How to start a successful POS business

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Point of sale systems for small business

In this article in will explain what POS point of sale means, how to start point of sale business, and also how to get those POS machine and everything else you need to know about point of sale systems for small business.

Processing large sum of money is actually a problem for some peoples, many of us have been having problems regards to the banking system in the country, there are various types of challenges will face some was has a result of limited banks, and other factors.

Point of sale  which popular know has POS was introduced to easy banking banking industry to easy some basic banking transaction such has withdrawal of funds, traffering money and also paying utilities bills such has electricity bills, TV subscription, data and other petty transaction.

POS  is a very lucrative business which started off with little awareness some years ago but have since gained popularity due to the benefits and steady generation of steady daily income. This is an extension of the services offered by financial institutions in as a door step money agent.

POS  is very lucrative at a local areas where there is know banks or there is limited number of banks and as well as a busy city.

BENEFITS OF POINT OF SALE BUSINESS

Starting a point of sale business is very lucrative and has a lots of benefits, in this section of this article I will be explaining some of the benefits of starting this business in Nigeria.

Here are some benefits of POS business.

  • EASY TO START

One of the most reason you should opt-in for this mobile banking business is  because it very easy to mentain, running this mobile banking  business isn’t really hard to start, easy set up and everything seems simple and straight forward.

  • IT PROVIDE EMPLOYMENT FOR UNEMPLOYMENT YOUTHS

Another benefits of POS business which cannot be under-rated is that it provide employments opportunities for those unemployed youth who have no means of daily income, POS can be saviour in this economy situation of the country where the rate of unemployment is high.

  • ENABLE QUICK MONEY TRANSACTION

Another benefits of this business which is inevitable is that is actually provide a quick means of money transaction.

  • IT SAFE TIME AND ENERGY
  • Point of business safe time and lots of energy which we would have wasted in banks.
  • IT REDUCES THE RISK OF CARRING LARGE SUM OF MONEY

  • It has helped in serving a wider range of customers.

The above are some of the benefits of starting pos business in Nigeria.

Before I dig deeper I will quickly talk or explain how to get a POS machine.

HOW TO GET A POS MACHINE

This will be the first thought that will come to your mind when thinking of  POS Business, there are several ways to acquire a POS machine if your are qualified or eligible to it.

Here are the process which you have to go through in other to get a POS machine from this banks.

GTBANK

If you are gtbank users, you have to be running current account in order to be qualified for this offer. Your account most not be less than 6 month, after you have go through the normal procedure The form is then mailed to sme@gtbank.com or submitted to the account officer. The business owner is also required to sign the agreement form.

POLARIS BANK

As for Polaris Bank users, the POS machine is being granted with a savings account as far as the relationship officer approved the request for the POS machine. Business owners also only need to fill the application form and the agreement.

IMPORTANT NOTICE

There is a charge of 0.75% on successful transactions which is deducted from completed transactions before being credited to your account. Visit your Account Officer for inquiry Fill the Agreement Form given to you, each bank has its conditions

After submission of form, upon approval you will get a notice from your account officer not long after 14 days and delivered to the business address indicated on the form.

Below are the other financial institutions which offer POS machine.

Quickteller Kudi Opay Paga

HOW TO START POS BUSINESS IN NIGERIA 2020

There are many factors to consider when venturing into a new business, those factors is talking really determined the success of the business.

In this article, I will tell you all the basic necessities which you most put in place in other to set up your money agent Business in Nigeria without facing any difficulties.

  1. LOCATION

Chosen a location for a new business or enterprises should be taken very serious because this could boost your business and in other hands it can ruin your business.

In this type of business, you are advised to look for a busy location where many people gather either for business or any other things or a place which is inhabited by students this will actually boost your business and give it a brighter days ahead.

  1. CAPITAL

This business in talking deal with cash, also need to place some things in place for you to be able to run a successful business so having capital is also very important.

  1. GETTING YOUR POS MACHINE

Has have said earlier, you can acquire your POS system from any of the above listed institution and you should have it in mind that every institution have their own methods of acquiring the POS machine.

After your have chosen a location, gotten the capital what follows should be your POS machine which is the maybe equipment you need for your business.

  1. STRATEGIES

Once you have gotten the above mentioned in place, you are now good to go with your business but you have to strategies in other to come ahead of your competitor.

Search Crmtoolskit Crmtoolskit POS business in nigeriaBUSINESSHow to start POS Business in Nigeria, Complete Information ByTony EkuriPublished on 14/09/2018 How to start POS Business in Nigeria

POS business can be otherwise known as agent banking business. It involves the transfer of funds, withdrawal of funds, sale of recharge cards and bill payments like GoTv, DSTV, Startimes, and NEPA Bill services.

This business is an extension of services offered by financial institutions like banks through which customers get convenience. Therefore the fee you charge customers for these services is called convenience fee.

The central bank of Nigeria in a bit for financial inclusion has thrown open this opportunity. An avenue to create wealth.

Read also: Agent Banking in Nigeria

Furthermore, this business thrives in areas where they are limited or no banks or ATMs. People will always be in need of money for various needs and will be glad to go to where they can be quickly served at a minimal cost.

Benefits of POS business in Nigeria

Achieve financial inclusion Reduce the cost to serve More Account acquisition Business Opportunity Create Jobs for the unemployed Decongest bank branches Serve a wider range of customers Make customers happy Why POS Business in Nigeria is Profitable

This business involves much liquidity, what this means is that you must have readily available cash to give out. Because customers will come more for withdrawals than fund transfers. The services you will be offering includes;

Withdrawals Fund Transfers Bill payments Sale of Recharge cards or Top up to all networks without buying vouchers and Most likely Account Opening Apart from Recharge which is free from charge other services are chargeable. But make sure you don’t overcharge you could be competing with other owners of POS machines or breed competition in the future.

Once you are in a strategic location where they are limited or no ATMs around, customers will prefer coming to you for quick services.

Proposed Fees and Commission Structure for Firstmonie Agent Transactions Transaction Amount Band

The fee paid by Customer Commission to the Agent (% of Fee)

1 Deposit (own FirstBank A/C)

1- 5,000 N50 45%

5,000-30,000 N100 45%

30,000-100,000. N150. 45%

100,000 N200 45%

2 Transfer to FirstBank

1- 30,000 N100 45%

30,000-100,000 N150 45%

100,000 N200. 45%

3 Transfer to Other Banks

1-20,000 N100 45%

20,000-100,000. N200 45%

100,000. N250. 45%

4 Cash Withdrawal

1-10,000 N100 45%

10,000-100,000. N200 45%

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