How To Start Individual POS Business in Nigeria With 5k.
Starting a POS (point of sale) business in Nigeria is one of the many ways of making money or means of making money in Nigeria, after the mini importation business in Nigeria.
In several business types, it is somewhat hard finding someone to put you through on how to start a POS business in Nigeria. Sharing business ideas is.
One thing most people who are into it would not want to enlighten you about it. They don’t want you to be their competitor in the nearest future. Everyone wants to be at the top of what they are doing.
However, this post, will not only teach you how to start an individual POS business, but also make good returns out of it in Nigeria.
As we all know POS is one of the lucrative growing business among the youth that can fetch you good amount of money daily without going through a lot of stress.
POS is simply means point of sale or point of service. This word is related to retail shops and stores where there’s a check-in counter/cashier through which majority of customers have to go to make payments using their debit/credit cards if they don’t want to pay in cash.
Thus, customers pays for commodity purchased using the POS machine
Types of services provided by POS
POS is not limited to just withdrawal and paying for goods and services alone, they can be used to carry out several transactions ranging from;
Withdrawal of Funds.
Network top-ups, airtime top up.
Bill payments such as GOtv, DStv, startime, electricity bill, toll bill e.t.c.
See: why you should be careful when using POS machine.
Requirements to start a POS business.
In order to start up a POS business in Nigeria, you need to start follow the couple of steps listed below.
Having an account with any bank in Nigeria is considered as one of the core steps of starting a POS business in Nigeria. Having an account with any bank doesn’t guarantee an effective and lucrative business in Nigeria.
This is Because there might be some constraints that may affect the the smooth running of your POS business in Nigeria. They may ranges from;
1. Bank network problem.
2. Electricity, such as to keeps your POS machine charged at all time.
3. Location, location that consist of few inhabitants can lead to low turnout and low profit.
best bank for POS machine business
There are few good banks that are reliable, efficient and effective in the smooth running of your POS business. They include;
Zenith Bank is required as one of the best bank in Nigeria to get your POS machine from, this is because their services is fast and reliable compared to other Banks.
See: zenith bank ussd code – transfer & buy airtime.
How to get zenith bank POS machine.
To get zenith bank POS machine for your business, walk into any zenith bank branch near you.
ask for POS application form, The application form requests the full business name, the business owner account number, the business email address, phone numbers and other minor details, and processing takes 72 hours.
You could email the form to firstname.lastname@example.org and also copy Zenithdirect@zenithbank.com. Zenithdirect@zenithbank.com is also the contact e-mail address to note if further problems is encountered.
The business owner will then be required to sign an agreement known as POS agreement document with the bank.
Our second reliable POS machine bank is GTB.
To run your POS machine business with Guaranty Trust Bank, you need to be operating a current account, GTbank only dish out their POS machine to current account owners . Account owners must have held their accounts also for at least six months, just like Zenith Bank. The form is then mailed to email@example.com or submitted to the account officer. The business owner is also required to sign the agreement form.
SEE: How To Check Your BVN Name and Date of Birth
Polaris Bank popularly known as Sky bank is yet another reliable bank to run a POS machine business with in Nigeria. At Polaris Bank, the POS system is being granted with a savings account as far as the relationship officer approved the request. Business owners willing to run a POS machine business need to fill in an application form and an agreement with the bank.
How much profit can I make from POS business.
See the: safest investment with the highest return.
You cannot determine the amount of profit you will make with your POS machine for each transaction.
Because charges varies per transaction, but the general amount of charges is caped at 0.75% on successful transactions which is deducted from completed transactions before being credited to your account.
While you charge your customers #100 per transaction from #10,000 and below. For further enquiry, visit your bank customer care service or account officer for clarification.
Fill the documents/ Agreement Form given to you, each bank has its terms and conditions
After submission of form, upon approval you’ll get a notice from your account officer not long after 14 days and delivered to the business address indicated on the form.
Other POS machine providers in Nigeria
You can as well purchase from POS system dealers around you, In case you don’t prefer the POS system from the bank due to their conditions, you can purchase from POS system dealers.
These POS system dealers sell their POS with a licensed CBN PTSP (Payment Terminal Service Provider).
NIBSS is the sole catalyst of inter-operability and aggregation in the payments industry, some of them include:
Brinq Africa payment solution LTD.
Citiserve Nigeria LTD.
Computer warehouse group.
Fidesic Nigeria LTD.
Globasure technologies LTD.
Grand towers PLC.
Itex integrated services.
Netop business system LTD.
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Best Location for POS machine business.
Where to establish your POS business is very important too and determines how much of profits you’d be making after each day transactions if you need to set up a shop closely to a place you’d get more customers; go ahead.
Local Areas; places like this will have less number of banks or financial institutions as such establishing a POS business will be a great success.
ATM centers that are usually crowded or in places where there isn’t much banks/ATM post. Nigerians are always in haste and not everyone likes queuing up at ATM post and when they see an alternative they gladly accept not minding the charges.
Sequentially close to markets or Malls, Sometimes at ATM post, it will show insufficient fund and at that time most people wanting to make use of money will prefer making use of your services
Capital; It depends on the services you want to render and the kind of POS you want to acquire. The cost of POS machine ranges from N90,000 – N100,000, you can start small then when the demands for your services increase; you also increase the capacity of your capital.
Collecting the POS system from banks and using it for your business transactions such as supermarkets, you have nothing to pay but meet-up with the conditions.
In general, starting any business is not all that matters, but how long you tend to maintain that business and how much effort you put into it to make it strive. POS business can fetch you some good amount of money daily.
But spending huge amount of your profit from the POS machine business may make you go out of business in no time, because POS business requires some good amount of money to meet customers needs anytime any day.
How To Start Individual POS Business in Nigeria