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Showing posts with label My Howto Articles. Show all posts
Showing posts with label My Howto Articles. Show all posts
Monday, July 6, 2015
How To Start A Poultry Farm Here In Nigeria
Agriculture also called farming or husbandry according to wikipedia is the cultivation of animals, plants, food and other product used to sustain life. In this article, we will be looking at poultry farming, how to set up and operate a profitable poultry farm anywhere in the world regardless of where you are.
Before we start, let me first tell you one of the 2014 prophecies said by most ministers of God throughout the world. They said “Our youth who think always of travelling should use the money to go into agriculture or foodstuff (Farming, Animal Husbandry) business because in the New Year, God will bless them. They will achieve greatness by transacting in agriculture and foodstuff and become successful in export and import business. The money I am talking about could be in the region of ($30,000, $50,000, $100,000) Monthly… Am not just writing articles i no nothing about here, this is what i do myself and i gain a lot from it...
Now let’s get down to work
In this article, we will be looking at poultry farming, how to set up and operate a profitable poultry farm in Nigeria making over 10 million Naira or more yearly.
Poultry farming has become one of the most important aspects of agriculture in Nigeria for some reasons.
1. It create business opportunity for Entrepreneurs
2. It provides employment for job seeking citizens
3. It is the kind of business that can never dry up
4. It brings in lot of income
Chicken and its product (Egg) is one of the most pretentious food or meat in the world which we all agree to i think. You and I need the proteins derived from chicken to maintain healthy living. It is generally believed that every child needs not less than an egg a day for their normal growth while every adult needs like ten in a week; Poultry also provides meat for delicacies.
No tribe,religion or any country forbids chicken meat. Everyone likes it, that's why poultry products sell very fast and in high demand.
Apart from chicken been used as food, poultry farming is so much profitable. A good poultry farmer earns above N15 million per annum depending on how big the farm is. All these benefits are open to you if you start your own poultry farm today.
There are basically three types of chicken. They are:
1. The pullets popularly known as Layers: Layers are reared for egg production and most lucrative but more stressing compare to the other once.
2. The Broiler Chicken: Broilers are reared for meat production; The Broilers grows very faster and are ready for sale at 12 weeks from hatch.
3. The third is the cockerel: This is also reared for meat production. . Cockerels grow slower and can take up to twenty four weeks before they are matured for marketing.
Cockerels are reliable in terms of survival and withstanding bad weathers. They are more resilient, and can absorb shocks far better than Layers and Broilers.
Poultry farming requires having the right knowledge to be able to the right things to get the right result. It requires hard work and prompt attention to details. Poultry Farming is little capital intensive but if you are starting on a micro scale (Home back yard) where you have a small space at your back yard, it is not. I can say, starting small is the best way to enter and learn the business. If you wants to start on a higher scale, You need to prepare for this It’s all like trading money to make more money but be assured to get back whatever amount you invested in the business in multiple times within a short period of time.
Some people have the money to invest into the business but have no time to supervise the farm, instead they get people to operate it for them. Having money to set up the business is really not the problem but the problem is to have the knowledge of the business and that is what makes the business to succeed. If you are the kind that have the money but not much time, ensure that the person you give it to manage for you have the knowledge to know what to do at the right time. Be sure that he can be trusted; if you are not sure of the trust, please just keep your money in a fixed account.
Before you venture into poultry farming business in Nigeria, you need to seat back and do proper calculation and planning; make sure you have idea of all the costs involved.
In this article, I'll be endeavor to give you the ideas of what is involved so you can build upon it; through commenting, people can as well add their own ideas and findings to compliment the write up. So, I hope to make this article as simple as I can, and as we keep adding updates it may end up becoming one stop destination on information about poultry farming in Nigeria!
Currently they seem to be no high poultry farms in Nigeria like the ones we used to see in Europe, USA and other counties. Any investors who have the needed capital to venture into it will have reasons to smile within a short period of time. Till now, Nigeria still import chicken from other countries because the ones the local farmers produces are not enough to meet the demand of the over 180 Million citizens.
There is certainly huge market for poultry rearing in Nigeria but the question is: Who will take advantage of the opportunity in the industry to create wealth. Remember, the very successful and huge companies in the world also started from somewhere. Now, if you ready to get started in poultry farming, these are the basic requirements you need to set up your farm.
Listed below are the requirements
LAND:
The no 1 thing you need to get is a land. A plot of land of 120 x 60 square meters is okay for setting up medium scale poultry farm in Nigeria, at least for a start. Once you have a land that is big enough for your farm set up, almost half of your needs have been taken care of. Land is the hardest and the most expensive part of poultry business in Nigeria most especially, places like Lagos, Abuja and some other big city.
You may not be allowed to carry out Poultry farming in populated environment or residents due to the smell that is associated with poultry rearing and the subsequent health impact, my advice is that you look for land in a rural area or in farms. There you will get lands cheaper, stays out of trouble and do your production there, while your products will be transported to the urban area for sell.
It will be good if you can get your own poultry farm land and build a permanent farm rather than to rent. When you rent, the owner might decide to send you packing and relocating always comes with huge cost.
Chicken Cage:
is the second most important part of your poultry farm set up and it is not as expensive as buying or acquiring a land. There are so many ways you can build the birds house but make sure that the sizes of the building is spacious enough for the chicken to run around.
The house should be constructed in a way that you will be able to control the ventilation and air movement. Get a qualified engineer to do designing and building for you if you are going for large scale construction. Else, you can just visit any good poultry farm to see how the house is constructed.
When planning out your chicken house, always remember that space is very important. Don't compromise on this to avoid frequent loss of your birds through suffocation and contamination.
Day Old Chicks
Here, this is where the business starts. Buy chicks from chicken hatchery that mainly deals with the supplying of different species of day-old chickens. It's better to buy from the hatchery, Chicken hatchery usually produce good quantity of day old chicks through the use of incubators.
The estimated price for day old chicken in Nigeria is N120 - N250. Negotiate the prices with the sellers; you can get it cheaper if you're buying up to 500 chicks. You must buy your day-old-chicks from a healthy source. The productivity of your chicks depends on how healthy they are! Do not pay anybody money until you see the chickens you are buying 419s are everywhere trying to take advantage of people who have the money. Be wise with your money and pay only when the goods are supplied!
Raising hens from baby chicks requires you to check on them often during the first few weeks (Seven to nine weeks). It's really fun to watch them turn from downy, fluffy little balls into feathered-out, gawky adolescent pullets. A chick does not have the ability to maintain its own body temperature without an external source of heat.
Below are my outlines of taking care of chicks
After you have gotten your chick, once those baby balls of fluff arrive home, you'll want to have everything ready for them to settle into their brooder and stay warm and happy. Plan to check on them at least five times a day during the first couple of weeks of life, and less after that.
You'll need to monitor their temperature, keep them safe from pets, predators and over handling by children, keep their feed and water clean.
