Nigerians generally have something to celebrate or have an event to do or attend. From weddings, birthdays, naming ceremonies, anniversaries, religious activities and programs, burials, house warming and lots more there is always an event happening .
Nigerians love celebrating and honoring people, which means there will always be an event going on. Now when people plan for a function or an event they have lots of things to worry about and take care off.
There are a lot of things to organize such as food and drinks, venue and location, music among other things.
One aspect they have to consider also is the chairs and table and some times the shelter or covering their guests will need when they attend their event. Considering that chairs and tables and canopies are not items that can be bought easily because of their cost and since they will not be used daily, people opt for the option of renting these items.
It is for this reason that the business of renting is quite lucrative and profitable in Nigeria.
Some people consider this business an expensive venture to do but it really depends on how you want to start. This is a business you can start from your home with few materials though it may not be easy or can be challenging. When the business grows you can expand the business further and better.
How Does Party Rental Bushiness Work
This is a business that entails leasing out party materials and equipment to a customer for a specific amount of time at an agreed fee.
Step 1: Choose a Good Location
This may not be very important as events happen all the time and occur every where, but it is important that if you happen to have a choice of picking and getting a location make sure it is a place that it is easily accessible and where people can get and reach you comfortably.
A factor as a good accessible road will be an advantage when people come to collect or you help in moving their items.
Step 2: Choose a Business name
Just like any other business, you need to have a business name. This will become a brand when you start your business. A business name is like an identity for your business. This is what people will know for you business. A good businiess name should be short, easy to pronounce and easy to remember.
Step 3: Register Your Rental Busines
Before you start your rental business, make sure you register with the local regulatory bodies. In Nigeria, you need to register your business name with the Corporate Affairs Commission.
Also, register with the Federal Inland Revenue Services and collect a Tax Identification Number (TIN) for your business. By so doing, you will include a value added tax (VAT) in all your services and remit same to government.
Step 4: Open a Business Bank Account
After getting your business TIN, the next thing is to open a bank for your business. You can do this with any commercial bank in Nigeria. Documents you will need are;
- Your business name registration certificate or certificate of incorporation from the Corporate Affairs Commission.
- Letter of proposal
- Identity card – Drivers license, International Passport, Voters card, National Identity Card etc.
- Prove of residence (Government utility bill)
- Passport photographs
- 2 guarantors (current account holders)
Step 4: Build or Rent a Store HouseWherever your business is located, it is important to have a place where you can store your equipment and materials. Even if you start from your home it is important to get some where in your house or compound to store the equipment, to not only keep them safe but also protect them from wear and tear from factors such as dust and rain which could damage them.
Step 5: Buy Party Equipment And Materials
There are certain equipment and materials that will be needed that will help in executing requests and doing the jobs well. For those starting in a small way, they can begin with few chairs and tables that will used to serve their locality.
For others who have the funds to start in a big way, they can get many chairs and tables to serve a lot of customers. Other equipment that can be needed include canopies, glasses, napkins, table covers, stands and musical instruments such as drums, guitar, sound system, microphones and more.
Step 6: Hire Staff and Workers
You will need to employ or have people work and assist you when doing the business. Even if you are operating from home and starting in small way, you will still need one or two people to help with the work in aspects such as attending to customers and carrying and moving the equipments.
Step 7: Hire or Buy Trucks Or Vans
Now for those starting small, this is not compulsory in the beginning especially if you are offering the service in your area. There are customers who will be willing to come and collect their materials themselves especially at a reduced fee.
For those who cater to a lot of customers and their business cover long distances a vehicle is very important. Customers are willing to pay for the transportation of the materials as this eases the pressure of the customers when planning their event.
Step 8: Print a Business card and Receipts
Now you are all set for your party rental business to kick-off. The next vital thing to do is to print your business card. The business card will contain your name, contacts phone number(s), email address, social contacts.
Step 9: Advertise Your Rental Business
The business can be marketed online using a platform like facebook. Also items such as flyers and cards can be used to make people aware of the business.
The business is profitable and does not necessarily require a lot of money to start. Make sure you do a feasibility study to know the aspects of the business you have to be sure of as well as the cost involved.
Step 10: Grow Your Customer Base
Basically to succeed your customer service should be good, also your equipment and materials should be in good order, neat and clean. If you are worried about your equipment getting damaged when people use them, you can state in your transactions that any item damaged will be replaced by the customers.
Also you should learn to change and move along with new innovations in the business. For example we now have canopies that are fully air conditioned. Implementing such innovations will surely make your business better.