We’ll talk about how to start solar energy business in Nigeria in this post. True, the country’s present power situation is concerning, and this has pushed millions of Nigerians to search for other sources of energy, resulting in the advent of solar energy in the country.
As we progress through this article, we will define solar energy and provide step-by-step guidance on how to start a solar energy business. Please continue reading to learn more.
What Is The Best Way To Start A Solar Energy Business In Nigeria?
Brief Overview of Solar Energy
Solar energy, often known as solar power, is the radiation from the sun that is capable of producing heat, triggering chemical reactions, or generating electricity, according to Encyclopedia Britannica. It is becoming more appealing as a renewable energy source because of its limitless supply and nonpolluting nature.
Solar energy as a source of power is as simple as absorbing energy from the sun through solar panels and then turning that radiant energy into electricity via solar batteries and inverters.
Because many individuals in Nigeria are always seeking alternate power sources, the solar energy industry in the country has become highly feasible.
Nigeria’s erratic power supply in most parts of the nation has prompted individuals to seek long-term solutions to their power problems, and this has proven to be a gift in disguise for those who have decided to start a solar company in the country.
When opposed to the usage of fossil fuels, this renewable source of energy is the way to go because it is quiet and poses little or no risk. The procedures for starting a solar company in Nigeria are outlined below.
How to Start Solar Energy Business In Nigeria
The following are the procedures for starting a solar energy firm in Nigeria:
Get Your Solar Energy Business Registered
One of the first steps to Start Solar Energy Business in Nigeria, like with many other enterprises in the nation, is to register it with the Corporate Affairs Commission (CAC).
Your firm might be set up as a sole proprietorship or as a limited liability corporation. It is, however, less expensive to just register your business name, which allows you to open a corporate account with any bank in the nation.
When you register your company with the CAC, it becomes more reputable and reliable. You should also register with the country’s appropriate solar energy unions so that you are covered by their umbrella body and may operate without any problems.
Select a Niche in The Solar Energy Industry
In Nigeria, you can establish a solar energy business in one of the following ways:
Sell Customers Solar Products
This will necessitate forming a partnership with some of the country’s leading manufacturers of solar energy products. To get started, you may not require a large sum of money.
All you have to do is go to these businesses and haggle over costs. You may begin promoting to potential consumers once you’ve agreed on pricing. You can place an order with the manufacturing business at the agreed-upon pricing and sell at a profit as soon as your clients pay.
The following are three key components that you will be selling:
- Solar Panel: A device that captures the sun’s radiant energy.
- Inverter: A device that stores energy in a battery for later use.
Read Also: Cost of Solar Panel and Inverter Installation in Nigeria
When the sun goes down or the power source is disrupted, the inverter instantly switches to the energy stored in the battery (You can charge the battery using NEPA light if you do not have a solar panel yet). The batteries come in a variety of sizes: 50 ah, 100 ah, 200 ah, and so on.
Become a Solar Energy Product Installer
Installing solar energy items is another way to establish a solar energy business in Nigeria. Not everyone in the country understands how to install solar items, and if you’re interested, you’ll require electrical and technical skills.
You can form a partnership with solar energy product vendors so that they can contact you whenever a client purchases a product from them and requires installation.
Become a Repairer of Solar Energy Equipment
Another way to get into this industry is to work as a solar energy equipment repairer. You may learn how to fix these machines and then offer your services to inverter users anytime one of their machines breaks down or needs to be serviced.
Draw up a Business Plan
A solid business strategy can help you succeed in the solar industry. You’ll need it to help you figure out what to do and how much money to set away for the business you’re going to start.
It should also include your long-term intentions as well as your short-term objectives so that you can stay focused on what you want to accomplish over time.
Get an Office Space in a Good Location
A decent location will assist you in attracting the necessary clients for your firm. If you’re just getting started, you can work from home, but as your business grows, you’ll need an office space in a favorable location to bring you the visibility you needed from your potential customers.
Because this is a solar energy company, you may need to choose an office space with inconsistent electricity areas while keeping in mind that you want to be near individuals who can buy your equipment.
Publish Information about Your Solar Energy Company
People will learn about you if you advertise your business. To promote your firm to your target demographic, make sure you use all of the available advertising outlets.