Make sure your baby chicks have everything they'll need on the first day home. As they get older, you will use different feeders, but for the first week or two, plastic chick feeders like the ones you see above will make life a lot easier for you. Light must be available at all time in your poultry farm to keep the chickens warm, especially during raining season when the humidity is always very low. Look for reliable source of power to supply your hens house with heat and light.
Chicks love to stomp in their feed, tip it over, and generally make a mess. They're also not terribly smart and can eat quite a lot of shavings or bedding while they pick spilled feed off the floor. These feeders are perfect. They're at the right height when placed on the brooder floor.
Caring For Your Growing Chickens. After the baby chick stage passes, you'll have young pullets and cockerels and, once they turn one year old, hens and roosters. Some basic daily chores involving keeping their food and water fresh and collecting eggs is the basis of ongoing chicken care, but you'll want to make sure they're protected from predators and staying healthy as well.
NOTE: Most layers will start laying eggs the moment they are 18 weeks old but some wait till they are about 22 weeks old. Whichever way, Layer farming is considered the most lucrative of all poultry farming because tow things are acqived from layers, they lay eggs which fetch good money in the market, and are equally sold for the meat.
A full crate of pullet eggs sells for about N600, while a crate of semi-pullet sells for N750 wholesale price. If your Layers are large enough to produce 10,000 crates of large eggs which sells for N750, you will be making at least N750 X 10,000 = N7,500,000 From eggs alone!
The chickens is also another big gain! A fully grown chicken sells for between N1,500 and N2,500 (N1,500 to N2,000 at wholesale price) depending on the size and maturity level. Therefore, ten thousand chickens will give you N1, 500 x 10,000 = N15,000,000!
What are you then waiting for? Go ahead and give it a try – am very sure you'll have reason to smile soonest!!!
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lf you need a comprehensive and well detailed information on how to start a poultry farm you can call me on 08066862889.
Monday, November 24, 2014
A Practical Life Example of How To Create Wealth In Shoe Business Starting With N80,000 - N100,000...
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| Footwear ready for export. |
Hello happy new week,christmas is fast approaching and also new year, wow thats really cool.This week we shall be examining some business models that you can invest in starting with minimal money and cashing in big time...
Business Model One:Shoe Production And Exportation Business
In quality, design and patronage, Nigerian cobblers are making exquisite pieces that are competing favourably with footwear manufactured in other parts of the world. It is a growing trend that experts say will continue. This edition of SuccessDigest details how anyone can start a promising business in this sector, grow it substantially and make lots of money consistently.
Why Enter Shoe Manufacturing Business?
Yinka Olamiti, a lawyer who resides in Ogba, Lagos, says the business of shoemaking in Nigeria is becoming a lucrative one. “Nigerians today have increasingly shown keen interest in locally produced shoes and are beginning to purchase more of them instead of foreign-made shoes or second-hand imported shoes. Because of locally manufactured shoes, people can now change their shoes more affordably. This is especially true of women who want a different pair of shoe for every dress in their wardrobe”, he says.
Okwuchukwu Udeh is the Managing Director of Udeh Shoes, located in Lawanson, Surulere, Lagos. He says, “In the past people saw locally produced shoes as inferior shoes. Now, local shoe brands compete well with shoes made in Italy and other European countries. This fact may not apply to the super rich individuals, but the middle class, who constitute the majority among consumers, currently engage robustly in this growing trend. Shoe making is a low risk business and elementary knowledge of business teaches that if you are selling something that people need, you will always have an entire human race worth of potential customers”.
Mr. Femi Omole, CEO, O’tega Shoes says, “The market is big considering the fact that everyone needs to wear shoes. The demand for shoes is a continuous cycle. People need to change their shoes and come to think of it, no one can have only one shoe. Some people are shoe lovers and they can have over 10 pairs of shoes. I think I can categorically tell you that 50% of male folks now patronize local brands and the number keeps increasing on a daily basis. So, the market is very large. If you sell or produce what people need and you do it well, you would never lack patronage”
How They Started
Monalisa Abimbola Azeh is the Chief Executive Officer of Mona Matthews Shoes. She is also a trained lawyer who has practiced for 17 years. She says, “I had attempted this business twice. I started and stopped and started again. The first time I made shoes was because I didn’t find what I wanted in the shoes that were available.
My feet are not the standard size type of feet, so it takes some kind of specialization to make my shoes. When I was much younger, I could find shoes that fit me even if I travelled abroad but as I began to grow I discovered that I couldn’t find my size even overseas. In fact on a particular trip I couldn’t find a shoe to wear so I just bought some slippers. But I came to realize something - that some people, most especially our drivers, house helps; youngsters were actually wearing real leather and the so called ‘elite’ were wearing synthetics because most of the people selling shoes in Nigeria were going abroad to bring in shoes made in China.
“The elite will buy from the boutique, shoes made in China; while their drivers, cleaners, messengers would go to a local shoe maker and have them make shoes or pam sandals from real leather or buy from a second hand market, real leather used shoes from abroad.
After my observations I realized two things, one, that there were shoemakers in Nigeria who actually make real leather shoes that an average human being could wear. I also realized that we have real leather in Nigeria.
So I started asking questions: Where can I get a shoemaker? I eventually got one but when I told him I wanted to make shoes, he said he doesn’t make shoes for women; but as a person I don’t take no for an answer. Reluctantly, he agreed to make the shoe for me. I was just glad about the fact that I would be wearing real leather and something that fits me. But when my friends saw it, they were asking me where I got the ugly shoe I was wearing? They told me of someone who could make something better and who apparently had been making ladies shoes and was disposed to the intricacies of making women shoes.
Having found the right person all I then needed to do was to design and he would make them for me. When I started wearing the shoes made by this other experienced guy, friends began to ask me again who made these shoes for me, saying that they like it and they wanted it and I knew it was genuine interest - so I made for them. I also made for some family members and colleagues. There was really no vision for it then because it was a side thing at that time. But when orders started coming in and the shoemaker started messing up, I just put the whole thing aside.
“Time went by, I changed jobs, changed my church and I got another job. Before I knew it, orders started coming again and I knew it was time to do something with my life but I just didn’t know what to do because I studied Law and I had run my own chamber successfully before I got born again and started working in church. And because I also love music and have done quite a few things in that direction it was a real dilemma: should I go into music or do the shoe business?
“So I had to meet my pastor and told him I wanted to move on and he asked me what I wanted to do? I told him my options, and he asked me to seek the face of God - so I did and I heard God said to me, “Go and make shoes”. Of all the things I could do I was wondering, why shoes? But because I knew God had spoken to me, I had no doubt in my mind and that was how this whole thing started.
“One of the female pastors met me one day and said she heard I was leaving and wanted to know what I was going to be doing and I said I was going to be making female shoes. She was my very first customer, she gave me a deposit to go and start the job. That was how I started. It wasn’t as if I saved for it. My passion and my creative mindset launched me”.
