Starting a Computer Business Centre
Ever since the evolution of Information Technology especially in Africa, there have been developments and good use of time and resources for the day-to-day activities of humans. But the limited ownership of some of these resources has posed a big threat to individuals in carrying out their works. Therefore, those who are or can afford purchasing these equipment have been thinking on how to start a business center so as to help people do their work and also make profits which are important for the continuous running of the business avoiding it from folding up and for personal use. This article relates to us how feasible it is for people who desire to start this business mostly in Nigeria and other neighboring African countries.
However, it is different from a Cyber Cafe. A cyber cafe is where you pay money to browse the internet so as to get your desired information. One which is similar to it is a photocopy shop rendering services relating to school or office works and documents such as photocopying, scanning, printing, registrations online and laminating. It in turn produces a good income especially when it’s situated in a busy area or an educational institution. Some of these centers also engage in cyber cafe activities whereby they get to instruct computer courses and certificates are issued at the end of the course.
In this article we would be considering various factors like Location, Products and Services, Required Items etc, which plays important role in the growth of the business. The data provided is based on the assumption that the shop runs during the normal hours of business (8am – 6pm) and we would talk about a business center where documents are photocopied.
Location:
This is one of the important if not the most in this line of business as it contributes to the success of the proposed business. It plays a big role in the business as it helps targeted customers easily locate the center. It could be located inside institutions like schools, government institutions, near office buildings and of course university campuses. However, this business runs successfully in cities that are much more populated as far as Nigeria is concerned. Good locations for businesses in Nigeria majorly are Lagos, Kano, Ibadan, Abuja and Port Harcourt of which the Business Centre is that which would surely thrive.
For one who resides in a modest city, the need for these services is always wanted and must be met. It was discovered from research that it is scarce in Nigeria except for Lagos mainland where it is much there and you need have an edge to beat off intense competitions. But for areas that are yet to be occupied are good for those who reside there for quick establishment of brand and easy making of profit.
Furthermore, location is also key in determining rent prices depending on the size of the shop and also mode of payment (monthly, annual or bi-annual). For the shop a size of a garage in Nigeria, it ranges from the size of N70,000 – N150,000 annually. Yet, one should know that markets are not suitable for business like this as schools and offices can never be built or found near a market. They could be situated in a plaza or complex.
List of Required Items
In this kind of business which deals with productions (photocopying of documents, printing and the likes), there are mainly two categories of items that needs to be purchased; the assets (capital intensive e.g. the photocopier) and those that needs to be restocked (e.g. paper). Below is an estimate of all needed items; sourced from marketing sites.
Items | Model | Price (Naira) | Other Info |
Generator set | 1.1 KVA Sumec Firman | 48,500 | |
Shop Rent | 70,000 – 150,000 | ||
Computer (Laptop) | Acer Aspire Mini | 66,000 | If desktop is preferred, one should get UPS. |
Printer | Sharp AR-M201 or any similar sharp AR Model series | 13,000 | All-in-one purpose printer |
Printer 2 (Inkjet) | HP Deskjet Ink 115 | 5,000 | |
Sign Post | 1,200 | By arts and prints | |
Extension Wire | 10,000 | ||
Furniture | Three plastic stools and a wooden table | 8,000 | |
Electrical Installation | 20,000 | For the generator | |
Laminating Machine | 17,000 | ||
Spiral Binding Machine | 17,000 | ||
Digital Camera | Sony Cybershot model series | 21,000 | |
Photo Printer | 15,000 | ||
Plain Fabric | White (1 yard) | 200 | For passport photograph |
Fuel Container | 500 | ||
External CD Drive | 3,500 | Since the laptop doesn’t have a CD Drive | |
Stapler | 300 | ||
USB Flash | 1,500 | 4GB | |
Internet Dongle | 4,000 | ||
Bio-metric Scanner | 3,000 | For online registrations | |
Scissors | 300 | ||
Total | 369,000 |
Note: The smaller amount from the data was used for the sum total in instances where they are alternate prices (e.g. shop rent = 70,000). Intending business owners should choose the best available networks for their access. For those who can’t really afford the items listed above due to the state of the price, can opt for the second hand market (it is advisable that a second hand printer shouldn’t be purchased).
Items that needs restocking:
Items: | Amount | Price (Naira): | More Information: |
A4 Paper | Pack | 3,500 | |
Internet subscription | Monthly | 2,000 | |
Plastic binds | Different sizes and colour | 1,500 | As need arise |
Laminating film | 3,000 | As need arise | |
Gen. Fuel | Monthly | 8,000 | |
Gen. Service | Monthly | 1,500 | Depending on the Mechanic |
Ink Toner cartridge | 15,000 | Contact your dealers | |
Inkjet printer cartridge | Coloured | 6,000 | Contact your dealers |
Stapler pins | Small pack | 250 | |
Photo paper | 5,000 | ||
Hired Help | Monthly: full time | 15,000 – 25000 | |
PHCN bill | 5,000 | Depends on location | |
Average monthly expenditure | 45,450 |
Apart from the assets, one would be spending about N45,000 on average each month to run the shop smoothly. Adding the items to be restocked to the main items would sum up to N414, 000. Also, the replacing of the ink cartridges of the printers are delicate, so you should always contact the dealer or rather learn from one who has enough experience in using it for proper maintenance.
Products and Services
Below is listed the complete services carried out by a business centre;
- Typing
- Printing
- Laminating
- Scanning
- Photocopying
- Spiral binding
- Digital passports
- Online registration
- Disc burning
All are services expected and rendered by a computer business centre. However, some of the items are optional which means that one can start the business with or without them. The optional ones are numbers 3, 7, 8 and 9.
Also, you should note that this business cannot be run by just one person. Therefore, it is advisable that one employs at least a worker so as to reduce the workload and also increase efficiency of the service rendered. As the business grows, there calls for more employment of workers.
Summary:
Capital: 414,000
Monthly expenditure: 46,000
Profit Margin: 90,000
Suitable Location: Cities and suburbs
Potential customers: Students and Office workers (majorly), and others.
Business hours: 8am – 6pm
Growth: tendency of expansion is high.