I want to Start Cosmetics Business; How can I go about this?
One of my followers asked me how to start cosmetics business after reading my article on businesses to start with 200k.
Here is her question:
My name is Jud***. I reside in Owerri, Imo State. I want to Start Cosmetics Business in Owerri. I don’t have much idea of the business but I have passion for the business. I just rented a shop along the road, tried to make it look good. Have placed shelve and showcase. After all the expenses, I have 200k left. Please sir, what can I buy with such amount? Where will I get affordable cosmetics to start with? Do I need any form of registration for the business to avoid embarrassment? Can 200k worth of cosmetics show up in a store? I don’t want the store to look scanty.
Like I advise all my students/followers. In the journey of entrepreneurship, passion plays a very big role.
And I’m glad you’re passionate about this business.
You’ve even gone further to rent a corner shop and fixed it to taste. That is another good thing, PACKAGING.
Beautiful and elegant stores attract elegant and classy customers. And also curious ones too.
While some people can start a cosmetics business with 200k, for some like you, with your taste, it will not be enough.
But, there is always a way around it.
Always remember this quote from the scripture, “Do not despise the days of little beginning“.
Before I continue, I want you to know that I do not deal on cosmetics business, and I do not have a source where you can get cosmetics products in Owerri or environs.
That said, I’m of the school of thought that believes money should not hinder anyone from starting any business.
I also believe so much in partnership.
Though, because of how MOST Nigerians behave and act, people rarely want to partner, to avoid squabbling and disappointments but I have seen many cases of successful partnerships.
So here is my little advice for you and to other readers seeking ways to start a cosmetics business on a low budget:
1. You need to do your own research (DYOR)
This is very important. You cannot get all the business tips and tricks online. Market research opens your eyes to some business secrets and tricks you might not find online. It will also help you ascertain the best place to get products at the best rate for a higher profit. More so, it connects you to suppliers that are willing to showcase their products on your store and collect their money only after you’ve made sales.
Read this: What Market Research can Do for your SME
Because good cosmetics are pricy, I’ll suggest you partner with others, could be friends and family, who believe in you, have the funds, and looking for a business to put it in. All you need to do is convince them, then reach an agreement with them. But request you’re giving a little time to run the business for a while before both of you can start taking dividends from the business.
3. Your location
This is very key and shouldn’t be overlooked. As a matter of fact, an investor (partner) or supplier willing to give you money or goods at hand respectively will want to be certain how easily people can locate your shop to purchase things or see their products.
Many customers come into a brick and wall store, not because of recommendations per se, but just to check out what the new corner shop has in stock and see if anything will catch their eyes. So if they come in and see a scanty shop, do you think they will stop by next time? The first impression goes a long way.
Read this: Major causes of business failure
4. Customer Relationship
The first impression they say lasts long. How you/your sales reps relate with your customer’s matters when it comes to running a business. Whether it’s you or your salesperson, always wear a cheerful look, be welcoming, have them at heart, be sincere. You know, cosmetics involves making people look better. And if you recommend a good product from your shop that solves their problems, you’ve won their heart and they’ll be your advertisers for free. Always treat every customer special and use gifts to endear them. You should make your store special and different from the others. And remember, any customer that gives you positive feedback, offer them some form of discount or free product if they recommend their friends to you. That’s the fastest way to customer growth and business success.
5. Build trust
Your business can never be sustained if your customers do not trust you. Stephen Covey said “Trust is the glue of life. It’s the most essential ingredient in effective communication. It’s the foundational principle that holds all relationships“.
Here is how you can earn a customer’s trust and confidence.
6. What to buy:
In answering this question, I think market research will solve this for you. Remember to read the recommended post for this. From your research, you should ascertain products that are selling faster than the others and start with them. Remember, business is about turnover. And make sure you never lack those products that are selling very well in your store.
7. Business Registration
No one should even try to start a sustainable business without first registering the business. This is important as it takes the authorities off your back. It comes with many benefits. You can easily open a business bank account for your business using your business name. Paying and documentation of your tax account will be easy too. The corporate affairs commission has also made it easy to register businesses by consolidating the CAC forms you’ll fill into one. You can make more inquiries about registering your business from Corporate Affairs Commission website.
I hope I have been able to address your question, however, if you have further questions, feel free to ask using the comment box below.
All the best.
Last post for the year. See you all next year.