Omole says, “My starting was by God’s divine intervention. I was one of the bankers that got laid off during the banking crisis in 2009. I had worked as a banker for about 8 years before I was told to go. When we were asked to go, initially, I didn’t see losing my job as an unfortunate incident or challenge because I felt I could easily get another job because of my experience. But after several attempts without getting a job, the reality dawned on me. So, one day, I sat myself down and was thinking of something else I could do to feed and maintain my family. I was just thinking about the everyday things people make use of and that was how the idea of shoemaking came.
“So, I went into the market and did my own personal research. I was already familiar with shoe materials because that was the business my father did. He was importing them so I knew exactly what and what I needed and where to get them.
While sampling, I realized that another challenge would be the finishing. If you check some Nigerian made shoes - and not only shoes, other products - their finishing is always very poor. So, I had to source for good shoemakers. I got about 10 of them and after testing their skills, I selected just two and they are still the ones working for me till today”.
Mr. James Livinus, is the CEO of Yakason Global Best Ventures, manufacturer of Yakason Shoes. He says, “After my secondary school education in my native Kaduna State, I was waiting for admission and during that period, I got to know about a school that offers a course in footwear technology. So, I applied, and fortunately I was given admission and I took Shoe Production - footwear manufacturing as a course, which I ran for over two years.
This actually led me to gaining a lot of interest in shoe production. So, when I left school, there was no big industry that could really accommodate us, but I had been picking some of the little machines - like the filing machine, lasts, among others and I began to sell myself to people around - about my capability. Later, I worked with Total Nigeria Plc. I produced a shoe for one of the staff after which many others began to order. After that, I was no longer living on my salary, as I was selling my shoes and saved a lot of money.
“Later, I met with a Director of National Directorate of Employment, NDE who saw a footwear I made and thought it was an Italian shoe. When I told him it was produced by me, he was really surprised and said I shouldn’t have been wasting my time in that company. He gave me a note to a director of NDE in the Southern part of Kaduna, where I come from. Getting there in 2002, I was enrolled into a training on how to run a company and write a business plan. I was thinking everything would be okay after that move and got lots of promises from the government, but nothing eventually came out of it.
“That disappointment actually prompted me to give it a thought that I could start my own shoe manufacturing company. So, in 2004, I registered a company and in January, 2005, I received the certificate. Immediately, I discovered that there is a local shoe manufacturing company in Lagos, so I came down to Lagos and luckily enough, as I came down, I was slated for an interview and at the venue, it was one of my lecturers that was slated to take me. So, I was given an employment immediately, and I continued to improve myself - after four years I left there.
I had run through various departments, leaving there as one of their designers. From there, I moved to Lennards Nigeria Plc to become the Production Manager between 2010 and 2011. Immediately, I left that place, the Federal Government came up with a programme known as Youth Enterprise With Innovation in Nigeria (YouWiN), which is a Business Plan competition. I enrolled and with God by my side, I was picked as one of the winners. So, with the little machineries I previously had, joined with the award prize won in the competition from the Federal Government, which was about N10 million, I kick started my own shoe manufacturing company - Yakason Shoes”.
Mr. Badmus Idris is the Creative Director of Captain Bosbain- a shoemaking and accessories outfit. He says, “We basically make shoes, slippers, sandals, and belts for men and ladies locally. I started the business about five years ago, while I was in the university, and since then it has grown much bigger than I originally envisaged. I started as a merchant and as the years goes went by, I decided to focus on designing my own shoes which comes so easy for me, and it has been so exciting and fun”.
Mr. Femi Oladipo is the Creative Producer, BFEM Manufacturing/Services Ltd - an indigenous shoe manufacturing company. He says, “Actually, I started in 2009, first by retailing; then later I went into production with about eight (8) boys. Our production is on a weekly basis, producing at least 50 pairs per week, which amounts to 200 pairs per month. I believe what motivated me into shoe production was the fashion trend of Nigerian men, because when I started, I actually started with men’s shoe designs before I delved into women’s designs.
I believe we have issues with what kind of shoe to wear alongside our outfit in Nigeria. So, I stepped into what I think is suitable for men to satisfy their fashion needs. In my own case, I didn’t actually go to school to learn shoe production, but I learnt it from a friend, who is also a shoemaker. Well, I started by buying from him to resell, but in the course of buying from him, I did help him out in coupling the shoes before taking them to the market. So, it was from this guy that I learnt the rudiments of shoe manufacturing, as I studied another course entirely in school”.
Equipment And Capital Needed
Omole says, “The major equipment one needs are sewing machine (industrial or manual), filing machine, scissors, adhesive gum, pliers, hammer, etc. Raw materials include soles, lining, and leather. I always preach that one should start small but to start the business with almost all the necessary things needed, one can budget between N80, 000 to N100, 000”.
Livinus says, “Startup capital is really an essential issue. Like me, while I was in Total, I was able to get Roughing machine and Last - a replica of the feet. I am encouraging those without work out there and are waiting for a particular cash to flow in; if they have about N20, 000, they can get the Roughing machine for about N14, 000 or so, get Last and training for them to start with producing pam sandals, which every Nigerian wears.
So, gradually as they are producing that, they are building their experience and getting more challenges that will really push them out to move higher. Also, through that, they can move to see someone who will feel happy with what they are doing and will like to invest. But if they want to start only after they have all the required mechanized machineries, definitely, it will cost them nothing less than N15 million.
“Meanwhile, before a shoe will be produced, the Last must be used, if not, it will not come out very well. For instance, if we are to produce for someone size 42, we will therefore make use of Last of size 42”.
How Important Is Training?
Livinus says, “Well, it is obvious that shoe production needs training and at times retraining and the experience that has been gathered through the training is possibly what will really help one to establish properly. For instance, before I joined FAMADS, I had an encounter with a white lady in one of the shoe universities abroad through email and when I asked her how to establish a good shoe manufacturing company, and she told me to get a shoe manufacturing company and work there - even if I’m not paid - to understudy the system of operation. Definitely, it is not easy to make it in shoe making without training.
“As testimony, when we started after the getting our YouWin grant, the first set of experienced workers we employed just worked for a while and left at once. So, with this, if I wasn’t really exposed enough to stand in the gap before prowling for new workers, the company would have suffered. But immediately the old workers left, I was working day and night to face the pile ups of the job. So, shoemaking definitely needs training”.
How Do You Source For Materials - Imported Or Locally Sourced? Azeh says, “All our materials are locally sourced, most especially our major raw material which is the leather, Nigeria has one of the best leather in the world. Our materials are all sourced here; we don’t import anything on our own. But in the embellishment is where my creativity comes in because I can embellish shoes with anything. This is what makes Mona Matthews, Mona Matthews”.
Livinus says, “Well, as Nigeria is, we are blessed with raw materials, as we have lots of tanneries operating in Nigeria and they are producing us the leathers we use. Meanwhile, the tanneries are in Kano and once we give them the specifications, they give us what we want - that has not been a challenge. Though, we have still not been able to get it directly from the tannery, we buy from middlemen, because one needs to drop some millions of naira before they start dealing with you directly - that has been a challenge to us.
Also, we don’t produce and stock, but we produce based on demand. I can say this is our season - from September when children are going back to school, but we have not been able to meet because we did not have enough raw materials. So, what we do is that, if you are able to deposit some cash for your production, we will then buy raw materials and produce”.
