A provision store is a retail outlet where goods such as food items and other consumer goods are sold. It is one of the lucrative businesses you can engage in out there and make you some money. It involves the game of buying in bulk, that is at wholesale and sell at a retail price which is a bit higher compared to the wholesale price you bought the goods at.
What you need to start a successful provision store business is just a good location and customer relation and you will be successful. Follow the easy steps below to start your provision store here in Nigeria.
1. Do your research and plan
Research is very important in starting this business. You need to know how competitive it is to start this super-market business. You can’t open a provision store in an area where a lot of them exist except of course if you have your own unique way to attract customers.
You also need to research and decide the goods you will sell and their wholesale price and associated retail price so you will know if you are okay with the profit margin.
After that, decide on how big you need your shop to be and the amount you will need. After all these and other research you have done, write out your business plan.
2. Getting the shop and equipment
The next step is getting a store. It should be in a populated area where you know people are interested in the goods you are interested in selling.
After getting the store, get a carpenter to construct shelves, tables and chairs you will need. Made sure he uses quality wood to save you the problem of replacement in the future.
3. Buying your goods
The success of your business depends on how much you buy your goods. You have to research well on the goods that will help make profit for the store and locate the market where you can get these goods as a relatively cheap price.
Needless to say, you are buying in wholesale and not at a retail price and as such, you are assured of a profit if you had done your research well.
4. Record Keeping
You need to keep record. Record of everything from what you buy, to what you sell, down to how much you spent out of the money and how much you are investing or reinvesting.
With this, you will know if you are making profit or not and from the record, be able to tweak the part of the provision store business that is not working.