How to Setup a Profitable Office and Industrial Cleaning Business in Nigeria

The business of providing professional office and industrial cleaning service in Nigeria has been around for decades but only became very popular in the early 2000s because of the growing number of businesses that wanted to operate more efficiently. 

These businesses especially banks, hotels, embassies, hospitals, schools, churches, shopping malls, eateries, law firms, accounting firms and other service based companies realized that it paid them more to outsource the cleaning of their office premises by experts who can do efficient cleaning services thereby providing them more time to do their core business activities.

Office and Industrial Cleaning business is quite a lucrative one to do in Nigeria for various reasons. For instance, it has low capital requirement for starting it. Just like all service oriented businesses all you need is skills, work tools and good work ethic to secure new customers and expand. 

The administrative expenses are quite low since salary, rent and transportation are the major operating expenses taking up to 80% of the total operating costs. You don’t need to worry about inventory, machines or a factory to produce your service. 

Another reason the business is lucrative is the huge pool of available customers. Nearly 60% of medium to large sized business with more than 20 staff is in need of this service especially when that business is in a highly competitive industry and has to become more efficient to succeed. So we should be looking at between 80,000 to 200,000 businesses that already outsource their office cleaning or are in need of the service.  

The Market Opportunity for Office and Industrial Cleaning in Nigeria

No business wants to lose customers or get a bad name for keeping a dirty environment or have to waste man hours trying to keep their premises attractive. So that means the demand for this service is high and here's one reason for this -there are at least 480,000 registered companies operating in Nigeria as of 2014 according to the Federal Inland Revenue Service. 

From my estimate at least 250,000 of these companies are based in Lagos State alone. Abuja has more than 24,000 operating businesses of various sizes. The list goes on, but one thing they all have in common is the need to present an appealing environment to their clients/customers and not to spend precious time and resources off their busy schedules doing so. 

On average the amount payable to office cleaning companies is N40,000 for each employed cleaner/janitor. So if a 300 room hotel for instance decides to outsource its cleaning to a professional commercial cleaning business and require 10 cleaners, that means the hotel would be paying N400,000 per month for their services. The cleaning company may pay each Janitor N25,000 and thus would be making N15,000 on each employed cleaner.

Key Target Market Segments for Nigerian Office and Industrial Cleaning

I have chosen to divide the market segments for this business into two based on the scale at which you wish to operate.

Office and Small Scale commercial Cleaning Opportunities

• Restaurants including fast food, fine dining restaurants etc
• Small Hospitals/clinics
• Retail stores e.g Supermarkets, boutiques, electronic shops, car showrooms etc
• Offices e.g NGOs, Travel agencies, ICT companies,   
• Petrol Stations
• Residential buildings within an estate
• And many more

Industrial Cleaning and large scale commercial cleaning

• Airports
• Multi Storey Buildings (shopping malls, government office buildings etc)
• Factories
• Warehouses
• Event Venues
• Government owned hospitals
• Public Schools
• Big Churches
• Banks
• Telecomm operators’ offices
• Multinational companies
• Embassies
• And many more

Startup Requirements for Industrial Cleaning/Janitorial Service in Nigeria
Item	Cost
Basic Cleaning tools (Mop Buckets, Mop sticks, wipers, brooms)	N10,000
Initial Cleaning Supplies such as detergents, cleaning reagents etc	N5,000
Specialized cleaning equipment such as Vacuum cleaner, fumigation equipment,	N70,000
Rent	N600,000
Initial 6 months operating expenses (marketing, utility bills, levies etc)	N840,000
Registration and Legal expenses	N80,000
Office Supplies (stationery, cleaning supplies etc)	N60,000
Furniture
Contingency (other expenses you may not have planned for e.g emergencies, accidents	N300,000
Insurance	N120,000
Total	N2,075,000

Break Even and Payback Period for office cleaning

You can breakeven within the first 6 months if you can meet your sales target. That depends on the scale at which you’re operating though whereas payback is between 18 months to 3 years again depending on how well you manage the business and how much sales you can generate.

Do you wish to start an office cleaning business in Nigeria? I can write you a bankable business plan you can show to investors or banks to raise startup/seed capital. Just give me a call: 0803 206 4106 or email me: paulonwueme@gmail.com

How to Start Commercial Pounded Yam Production for Exports

Nigerian Business Opportunity: Pounded Yam Production and Processing for Exports to Africans Abroad

Pounded Yam is one of Nigeria’s best loved staples and even Nigerians living abroad love to enjoy this meal with a variety of local soups. Nigerians abroad are not left out in fact they are the biggest fans of local Nigerian delicacies as they don’t mind spending more to enjoy our local delicacies even while abroad. Nigerians in the diaspora have a strong emotional attachment to their motherland and miss their country and all the memories they have. The main ingredient for making commercial pounded yam flour is yam which is abundant in Nigeria grown in most of the southern and middle belt states of Nigeria. Pounded Yam can be eaten with Egusi, Ogbonno, bitter leaf soup, vegetable soup, okra and many other local soups.

