In this guide, you will learn how to start block industry business in Nigeria or anywhere in the world.
To be an Owner of a block industry may sound funny to some people who see it as a business for the illiterate and uneducated.
Block industry casually referred to as block making is a business that can be very profitable without knowing. It is a lucrative business that can be a step to becoming an employer of labour.
No matter who you are in life; whether a literate, non-literate, graduate, dropout, retiree or a businessperson looking for a profitable business to engage in, block making is a good idea for you.
If you observe closely you will notice that block making is fast growing business in developing countries.
This is as a result of the increase in population and the rising need of housing. Also, some landowners prefer to buy blocks to build their houses instead of making it themselves.
Urbanization is fast creeping into the country with most part of the citizens leaving in the cities. According to some studies, it is estimated that by 2050, seventy five percent of the population will be urban based.
No wonder the pressure on shelter. Also government focus on housing development is on the increase defining the rapid growth in real estate.
The population density of Nigeria is estimated to be about 182 million with an annual growth rate of 3 percent.
Housing is a necessary need of man for various purposes which includes shelter, accommodation, residential homes, and lots more. A very important item used in the construction of these houses is concrete block.
This has brought about the constant demand for blocks. It is therefore a better chance for investment. Have you ever thought of taking advantage of the ever expanding real estate sector? Then consider investing in block making.
Block industry is a process which involves the use of block moulding equipments to mould blocks of different sizes in large quantity and sell to people who are into building or to contractors who are in charge of block supply or various construction project.
The types of blocks depends largely on the type of moulder a block industry uses to operate.
The block moulding machine talked about here is the one that can produce concrete blocks of 6 and 9 inches.
The raw materials used in moulding blocks are sand, cement, and water. The blocks are solidified and usually hollow in form.
More refined block industries can be set up to produce all types of blocks including hollow or un-hollowed blocks, brick, curbstones, slabs, retaining walls, etc.
These and other types of blocks require a multifunctional block making machine to achieve output.
Consider your Finance
Depending on the scale of your investment, you should take cognisance knowledge that block industry business can either be capital intensive or labour intensive.
Talking about capital intensive, there are automatic concrete block moulding machines that are easy to operate and saves much manpower.
It can mould different types of blocks with little or no part being handled by human labour. In this process you don’t have to employ much labour and be sure of a good dividend in return.
In labour intensive pattern, the basic machines will be required with a large part of the production process being handled by human labour. Most block industries uses this pattern.
Assuming you already have a vacant land, with a little investment of #500,000 or less you can set up your business on this magnitude depending on the amount of labour you employ or your own strength, you will be producing between 200 to 500 blocks per day.
To set up a complete and automated block making machines in a large expanse of land will however require much more capital. This is a highly capital intensive venture.
My aim in this post is to help people find out profitable small scale business and investment opportunities that they may find interesting to embark on. Block making is one of such business.
Whatever business you have thought of and capable of operating, block making is one business that should be considered which can make some good cash for you.
A block industry producing like 500 blocks a day can make a profit up to 10,000 if you are able to develop a ready market.
In five days you will be looking up to 50,000 thereby making profit of 50,000 per week and 200,000 monthly net worth after all expenses carried out. Isn’t that a good return?
Things you need to start up your block industry
Below are essentially things you need to set up a functional block industry;
This is one of the very important things you will need to start up a block industry. One or half hectare of land will be enough for a beginner.
You can buy, rent or partner with landowners for a lease depending I your capability.
But while you go about to get your land, you should take note of the physical properties of the land.
Observe the topographical nature of the land whether it is good and conducive.
Be sure not to situate your block making business in a water logged area or swampy environment in order not to spoil your business.
A water logged or swampy area will cause your blocks to be moist, erosion can also carry them away.
Another disadvantage is that it may cause delay in delivery of your blocks as the flooded area may prevent access for buyers with vehicle to drive in and pick blocks.
This therefore should be your number one consideration in acquiring land for your block industry.
2. Moulding Machine
This is an important instrument needed for your block industry. There are locally made machines that can be operated manually. This set are gotten in machines and tools market and shops nationwide.
Automatic and multifunctional machines are also available for block moulding business. You can import these from China, Japan, Germany, India, as well as order them online from online shops like Jiji, Jumia etc.
3. Standard Power Supply
Regular power supply is needed to keep your machines running at regular intervals.
Since the country lacks steady power supply, diesel generator will be of importance here. KVA generators and Lister are more better for your machine incase of high voltage.
We look forward to the day steady power supply will be restored in Nigeria, where entrepreneurs will enjoy doing their business without sourcing for their own power supply.
4. Build a Shelter
A little shelter will be good to house and protect your blocks, cement, generator from rain and sun.
This little shelter is the one you construct without blocks but with four timbers or iron covered with corrugated roof. If there are more space you may use some blocks to carve out a room which can serve as your office, or quarter for staffs to change and relax or to store other raw materials.
5. Source of Water
Water is an essential resources in producing concrete blocks and you will be needing it regularly and in a very large quantity.
Water is used to mix the cement and sand to start moulding the blocks and also to sprinkle on blocks after they have been moulded to make them stronger and harder. You can say that water is used for the finishing touches of blocks.
You can bore water or use a water pipe to collect water from a nearby borehole to water your blocks. You can also dig a well as you will be using water regularly.
6. Pickup Truck
An open pickup van will enable you to deliver products to your customers at their sites. It will adequately serve for its purpose as your delivery van to transport your blocks to different locations.
You can use any vehicle with an open or closed boot that can contain some amount of blocks until you are able to afford a pickup truck.
7. Wooden Board
A wooden board is one of the equipment you will need after moulding your blocks. A carpenter can construct wooden boards as many as may require depending on the width of your block plant that can contain many blocks.
The boards are used to carry the moulded blocks to the hack or dry place.
The number of employees working for you and the scale of your production will determine the number of equipment you will buy for your block business. These block moulding items, ie shovel, head pan can be purchased at any building material shops and markets near you.
Locating your block industry in a developing area where many building construction is going on is a key success in your block making business.
This will ensure regular demand for your products and also fast and easy delivery of goods as most buyers are those building around your business location.
Another important factor for your business success is to ensure that your block making factory is situated on a dry land.
This help to avoid erosion or flooding from destroying your blocks and raw materials such as cement and sand.
It is advisable therefore to carry out thorough examination on the environment to determine the physical properties of the land for the good of your business.
Your capacity to reach out to bricklayers, building contractors and people in charge of building project will largely determine your success.
Your organisational skills to create awareness of your business is a key factor to making profit. Advertising and reaching out to people will attract people to patronise you on whatever discount you wish to offer.
Try to have a good business relationship with people who supply you with raw materials like cement and sand for regular supply so that you won’t be in shortage or lack raw materials for moulding blocks.
This will enable you to meet order whenever you are requested to supply goods. If you maintain a good relationship with your raw material suppliers, you can always demand on credit to pay layer when you get the money.
You will need experienced workers who can operate block moulding, cement and sand mixing machines at work.
Though you will also need daily paid labourers who do few required jobs, experienced workers are needed who know the right mixture of cement and sand to mould a block.
You can employ people as account staff, store keeper, book keeper as part of your administration to help in organizing your business as well as a consultant who have full knowledge of the business to liaise externally on corporate matters.
A marketer may also be needed for sales and to create awareness thus, managing relationship and developing your business.
As an entrepreneur, you can handle these functions if you have the skills. You can man the functions without anybody’s help.
Since your block industry is in an open space, you will need to hire a security to guard your business yard against theft and other insecurities.