Have you ever thought to start a water bottling company in Nigeria? You should. Water is the most consumed commodity in the world. With the high population of Nigeria’s citizens, there is a massive high demand for this. So even though there are many bottling companies in Nigeria, your business can still be very profitable.
How To Start A Water Bottling Company in Nigeria
1. A business plan
A detailed business plan is the most important tool that you would need to start your business. It would give you a clear idea of what you want to achieve and just how much capital and skills you need to achieve this. A business plan would cost you anywhere from $0 if you write it yourself, to $1,000 if you are hiring a professional to perform a full-scale feasibility study, market research and business plan writing. However, it is advisable for you to choose the most cost-effective means to avoid incurring excessive expenses.
2. Registration of business
You would also need to register your business name, obtain a bottled water production business license and maybe incorporate your company. Amounts needed to do this varies by businesses but you can check out how to register your business with the CAC.
3. NAFDAC Registration
The next step is to ensure the legitimacy of the business before it goes into production because producing bottled water outside the law could come with serious penalties. The government has to ensure it is safe for drinking and you have passed their inspections and meet their standards before you are allowed to start selling to the general public.
NAFDAC registration costs about N50,000 excluding hidden costs and charges, and the CAC demands a business name registration which costs about N10,000 and the registration of the business itself which may cost you between N50,000-N100,000. Their charges depend on what type of company (i.e. a limited liability, private, public liability, etc) and the size you wish to start.
4. Bottling and Water Treatment Plant
To start a water bottling company in Nigeria, you need to set up a treatment plant. Mostly gotten from China, the bottling machine is capable of making the bottles from PET plastic, rinsing, filling, capping, packaging of the bottled waters and labeling. The average machine or plant has a purification capacity of 500 L-5000Litres/per hours, it could fill 300 bottles per hour and has consumed about 18.6 KW of electric power. The average cost if gotten from overseas is 17.2 million Naira with shipping costs. A room 8 meters in length and 5 meters wide should be just enough to accommodate the machine.
5. Water supply
You would need a good source of water supply. This is also dependent on the type of water you plan to be producing. If you choose to produce spring water, then you would need to locate your production facility very close to a natural spring and look for a way to transfer the water from the spring to be water bottling plant to be bottled immediately at source.
For other types of water, you may need to dig a borehole, a well or use a public water source. A good amount to set aside for this expense is $2,500. Again, this is dependent on the size of the company.
6. Marketing and promotional materials
You would need to promote your brand so it is important that you add up costs of advertising your water brand, costs of printing flyers and business cards and costs of other promotional materials and activities.