Bread production business in Nigeria can be a very lucrative venture if properly done. Bread is a food and meal that is consumed a lot in Nigeria and has a high demand.
Bread is a lucrative business for the following reasons:
Like other popular snacks, Bread is a meal accepted by everyone, whether young or old, male or female a lot of people like bread and therefore will keep purchasing it.
Bread can be purchased by everyone at a cheap price, there is bread that people can afford. There is bread that could be considered expensive, but generally there is bread that is not expensive and can be bought at a cheap price.
The business could be started on a micro or macro level. It could be started from your home or it can be started as a large commercial business, it all depends on the amount of money needed to start.
There is bread for everyone. Bread can be made in various ways such as slice, loaf, flavoured as well as to help with the diet of people making it more appealing which leads to people purchasing more.
What you Need to Start Bread Production Business
1. NAFDAC Registration
Before really starting the business, it is important to to register with NAFDAC and get the necessary approval to start the business such as NAFDAC.
This is to ensure that what you make and produce meets the required and relevant standard of health and safety. This helps to put your business on a good footing as consumers will feel much safer buying your product.
Also find out if there are associations that you need to register with like a bakery or bread making body. There may be rules and regulations you may need to follow and meet before making an entry into the business.
2. Learn the Business
Now, even if you are the one creating and setting up the business as well as employing all the necessary staff, it would be nice to know more of the business by knowing how to bake and the various ingredients needed.
Also it will help the owner to know when something is going wrong or has gone wrong such as the bread is not baked well or the taste is not right among other things.
This is why qualified staff with experience is also needed for the business.
3. Sources of Funding for you Business
This depends on how you intend to start the business. As said earlier this can be started on a small level probably from your home or in a big way which will require a lot of money.
Also the amount of money to be used will also depend on other factors such as location and amount and type of materials needed, rent and other factors.
There are those that believe that it is better to start this business in a large and big way as it will surely guaranty increased profits but nevertheless if such capital is not available the business can be started on a small scale.
5. Choose a Nice Business Location
As in any business location is key and important. There are those that feel that this may not really apply to bread production.
Good breads will sell any where, while this may be true to a certain extent, it is still important to site your base where you plan to do your production in an area that is well populated and close to raw materials.
The building or factory used should be well ventilated, clean and safe.
If you do not have the luxury of choosing a site and have to start from home make sure you keep the place neat and tidy.
6. Choose Your Product Style
Before finally starting the business, you have to decide and be sure of the type of bread you will like to produce.
Bread comes in various forms and shapes and sizes. You could decide to produce slice bread, loaf, wheat and other types or if you have the capacity you can produce a mixture or different types.
Bottom line is you make choice and create a niche for yourself that people will identify you with.
EQUIPMENT AND MACHINERY for Bread Production in Nigeria
To make the business go smoothly, it is important you purchase the right and good equipment for the business as this will go a long way in producing good quality products. You will need the following equipment:
Slicing machine: Very important if you intend to produce slice bread as it helps in slicing the bread.
Mixers: This is used to mix the flour and other items ready for baking, it could be local or electronic
Baking pans: This will be bought based on the size and specification of bread that is required
Oven: This should be properly made and constructed so it does not collapse especially when used for commercial purposes.
How Profitable is Bread Production Business in Nigeria
A proper feasibility study should be done to determine the cost of starting the business.
Your location and marketing strategy could determine how well you do in the business, but basically bread is a product that does not require a lot of work to sell because as we have said it is a product high in demand consumed by almost everyone. The only worry one may have is competition, and that is why it is important to set yourself apart through good quality, pricing and choices.
Important! Read: How to Start Bread Supply Business in Nigeria
Share your thoughts in the comments section below.
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