form time to time, it is gone.
Reason is, in a carton of biscuits for instance, the profit is not more than the price of 5 packets of biscuits. So if your three kids eat six packets in two days, they are already touching your capital. Same thing goes for many other items though many items have more profit margin than biscuits.
This is why you find some shops almost empty at a point and then later, they are filled up (probably from loans or financial help). Some don't get filled up, they simply close down or switch businesses.
However, you will enjoy provision business when you grow and expand it to accommodate more consumables. This time, many people will patronize you as people love to buy all what they need in a spot. The more sales you make, the higher your profit.
One secret, add recharge cards to what you sell. Though very small or non existent profit, recharge cards invite customers to patronise you for the profitable items that you sell. The same thing with soft drinks and POS.
After buying recharge card, they ask for soft drink, then snacks, then bathing soap, then perfume, etc.
They withdraw money through your POS and ask for rice, beans, eggs, etc..
Start that provision business today but reserve funds to grow and expand it till it gives you enough to foot your bills.
I completely agree
ReplyDeleteThis business make sense oh😁
ReplyDeleteWell Spoken
ReplyDeleteTo Start Small Scale Provision business will pass 20k ....
It is well ,May God help us ooo
Hello iya Boys
Cheap and easy to start but requires discipline.
ReplyDeleteA Glutton or someone that sells on credit won't prosper doing the business.
DOZZYBEST.
Discipline for sure
DeleteGod bless you for this inspiration.
ReplyDeleteIt makes a lot of sense
Nice one poster..
ReplyDeleteBut from experience,If you have 200k or thereabout for instance,rather do a POS business and data,recharge card biz,than opening a provision shop..
It's not an advice,it's a warning😀
Provision business on a small scale is what you do,to support a spouse work,business or other hustle,it's not what you do with the intention of using it to cater for the whole family needs,from housing to clothing,to feeding,to school fees etc,the business won't last three months,unless like poster said;there is steady pumping of income from another source.
The only way you can make enough money in provision business now is when you sell in a large scale,that is wholesale(cartons,dozens and co).
Don't go into provision business if you are your sole helper,no other source of income and if you have children,you will CRYYYYY,and yes the ones who enjoyed provision Biz were those who did it over 20 years ago,cos now if you inject one million naira into it,you won't even see the goods in your shop,still look close to empty.
@MARTINS
Well said
DeleteThank you!
ReplyDeleteMy business plan come next year February by God grace. Since fire service is not giving us any reply
ReplyDeleteVery educative. Thank you.
ReplyDeleteMy business plan come February next year. Since fire service is not giving us any respond about their recruitment.
ReplyDeleteYou are right but one need to be disciplined(mouth) to run a provision business.
ReplyDeleteBusiness wen only transport to go market come back profit don enter 1 bar? Don't go there please!
ReplyDeleteSometimes I wonder how the people who do it survive.
© Akporoghene.
I always wonder how those with kids make profit from provision business..
ReplyDeleteNo much gain in dat business at all
There's gain o. By the time they add foodstuffs, charcoal , akamu, zobo and the rest, profit increases.
DeleteNice piece.
ReplyDeleteLet me also advice that people who deal on provisions should monitor their kids well. I know about two families that their children steal either money or goods from the shop and come to school with it. If one is not careful, the children can start the act of stealing from the shop.
Very good information. No business is easy, bottom line
ReplyDeleteHmmm, provision business that finished my 4m in less than 2 years.
ReplyDeleteIf you are not in a place with very heavy foot traffic, that means a place with high walking population passing by, then forget about provision business. Unless you are not paying rent or you just want to use it to be passing time.
Thank you for the business idea.
ReplyDeleteIt's also critical to have a good stock management process. Based on how large scale the store is, a dedicated watch on stock items will keep theft to minimal & also ensure items expiry dates are closely monitored by dispatching to sales in a format that ensures stocks do not expire creating major losses.
ReplyDelete