₦airaland Forum

Hello guys, thank you for your contributions in advance.

My current job takes me on frequent travels across states in the southwest, north central, and north eastern regions of the country, and I bearly spend more than 3 months in a state. Considering 1. God's constant safety on the journeys, 2. the age that is mercilessly pounding on, and 3. my company obviously struggling to stay afloat, which is making the pay less sustaining, it is necessary for me to establish something I can fall back to in a near future, particularly for support and sustainance.

So, I have decide to open a shop and start selling some phone accessories and portable rechargeable devices, and the show has been running since February this year, in Ibadan.

All expense that started the business can be put together at 6M. This included: 1. Rent, 2. money spent on modifying the shop to specifically improve security of the goods 3. money spent on good supply including the good supplied by my homeboy and brother, on credit to boost my young business 4. tax and dues 5. one staff 25k/month. The one staff is a trusted family (my niece, a fresh graduate). She actually got involved in the all plan accidentally. When I realized that I will need a staff, I put out an advert, and find out that the least I can pay a staff in my area is 45k. I was gisting my sister at her place and this girl just cut into our talk and offered she will move over to my place and start running the shop while still planning her career move. In short she'll only need enough to cover here basic expenses which she also estimated at 25k/month. Well, with her parents approval, she's been running the shop since May.

So to the main part where I need opinions: I have some little training on the business and I have reduced my prices as much as possible to gain traction in the business, which is also competitive in my area. I have restock twice with the fund solely from the business. I have also been doing my calculations on monthly basis and I am not taking any money from the business yet. After all expenses (stated earlier on monthly basis) I have been getting between 50 - 60k per month. As an experienced business man/woman, please, how can you say this is going?

Poor?
Just okay?
Good?
Great?

Business differs and so is the profit on them . I really don't know anything about phone accessories biz so I may not be able to give accurate answer but some business owners makes more than that monthly with 1m or less sef

That's 1% monthly or 12% yearly. Without reinvesting or compounding.

Same thing you will get from most of these fintech apps that use your money to buy Tbills or give out loans.

If you are okay with such returns, putting your money in the money market is less stressful.

If you are not okay with such returns, you need to more than triple your hustle.

It's a shame you are earning petty from your invested huge sum.

I am really confused. As much as there is no loss so far, I actually feel like the return is quite smaller than what I have anticipated. I don't know if I can say the sales in moving at any good rate too. But I am certain that there are no loss to any theft or fraud yet. I actually have the opportunity to liquidate the business and get my capital back anytime from now, particularly, when the rent expire. But I am not sure if that is the right decision to take. Especially when considering that this goods may actually be holding some value on the money... I really need more expert advise😢

Tollyton:
Business differs and so is the profit on them . I really don't know anything about phone accessories biz so I may not be able to give accurate answer but some business owners makes more than that monthly with 1m or less sef

XaToXi:
That's 1% monthly or 12% yearly. Without reinvesting or compounding.

Same thing you will get from most of these fintech apps that use your money to buy Tbills or give out loans.

If you are okay with such returns, putting your money in the money market is less stressful.

If you are not okay with such returns, you need to more than triple your hustle.

The business is still young.

The fact that you are even making anything at this point means that it is profitable.

Continue to reinvest and the return will continue to grow.

McLizbae:
I am really confused. As much as there is no loss so far, I actually feel like the return is quite smaller than what I have anticipated. I don't know if I can say the sales in moving at any good rate too. But I am certain that there are no loss to any theft or fraud yet. I actually have the opportunity to liquidate the business and get my capital back anytime from now, particularly, when the rent expire. But I am not sure if that is the right decision to take. Especially when considering that this goods may actually be holding some value on the money... I really need more expert advise😢

Thank you so much for this valuable words of encouragement.

ATTAHDYE:
The business is still young.

The fact that you are even making anything at this point means that it is profitable.

Continue to reinvest and the return will continue to grow.

Like some rightly stated, businesses varies and so do their ROI.
But 50-60k monthly on a 6million setup is terrible, even if you are just starting up.

Not to derail and not to promote anything (and no, I won't be saying the business), but I know of a business that only took 2million, and it is raking in 1-2m monthly in gross profit.

The return on investment is not only poor but suicidal(business collapse is not far).
There are a lot surrounding businesses that a family member is in charge but I won't go into that.

