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Guide on How to start a POS Business in Nigeria

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In this article, we will explain a detailed Guide on how to start a POS Business in Nigeria. Steps, guidelines, requirements, and all you need to know about starting a POS business anywhere in Nigeria. If you are young, enterprising, and looking for ways to make money, start a POS business. POS business is another way to make money in Nigeria. It’s profitable in areas and communities where banks and  ATMs are not enough to serve the financial needs of the people.

POS operators are not employed by the banks, they ack as an agent. POS business is a new kind of business created by the commercial institution to decongest the banking hall while empowering people. POS business owners deliver banking services on behalf of the bank and in return get paid on commission.

POS Services, like any other business, involves proper planning, preparation, capital, location, and the business environment. If you have been looking for how to start a POS business in Nigeria, this article will give you a detailed guide to start.

What is a (POS)?

POS refers to as a Point of Sale, it is a way where cardholder makes payment with their credit card instead of always carry cash around. Point of Sale refers to the place where a customer executes the payment for goods or services and where sales taxes may become payable. It can be in a store, where POS terminals and systems are used to process card payments or a virtual sales point such as a computer or mobile electronic device.

How to start a POS Business in Nigeria

1. GET A SHOP

No matter the size of the business, whether small or large you need a station, you need a place that people can locate you to transact business. So the first step in starting a POS business in Nigeria is to get a shop in a good location. POS business does not require large space, a small place is just enough. You can rent s space, a kiosk, or use your house just make sure people are able to locate you to do transactions.

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2. LOCATION

Location is another important part in starting a POS business. You need to carefully select a location. The location of your business will either increase the profitability of your business or reduce it; and location also play a very vital role in business by increase your customer base; which will in turn increase your profit. The location you chose should be well accessible to intending customers.

3. PROMOTION

Well, not all businesses requires advert and promotion; your POS shop or kiosk should be well decorated with banners and materials that will show the services you render.

Services you can render as a POS operator

• Cash deposit and withdrawal
• Funds transfer services (local money value transfer)
• Bill payment (taxes, utilities, tenement rates, subscriptions, etc.)
• Cash disbursement and cash repayment of loans
• Agent mobile payments/banking services. And many more.

3. CAPITAL

You need capital to start any business no matter the size of the business. Capital is the life wire of your business. To start a POS business, you need about N50,000 or more at hand for withdrawal and payment.

4. ACQUIRE THE POS MACHINE

You can get a POS machine through a bank or an agent; if you intend to work with a bank, you must operate a corporate account with the bank while in some bank, you must have a current account. The problem with working with banks is that must banks will give you monthly targets to meet. Some banks that issue POS include GTbank, Access Bank, Zenith Bank, Ecobank, First Bank, etc.

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You can also get a POS machine through some agents

List of Point of Sale Companies in Nigeria

  • Interswitch
  • Quickteller
  • Paga
  • Branpos
  • Pocketmonie
  • Firstmonie
  • Opay
  • Paycentre
  • Nexgo Pos
  • Citiserve, etc.

Areas where you can set up a POS Business.

• Rural Areas where there are no banks or ATM points
• Near school especially university campus
• In a populated market place

Conclusion: Starting a POS business can make you the boss of your own instead of looking for a job that is never available. You can make up to 80,000 to 100,000 thousand naira every month in profit if well managed. If you are an entrepreneur and looking for a new way to earn money, you might want to look into starting a POS business.

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