The Opportunity (Local and International demand)

According to the International Institute for Tropical Agriculture (IITA, Ibadan) in a 2001 food consumption survey among Nigerian households, Yam is one of the most widely consumed staple after maize, cassava and rice although one of the most expensive. It is a major source of energy in diet of Nigerian families, doesn’t spoil quickly and also occupies a very symbolic position socio-culturally among diverse ethnic groups in Nigeria with the New Yam festival serving as a standard for assessing farming seasons and crop yield. All this points to the fact that there is high demand for it locally, however the international market is where the opportunity seems even greater and there are various reasons for this such as;

·         Low competition (Only two companies as of 2014 are into this business and they haven’t adequately captured the market).

·         High demand (Over 17 million Nigerians live abroad in over 40 countries in Europe, Asia, North America and Africa). The highest demand is from Nigerians in Holland, China, India, US, UK, Spain and South Africa.

·         High profit Margin (Up to 100% profit margin from sales)

Target Market Analysis

Total Population of Nigerians in Main Market Regions 2014 estimates is put at 10,850,000. Sources for these figures are; the deputy Nigerian Ambassador to the United States at a conference for promoting investment in Nigeria mentioned that at least 5 million Nigerians live in the US in 2013. The Guardian Newspaper on 16^th November 2014 reported the US, UK, South Africa, Europe and Asia as Nigeria’s leading overseas destinations with the US accounting for 31% followed by Europe at 21% and  South Africa with 5%. 

                                                                                                                                                   

Market Region	United States	United Kingdom	South Africa	China	Dubai	West Africa
Estimated Population	5,000,000+	3,000,000+	900,000+	850,000+	800,000+	300,000+

Sources: Nigerian Embassy in New York, Guardian Newspaper, Chinatravelguide.com, National Population Commission

·         With these figures we estimate the potential market size to be NB: I estimate 1$ = N200

Market	10,850,000
Total market Population	1,758,000
Monthly Spending Pool	$2,500
Average Household Monthly Income	$5,000
Disposable Income on Edibles	$250
Households	875,000
Estimated Potential Market Value	$32,200,000 (N6.44 billion) in sales

Startup Requirements

This business isn’t easy to start up because of the capital required to set it up which is N49,490,000 and would be used to acquire such things as machinery, rent warehouse, working capital, purchase delivery van and other expenses which are available in a detailed business plan.

Conclusion

This business is a cash cow and anyone looking to go into it should consider the challenges and threats which may cause the business to fail. The business is highly profitable but if you lack required marketing, operational and managerial knowledge you won’t be able to exploit this opportunity fully.

Need a comprehensive business plan on commercial pounded yam production or any other business plan for that matter? Give me a call: 0803 206 4106 and I’ll hook you up with a reliable business plan you can take to the bank. 

Winning Business Plans for Nigerians

The thought of having a winning business plan written for your intended Business here in Nigeria may remain elusive if you aren't chanced to hire a reputable Nigerian Business Plan writer. 

Winning Nigerian Business Plans and Testimonials

I'm honoured to share these testimonials with you on some of my completed business plans and the feedback from satisfied clients. Hopefully you'd have something to add in future to this list as I solicit your feedback from your completed jobs.
  
Here are the testimonials I’d love to share with you from some of my satisfied clients in their own words upon completing their jobs. For privacy reasons I would only give their first names with other initials only;

“I love the fact that you put in such detailed and conscientious efforts in making your business plan the ideal working document that it turned out to be, I don’t regret using your services at all”. 
Dr Dele A (Dental practitioner based in Lagos)

“I thought giving you the job was a big risk but it turned out to be worth it. I got a second opinion from a manager who has been in the field for nearly 10 years and he confirmed to me that your figures were realistic”. Mrs Juliana K (For completing a job on office cleaning)

“I showed my husband the business plan you wrote and he told me it was a well written and bankable document. He had no worries showing it to our financiers”. Mrs Ofure O (She was able to raise N5 million to set up a fruit farm in Jos)

“I was delighted to hear the good news that at last I can set up my own specialized souvenir and gifts store after the investors agreed to commit funds to buy a stake in my company.” Miss Patience, M. E (for helping her, turn her business idea into a winning business plan, she lives in Uyo).

