BusinessHABBlock making business : How to Start Blocks Molding Business? Starting a block making business is not child‘s play, so you need a considerate amount of capital to kick-started.
Disregard the usual perception that capital is not the utmost element of block making business startup, in this country, it is.
But is that to discourage you from making headway in the block making business?
Oh no! you can start, according to my research and personal experience, with as low as N700, 000 although emerging realities has shown that depending on location.
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This amount may be too limited.
Yet, it is enough to get you off the ground as you set out into the block making business line.
So, in this paper, I will be discussing, exclusively.
How you can start block making business with even that capital at your disposal and equally make it big in the line.
Let us begin the discussion proper.
The Block Making Business: A viable Industry for you.
In this step-by-step article, I will be showing you how to start and make good money from block making business.
In Nigeria, today, the block industry or block making business is undoubted.
One of the most fruitful businesses with the capacity to pull in quality income for the entrepreneur.
This cannot be unrelated to the ever-increasing demand for housing, posed by an exploding population growth.
The result, therefore, is increased need for new or reformation of existing buildings, homes, mosques, churches, shops, malls etc.
The block making industry, of course, is the almost immediate remedy to the situation.
Providing an opportunity for people with the foresight to make good returns by investing in block making.
You can be a successful businessman in the block making business.
You may also not be. everything boils down to your capacity to use your eyes and brains, strategic accurately.
And plan against failure as much as possible.
With this guide, you have just taken a great leap to success.
Basic Steps to Starting a Block Making Business
1. Survey Your Locality/Environment.
The block making business is unlike the biscuit business which you can site just anywhere.
Before you begin your block making business.
Make a survey of the region, locality or environment you intend setting up your business and find out the following;
- Is there a high demand for blocks in this area? that also answers the question:
- are people building in this area and will people build in this area in the nearest future?
- if your answer is in the affirmative.
- Then you may proceed to start your block making business.
- If no, then you move on to the next stage.
Is the cost of transporting my blocks around the vicinity high? if your answer is in the affirmative, then you may proceed to start your block making business.
If no, then you move on to the next stage.
2. Be well grounded in Block Making Business
This particular step is very important.
That you own the block making business does not mean you must be involved directly in the mixing and laying process.
However, it is very important that you have a balanced technical know-how of what happens from production to delivery of your blocks.
This is very important to ensure efficiency of your products and continued customer patronage.
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3. Choose a Suitable Site to establish your business
Register your business with the Corporate Affairs Commission of Nigeria (CAC) to make it legal and authentic.
This would also give your business a suitable brand name and making have a touch of class.
4. Start-up capital:
This includes capital for purchasing equipment, business registration, land purchase/leasing, payment of workers, miscellaneous etc.
For example, you would need to get the following facilities and equipment ready to kickstart your block making business:
Block Making Equipment
- Concrete mixer
- Truck
- Block Moulding Machine
- hand tools such as trowels, shovels, Head pans etc.
- Wooden palette
- Storage Shed
You also need to employ trained and able-bodied staff to help you in the business.
To wrap up this section, let me state that block making business.
Just like any other business needs time to grow.
The money may take some time before rolling in in the first few months.
As such, it is your duty to always as much as possible.
Seek good information, advertise and market your business.
Keep your standard high as much as possible.
And make good of high-quality materials in the production of your block.
With these few points, you can make headway in the block making industry.
Let me now digress to the main item of the day or the follow-up section of this article.
Which is how to make money from block making business.
Block Making Business: Production Cost and Profit Analysis:
It is estimated that on the average, a bag of cement together with sand can produce about fifty-five units of 6′ blocks and forty units of 9‘ blocks respectively.
Based on location, a unit of 6′ block goes for N120 while a unit of 9′ block sells for about N140 – N160.
Now,
If one bag of cement which goes for N1800 yields 55 bags of cement, on the average, utilizing twelve (12) bags of cement a day gives us 12 * 55 equals to 660 blocks.
Now, at a cost of N120 per 6′ block, with 660 blocks, you can make a sale of N120 * 660 giving rise to N79,200.
Now, let’s bring in other factors.
Let’s say pay per N800 per bag of cement worked, that translates to N9600 for the 12 bags worked per day.
It is normal to pay labor meal and say you pay N800 per day, that keeps the cost of a meal at N800/day.
Additionally, let’s say you require 6 drums of water to mix the blocks priced at N500 per drum, so that translates to N3000
Cement expended is valued at (12 * N1800), giving N21, 600.
Sand Expended is valued at N23, 000.
Transportation expenditure valued at N10 per block carried/transported, giving you N6600.
Now, your total or grand expenditure would be N64, 600.
We can now see that the net profit is N14, 600.
for 30 days, that would be N14, 600 * 30, giving you N438, 000.
Your profit keeps accumulating if other odds are down and you multiply your block making business centers.
Conclusion
Keying into the block making business is highly recommended.
You can make huge money from the business if you plan it well. additionally, you need to consider the risk factors inherent in block making business.
These included rainfall, breakages, theft, miscellaneous costs, debt, and trust.
Your ability to continually put smiles on the face of your customers would help your business in so many ways.
If you need a complete business plan or you want us to help you set up this business, kindly contact us.
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