Building Materials Business: How to Start

Thompson building material: Today,  I shall be considering Building Material Business.

I shall be considering Building Materials Business in Nigeria:

How to Start.  I will be looking at the cost effectiveness of starting building materials shop in Nigeria.

I will also touch on the profitability of starting building materials business in Nigeria.

Also to be considered are viable locations where this business can be located.

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Lastly, I will look at hurdles involved in setting up and running this business.

There are many kinds of building material businesses in Nigeria.

You can decide to run this business singly by selling a specific kind of business .

Or go for a multi-building material businesses.

Here, you can sell a combination of building materials.

 What Is Building Materials?

To have searched for this information, I believe you already know what building materials are.

So, please spare me that energy of going over that again.

But for emphasis’ sake, cement, granite, gravels,  constitute building materials.

Building materials also include steel rods, nails, wood, iron, marble, etc.

Quickly, you have to understand that building material business is capital intensive.

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Building material business’s risk factor has more to do with the safety of projects and workers.

It is just as building itself.

With this sundry information, therefore, let us get into details.

Let us now consider how to start building materials business in Nigeria.

You can  always refer to other sections of this website for information on other kinds of businesses.

How to start building material businesses in Nigeria

As you formulate your building material business plan, you would more often than not try to answer this question” “what are those things which i need to do so as to begin a building material business?”

The fortunate thing is that you stumbled on this information which will take you through.

Building Material Business in Nigeria: How to Start?

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Building Materials BusinessBuilding Materials Business

(1) Formulate a Workable Building Materials Business Plan

Firstly,  you have to conduct a feasibility study.

This comes prior to the formulation of a building material businesses plan.

It target the specifics of the building material business you wish to establish.

Some of the important elements here would be an analysis of the competition pattern.

These would also serve as your competitors’ supply base.

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With this, you would be able to have a foresight of preventable hurdles in your chosen line of business, prior to taking your business live!

The business plan therefore finalizes or concretizes your business prospects and streamlines the order it should follow.

It includes an outline of your aims and objective – short-term, medium-term and long-term – as well as the tactics and measures you would adopt in meeting these milestones.

It is still in this your business plan that you would state the takeoff cost of your building material business

. Also inclusive are a detailed explanation of your market.

Also, identify likely supply lines and clients.

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(2) Building Materials Business: Implement Your Business Plan

Now, your building material business plan has been set.

It is now time to switch over to the implementation phase.

You would begin with the procurement of resources needed to run the business.

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(3) Source Funds For Your Building Materials Business

Of course, this is the beacon stone of the business plan you developed.

This business plan of yours will enable you to attract investors or support.

Of course, it helps where you cannot source for funds on your own, .

You may even need to approach the banks for aid.

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You may also consider other financial institutions.

Also get funds from together with individuals (friends, relatives, colleagues).

Seek for financial assistance to kick start your building material business.

Of course, they would like you to enter into deals with them.

But understand that they would like to become c0-owners of the business.

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(4)Building Materials Business:  Employ Manpower

You may have to employ hands to help you manage the business.

Also get together a team of management so as to run the business effectively.

It depends on the level you wish to take the business to.

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(a) Building Materials Business: Cement

you can profit from cement sales. First enlist in the cement distribution chain.

Buy cement directly from the major importers.

Alternatively, buy from manufacturers and sell it off as a major dealer.

Also, you act as a retailer. resell the cement to contractors and home builders directly.

Want to market cement effectively?

You need to secure a sizable warehouse or store to house your goods.

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this depends on the quantity of cement you wish to sale.

Ensure that your product is carefully sealed.

Get them waterproofed so as to avoid damage.

This comes from exposure to moisture.

Have a good knowledge of the many brands of cement.

This helps you have stock to serve builders’ interests.

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(b)Building Materials Business: Timber

You intend going into the timber business?

then you could do it in a number of ways. firstly, you could harvest/fell trees.

Thereafter, convert it to timber.

You would have to get a government license or permit.

This is to avoid indiscriminate felling/logging of woods.

This nonetheless which could result to environmental degradation.

Alternatively, you could purchase woods from loggers.

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Then, convert them into timber.

For this to be feasible, you would have to make significant investments in machinery.

You also invest in labor, experienced enough in the arts of wood management.

Get people good at techniques of wood treatment, seasoning and curing.

This would curtail wood damage caused by insects and moisture.

The third option is to buy processed wood or timber.

Resale same in your building materials shop.

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There are about two ways you can make money from an aggregate business.

In the first sense, you can make money by mining or quarrying aggregates. this is highly capital-intensive.

It needs a significantly large earth-moving equipment.

You also need the machines, and conveyors.

Such machines are designed specifically for breaking and separating different sizes of aggregates.

You can act as an entrepreneur.

In this case, you buy aggregates from the quarry.

Then, resell same to builders directly.

This can be done either in smaller sizes or truck loads.

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the roofing materials sector is also worthy of mention.

This engulfs residential roofing and Industrial roofing.

We also have commercial roofing,  Institutional roofing etc..

Also, worthy of note is the plumbing industry.

Most of the plumbing materials sold to local markets in Nigeria are locally manufactured.

Some are imported from outside the country.

You can take advantage of this sector as consumers’ taste vary greatly.

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Also invest in the metal and steel products industry as well.

Additionally, try out the electrical materials and accessories, glass and paints.

The building materials business is a lucrative business.

Indeed, the products and materials are hot-selling.

This is due to the wide market that exists in the construction Industry.

Same applies to the Nigeria building materials market.

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You can make huge returns on investment in this sector. this to a large extent depends on your location.

Your home, and contractors’ preference also contribute. the types of building materials needed are also key determinants.

You should learn about the building materials on the ground.

Do this before you decide on the specific one you wish to invest in.

If you need a complete business plan, we can set up one for you.

If you  want us to help you set up this business, kindly contact us.

If you need a complete business plan, please let us know.

Or, you want us to help you set up this business, kindly contact us.

Otherwise, Please check out these other business ideas.

1 comment
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