In this article, we'd be seeing a step by step guide on how you can start a lucrative wheelbarrow rental business in Nigeria. The wheelbarrow rental business is one of the lucrative, yet low-capital intensive businesses you can venture into. I initially never knew it could be this lucrative until I read a story of a young Nigerian man that became a millionaire through it.
Yes, you heard me well. According to the story which trended a few weeks back, the young man identified as Chukwuma Eze narrated how he became financially independent after venturing into this business. Following the news, I went into research and discovered that this business was actually more lucrative than I knew.
We'll be using Chukwuma's story as a point of reference in this article, but as you know, your profit depends on different factors, including your locality and of course, the capital.
What are the requirements for setting up a wheelbarrow rental business?
Below are some of the very important things you need to know about setting up a successful wheelbarrow rental business:• Capital
Just like every other business, you'll be needing some initial capital to set up your wheelbarrow rental business. Your capital will depend on the number of wheelbarrows you intend to start with and some other factors, including your choice location.Let's run through a quick estimate of what you'll be needing:
- Wheelbarrow: Prices vary from ₦16,000 to ₦24,000 (Jiji.ng). You will have to buy as much as you can afford.
- Join the Wheelbarrow Owner and Pushers Association: This is the union that regulates the barrow business across different Nigerian states. The price for joining the wheelbarrow owner and pushers association varies but can reach ₦200,000
- Parking space: Varies from one location to another but can reach ₦100,000
- Customised T-shirts for your workers will also be needed in order to tush up the business. There will also be some miscellaneous fees that might come up as you begin the business.
• Branding
This isn't just what everyone else is doing, but can help make your brand stand out. To start with, I'd advise you to brand your wheelbarrows to help you identify them easily in case of theft.In addition to this, you can decide to give your workers branded t-shirts to help them stand out from the other wheelbarrow pushers in the market.
• Training
You can regularly organise seminars teaching your workers the need to carry out their duties as they should be. Remind them of the brand and the need to be polite to their customers and colleagues.Also, a brand like yours can earn customers' trusts easily when your workers honest. If for any reason your customer forgets his or her goods, there should be an easy way of getting them back.
• Promote your brand
You need to make people know about your brand. You can print and paste posters with your phone numbers across the market. This will help potential customers connect with any of your workers via phone.Always endeavour to tell your potential customers how professional your workers are. If possible, you can leave a portal for reporting to you if they (customers) get unsatisfied with the way they're treated.
How profitable is the wheelbarrow rental business in Nigeria?
Like I earlier said, your profit will be determined by your initial capital. In the case of Mr Chukwuma Eze, he started with 6 wheelbarrows (of which he owned 5). According to him, he charged his employees ₦200 daily for renting the barrows. With this, it means he made ₦1,000 per day, which means an average of ₦30,000 per month.Following the success of the business, he expanded by acquiring more barrows and off course, employing more barrowmen.
Now imagine if you'll be beginning with x wheelbarrows? I'll allow you to do the calculation.
Risks Involved in starting a wheelbarrow rental business
Every business has its own risks so you have to prepare for them. While running the wheelbarrow rental business, some risks you might encounter include:• SOme wheelbarrows might develop faults when used to carry heavy loads. To avoid this, I'll recommend welding them with rods for support.
• Your employees might decide to run with your wheelbarrows. As you know, wheelbarrows don't have trackers, but you can prevent this by telling the barrowmen to provide guarantors.
Conclusion
I believe you've understood the things involved with running a successful wheelbarrow rental business in Nigeria. As you save more money, you can diversify to other businesses like POS business, Keke NAPEP hire purchase and bike delivery business. They're also very lucrative.What more? You can contact me if you have any enquiries to make about the business or you just want to say hi 👌. Don't forget to drop us a comment and share it with your friends. hire purchase
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