How to Set Up a Successful Pharmacy Business in Nigeria 2021 [step-by-step process]
It is a well-known fact, despite persistently low health conditions in Nigeria, that the government has failed to facilitate adequate health care.
Therefore, your decision to start a pharmaceutical business venture comes with a lot of responsibilities.
At the same time, it would be a very thriving business if your processes are correct and well-planned.
If you’re starting a pharmacy in Nigeria you must not only aim at being profitable, you must be willing to help society in general.
Listed below are major requirements and procedures you must fulfill to run a successful pharmacy business in Nigeria.
What You Must Know About The Health Conditions In Nigeria
What one must understand is the seemingly poor health conditions in Nigeria and how people fall victim to them, due to inadequate health care and facilities.
The poverty-stricken part of the population, which is a large number, in Nigeria, obviously cannot afford fancy hospital treatment or even afford any treatments at all.
So they opt for self-medication where they treat their sicknesses based on commonly known symptoms without consulting a doctor or medical personnel. This act of casually consuming wrong medications has led so many people to lose their innocent lives only over minor ailments.
So, you as a responsible pharmacist must understand the gravity of this problem. And have a legalized pharmacy license and should be a registered business.
Regulatory Permits You Need To Successfully Start Your Own Pharmacy/Drug Store In Nigeria.
A pharmacist must mandatorily have a practicing license in Nigeria. If you are about to apply for a new license, it will cost you up to 1000 naira.
However, you should remember that your license will be renewed annually.
Before setting up any business in Nigeria (including your pharmacy business) you’ll need to get a license from the Corporate Affairs Commission (CAC) authenticating the existence of your company.
Pharmaceutical Store Types In Nigeria
Before you start your pharmaceutical venture in Nigeria it is important you know the industry well. The types of pharmacies in Nigeria are divided into two:
1. Hospital Pharmacies
To be told, these types of pharmacies cater to the needs of patients going to hospitals and clinics. They are usually stocked with different sorts of medicines to address immediate health needs.
2. Community Pharmacies
Commonly known as chemists shops that sit outside the hospitals or clinics. They are situated on the road and cater to the general public.
You could be setting up a pharmacy venture under any one of these. One of the reasons why the health condition in Nigeria is declining is because of the lack of manufacturing raw materials
However, the economy does support the manufacturing and commercialization of raw materials in the pharmacy industry which is another very good reason for you to set up a drug store.
Starting A Franchise Drug Store
If you’re not sure about where to start running a pharmacy business, you may want to start with a franchise drug store.
Let’s consider some interesting facts and opportunities for pharmacy franchise in Nigeria.
Studies show that about 75% of people in Nigeria have health issues, plus 60% of them are on medication. So If you are looking to avoid the hassles of registration and official paperwork a franchise is the best pick for you.
Running your retail store under a franchise only requires you to invest your capital since it is in a partnership form of an existing pharmacy.
You could also start on your own if you wish to work independently and build your brand which is quite amazing and bold. The only hardships you will face is having to register yourself with PCN [pharmaceutical society of Nigeria]
A point to remember is only certified pharmacists with a license can legally start a pharmacy. You need to partner up with a qualified individual before starting your venture.
Now, let’s dive into the very reason you have been reading this article so far.
How to Start a Pharmacy Business Venture in Nigeria
Step #1: Register Your Business With CAC & PCN
As discussed earlier, this is an extremely vital step, to begin with. Your business must be registered with CAC [corporate affairs commission].
Registering your business is the only legal way in Nigeria, just like any other place. The PCN signifies the minimum requirements needed for a pharmacy business to run.
Step #2: Choose Your Location
While setting up your business, remember location is important. You need to get your location specifics approved by PCN. Your location should be profitable, and easily accessible. It would be best if it’s near a government hospital.
Step #3: Source Your Capital
What is a business without a capital investment?
Needless to say, the pharmaceutical business does require a big amount of capital to start. So make sure to save up enough funds for the financial challenges ahead.
These financial challenges can hinder your business from growing so avoid them from the start.
Step #4: Find Potential Suppliers
Potential suppliers decide your business’s future.
A customer would keep coming to a store that has its products never out of stock. Find a good and genuine wholesale supplier and strike business deals with him.
Your supplier is kind of the backbone of your business; without him providing you with drugs, you have nothing to sell.
Step #5: Employ Customer Representatives
Customers are the King! Customer review creates your business’s goodwill.
Thus, employing staff that are very good at handling customers is vital. Your staff must also be educated and hold adequate knowledge in the field of pharmacy.
Although having great products will make your customer happy, great customer service is what will keep them coming back to your pharmacy.
Step #6: Go Public
The last is the most exciting step for your business. Go viral about your product.
The Cost of Starting a Pharmacy business
The cost is high but so are the profits. Although it requires a good amount of funding to start a chemist business venture, starting the business guarantees almost 100% profit if you are ready to work hard. You have ask yourself how profitable is pharmacy business in Nigeria.
Whether big or small, every business is built with a man’s blood, and sweat and this applies to everything including your proposed pharmacy business. Although it can be quite challenging at the beginning, it will pay off big in the long run.