4 Tips to Start Cement Warehouse Distribution Business

Cement Warehouse Distribution Business: Distributors serve to move product from manufacturer to market.

Some are retail distributors, who sell directly to consumers (end users).

Others are known as merchant wholesale distributors.

They buy products from the manufacturer, or another source.

Then move them from their warehouses to companies.

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That either want to resell the products to end users or use them in their own operations.

Business in today’s society is like the game of Monopoly.

The more you have, the more you can sell, and the more money you can make.

Wholesaling is an age-old fundamental business.

It is also a very competitive market, but with the right scheme and resources, one can do exceptionally well.

You can choose to start as a distributor.

This would cost you a lot more money.

And would also mean that you have to register with Lafarge, Dangote.

Or any of the other cement manufacturers in Nigeria.

Some of the requirements for registration include;

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  • Certificate of Incorporation
  • Letter of Application
  • Bank Reference Letter
  • Passport Photographs of the company’s director and the company representatives.
  • Capital to buy at least 600 bags of cement for a start.
Cement Warehouse Distribution Business: BusinessHAB.com
Cement Warehouse Distribution Business

Cement Warehouse Distribution Business

1. Get the business idea

Like most startups, the average wholesale distributor.

Will need to be in business two to five years to be profitable.

There are exceptions, of course.

Take, for example, the ambitious entrepreneur who sets up his garage as a warehouse to stock small hand tools.

Using his own vehicle and relying on the low overhead that his home provides.

He could conceivably start making money within six to 12 months.

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Cement Warehouse Distribution Business

2. Set up a Warehouse/ Store-:

You would need somewhere to keep your cement in order to prevent theft or damage therefore.

You need to look for a warehouse or store for preserving your products.

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Cement Warehouse Distribution Business

3. Get a Vehicle-:

You might also need a vehicle for supplying and distributing your products.

Because not every customer that buys from you would own a vehicle.

To attract more customers, you would need a vehicle to transport the cement to where it is needed after purchase.

You would also find the vehicle very useful when you need to re-stock as well.

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Cement Warehouse Distribution Business

4. Source for Clients-:

If you have taken time to conduct proper research and chosen a good location for your business.

You won’t have troubles getting customers to patronize.

However, you can still consider doing a bit of marketing.

You should focus on companies that make regular use of cement like building contractors and construction companies.

You should also not neglect building block manufacturers because they make use of cement in manufacturing blocks.

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Individual builders also purchase cement for their house building projects as well.

When running cement business, ensure that you pay special attention to inflation in prices.

This is because prices of cement are never stable and change from time to time.

So, it is important that you don’t hold too much stock at a time to avoid losing your money.

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