After reading this article, you will know how to set up a successful okrika business in Nigeria. You will learn about the startup costs for an okrika business in Nigeria, if it will be profitable, whether a business plan is necessary, and other essential information in this post. No matter your ethnicity or level of education, anyone can manage an Okrika business in Nigeria.
Firstly, the English name for “okrika” is second-hand clothing. In this tokunbo business, knowing how to market and boost revenues is crucial. Additionally, you must be able to draw in and keep consumers for your firm. According to what I’ve learned so far in this industry, you need to know where to acquire your okrika items for the best deals in order to sell and profit from them, whether they are clothes, shoes, electronics, vehicles, or anything else.
Depending on the type of okrika business, you may be able to purchase your clothing from Cotonou in bales if it is okrika clothing. Other okrika products, including electronics and automobiles, are, however, primarily imported into Nigeria from other Western nations. If you are truly committed to this venture and don’t want to leave the country or handle the importation of the goods, you can simply purchase your okrika from one of the many well-known okrika markets in Lagos, including Oshodi, Katangua, Tejuosho, Badagry, Balogun, Yaba, Aswani, and more.
CAPITAL REQUIRED TO START AN OKRIKA BUSINESS
To start an okrika business in Nigeria, you may use any money up to N10,000. The majority of Okrika clothing and footwear is sold by bale (weight) and quality. The cost of the commodities increases proportionally to their weight and quality, both of which are increased by weight. You can establish an okrika business in your neighbourhood selling children’s clothing, socks or pants with a minimal investment of N10,000.
The more money you invest in okrika, the more money you’ll make from the company. But becoming a millionaire takes more than a day, a week, or a month. It comes with tenacity, patience, and ongoing business learning.
HOW TO START OKRIKA BUSINESS IN NIGERIA
The following are the steps for starting a successful okrika business in Nigeria.
STEP 1: CONDUCT YOUR MARKET ANALYSIS
In Nigeria, this is the initial stage in launching any business. You must conduct your research. You must ascertain whether the industry in which you intend to operate is lucrative in your neighbourhood. If so, which specific variety of okrika is profitable there? Is it used footwear, used gadgets, or used clothing? If it’s clothing, do baby outfits or adult clothes sell better there?
What is the local population’s mean annual income? What is the local population’s standard of living like? Can these individuals afford premium okrika? Before you can fully enter the business, you need to inquire about and learn all of this. You will continue to lose money in the business if you don’t do all of these things.
STEP 2: CREATE A BUSINESS PLAN
Many Nigerians frequently enquire as to whether or not they must create a business plan for their okrika enterprise. They want to know if everything was worthwhile from the beginning. I will concede that not all types of businesses require a business strategy. A business strategy for okrika is only necessary if you are entering the market on a substantial basis.
The amount of money you invest in a business defines its scale—small, medium, or enormous. A business plan is required if you plan to invest more than N500,000 in your okrika business. If you don’t know how to develop a business plan, you can learn how to do so by consulting internet guidelines, but if you’d rather avoid the hassle, you can just hire a specialist to do it for you.
STEP 3: OBTAIN CAPITAL FOR THE OKRIKA BUSINESS
In a firm like this, capital is required, but you don’t have to start with a lot of it. Instead, you can start with whatever cash you have on hand and build your enterprise over time. Depending on your income, you may be able to save up if you don’t have this cash on hand. You can purchase the okrika on credit if you also have a way to do so. If you know the sellers, that is.
However, as a beginner in the business, I would never suggest that you purchase the goods on credit; however, if you choose to do so, you are not required to worry about how you will pay for them. Okrika business is a successful business and a great side hustle for women in Nigeria.
For instance, if you spend #70,500 for a modest bale of used shoes, you can sell them for at least a #30,000 profit. This indicates that you will receive a total of #100,500 after selling all of these bags.
STEP 4: OPEN A SHOP OR START SELLING FROM HOME
Your okrika business can be operated from a shop, home, or even a vehicle. When it comes to this business, geography is not a constraint. In offices, I’ve seen people hawking okrika clothing. On Nigerian roads, I have also seen people selling it. If you don’t have any money, you can run your okrika business from your house; however, if you do, you should rent a store.
The secret of most profitable okrika businesses is this “make sure the shop you are renting is not overly pricey and that its location is appropriate before you rent it for your okrika business”. This store might be found near a bus stop, a t-intersection, or a roundabout. If you don’t have much, you don’t need to place a lot of equipment in this business because the majority of the goods will be hung or on the floor.
STEP 5: PURCHASE GOODS AT WHOLESALE PRICES
You do not need to go to Cotonou to purchase your okrika, especially if you cannot afford it, as I previously stated. You can easily purchase your things from any well-known okrika market nearby. You can come and purchase your okrika in Lagos and bring it to your home or business if you reside in Lagos or the area around it. You might need to wash and iron these okrika garments after purchasing them, especially okrika clothing.
This will ensure that any noticeable stains are removed and that many of the clothing are not wrinkled. You can now begin selling your okrika after completing all of these steps. You might need to learn from other okrika vendors’ experience to understand how to set fair rates for your products. When you become aware of this, you are better able to prevent unneeded business losses.
HOW TO GROW YOUR OKRIKA BUSINESS PROFITS
Profits in the okrika business are seldom realised instantly or all at once. It happens gradually. You learn in business, as I already said. But these are a few pointers that can undoubtedly boost your company’s revenues. Here are several strategies for boosting okrika business earnings.
CAREFULLY PACKAGE YOUR GOODS
When it comes to business, packaging is unparalleled. When you dry clean your okrika clothing before selling it, for instance, there is a noticeable difference. Your clothing can fetch more money after it has been dry cleaned.
PURCHASE PRODUCTS AT WHOLESALE RATES
The more money you invest in a firm, the more money you will make from it, just like the conventional business advice. You might need to increase your investment if you want to grow your okrika business.
The okrika business is one of the best businesses anyone can start and make profit immediately. Anyone may start it and manage it. It may also serve as a woman’s side hustle or a man’s primary source of income. Simply being business-savvy and knowledgeable about how to promote your stuff will suffice. You can start an Okrika business if you’re a student looking for a business to start with low capital.