Oladipo says, “Raw material is one big challenge in the shoe manufacturing business in Nigeria, because right now we don’t make do with our own locally made leather - most of the things we use are imported from China and Europe”.
And Who Are Your Market And How Do You Promote Your Product To Reach Them?
Azeh says, “Our target market is really easy for us to define. They are people who demand and recognize good quality shoes. We also deliberately design shoes for people with large feet because we realize that that segment of the market is underserved. We let our shoes speak for us, we focus on consistently producing high quality so our customers are our brand ambassadors, they tell other people about us.
“We also hold events when we have a new collection, a new piece of our work and we also attend exhibitions where we showcase our work. We also try to maintain a presence on social media so we have a page on Facebook; we are currently upgrading our website and have also begun the process of engaging our audience more via Twitter and Instagram”.
Omole says, “I promote my shoes via the social media. People that have me on their BlackBerry list and also my friends on Facebook can testify to that. Right now, you can also get my shoes to buy on Jumia. There was a time I was always going to offices to sell my shoes but I don’t do that anymore. My shoes now sell themselves. My customers are now the ones that help me tell their friends about my shoes. Because once their friends see their footwear, they would want to know where they purchased it and when they tell them it is locally made, they are quick to collect my contact details”.
Livinus says, “Well, until recently, as regards military style boots, we were selling to [one of the largest private security companies in the country, a household name], but for some reasons, we decided to drop their order. We as well sell to private schools across the country.
For instance, we have a production at hand that is going to Kaduna State and there is another one to follow suit, which is going to Ondo State. We have customers in Warri, Port Hacourt, Sokoto, Abuja and Ibadan. We also believe that, very soon, we will get [contracts to supply the military], as we have designed a product that can really serve them. The Police Force is well in our target list with a product we have at hand that can satisfy them and compete with international products. We also have our websites there to showcase our products”.
Idris says, “Our customers range from children to adults (both men and women). The medium we use are exhibitions, social media platforms, and online market places. Our partnership with Konga, Jumia and Dealdey has been encouraging and very effective. Also, our turnover has increased and we’ve been able to reach a larger audience”.
Oladipo says, “My target market has to be the businesspeople, those who are in the corporate world - like I sell to bankers, lawyers, among others. Our resellers have only one issue to deal with, which is the issue of where the shoe is from. For instance, some of our clients sometime ago told us to label our shoes as “Made in Italy,” as some customers won’t buy made in Nigeria shoes because they believe it is not of high quality.
“So, what we do is that, we basically tell our customers that this our shoe is made in Nigeria, therefore the manufacturers to be on ground for after-sales service. Meaning that whatever issues you have, in the course of using our products, we are always on ground to attend to you. Also, customers can give us their specifications - if you want your shoe to have your name, signature, initials or you are giving it out as souvenir, you can tell us. Here, you can see the manufacturer, not that you have to travel to Paris or to Italy.
“About our marketing strategy, we have channels used to distribute our products and one of it is by giving it to our wholesalers who sell to the final consumers. We have them in some strategic locations on Lagos Island, in Ikeja, Yaba, among other locations. We also visit companies like the banks and other corporate places”.
What Are Your Major Challenges And How Have You Overcome Them?
Idris says, “Firstly, as a local designer it’s been very difficult to propose our products to some clients. Reason being that, some of them are used to foreign brands and are not ready to shift their taste or choice of brand. It takes a lot of convincing and assurance. Local acceptance is still a major challenge we face every day. Gradually, we are getting there”
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Reference:Successdigestonline.com
See you tomorrow.
Tuesday, September 2, 2014
How To Build Your Business Management Team:This Guide Will Reveal To You Exactly Where To Find Them And How To Hire Them.
In the early days of running your own business, it's natural to try to do as much as possible yourself. It's the most cost-effective, comfortable, sensible way to do things in the beginning. But as your enterprise grows, you'll find yourself stretched thinner and thinner. Eventually, you'll find you just can't continue to oversee operations and sales and accounting and fulfillment and marketing--and hope to continue to grow your business.
When you reach this point, it's time to think about bringing other high-level managers on board to help you out. You need to build a senior team that's able to manage all the critical areas of your business to take it to the next level.
Building your team demands matching jobs to people's strengths. That means giving people responsibilities according to skill level, not based on how close a friend they are, or how closely related they are to you, or whether you just like their sunny personality. That includes you as well--don't give yourself an impressive title and job unless you're right for the job. The fact is, many smart entrepreneurs hire their own boss when they realize their skills lie elsewhere in the company.
When it comes time to hire an executive team, you'll need to find people to fill the following roles:
- Chief Executive Officer (CEO). The fact of the
matter is, the CEO is the boss of everyone and is responsible for
everything. They determine the company's strategy. They hire and build
the senior team. They make the final call on how resources (read: money)
get divvied up, and they're the one whose face appears on the cover of BusinessWeek--whether
that's in front of a grand jury on ethics charges or in front of a
3,000-foot yacht, wildly successful, and richer than a Betty Crocker,
triple-chocolate fudge cake.
The CEO's skills must include strategic thinking, the ability to rise above the daily details and decide where the industry and business are headed. They must then be able to decide the company's best route for navigating the future market conditions. They have to be able to make good bets.
The CEO's key skill, however, is in hiring and firing. The right management team can cover a CEO's shortcomings. A CEO may be able to set strategy, predict the future and control the budget, but if they don't hire the right team, they have to master it all themselves. So they need to be able to identify and hire the best, fire the ones who don't work out, and run the show in between.
You know you need a professional CEO when you're mired in the details for way too long and can't pull yourself out. CEOs think about where the organization is going, the people and processes needed to get there, and how they'll work in the current market. If you like details rather than strategy, either shift your thinking or hire a CEO to do the job for you.
Chief Operating Officer (COO). A COO handles a company's complex operational details. Think about UPS moving three billion packages in the two weeks before Christmas: The company's COO insures the business can deliver day after day. He figures out just what needs to be measured so he can tell if things are going well. Then his team creates the systems to track the measurements and takes action when the company isn't delivering.
In a one-location retail business, the store manager is effectively the COO. When you expand to multiple locations or when ensuring smooth operations becomes a big part of your business, it's time to hire someone who revels in measurements, operations and details.
President. No one knows just what a president does. I've asked dozens of executives, and everyone's answer is different. Some say a president oversees staff functions--human resources, finance and strategy--while the COO oversees daily operations. Others proclaim that the president is a synonym for COO, especially in smaller companies. Yet sometimes, the president fills gaps left by the COO and CEO. Or sometimes, the title goes to someone you want at the strategy table but who doesn't have an obvious C-level title. In any case, you should think long and hard about whether you need someone to fill this title, or if your company is fully covered with a CEO and COO.
