Posted on August 30, 2017
Starting a candle production business at this period in the history of Nigeria will make you smile to the bank regularly. That’s the truth!
With no solution in sight for the perennial power problem in the country, this has created income opportunities for entrepreneurs who can provide alternative power supply, including candle production. With about 180 million population yearning for light, investment in candle production, more or less, is bound to succeed as it is primarily aimed at solving light problems of the nation. Candle production business is no doubt a huge market in this country where electricity is in short supply or even unavailable in some areas. There is no where candle is not useful as a source of light be it rural areas or urban cities.
Even if the power supply eventually improves, investors in this line of business will still continue to thrive because candle is not just used for illumination; it is also used as an article of prayer and for decorations.
Candle production business is one of the easiest business ventures and can be started on a small scale. It can actually be started right from home, hence as a beginner, you don’t need to build a factory for a start, and with a very little start-up capital, you are on the go.
It can be produced anywhere in Nigeria and investors guaranteed of regular income. No specific experience or degree is needed to be a success in the venture; anyone can do it. The profit margin in this business is also very high judging by the available huge market in Nigeria and across West African countries. So there is equally opportunity to export it to the neighbouring countries.
The beauty about the venture is that the raw materials can be sourced locally and are readily available in the market.
The machine and other equipment are locally fabricated and affordable as well, more reason why it is a good opportunity for smart investors to key into.
Below are more facts why you should venture into candle production business.
- Candle serves as a source of light during power failure. It is a known fact that some developing countries like Nigeria have been having power supply challenges. Unlike in the US, UK and some other developed countries where there is nothing like power failure. This constant power failure serves as an advantage especially to a candle producer because nobody wants to be in darkness.
- People also buy candles for emergency purposes, especially in times of disasters that disrupt power supply such as hurricanes or just a mechanical problem at the power plant.
- Another reason candle making is a lucrative business is its affordability, especially when compared to fuels such as domestic gas and kerosene.
- Candle is used for religious and ceremonial purposes. In countries like Nigeria, China, Italy, India and many other countries of the world, candles serve religious purposes (shrines and temples) and ceremonies such as birthdays, burial processions, among others. Also, the sale of candles thrive during festive seasons like Easter, Valentine, Halloween, Thanksgiving Day, Christmas, etc.
- Candle is also used for beatification or decorative purposes. People also use candles for decorative purposes in places like homes, restaurants, halls, places of worship, etc. Most candles today come in many colours and designs. Others come in an array of scents. Extremely popular nowadays are aromatherapy candles, where a whiff of their scent will have an effect on someone’s mood.
- Candle making is neither capital nor labour intensive. You can start the business right from home and grow from there. You can also have your customers come buy from you at home or you may choose to take the wares to them. Either way, it won’t cost you much.
Meanwhile, to start production, there are other important things you will need to consider as listed below:
As there are different types of candle for different occasions, you will need to decide what type of candle you intend to make and sell. You can make candles for emergency, decorative or therapy purposes. There are also other kinds of candle such as jar candles, tarts, candles that use soy wax or paraffin. The choice is entirely up to you.
- Feasibility study/business plan
A lot of research needs to be carried out with respect to your home-based candle business idea. You need to determine if there is an existing market you can reach out to. If yes, then you need to ascertain the level of competition and the exact type of candle your potential customers would need. After that, you need to prepare a candle making business plan.
- Learn the process
Knowledge is very important to put you on the right track. It can be a huge determinant between your cost of production and your profits. The first place to start your research is on the internet because there are many candle making forums where seasoned candle makers are willing to assist you.
All you have to do is to gather as much information as you can, but ensure that the information gathered is aligned with your aims and objectives. If your aim and objective is to make soy candles and tarts, do not explore paraffin alternatives. Experiment with different candle making techniques and perfect the technique you think works best. You will be able to earn more if you master your craft. Practice makes perfect.
Clear a space in your home, whether in your garage or even your own craft room, where you will produce your candles. Candle making is a messy craft and your space must be easy to clean and handle.
- Business registration
It is essential to give legitimacy to your business. Before you can start your candle making business, it is important to register with the Corporate Affairs Commission (CAC) as well as get the appropriate permits and licenses from both the state and local government. This would save you from being embarrassed by government agents and probably closure for illegal operations.
Before you start your candle making business from home, speak to an attorney or an accountant. Get advice on tax structures and insurance. You will need it for future purposes.
- Marketing plan
There is nothing wrong with ambition. Ambition will drive you to business success but being overly ambitious will be detrimental to your business. Start small. Don’t attempt to go global when you are only capable of producing a small amount of candles. It will only lead to frustration and eventually, you will give up. But when you have succeeded, then you can expand your scope of production and market.