Are you a young, dynamic person seeking a business opportunity, or have you recently graduated from a polytechnic or university and you are looking for white-collar employment in Nigeria where you may wear a professional suit and jacket every day? Allow me to introduce you to a business that is rapidly generating profit—profit that you can rely on.
This is an egg supply business that I'm talking about.
There are some tips to consider if you want to be successful in buying and selling eggs, and here are some tips you'll need for your egg supply business.
The supply of eggs is a lucrative business. Before we look at the potential profit of this business, let's look at the importance of eggs to see why the egg industry is booming.
Eggs are a great low-cost, high-quality protein source. The egg white has more protein than the yolk, as well as vitamin B2, and less fat and cholesterol. Egg whites are high in selenium, vitamin D, B6, B12, and minerals, including zinc, iron, and copper.
When it comes to making money in the poultry industry, the egg supply business is one of the most efficient ways to do so. You can rely on this company to meet all of your financial requirements with no additional effort on your part. They can vouch because a lot of Nigerians can support their families with the money they make in this industry.
If you follow the advice in this step-by-step guide after reading it, you can expect to make a good amount of money from this company.
Capital to start an egg business
To start any business, you need a certain amount of start-up capital. The egg supply business is no exception to the rule that all businesses must have a certain amount of starting capital.
Although some farms may grant you credit for a specific number of crates once they have tested you for some time, you will need your own capital to start an egg distribution business. Based on the number of funds you've raised and the size of the market, choose how many crates of eggs you'll start delivering.
Also, keep in mind that when you buy more from most farms, you will receive a better deal.
This business requires a minimum investment of N400,000 to get off the ground.
The start-up expenses of a business are determined by its size and scope. Large egg suppliers purchase heavy-duty vehicles or buses so that eggs can be moved more easily. In addition, they lease a store and pay a driver, a store attendant, and a delivery person. This might go into several millions of naira without counting the price of the eggs or the inventory.
You can start by buying up to 100 crates of eggs for just N170,000. If you buy one crate egg for 1700 NGN from a farmer, for example, in Owerri, you can sell it for up to N1,900. Making a profit of N200 per crate, we can quickly calculate over 100 crates to see how much money we have made. we'll be making. Selling 1000 crates per week will net you at least N200,000. Isn't that a lot of money?
Costs breakdown
- Used vans or buses—from N400,000 naira depending on your budget.
- Store leases start at N100,000 per year.
- pay driver—starting at N240,000 per year
- Store clerk–N240,000 per year.
- The cost of eggs per crate at N1700 each, 100 crates-N170,000
Also Read: How to make money online in Nigeria top 12 ideas (2022)
Look for a reliable poultry farm to source your eggs.
You must have a reputable source for the table eggs you offer. You should look for farms that can provide you with eggs at a reasonable cost. The cost of a crate of medium eggs ranges from N1650 to N1700. Prices for Jumbo (Extra-large or Double Yolk) crates range from N1700 to N1750 Naira. Some farms will not allow you to come to the farm with your paper crates to prevent contamination from other farms' boxes. Depending on the chicken farm, when choosing farms to buy eggs from again, think about the price, the size and color of the eggs, how far they are from the market, and how they get the eggs there.
Also, Read Poultry Farming Guide For Beginners And Intended Poultry Farmers
Find Your Target Market: egg buyers. (RETAILERS)
A key to success in Nigeria's egg market is building a list of repeat customers.
Market ladies in food markets like Bodija in Ibadan, bakeries, and caterers, and their referrals might help you find a market for your eggs. It is important to know how many eggs you can sell to determine the number of eggs you purchase from poultry farms.
Getting eggs from farms isn't difficult, but finding the right customers to supply them should be your priority. Your target area should be a densely populated environment. We could advertise anywhere that is beneficial to your company. You'll only need to Once you know where to supply the eggs and have contact with one or two customers, you can go to that area to distribute the eggs.
Who are your customers?
- fast-food restaurant.
- bakeries
- Provision store owners
- grocery stores
- supermarkets
- noodle vendor
- market women
- hotels
- canteens
- egg retailers
Set up an outlet or warehouse.
Depending on the season, the demand for table eggs might be high or low. It's not uncommon to purchase more eggs than can be consumed. A facility for storing eggs becomes necessary. Building a storage facility for eggs causes familiarity with the rules of egg storage. Your egg marketing business will benefit from effectively locating your egg supply outlet.
In Nigeria, you can start a business that sells eggs with a small amount of capital and build it up.
Even if the idea of buying and selling eggs seems unusual to you, consider how lucrative it may be.
Make sure you don't undervalue the importance of personal connections and recommendations in the success of your company. maintain a high level of activity and be productive at the same time.
Get a Business Vehicle or Van
Getting a vehicle isn't required, but it will ease a lot of stress. Most egg dealers use vans to transport eggs from poultry farms to markets or their stores. A rented pickup, van, or truck is an option if you don't already have one. Besides driving carefully, the truck should be cushioned and the egg cartons should be packed closely together.
The cost of buying a car accounts for nearly 85% of your total investment. Then perhaps 5% of the total can be used for fuel. As your company grows, you can start servicing your vehicle regularly to avoid breakdowns.
A Marketing Strategy for the Egg Supply Business
- 'Word of mouth'
- advertisement
- Discounts
- credit lines
- offer better prices.
- You can sell from your own store.
Also Read:Business-10 Untapped Businesses To Start With #50,000 In Nigeria
The Other Important Working Tools
Empty crates are the most important tool in the egg supply business. The crates can be made of paper or plastic. You can purchase a thousand crates for yourself. If you choose to purchase the paper crates, you will pay N7000, and the number of crates required for your business is up to you. Paper crates are recommended because they protect the eggs from unusual cracks and are less expensive. However, it is more easily damaged than the plastic type.
Conclusion
You are undoubtedly your own boss in this vast goldmine, and you decide how much profit you want to make in a week or a month. If you choose to be a wholesale seller, you can make around N200 on a crate of eggs, but if you choose to be a retail dealer, you can make up to N500 on a crate of eggs depending on the size of eggs you buy. If you sell 200 crates weekly, you'll earn N20,000 per week and N80,000 per month.
If you set a weekly goal of selling 1000 crates, you'll make a profit of N100 x 1000 crates = N100,000 per week, which you can multiply by four to get N400,000 per month. Even after you take out all of your monthly bills, you'll still have a good amount of money in your bank account.
Buying and selling eggs may appear to be a filthy and strange business, but when you consider the profits, you'll reconsider your actions. You can begin small and work your way up to a large-scale egg supply company.
The industry is crowded, competitive, and demanding. Your ability to locate clients and advertise yourself will determine your success. The profit margin is lowered because of transportation expenses. Avoid buying eggs from open markets and buy them straight from farms.
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