Chief Financial Officer (CFO). Plain and simple, your CFO handles the money. They create budgets and financing strategies. They figure out if it's better for your business to lease or buy. Then they build the control systems that monitor your company's financial health. The CFO is the "bad guy" who won't let you buy that really cool videoconferencing equipment and makes you pay down a commercial loan instead. While you mope about it in your office, the CFO will be busy figuring out which customers, business lines and products are profitable, so next year you can afford the really cool videoconferencing equipment.
Believe me, you'll know when you need a CFO. Do you lie awake at night dreaming about numbers? No? Then you need to bring someone on board who does. You want a person whose dream birthday gift is a calculator and a blank book of ledger paper. Money is your business's blood, and in entrepreneurship, cash flow is everything. You don't know the difference between cash flow and profit? Run--don't walk--to the nearest phone and go find yourself a CFO.
Chief Marketing Officer (CMO). Recently, companies have been bringing in a marketing expert at the C-level rather than as just a vice president. The reason is simple: Many current business battles are battles of marketing, so corporate strategy often hinges on marketing strategy. The CMO owns the marketing strategy--and that often includes the sales strategy--and oversees its implementation. The CMO will know (or learn) your industry inside out and helps you position your product, differentiate it from your competitors' products, enlist distributors, and make sure customers learn to crave your product.
If your business's success depends mainly on marketing, you need a CMO. That might be you--but only if you have time to keep up with competitors, oversee the marketing implementation, and still do the rest of your job--and do it well. Otherwise, you need to look for the person with the sunny disposition, Blackberry in hand, keeping up on what's hot and what's not.
Chief Technology Officer (CTO). I'm a techie from way back, so I'm pretty opinionated about CTOs: Many of them just don't belong in the C-suite. A CTO should keep up with technology trends, integrate those trends into the company's strategy, and make sure the company keeps current when it's necessary. They should not be buying new toys and leading-edge technology just because it's the latest, greatest thing out there.
You need a CTO if technology impacts your business or industry strategically. (If you're in tech yourself, or your industry relies heavily on technology, that means you.
Here's a quick test to find out if your CTO can link technology and strategy: Ask your CTO how a company's chosen programming language choice affects strategy. If the answer sounds more sophisticated than "It makes it easier to find programmers," your CTO just might know how to think strategically.
Unfortunately, good executives don't grow on trees (and you wouldn't want to hire the ones that do). Since their decisions can make or break your business, you want the best. Newspapers, classified ads and internet bulletin boards are not the way to go. And mass-market ads will attract exactly that--the mass market, people who have no other job prospects. (A skillful, former executive rarely lists themselves in the same newspaper section as used backyard grills and heavy farm machinery.)
If you have the funds available, executive search firms are a good way to go. Although they charge through the nose to find candidates, they do due diligence and present you with pre-screened candidates, so when you're running around handling the emergency of the day, they can be a huge time-saver. They also monitor the pool of executive talent and can likely reach candidates you couldn't approach on your own. Search firms may specialize by industry, function, geography and level of job, so if you decide to hire one, make sure you know what you're getting.
Networking is a time-honored way to find new hires. Let your professional and personal networks know what kind of person you're looking for. Then get one-on-one introductions, and take the candidate to lunch to test the chemistry.
When networking, avoid specific "networking forums." Go straight for what you want. If you want a law firm CMO, spend a weekend at the Legal Sales and Service Organization's Raindance conference, which attracts senior marketing folk from law firms. Network, network, network--but make sure it's targeted.
Once you've got a potential candidate, how will you know for sure they can do the job? Executives have great impact--on employees, on systems, on profits--so it's worth your time to check them out thoroughly.
Call each of their references, and listen between the lines (with lawsuits today, recommendations always glow). A CFO may have embezzled from his last company, but the employer still says "They did a good job" (I swear--this is a true story). This grade inflation means you need to listen for less-than-glowing opinions. "Fred showed up and sat at his desk like a real trooper" is a sure sign that Fred enjoys taking every Wednesday off to go golfing with the boys.
Interviewing Tips
When it comes time to sit down with your potential C-suite candidate, there are a few things to know that will make your job a little easier:
Make sure your candidate really knows the job. If your CMO-to-be doesn't know the difference between marketing and sales or your CFO can't tell you the difference between LIFO and FIFO, pass 'em by.
Interview for chemistry. Do you trust this candidate? Do you want to spend time with them? Believe me when I say, you don't want an abrasive team member, no matter how talented they may be. One COO I know, scared to make the hard decision, reorganized his entire company around a highly talented, incredibly obnoxious executive that everyone despised. The exec's talent got to shine--but everyone within 100 yards quietly subdued theirs.
Talk to people from your candidate's former company. Are the candidate's claims of divine brilliance reflected in what their former peers and subordinates have to say about them? Find out if they got the work done and also how they contributed to the company's culture. In a small business, cultural issues can be every bit as important as getting things done.
Always hire really smart people. Here's a good guideline to follow: Every new hire should increase your company's average IQ. That means they should all be smarter than you. Get used to it.
Look for evidence of learning ability. Will your candidate repeat mistakes they've made in the past? Or will they learn from those errors and adapt that knowledge to your company?
Use "behavior description interviewing" techniques. Don't ask about principles, knowledge or "what if" stories. Instead, ask your potential executive team member to share specific past events. Their stories will reveal their values, skills and abilities. For example, you might ask a CFO to describe a budget they set up and how they handled it when a manager exceeded their budget and asked for more.
One word of caution: Be wary of hiring friends or family members. They'll expect you to trust them and just assume they have a high skill level. What's worse, you may trust them and assume they have a high skill level without any evidence to the contrary until after you've hired them. And unless you take care to be very clear about the boundaries between friendship and work, you may find your friendship in ruins over workplace disagreements.
Making The Deal
Once you've found the executive you'd like to hire, you have to entice them to join your team. There are no standard rules for the best deal to offer them. Hourly workers may be thrilled to get cash, but executives aren't so easily satisfied. They often want stock options, exorbitant pay and an annual--or even quarterly--bonus. Since their job is to make the entire company succeed, use stock options and a bonus plan to link their income to the company's overall performance. Stock options should be aligned with long-term performance, while bonuses and profit sharing should be based on the past year's results.
Of course, not all executives crave stock. Ideally, you'd love someone capable who's happy with a challenging job and modest salary. And they're out there! Some well-qualified people care much more about family time, a fun culture, a challenging job, or being part of a world-changing effort. The more you understand each person's drivers, the more you can craft deals that satisfy them in ways that transcend mere dollars.
But no matter what you decide to offer, keep it simple. If your bonus formula requires a PhD in higher math to understand, it won't motivate anyone.
Delegating to Your New Executives
Once the new members of your team are on board, it's time for the truly hard part: trusting them. Your gut will fight you every step of the way. You'll assume your instructions are clear and misunderstandings are their fault. You'll assume when you disagree that you're right and they're wrong. But you'll sometimes be wrong.
The key to successful executive relationships is changing what your gut tells you.
Remember how you interviewed for trust? That's important because once you hire an executive team, you must let them take their responsibilities and run with them. That means agreeing with them about what their roles are, what deliverables they're responsible for and on what timeframe.