I will advise you recoup all your money since you stated above it is possible to recoup all the 6m naira and close down the business,then invest in VFD Microfinance Bank at 23% a year Roi, you may also use Moniepoint Microfinance Bank and get 18% ROI upfront for a 9 Months fixed deposit, another is StanbicIbtc mutual fund at 17.5% which compounds your interest quarterly.

If you also want to invest in Tricycle (Keke), you will put down 4m to get 2m profit in 15months or invest 7m to get 11m in 12months without you bothering about its daily activities because it will be managed by a popular company.

Buying gold and keeping for few years to resell is another money spinner.


In all you do, remember inflation is real and you need to think of investment that yields high returns.

There are still more but let me stop here.[qqquote author=McLizbae post=137208122]I am really confused. As much as there is no loss so far, I actually feel like the return is quite smaller than what I have anticipated. I don't know if I can say the sales in moving at any good rate too. But I am certain that there are no loss to any theft or fraud yet. I actually have the opportunity to liquidate the business and get my capital back anytime from now, particularly, when the rent expire. But I am not sure if that is the right decision to take. Especially when considering that this goods may actually be holding some value on the money... I really need more expert advise😢[/quote]

Thank you so much. I have learned my lesson from the money investment with access management institutions. The progressive loss in value of naira is the major risk with this systems. Even though the money keeps increasing, the value is truly not. I like the Keke business you added. Can you please suggest such a company that can manage it, because I dare not enter into that in person again!

PS: I think the staff (my niece) is doing a great job. I am certain that the stocks and sales are accurate based on my frequent audits. Except for supernatural doings, I can confidently say the family in charge here is actually doing very well at her station. If I had taken an outsider staff, I may not be getting what I even get so far, considering higher pay that will go into the staff salary before we start dealing with possible theft and fraud.

ADVERTBOARD:
The return on investment is not only poor but suicidal(business collapse is not far).
There are a lot surrounding businesses that a family member is in charge but I won't go into that.

I will advise you recoup all your money since you stated above it is possible to recoup all the 6m naira and close down the business,then invest in VFD Microfinance Bank at 23% a year Roi, you may also use Moniepoint Microfinance Bank and get 18% ROI upfront for a 9 Months fixed deposit, another is StanbicIbtc mutual fund at 17.5% which compounds your interest quarterly.

If you also want to invest in Tricycle (Keke), you will put down 4m to get 2m profit in 15months or invest 7m to get 11m in 12months without you bothering about its daily activities because it will be managed by a popular company.

Buying gold and keeping for few years to resell is another money spinner.


In all you do, remember inflation is real and you need to think of investment that yields high returns.

There are still more but let me stop here.[qqquote author=McLizbae post=137208122]I am really confused. As much as there is no loss so far, I actually feel like the return is quite smaller than what I have anticipated. I don't know if I can say the sales in moving at any good rate too. But I am certain that there are no loss to any theft or fraud yet. I actually have the opportunity to liquidate the business and get my capital back anytime from now, particularly, when the rent expire. But I am not sure if that is the right decision to take. Especially when considering that this goods may actually be holding some value on the money... I really need more expert advise😢

Enviable transport company chaired by Obi Cubana is one of such companies.

McLizbae:
Thank you so much. I have learned my lesson from the money investment with access management institutions. The progressive loss in value of naira is the major risk with this systems. Even though the money keeps increasing, the value is truly not. I like the Keke business you added. Can you please suggest such a company that can manage it, because I dear not entire into that in person again!

Do they have online services or outlets in the SW?

ADVERTBOARD:
Enviable transport company chaired by Obi Cubana is one of such companies.

They are dominant in the South West and they have online services. Look for Enviable transport on google

McLizbae:
Do they have online services or outlets in the SW?

Yes the 50-60k for now is ok and then try and put in value i.e (make your products are original and the cost of selling it should be fair) in the biz cos it is value that sustain biz.

Thank you!

Joelsunnys:
Yes the 50-60k for now is ok and then try and put in value i.e (make your products are original and the cost of selling it should be fair) in the biz cos it is value that sustain biz.

ADVERTBOARD:
Enviable transport company chaired by Obi Cubana is one of such companies.

Have you actually done business with this company or are you rexommending them based on what you saw on social media?