To start a Point-of-Sale (POS) business in Nigeria is more of a good idea. It can help you to gain more income if you own a shop or you just want to start it as a small business. POS business in Nigeria serves as a way to make it easier for a wide range of customers to get what they need. due to lack of ATMS demand meet in some certain areas.
As of now in Nigeria, you can find POS shop in most street. With the help of POS shops users can do a wide variety of financial transactions. That is why POS has grown into a popular and profitable industry in Nigeria. It makes people eager to join the business.
POS Business in Nigeria
Agent banking system (also known as POS) was implemented by the Central Bank of Nigeria in 2013. Since than the Point of sale (POS) was kept on growing. The Pos Business of help to banks and has been of good benefit to them. However, this is because it serves as a solution to address issue faced in Banks.
POS shops are closer in terms of location a can easily to access within your streets. It helps out to avoid queues, intermittent network, or even reloading od cash at ATMs. Nevertheless, users can get funds at a low cost from a POS shop. People have high demand of need of a POS store, theses set of people includes everyone who has a bank account and regularly makes financial transactions.
How Much do I Need to Start a POS Business
The amount you need to start a POS business is not fixed. The plans you have toward the business will determine how much money you need to start your business. You can start a POS Business with ₦50,000 and above.
However, just like mentioned above the amount you need for two to three is way different one POS. well, there are banks and fintech companies give out free POS machine to merchants. But you will have to need their requirement to be eligible.
How to Start POS Business in Nigeria
In just some few steps you will have all the information you need on how to start a POS business in Nigeria. Here are the steps you need:
- Meet the Requirements
- Visit your preferred financial institution
- Get a POS Machine
- Fine an Economically valuable Location
Those are the thing you need to start your POS business. Each steps are explained in detail below.
Meet the Requirements
There are some certain thins required of you by the Central Bank of Nigeria to become an agent to protect the public from dishonesty in the highly scrutinized financial services industry. They are some requirements you need to meet, like an existing business (running for at least a year). You also need a physical location from which to do business.
Document Needed for a POS Business
Here are the Document:
- Valid means of identification, e.g., national ID card, driver’s license, international passport, or voter’s card.
- Bank Verification Number (BVN)
- Two (2) passport photographs
- Two (2) current account references
- Evidence of business registration (CAC Certificate)
- Tax Identification Number (TIN)
- Memorandum and Article of Association.
- Credit Bureau Report
- A minimum working capital of ₦50,000
That is basically the first thing you need do consider.
Visit your preferred financial institution
yes, almost all banks in Nigeria accepts transactions made via agents. Once you have the amount of money you need for the Pos business, the next things you have to do Is contact the financial institution and learn about their requirements. However, you need to present specific documentation and prove to show you have a business bank account for direct deposits.
Where to Get POS in Nigeria
These are some of the financial institutions and mobile money providers you can get pos from, there are listed below:
- Paga Opay POS Agency
- Zenith bank
- Access Closa Agency
- UBA Monie POS agency
- Monie Point POS
- Nomba (formerly Kudi) bank
- Polaris bank
- First Monie POS Agency
- Wema bank
Those are financial and mobile money provider you can get POS from.
Get a POS Machine
If you are looking for where to get a free Pos device from are commercial banks. All you have to do is visit to bank in person then complete the necessary paperwork. The price of the POS machine’s vary on the vendor or financial institution you choose to do business with. There is not a fixed price for POS machines. The main prices you can see are between ₦45,000 to ₦200,000 in exceptional cases.
The cost of the machine is determined by its various features and technical specifications. This include the device’s specs is its network support. While some machines are 4G-ready, others only support 2G and 3G. Of course, the former will cost more than the latter.
Fine an Economically Valuable Location
Where you are location is very important for all kind of business as well as POS. Places like markets, bustling streets, retail malls, event centers, and other public venues. Moreover, places that people interact with day to day is a good option when it comes to location for POS business. Once you have a nice spot that is not-confine for you and your customers
Yes, it is ok to start a point of sale (POS) business. The major thing you need is just to meet the requirement of the financial institute or mobile money operators that want to offer you the Machine. Then acquire a nice location to carry out your Pos business transaction process.