It's also worth deciding in advance how you'll handle disagreements. You hired this person assuming their judgment was better than yours. So when you disagree, if you did your job right, chances are that they're right and you're wrong. Discuss early on about how you'll make the call, so you get the most benefit from constructive conflict. Just remember: If you agree on everything, one of you is redundant.
Entrepreneurship is about going for the things that are much bigger than what you could do alone. Your job isn't to reach the goal; it's to build a team that will reach the goal. If you really want to reach your goals, you'll need to bring on others to help, and creating a good executive team means knowing what you need them to do, finding good candidates, and giving them what they need to do their jobs. If you choose well, they'll be successful and make you successful as well.
Thursday, August 21, 2014
How to Sell in 60 Seconds
Q: I've always equated selling with telling, and lately I've noticed that my prospects cut me off when I am giving them my pitch. What's the best way to get my point across and win the sale?
A: I would imagine that this month's question has value to all of us in sales and marketing. Let's face it:
Buyers are more educated than ever before. What we sales and marketing types need to focus more on is understanding our prospect's world--and the best way I know of to do just that is to ask intelligent questions.
Here's a rundown of the best questions to use and when to use them. My strong suggestion is that each and every one of us should ask a whole lot more questions and speak a whole lot less.
When interacting with a prospect, you must first seek to understand what's going on in the other person's world. Then and only then will your ideas be accepted and understood by the prospect.
The best way to do this is to set strict limits on your own "talk time." Keep it under 60 seconds. Yes, you read right: You must never, ever speak for more than 60 seconds without asking for approval to continue. This approval comes when you ask open-ended "prompting" questions. Generally speaking, these questions:
- Cannot be answered with a simple yes or no.
- Do not lead, control or try to manipulate the other person.
- Enable dialoging.
- Begin with the words "when," "what," "how," "why" or "where."
- Require thought to be answered.
- Encourage the other person to reveal feelings.
- Build rapport.
One example of a closed-ended question might be, "You're interested in attracting new customers, right?" The best place to use the closed-ended question is in a situation where you need to validate or confirm what you think is going on in your prospect's world. Generally speaking, closed-ended questions:
- Are useful to give feedback during a dialog.
- Can be used to obtain specific information and/or confirm facts.
- Secure the other person's approval and prove to a greater degree that you've got a good understanding of what he or she said.
- Express in your own words what you just heard.
- Clear up differences in the definition of words and phrases being used.
- Clarify the meaning of "global" words (like "always" and "never").
These questions, too, can win you another 60 seconds of time to talk--once the contact has responded to your question, of course. Generally speaking, developmental questions:
- Encourage the other person to elaborate on what he or she just said.
- Begin to make it possible for the other person to show his or her true feelings about the topic at hand.
- Obtain further definition of what's under discussion.
- Move the dialog from one logical topic to another.
- Invite the other person to participate in an informational exchange.
- Can be used to replace a closed-ended question you were tempted to ask.
Another question type you can use to earn another 60 seconds of talk time is called an opinion question. This kind of question is extremely helpful in revealing where a prospect stands on any particular issue, and it can be used to give you more insight into someone's unique needs. Opinion questions are also a nonthreatening way to ensure that the other person is actually engaged in the dialog. As a general rule, opinion questions:
- Ask a direct question in a nonconfrontational way.
- Get the other person to speak frankly and openly.
- Allow the opportunity to share feelings.
- Show esteem and respect for the other person.
- Help to extend and prolong dialogues.
- Introduce a third party that is relevant to the discussion.
- May increase confidence that you can address the purpose and needs of the other person.
- Validate the other person's reasoning.
- Can be used to address concerns or problems before they arise.
By Entrepreneur.com
Tuesday, August 12, 2014
How To Become A Distributor With Dangote Group And Other Top Selling Brands And Soar Your Profits By SuccessDigest
If you get it right, there is plenty of money involved in wholesale distribution of the fast moving products of great companies in Nigeria. This week, SuccessDigest continues to show you how to get involved having broached the issues in a recent edition where great products of nine companies were showcased.
We detailed how you can distribute the products of companies such as Promasidor, PZ Cussons, Samsung electronics, Star Times and five others.
You can be the one who buys "from the source" and sells to a reseller.
Dangote Cement Plc, producers of Dangote Cement
Mr. Anthony Chiejina, Group Head, Corporate Communications, Dangote Group, spoke on how one can become a Dangote Cement distributor.
Getting Involved In The Distribution Channel Of Dangote Cement
Chiejina says, “To start with, Dangote Cement Plc is Nigeria's largest Cement producer with operations in 14 African countries. In an effort to ensure distribution of cement pan Nigeria, the company is currently seeking credible distributors nationwide.
“So, what you need do after you have shown interest in becoming a distributor is to come and register by applying as a distributor. You have to fill an application form and go through some application processes. But even before you start preparing to face the application processes, you need to know why you should become a cement distributor for Dangote.
1. Nigeria and Africa at large is developing rapidly just as the population is rising. Infrastructures are being erected and cement is a fundamental material for construction work such as bridges, roads, houses, monuments, amongst others.
2. With the huge population in Nigeria and Africa at large, coupled with the present housing problems facing the government - this means that there is a present and future demand for cement, as the government and private real estate investors try to meet the pressing housing needs.
3. The Federal Government of Nigeria is currently implementing a plan that will require cement to be used for road construction. If you have foresight, you will know what this means. Did you remember what happened to the price of flour and cassava when the Federal Government made a policy that cassava flour should be the composite material used for baking bread, instead of the conventional wheat flour?
4. Dangote Cement is currently the dominant and leading cement company in Nigeria. Thanks to the business acumen of its founder, “Aliko Dangote”, a formidable management team and a strong distribution network - Dangote currently has over 3000 trucks registered under the brand.
5. For the records, Dangote Cement PLC is currently the biggest cement company in the world with factories spread across Africa and with the future potential to export to the rest of the world. So, it is high time you aligned yourself with the rapidly growing company that is backed by a strong management and become a distributor”.
The Requirements
Chiejina says, “For cement, there are two types of distributorship channels: Corporate and Individual. But the basic requirements are:
Detailed Letter of Application, Scanned Reference Letter from your bank, Passport Sized Photographs of the Managing Director, Passport Sized Photograph of the company's Representative, Corporate Affairs Commission (CAC) registration document and a minimum purchase of one trailer (600 cement bags monthly on cash-and-carry basis). For further details on requirements, please visit our website www.dangote.com or feel free to send completed applications to cementdistributor@dangote.com. So, please, ensure that you have the soft copy of all the aforementioned documents before you begin Application and let it be that you have a 48-hour registration period guaranteed.”
Mode Of Payment
This isn't a problem at all, as you can pay at any designated bank. That will be made known to you during the application processes.
Minimum Quantity To Buy, Price And Other Things To Know
This depends on the products you are purchasing. For instance, with cement, the minimum quantity to purchase as a distributor is between three to five trucks per month - that is to say, an average of 2,500 bags. Though, as earlier said, the "minimum purchase of one trailer (600 cement bags) monthly on cash-and-carry" is one of the requirements to meet at the start of the processing stage.