“I needed a business plan within 2 weeks but asked if you could do it in 5 days and you said yes. This is an excellent job and I will keep you informed on my progress with my application” Miss Tina O (Applied to raise N32 million from investors for a trading company specializing in fabrics imports and exports, she lives in Abuja). 

“I don’t have much to say but thank you for doing a decent job”. Ayodeji A. (After running a successful property development company in Lagos for 8 years was looking to exploit business opportunities in the Manchester, UK hospitality industry and got his application for UK entrepreneur’s Visa approved).

“You charge a fair amount and the quality of your job is impressive, I’ll definitely use your services in future and if I know anyone who needs your services I’ll tell them about you”. Charles O. C (I wrote a proposal he sent to an NGO in Abuja and his idea was accepted).

I was able to get these testimonials because I follow up on my clients on every job and ask about their progress. Their responses form the testimonials you see in this post.

Looking to work with me? Give me a call: 0803 206 4106 and I’ll walk you through the process.  

Nigerian Business Plan and Proposal Writing Services

I render a number of services tailored to meet various customer needs;

1) Business Plan Writing
Type	Basic Business Plan		Intermediate Business Plan		Premium Business Plan
Feature
Price	N15,000 without MR or N40,000 with MR		N20,000 without MR or N50,000 with MR		N40,000 without MR or N80,000 with MR
Number of Pages	15 maximum		20 maximum		25 – 40 pages
Delivery Date	5 working days max		10 working days max		20 working days max
Graphs	Yes		Yes		Yes
Market Research (MR)	I'll do the research		I'll do the research		I'll do the research
Business  Type	Start-ups and MSME		Start-ups and SMEs only		Medium Scale Businesses
2) Proposal Writing
Type		Sales/Marketing		Partnership
Feature
Price		N10,000		N8,000
Number of  pages		15 max		10 max
Delivery Date		3 working days		3 working days
3) Business Blogging
		Business Article Writing		Web Content  Articles
Price		N4,000 per 1000 words		N2,500 per 1000 words
Suitable for		All		Internet marketing via Websites or blogs

To place your orders kindly call: 0803 206 4106                         

NB: Kindly note without MR means the client supplies the technical and market info while with MR I’ll research the market myself.                                                          

Smoothies and Fruit Juice Shop Business Plan for Nigeria

Smoothies are highly nutritious drinks which are quite in high demand from health conscious people who want great refreshment – drinks that don’t just taste nice but also but are health friendly as well. Imagine that you are a health freak and don’t want to taste one of these carbonated drinks you fear may have adverse effects on your health what do you do? My guess is if you can afford it you’ll stroll into a smoothie shop and order yourself a fruity drink.

Opportunities

There are unlimited opportunities in my opinion to market this business to a middle class and well educated population. You just have to consider a suitable location such as a stand at an upscale shopping center, business district or residential area with a large population of people who might require your services. If you situate your business in a place with 10,000 people who fit your customer profile what you need to work on is mainly awareness to this people and the rest will follow.

Product Pricing

Smoothies are quite expensive when compared to processed drinks but still affordable to your target market. Price starts from N250 per 16 oz cup to even N1000 depending on location. Your products may include; chapman, various smoothie fruit flavors, juices and even local drinks like Zobo.

Start-up Funding

Business Registration

Smoothie Maker – N15,000

Furniture – N200,000

Rent – N150,000

Utensils (cups, plates, cutlery etc) – N10,000

Fridge – N60,000

Others – N250,000

Total – N685,000

Financial Projections

At a little over 60% margin on sales your profit could be quite high but that largely depends on sales volume and overhead cost. An investment of N1,000,000 should breakeven within 6 months if you can achieve your sales target in time.

Want to have yourself a Bankable Nigerian Business Plans: written for you? Don't fail to contact  me for  details 

Professionally Written Business Plans for Nigerian Entrepreneurs

Hello dear friend,
 
My name is Paul Onwueme, a young professional business plan writer and small business enthusiast. In 2011 I relocated from Lagos to Abuja from where ever since I have been involved in sharing information and insights about starting small businesses in Nigeria through this blog and with people who have contacted me.

I studied computer science at Yaba College of Technology but soon after my NYSC I discovered a hidden talent which was not so obvious to me during my schooling days – writing compelling business plans and business writing flare. I was the one other students came to when having issues with their business plan assignments at school, it was me who professionals would ask to write a proposal on a business concept to a prospective client and even then I never thought about monetizing my talent.

