DRY CLEANING BUSINESS IN NIGERIA
When speaking of one of the businesses with a very low risk and huge profit potential, Dry cleaning services is one entrepreneurs can invest in. As you might already know, Dry cleaning or laundry services mainly involves the cleaning of fabric and textile materials through washing, and ironing for customers who may be individuals, or firms. This business is feasible for all entrepreneurs out there, and this is attributed to its low startup capital, low risks, and great profits. With a relatively low capital, it is possible to set up a good laundry business in whatever region you find yourself.
One of the reasons this business have that much profit potential is due to the wide market available for the business. Everyone around you wear clothes in their variations, for different function. Men, women and children all possess fabrics that offer shelter, protection, and any other purpose you can think clothing provide. After outings, celebrations and other related functions, the valuable materials may get so dirty or soiled that it cannot be sorted personally at home. Also, due to the tight schedules of most people on weekdays, they don’t get the chance to sort out their dirty clothing materials. This is usually where the services of these dry cleaning service providers come in. They are tasked with cleaning, and sorting out the materials. If you consider the population of people who find themselves in this situation, you will discover it is a whole lot, thus the wide market for laundry service providers.
Through this article, you will be engaged on the Dry cleaning business in Nigeria, how much you can potentially earn from the business, tips to help you become successful in the business, and lots more.
Why Dry Cleaning Business?
- You can start small
Dry cleaning services allow entrepreneurs to grow into the business by starting with a small capital. Many of the entrepreneurs already in this business offer Dry cleaning business from the comfort of their homes. While you might be skeptical about that fact, most of them thrive, as long as the quality of service provided is not compromised. Starting from home gives entrepreneurs the opportunity to save on rent to reinvest in some other needs of the business. This also help entrepreneurs with small capital to start something with what they have.
- There is a wide market for Dry Cleaning business
Men, women, and children make use of fabrics and clothing for different functions like school, Church, parties, Occasions, travels, Business, Work, and so on. Essentially, potentially everyone you know requires the services of a dry cleaner at one point or another. As such, you will most like have more customers on your hands everyday. More customers means more earnings for your business.
- It can serve as a Part time job
Entrepreneurs can take the dry cleaning business as a full time job or part time. You can take up the business as a side job where you make additional earnings to your main source of income. While it is obvious that you won’t be able to make as much as those who take it as a full time job, it is a great idea to earn considerably more.
- It is lucrative
I guess this is one reason that is obvious, because we won’t be telling you about the business if it does not bring you considerable profits. Depending on the scale of the dry cleaning business, and your daily patronage; you will earn tangible amount.
How to start a Dry Cleaning business
As stated earlier in this article, the dry cleaning business is very easy to start in Nigeria, regardless of the scale you intend to go. However, starting is not the major factor of concern in this business but how to get customers to keep flowing in. Starting the laundry business can be started from small scale, to a huge scale, without any fear of risks or issues. The following items will help you to successfully set up a Dry cleaning business:
- Business Plan
This is most especially for entrepreneurs who intend to go into this business full time. Before venturing into any business on a full time basis, it is necessary and important to draw up a business plan on how you intend to go about the business, the structure, management, Vision, Mission statement, projections, Transitions, and so on. Everything the business should look like will be detailed here. As such, it will serve a guide which will help entrepreneurs to know the current state of the business, what needs to be done to get the business to the desired level. This will help entrepreneurs determine if the business is going to plan, or has deviated from the original plan.
Business plans are also very helpful when entrepreneurs find themselves and the business in a position of need, which requires them to secure a loan from a bank, government or any other financial institutions willing to provide funds. You can employ the services of an expert in drafting business plans to help you if you have no idea on how to.
The success of a dry cleaning business has everything to do with the location. The location of the business can hugely transform the progress of the business on all levels. A dry cleaning business has nothing to do on roadsides, markets. It is best to set up the business in residential areas that are easily accessible by the target customers. This is because people will only come with fabrics and clothing from their homes, not from offices or markets. Locating a dry cleaning business around homes, estates, will largely help bring an influx of customers to your business.
