The construction industry in Nigeria use Iron rods. They are used to construct beams, columns, lintels, and other structural members. With the increase in construction and real estate, iron rod and steel building material supply have become a very lucrative venture. So here is how to start a steel business in Nigeria.
How To Start Steel Business in Nigeria
1. Identify a Target Product Area
Building materials ranging from cement to wood, to reinforcement steel bars, to windows, etc. The list goes on and it would be capital intensive and unwise to try to supply all. Select one product to focus on and become an expert in the supply of that product.
2. Have A Business Plan
A business plan gives you direction and opens your eyes to the wealth of resources you have at your disposal. Who are your target prospects? How much would it take you to start a cement business and haul products to your selling point? What things can you add to make your product more superior to your competitors? Hence you should have a detailed business plan.
3. Register Your Business
You should register your business with the Corporate Affairs Commission (CAC) of Nigeria. This is to demonstrate how trustworthy your business is and how your business was supported lawfully. To begin the procedure of enlistment with CAC, it takes up to 2 a month to get the organization testament from any corporate Affairs Commission workplaces everywhere throughout the nation.
4. Open A Business Account
To open a business account in Nigeria, you would require a clearance from EFCC’s Special Control Unit against Money Laundering (SCUMIL). This is to ensure that you wouldn’t partake in anything shady. After that, you go to Federal Inland Revenue to get Tax Identification Number (TIN) which shows that you are willing to pay tax
5. Be Visible
Get a space by the roadside in a developing area preferably. That is where the material sells most for average traders. Big construction companies handling big projects like the roads, building of companies and other massive structures used to get their materials directly from the manufacturing companies.