How To Start Biscuit Production Business In Nigeria

Biscuits are flour-based baked food products and are one of the most commonly consumed snacks in many parts of the world.

Venturing into the biscuit business in Nigeria will be very lucrative because of the nature of the snacks.

If you are looking to make Nigerian butter cookies at home, you can watch this video;

Biscuits are generally easily digested and can be preserved for a long time so you don’t have to fear it spoiling in a few weeks. Some biscuits can lost for more than a year if packaged and preserved well.

Feasibility Study On Biscuit Production

Biscuit production business is very lucrative and can be embarked on by any interested individual. Biscuits are commonly consumed snacks that come in different flavours and types.
Unlike breads and some other baked products, biscuits can be preserved for a longer time thereby making sales across several states very possible.

For example, in Imo State you’ll find different biscuits that were made in Oyo State, Lagos State, Anambra State, Rivers State and more. But in bread, you’ll mostly find bread made by Imo State-based bakeries except in the case of Yale bread and some other ones that travel across states.
Biscuits can be eaten alone as snacks, as breakfasts with tea or with other soft drinks. A good target market for your biscuit business includes places where children gather like schools, churches and more.

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Your target market will determine the type of biscuit you’ll be producing and the prices you’ll be selling them. For example, you can easily sell ₦10 biscuits to pupils and little children while biscuits of up to ₦500 sell well in the supermarkets.

Considerations for Starting a Biscuit Business In Nigeria

Just like every other business, there are some things you need to do before launching your biscuit production business in Nigeria.

Some of them include:

  • Getting your business registered

Registering your business in Nigeria and getting the necessary licences in very necessary to avoid issues in the future. Some licences you’d be getting include the Corporate Affairs Commission (CAC), Standards Organization of Nigeria (SON), NAFDAC, National Health Insurance Scheme and the Ministry of Health.

  • Acquire enough startup capital

No business runs without enough start-up capital. You’ll need funds for virtually everything counting from buying the machinery to registering the business most importantly, buying the ingredients. You can source funds from your savings, loans, grants or by borrowing from friends.

  • Choose your location

This is another important factor that determines the growth of every business. Inasmuch as you might be delivering to people across different states, your factory must be situated in a good location.
Factors that should determine your location include your source of raw materials, availability of electricity and manpower.

  • Design an effective and killer selling strategy

What will attract people to your products? Employ the services of a good nylon production company, your packaging really matters and would go a long towards attracting customers to you.
Reach a wider audience by taking advantage of the available social media platforms and other online advertising platforms. Also, remember that advertising shouldn’t replace the need for you to reach out to the shops and stores around.

  • Write a strategic business plan

The next step will be to write your business plan. Your business plan is very necessary for the growth of your business and will not only determine the monthly expenditures but also your income ratios and more.

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Start hiring your employees

Biscuit business is not a small-scale business and you’ll need the services of other employees. You can however skip this part if you’d be venturing into a small-scale type of biscuit production.
Your employees shouldn’t be hired based on sentiments but people who have experience in biscuit making and good communication skills.

  • Determine your pricing

You’re almost set but before releasing your products to the market, endeavour to conduct a market survey to know the price ranges of similar products. Avoid over-pricing and at the same time, be sure you’re making your profit.

  • Start marketing your business

In order to generate sales, you need to market your business by advertising and creating awareness. You can do that by distributing fliers, running online ads, launching TV/radio/newspaper campaigns, banners, billboards and more.

Machinery Required For Biscuit Production

Some basic equipment you’ll need for your business include:

  • Ovens
  • Large baking pans
  • Sandwich machine
  • Cooling conveyor
  • Packaging machine
  • Tunnel Gas Oven
  • Flour mixer machine
  • Rotary forming machine (for both soft and hard biscuits)
  • Oil Spray Machine
  • Layout Turning Machine

Other Things You Might Be Needing Include:

  • Storage bins for ingredients
  • Kitchen space and countertops
  • Business brochures
  • Biscuit recipe
  • Health rating certificate
  • Business License

Tips For Being Successful In Biscuit Business

You’ve started your business and want to excel among tens of other existing biscuit production companies.

Some tips that will help you beat your competitors include:

  • Branding

Your branding really matters in this business and will contribute a lot to your success. Make your adverts attractive and engaging so people will want to have a taste of your product.

  • Pricing

Your pricing is also another factor that will attract buyers to you. Your target market should determine the type of biscuit you’ll be producing and your pricing. If you’re targeting primary school students, the prices of your biscuits won’t be the same with the working class.

  • Product Quality

You’re trying to enter an already saturated market so your product quality should be the best it can be. After attracting them with good pricing and branding, your quality will play a huge role in keeping them to your product.

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Marketing

This involves pushing the product and it’s also imperative for your business growth. You can achieve this by hiring a vibrant marketing team that will go into the markets with your products. Their pay can be based on conversions or fixed. Pay based on conversions will be better because it motivates the marketers to work harder.

Thanks for reading along, what do you think?