Any Registration Fees?
No, not at all! Registration for distributorship is free across the Group.
Requirements At Locations
None with us, but you must as well pay serious attention to this aspect - you need to do a thorough background check on your location, as it also helps your sales strength.
Incentives For Major Distributors
Yes, one of it is the very low prices at which you will get the products. We have cash rewards for top distributors during a given period. There are also dinners, customer forums and other periodic meetings with top executives where distributors can express themselves freely.
Becoming A Sub-Agent
We deal only with distributors. Sub-Agents are free to choose which of the distributors they want to do business with.
Parts Of The Country Where Distributors Are Still Be Needed
As you can see with all said and owing to the pedigree of the company - Dangote, distributors are therefore needed in all parts of the country. So, the choice is yours!
Advice To Prospective Distributors
Be customer-oriented, hardworking, consistent and you will definitely succeed as a distributor. Now, you may not have the capital to purchase 600 bags at a go, but that doesn’t stop you from doing this business. You can align with two or more people, form a corporation or company, become a distributor, buy your cement produce and split it accordingly amongst yourselves.
Other Facilities To Put In Place To Get Started As A Distributor For Dangote Cement.
1. You Need To Write A Business Plan For Your Cement Company: 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 than your competitors? These are the questions - among others - which you must answer in your business plan.
2. Study The Competition: Who is your competition? What are they doing that you can do better? You need to study and understand their strengths and weaknesses. This is your advantage!
3. You Need A Warehouse: You will need a warehouse to accommodate at least, a minimum of 500 to 1,000 cement bags. You can also talk to the town leaders in your vicinity, about allocating some space for you to store your cement products. It is advisable to rent a warehouse to prevent unexpected occurrences
4. You Need To Arrange For A Vehicle: If you can afford to buy a supply vehicle (possibly a van or mini truck), then get one. It will help you sell faster, and make work more convenient for you. A haulage truck will also be needed to haul your cement products from the factory at Obajana, Kogi State or Benue State. However, you don’t need to own the truck, a pay per delivery contract will do.
5. Learn from the Gurus and not the “GOOROS”: Do you know why there are so many struggling businesses in Africa today? It’s because they have been listening to the “GOOROS." - GOOROS, means novices. To succeed in this business, you need to speak with someone already in the GAME. Learn from someone with a cement business outside your community.
Many established business owners are happy to give advice to serious entrepreneurs. They love industrious young people and are ready to go the extra-mile in helping them. Don’t be scared. The worst answer you will ever get is a “NO.” Rejection is part of the game.
In conclusion, I want to restate that there is so much money to be made as a cement distributor. Even right here in Nigeria, you can still function as a cement distributor, while still doing your day job. You can make a realistic profit of N300,000 monthly by distributing cement. All you need is action, hard work, and determination!
However, you must bear in mind that no business is hassle-free, so expect some challenges while venturing into this business. It is your ability to deal with these challenges effectively, that will make you a successful cement distributor.
UAC Foods Ltd.
Mr. Joseph E. Chukwuwike, Regional Sales Manager – Lagos 3 of UAC FOODS LTD, spoke on how one can become a distributor of their products.
Different Products Of UAC Foods Limited
Chukwuwike lists them as follows:
- Gala Sausage Roll
- Gala Chicken Roll
- Kingsway Sausage Roll
- Gala Tinkies
- Funtime Cup Cake
- Funtime Coconut Chips
- Snaps Cheese Balls
- Supreme Ice Cream (pouch and bowls)
- Supreme Ice Lolly
- Supreme Yogurt
- Supreme Funblast
- Supreme Crème Bliss
- Delite Fruit Juice
- SWAN Water
- SWAN Soft Drink
Becoming A Distributor Of Each Of These Products
Chukwuwike says, “Anyone can become a distributor of any of these products by applying for distributorship in writing, thus indicating interest. It could also be some group of persons who have a registered business name with Corporate Affairs Commission (CAC). Whether an individual or group, there must be a registered business name; one that could accommodate the type of product you want to sell.”
Requirements At Various Levels Of Distributorship
Chukwuwike says, “Snacks Category (Gala & other sausage rolls, Cup Cake, Coconut Chips):
1. A letter of application to our corporate office at Kilometer 16, Ikorodu Road, Ojota, Lagos. P.O Box 117, Ikeja, Lagos;
2. A letter of introduction / recommendation from your bank;
3. A written/printed copy of your business registration name (CAC);
4. Filed copy of distributorship form collected from UFL and returned with a passport photo;
5. Funds to pay for stock, minimum - (N1 million to N1.5 million);
6. Purchase of our snacks basket;
7. Vehicle for re-distribution;
8. Pay non-refundable deposit of N50,000;
9. Shop / store to keep stock
Ambient Category (Delite Fruit Juice, SWAN Water, SWAN Soft Drinks):
1. A letter of application;
2. A letter of introduction / recommendation from your bank;
3. A copy of business registration name (CAC);
4. Filed copy of distributorship form collected from UFL and returned with a passport photo;
5. Funds to pay for stock, minimum - (N1 million to N1.5 million);
6. Vehicle for re-distribution;
7. Shop/store to keep stock
Frozen Category (Supreme Ice Cream, Yogurt, Funblast):
1. A letter of application;
2. A letter of introduction / recommendation from your Bank;
3. A copy of business registration name (CAC);
4. Filed copy of distributorship form collected from UFL and returned with a passport photo;
5. Funds to pay for stock, minimum - (N1 million to N1.5 million);
6. Chest freezers or cold-room to hold stock
Are There Stages Of Registration Needed Before A Person Becomes A Distributor?
Chukwuwike says, “You are not expected to register in any association before you can become our distributor. You only need to register your business name with CAC.”
Incentives And Benefits For Distributors
Chukwuwike says, “We give our distributors rebates at the end of each month based on the volume of sales. Rebates are earned based on agreed volume graduation in percentage as stated in the Terms of Trade (TOT). Other benefits include trade promotions; incentive awards based on target achievement; gift incentives during special occasions by distributors (at the company’s discretion).”
Any Need For A Guarantor?
Chukwuwike says, “Yes, you need a guarantor.”
Region Or Location Boundaries?
Chukwuwike says, “Yes, you are regionally bound. Territories are delineated and allocated to distributors where they are expected to develop and sell in. Distributors are sanctioned if they cross territories to do their selling.”
If I don't have N1m or 1.5m to start but I have N500, 000 or N250, 000 do I have a chance of still becoming your distributor or a sub distributor? At what level will I be playing in the distribution chain?
Chukwuwike says, “You will also have a place in the distribution chain and that is the category of below a million to N600, 000. You will be closely monitored for the space of 6 months to see how you are making progress. And if after 6 months you are not able to meet up you will not be given the license to become one of our major distributors. The business is capital intensive, if you trade with less than a million, your turn over within a week will be very low, it is the volume of your product purchased that determines your turnover volume.