I started this blog in 2009 as a business journal but remodeled it in 2011 to share business information with my audience but soon discovered that people are at a loss on what to do even after you share your business knowledge with them. They may want to know if a business idea is viable, the challenges, opportunities and even want other technical advice like what to do with unproductive staff etc.

I then refocused the theme of this blog to cover business start-up from start to finish for small business owners or intending owners and today you have the depository of more than 150 articles and tonnes of knowledge embedded within.

I worked for 2 years (February 2012 till February 2014) as social media and brand manager at an internet marketing agency where as one of my responsibilities I was required to write marketing proposals to prospective clients. I quit my Job to start my own business in February 2014 (Pio-chess ventures) - Chess in Schools, SEO Marketing and Business Writing Services.

Why work with me?

I have to my credit many completed works and some of best works are listed below;
[Updated in order of amount generated/awarded from June 2014 to June 2017]

Most Successful Projects till date

• A client who approached NEXIM for a loan facility to export ginger, she was granted a loan of N70 million in April, 2017 and has commenced exportation since June, 2017
• An outsourced job I prepared for a management consultant in which his client was awarded N55 million to setup a medium sized neighbourhood Supermarket in Abuja in late 2015
• A dental practitioner who raised over N40 million to setup a dental clinic in Lagos from a venture capital firm in 2014
• A GSM accessories importer whose store supplies most GSM accessory shops in Abuja raised additional N25 million to expand his business in 2016
• A former fast food manager who raised N16 million from an investor to setup a health focused restaurant in Lekki, Lagos
• A client who raised N13.7 million to setup a creche in Abuja in late 2016. She commenced business in March, 2017
• A client who teamed up with a former classmate of his to setup a pharmacy store in Ajah, Lagos. Amount realized N5.1 million
• My very first client raised N5 million in 2014 to setup a fruit farm in Jos and she has expanded to selling some of her produce at her own retail mart and supplying some supermarkets in Abuja 
• 2 year contract with a Dubai based business plan consultancy (2014-2016). I wrote and completed 38 business plans and 3 feasibility reports within this period.

Success Rate [Modified, June 2017]

My success rate with my clients in terms of whether they secured funding for their businesses is approximately 75% with prospective investors and 60% with banks.

How to get started Once you’re interested in using my service just give me a call: 0803 206 4106 and I’ll be happy to walk you through the process and my rates are quite affordable. You can also email me: paulonwueme@gmail.com or follow me on twitter @paulonwueme. Looking forward to working with you.

How to start a profitable Business Center in Nigeria

Business centers are booming – in the sense that they offer quick returns on investment - in many of Nigeria’s Universities, polytechnics and colleges of Education owing to the kind of environment they offer which promotes mainly photocopying of documents, printing and internet services for the teeming student population.

The Opportunity

There are at least 150 polytechnics in Nigeria and almost 120 universities with even more likely to be established in the coming years as the population of Nigeria increases plus the need to have more tertiary institutions closer to the average Nigerian. This can only mean that opportunities exist for many more business centers to be set up.

But Universities are not the only places offering opportunities to potential business center owners. You may want to take a look at shopping malls in Abuja and around very busy commercial districts to understand that many people require the services of business centers for their various official needs. I may have a laptop but not a printer or I may have documents to type but not the time to do it where else can I check for these services?

Services and Potential Income

Business centers render a number of services such as; photocopying of documents, printing, typesetting, desktop publishing, spiral binding, scanning and even internet café services. Income generated varies depending on location and price charged on services rendered but to be a little conservative we could be looking at not less than NGN 4000 per day with net profit margin at 30% of sales that could mean from photocopying alone one could make not less than NGN 36,000 per month.

Marketing Strategy

A few smart business center operators adopt very sensible marketing strategies to reach their potential customers. Imagine that you operate a business center in a very busy institution like a University or polytechnic where there are many other business center operators what can you do to outshine the competition and make sales? The strategy you adopt is what will determine whether or not you’ll make profit.

Startup Requirements

If you want to do this business on a small scale you could start with just doing photocopying services only then migrate to other related businesses as you expand.  A small space measuring 2 square meters is okay for a start and then you could look for a new location where many customers could easily find you.

Required for starting a  mini business center in Nigeria

Photocopying Machine – NGN 50,000

Chairs and Tables – NGN 10,000

A4 papers – NGN 1,000

Rent – NGN 60,000

Others – NGN 30,000

Total – NGN 151,000

Want to write a professionally acceptable business plan? Call for details: 0803 206 4106