Do you intent to start a sachet pure water production business and you really do not understand the nitty-gritty of the sachet pure water production business? This post will whet your appetite.
Pure water or sachet water has it is mostly referred to in Nigeria and Africa at large, is a very popular and important constituent of our daily life and I guess you already drank a sachet pure water today.
Millions upon millions of water are consumed daily and it can be confirmed with the increasingly litter of sachet pure water containers and nylons around.
This goes further to cement the fact that the demand is ever on the increase and very soon, the daily consumption will sky rocket into the billions.
As a very smart entrepreneur, it is worthwhile to know that the perfect line of investment is on a goods or product with a very demand overtime, and that automatically makes the sachet pure water production business one which should be held in high esteem.
Nigerians are always in demand for clean and portable water and the sachet pure water production business is the best solution so far, and if I may ask, have you not taken a sachet water today, my friend?
How to Start Sachet Pure Water Production Business in Nigeria: Full details
The question that arises next is how can one tap in to this gold mine of a business in Nigeria, well that is the purpose of this article today. So relax!
What this article tends to service is to give a full rundown and thorough overview on the steps and approaches you ought to follow to creating and sustaining your own sachet pure water production business.
But your first priority is rendering a very proper service and naturally, the money locate you, quote me anywhere.
Now let us get down to business as usual.
STEPS TO START SACHET PURE WATER PRODUCTION BUSINESS IN NIGERIA
Get a business place or location
Without a location there is no business, except it is an online business, and you will still need an offline office for the doubting Thomas.
You need to acquire a land, or rent a property that will serve as a depot, production base and office. This will give you the feel of a company and it will save you more costs in the long run. But you can also start with your own house, just a tip.
You need to acquire a property or rent a place, getting your own property and developing it is the most desirable option as that will save you cost in the long run.
This is the first point to note before starting your sachet pure water production business.
2. Register your business name and brand logo
You might want to give your sachet pure water production business a name and a complete identity.
This is important to prevent legal actions and a government penalty in the nearest future.
This will give your sachet pure water production business a special branding and identity and it is also imperative that you get a professional logo too, so as to make your product stand out among other sachet pure water production business or companies around you.
Find a clean and reliable water source
There are varying sources of clean water for your sachet pure water production business but the one I recommend is from the bore hole.
You are dealing with human lives and the least you want to do is to be dubious and unhygienic in your production system.
I will advise that you have a borehole nearby with a proper treatment facility with ease of access and function ability topmost of your list.
4. Install Overhead Tanks with an up to date Distillation System
The purpose of the overhead tank is to serve as source to store the pumped water and also as the source to serve water to the distillation unit prior to bottling and packaging.
Using of durable plastic tanks with covers and make sure the scaffolding is built properly with well casted metal to prevent accidental hazard from collapsing, and that will be a loss in your sachet pure water production business.
The distillation unit can just be made up only of simple filtration unit depending on what is affordable at start up.
But in the long run advanced filtration machines ought to be procured and the use of ultra violet UV lights should not be underestimated.
Also, a chlorination sat up should be present to add chlorine and fluorine to the water as the case may be depending on the location of the firm and if the above elements are deficient.
Then ultimately, the water should always be tested in a laboratory.
Get NAFDAC Approval
Any sachet pure water production business has to do with health and the incident of disease outbreak and epidemic is high.
You have to register with the national bode to prevent future problems as they are in charge of supervising all food and drugs in Nigeria.
You actually need their approval to function properly.
6. Acquire Automatic Sealing Machine
Automatic sealing machine cost between N400,000 to a Million Naira.
Go for the ones that seals or produces about 40 sachets per minute.
You will need minimum of five persons to work in your factory for a start then increase with time as the demand may be.
You definitely need a means for transportation and delivering on your supplies.
Mobility is of essence in your sachet pure water production business and you need to make provisions for it too.
You Buy a truck or pick up van for your distribution or rent but renting can be expensive and disappointing most of the times.
My recommendation is that you buy your own truck if you can afford it at the beginning.
Get Power Generation
As you are aware of the pitiable and dismal power provision in the country, you might have to take matters into your own hands to supply your production unit with steady power supply.
You will need a standby power generating set, and 25KVA will be just perfect for the job, to get your sachet pure water production business in the right direction.
SIMPLE ANALOGY BEHIND SACHET PURE WATER PRODUCTION BUSINESS
With all these in place, you are good to go!
For a startup and depending on what you already have like land and other things, you may need up to five million naira for a start up in order to get the following equipment which are essential for your sachet pure water production business sealing machines, nylon and other materials, and pay for labor for about some months before it begin to yield profits.
Your cost could be higher if you are also paying for rent and hiring trucks.
Assuming you have only one Automatic sealing machine that produces your sachet water and you can afford to have only one delivery van that distribute your products.
One automatic machine (at 100% utilization) Capacity: 40 sachets per minute i.e. 2,400 sachets in 1hour which is equivalent to 120bags in 1 hour.
Let’s conclude that; on the average, you produce 100 bags in 1hour, and assuming you was able to work for 4hours in a day. I.e. one machine producing 400 bags of pure water in a day.
(Sincerely, an average sachet water factory in Nigeria today produces between 700 bags to 800 bags per machine in a day) so it all depends on you.
Still based on our assumption of 400 bags in a day and a bag is being sold between N70 and N80.
So let’s also assume N70 per bag; 400 bags x N70 per bag = N28, 000 per day. N28, 000 x 28 working days in a month = N784, 000 per month. Wait and see; N784, 000 x 12 months in a year, = N9, 408,000
Now that is a whole lot of revenue from sachet pure water production business
REASONS TO ENGAGE IN SACHET PURE WATER PRODUCTION BUSINESS
- Government has failed to provide the basic drinking water need of every household in Nigeria. So, everyone make provision for themselves and buying pure sachet water is one of the most reasonable option.
- The more the population increases, the more the need for people to drink water, and the more the demand for the product of sachet water.
- There is not going to be a day, people will stop drinking water. In fact, it is one of the most essential consumable product and the most consumed natural resources on earth.
- Sachet water currently has no close or partially close substitute in Nigeria where the majorities are poor to depend on bottled water which is more expensive.
- One can never run out of customers to supply to. The more the producers, the more the consumers of sachet water.
- The popularity of sachet water is growing on alarming rates even in towns and villages across Nigeria.
- At five naira for a sachet, pure water is very cheap and affordable to buy even by the poorest man on earth and this is the sweetest part of the sachet pure water production business.
- There is really no distinction between the consumers, it is widely acceptable to the rich and the poor, and is used for events and parties.
- Consumption of sachet water is not restricted by any law or religious belief unlike alcohol or some other drinking products and has no side effects.
- There is ready made market for the product. All you need is just produce, it is one of the product out there that requires no much marketing to get the product accepted as it is already accepted by nature.
- The payback period for the investment into the business is less than six months. Its one business you confidently get loan to do start with 100% assurance that the business would pay.
- The return on Investment (ROI) is more than 50% and it is subject to increase on expansion of the business.
- It requires little or no periodical acquisition of raw materials for production; water is a free gift of nature.
The sachet pure water production business is one that is very profitable and it is ideal to put it in mind when you are seeking for the business to invest in.
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