“Better still you could join resources together as friends or colleagues to make up that amount to get your products then work at raising your supplies”.
How Do I Know My Boundaries So That I Am Not Sanctioned?
Chukwuwike says, “In the form that you will be given to fill and submit with your passport photograph, you will be asked to state or choose your preferred location or coverage area. After you have specified that, our team will check our distributors’ data to ensure that that location is not yet covered.
If it has been covered already, we will suggest another location or do an adjustment that will be okay for you and the pre-existing distributor; and the moment that is done you don't have any problems - your boundaries will be defined so that everybody can do the business correctly without any complaints of their customers being diverted.”
Oruhtrade International Ltd., Producers Of GO 90 Insecticide
Mr. Frank Anokam, Admin Manager, spoke.
What Are The Different Products That You Have?
Anokam says, “The products we have for distribution now are (a) G.O. 90 Insecticide Drop (30ml) 12 bottlesx24 packets/carton (b) G.O.90 Aerosol Spray (300ml) 12 cans/carton (b) G.O.90 Rat and Mouse Glue Trap 72 packs/carton.”
How Can Anyone Become A Distributor Of Each Of These Products Or Are They Restricted To Some Group Of Persons?
Anokam says, “All you need to do to qualify for distributorship of any of our products is to come over to our office at Km 11, LASU-Isheri Road, Igando, Lagos. Tel: 08038188004, 08057006781. There, you will need to submit a formal application letter to the Human Resource Department (HRD), indicating your interest in the distributorship of our products.
“You must also have a registered trade name with the corporate affairs commission (CAC) and a functional current bank account.
“You are also expected to have a delivery van, to move your goods around to your sub distributors or retailers.
“You are also expected to have a secure storage facility which will be inspected and certified by the company’s inspection team because the products are highly inflammable. So we have to make sure the environment is safe and secure to avoid any accident.
“Another requirement is that you should be able to (buy) lift a minimum of Five Hundred Cartons (500 cartons) of the Drop (30ml), the Aerosol Spray or any other product as required, which amounts to N3-4million.
“A formal reply will be given to the distributor if he or she qualifies, detailing other terms and conditions of service as necessary.”
Do I Need To Provide A Guarantor?
Anokam says, “Yes you will need to provide of Two (2) guarantors”.
Incentives And Benefits For Distributors
Anokam says, “The Company compensates her distributors based on the volume of sales achieved by them (the distributors). These compensations are earned based on performance
“Other benefits include product promotions, incentive awards based on target achievement, and gift incentives during special occasions”.
Any Regional Or Location Boundaries
Anokam says, “It depends on the level of your distributorship and the location which you intend to operate from. When we have all these details we can discuss how it will favor you and other existing customers”.
Nutricima Plc - Producers Of Freshyo, Bliss, Coast And Nunu. Nunu Includes A Range Of Powdered, Evaporated And Ready-To-Drink Milk. Freshyo Includes A Powdered Yoghurt Drink Format And Also A Ready-To-Drink Yoghurt Range. Bliss Includes Smoothies, Ice Teas, Ready To Drink Flavoured Milk Products And Instant Hot Drink Powders
Titilayomi Osagbemi, PR Manager, Nutricima spoke.
Getting Involved In The Distributorship
Osagbemi says, “All you need do is get in touch with any of our representatives and have your money and outlet ready”.
The Requirements
Osagbemi says, “You would need a distribution van. Your location should be in a place that can move sales quickly and you should have the skills and ability to redistribute your goods”.
Mode Of Payment
Osagbemi says, “All payments are made by cheque”.
Minimum Quantity To Buy, Price Et Al
Osagbemi says, “There is really no minimum quantity but we expect a distributor should buy something worth a minimum of N300,000”.
Any Registration Fees?
Osagbemi says, “No registration fees are required. But payment is made before goods are delivered”.
Location Requirements
Osagbemi says, “We expect a good location that should be able to drive good sales. And your location should not be close to another distributor”.
Incentives And Benefits For Major Distributors
Osagbemi says, “Our distributors get a certain rebate every quarter. I will not disclose the details but our incentives package is juicy.”
Becoming A Sub Distributor
Osagbemi says, “As a sub distributor, you deal directly with the major distributor in your area of sales”.
Parts Of The Country Where Distributors Are Still Needed
Osagbemi says, “We can never have enough distributors. We need distributors from all over the country especially from the Northern parts”.
Advice To Prospective Distributors
Osagbemi says, “Be diligent and with time you’ll make it”.
Lafarge WAPCO Plc - Producers Of WAPCO Cement
Requirements For Becoming A Distributor
Just walk into their office and you would be required to fill a form. The form requires you to fill in some personal details. And when submitting the form, you are to attach a photocopy of the following document:
1) A copy of your company's registration certificate with CAC.
2) A formal application letter of intent indicating your interest to be a distributor.
3) And a reference letter from your bank which you will obtain from the bank where your registered company holds a corporate account.
A distributor is expected to buy nothing less than five truck loads of cement. A truck load of cement consists of about 600 bags.
But the good thing is, if an individual cannot afford this on his or her own, he can partner with an existing distributor or another new distributor and they can put their resources together to buy the five truck loads of cement.
Facility Requirements
You need a warehouse. You also need pallets on which you would put your cement bags.
Then you need to make sure your warehouse is not in a place where rain or any sort of water can enter.
Incentives For distributors
An authoritative source said, “Our distributors that meet up to their required targets are rewarded with trucks and sometimes trucks of cement. We also give out gifts such as cars, generators, refrigerators, television sets, etc, on a yearly basis”.
La Casera, The Beverage Producing Company – Producers Of The Popular La Casera Soft Drink
The Requirements
A top official of La Casera Beverages Company, who pleaded anonymity, said it is vital for distributors of La Casera to have an in-depth knowledge and experience in beverage products distribution. Other requirements, according to him, include having infrastructure for distribution of the product, financial resources to procure the product and good marketing strategies.
Mode Of Payment
The official stated that one can pay at any designated bank and that everything is done on "cash and carry", basis.
Minimum Quantity To Buy, Price And Other Things To Know
The official said that a distributor who wishes to be taken seriously by La Casera would need to buy a minimum of 5000 pieces and have the sales personnel to market the product. He added that such a distributor would then be qualified to enjoy incentives such as gifts of electronics which the company gives out from time to time.
Any Registration Fees?
The official said there is no registration payment before becoming a distributor. He added that all one needs to do is just to show interest at their office and an official will be at hand to check for compliance to requirements and supervise.
Regional And Location Boundaries
The official said, "The distributor should be the only one covering a particular area but in case two distributors are covering same (large) area, they just have to demarcate their market - meaning, they must not encroach on each others' market areas," he said.
Advice To Prospective Distributors
The official therefore advised prospective distributors to go for all the brands of La Casera, sell more of them and make profit, as the Trade Volume Incentive - which is an additional incentive of the product for every minimum of 5000 or more pieces exists and is very attractive. “La Casera is looking forward to receiving distributors from all parts of the country - be wise” the official said.
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