It is also advisable to avoid places where you have a concentration of competitors. This is bad for business because the higher the competition, the lower the customers you get to serve. Since there are no much people indulging in the business today, the risk of having competition is low.
- Register your business
Many entrepreneurs would usually overlook this point, which may be due to the impression that only large scale businesses should register with the government. While it may be possible to run the dry cleaning business smoothly without any issues from government in some areas, it may prove to be a futile effort to run a dry cleaning business in other areas. Examples of these regions includes Lagos, Abuja, and Port Harcourt. Other states across the country usually have no issues with their unregistered business.
It is worthy to note, however, that there are benefits that come with registering your business with the government. Registered businesses with the government can easily have access to loans when the business runs into some problems, or when entrepreneurs intend to expand the business without the required capital. Unregistered business CANNOT even apply for such loans, not to talk of securing it.
- Acquire necessary Equipment and Tools
The next reasonable thing to do is to secure all the necessary equipment you need for the running of the business. The types of equipment you will be required to purchase depends on the scale of business you intend to go. Small scale Dry cleaning service requires the basic equipment which are quite cheap and easy to acquire. All the materials, machines needed for dry cleaning are readily available in whatever location you find yourself. Here are the most important items, machines and equipment needed for Dry cleaning services:
- Washing Machine(s): This is usually the main difference between large scale dry cleaning services, and small scale. While large scale businesses use washing machines to carry out the washing, small scale businesses use manual washing with hands. Washing machines can easily be maintained and lasts long before developing any issues or faults. It’s advised that this machine is use with care so as to allow it last long. It seems to be the one of the most expensive equipment on this list going for as much as N50,000.
- Generating set: As a result of the poor electricity supply in Nigeria, a generating set is very much required for the smooth operation of the business. This will help supply electricity for running washing machines, ironing clothes, and any other function that require electricity. You should note that the rating of the generator you will get is enough to handle an iron. Generators with a lower rating will not be enough to supply enough electricity to an Iron, so you have to take note.
- Water source: This is very important in the daily running of the dry cleaning business. Water is the basic material needed for washing; without it, washing would be impossible because it is a medium that makes washing possible. Large scale dry cleaning business can have a borehole as water source, while small scale business can have someone supply clean water for them.
- Basins: is basically for separating clothes, soaking, and so on.
- Washing chemicals: These are quite on a different level to the regular detergents we use in washing at home. These washing chemicals are strong and their properties allow them to remove any kind of stains on clothes, or any other fabric material.
- Industrial Size pressing board: This is usually a table sized board that allows all forms of ironing. It is well spaced to allowed any other activities. You can substitute this with a large table.
- Starch: This is acquired in large quantities and functions to give clothes some flair after ironing.
- Transparent Nylon: This is basically used to wrap clothes in after ironing is done.
- Other required equipment includes hangers, delivery vans, detergents, dryers, and so on.
- Market your business
After the Dry cleaning business is up and running, then you can start to engage the general public about your business and the services you offer. You can advertise your business to your target customers, which basically everyone around the location your business is established. You can advertise your business by making posters, flyers, and word of mouth. You can also advertise through social media networks like Facebook, Twitter, and Instagram to reach a wider audience. Just sit back and watch your business grow by the day.
Profit Potential of Dry Cleaning Business
The size of profit which you stand to get from investing in the dry cleaning business is relative to the scale of the business, customers and the location. In order to get at least an insight into the profit potential investors stand to get, we will give you an analogy of the potential profit of the business.
Assuming you charge N500 to dry clean and Iron a shirt, dry cleaning 20 shirts that same day will earn you N10,000 at the end of the day. You stand to earn at least N250,000 if you have the same Inflow of customers every day in a month. Though these are just assumptions, once your business is up and running, your earnings should be within this range. You earnings can be more or less, depending on the factors earlier stated.
The lucrative potential of this business will obviously be a revelation to most entrepreneurs reading this article. On a personal note, I never thought myself that the dry cleaning business would be this lucrative. As such, entrepreneurs who develop the interest to earn through the dry cleaning services can carry out a demographic study of their geographical location and see just how many offer these services. Once you note there are little to no competition, then you can proceed to set up your own dry cleaning business.