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Useful Leads

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*Do a feasibility study

*Provide at least a three-bedroom flat for office and factory

*Purchase local or foreign machines

*Train your staff

Mrs  Ronke Adetoun Semowo is the Managing Director of  Cheladet Nig. Ltd. She presides over the boards of  Cheladet Nig. Ltd. and Berons Ltd. She shared her business investment experiences with Okey Ndiribe.

SHE started with doing embroidery but later branched into production of gift items and award plaques for companies.  Later she added engraving, screen printing and making of  award plaques for companies. She later felt she needed  something that could put her on a better business footing. This was why she went into manufacturing. She branched  into the production of black rubber for aluminium doors and windows.

She believes that for business to really grow in Nigeria, there must be constant  power supply.

Said she: "The business of producing black rubber for aluminium doors and windows is a very good one. The  technology is not so complicated and the products we made were accepted in the market by all the contractors who  were using them. People came from outside the country to buy them.”

Mrs Semowo believes that for any business which involves production, the sky is the limit.

She felt she could even influence other people to go into her line of business “because what you need to start is not  much.”

She continued: “You need about one million naira to start.  I know that many people would feel good starting a  business with one or one and half million naira. When you produce, you sell without much hassles. What you  simply  do is that you could go to  wherever any construction work is taking place and  aluminium  doors and windows are  needed. This immediately implies that the black rubber would be needed.”

The product was formerly imported. Mrs Semowo believes that if anybody could produce something that compares  favourably with the imported type, he would get customers.

“There is no reason why you should not sell and make profit in this line of manufacturing. I began manufacturing in  2001," she said.

Before she started, she did a feasibility report. This was necessary to know the  product, know where she could find  the raw material and what machines were needed. It is  also important to know about the market.

She did the feasibility report and discovered that the business had a good potential.  She went to few aluminium village  and few other places where she could find market for her product.

According to her, “we also found people who were interested to act as our distributors. After they purchased our first  supply of  products and resold them to the end users, they realised that the product was really good.”

The raw material for the product is available in Nigeria. Mrs Semowo believes that when a manufacturer knows where  to find the raw material for his product, it makes his work easier.

From the beginning, Mrs Semowo prayed about the new business she was about to  start. This was even before she  went for a  feasibility report. It was the company name registered by her late husband that she used. The company’s   name is Berons Ltd.

Irregular power supply became a problem and she considered the option of providing her own alternative source  through a generator.

Said she: “But we discovered that the profit would not justify the huge expenses that would be involved in buying a  generator and  fueling it.”

For instance, the machine needs to be switched on for at least an hour before production can commence.

She continued: “When you consider the cost of diesel now, it won’t be worth your while to buy a generator. Apart  from that, I know what it entails to run my personal generator at home. Today, the technician would tell you that if you  spend so much on your generator it would be alright. Tomorrow, it would be another thing. So I did not want to give  myself any headache.”

The first thing she would advise anyone who wants to start any business is to first of all pray so that he would be  guided. She also believes a businessman should go into business knowing that he must be honest and he must be  prepared fully for it.

When the feasibility report is ready, the next stage is  to provide a place where the machines would be mounted. In her  case, Mrs Semowo already owned a building, so she  did not have to go and rent another place.

According to her, “but you have to  take into consideration that the machine is a bit long. It is necessary to have a  machine that would roll the products up for you to cut because they are bulky. A three bedroom flat should be enough  for a beginner. This would ensure that an office for the management staff, a toilet and other facilities are available.”

She said those who installed her machines taught her staff how to operate them. Fortunately, the machines were not  too complicated. Even though she bought her machines in the United Kingdom, those who installed the machine came  from within the country.

After she commenced production, she went as far as Abuja to market the product. Over there the product was also  hailed. 

It was Mrs. Semowo’s  customers who told her that buyers were coming from Burkina Fasso, Ghana and other  African countries. She reasoned that if the product could be taken to these countries, nothing can stop her from  exporting the product beyond them in future.

However, as a result of power disruptions, she had to go back to her old business of engraving, screen printing and  plaque making.

Mrs Semowo would advise people who want to go into screen printing, engraving and plaque making to ensure that  they are  computerised from the onset. She has done  this business for long.

It entails personalising items that can last  long. For instance, a man’s name could be   engraved on his wristwatch or  gift item so that it would not rub off.  The machine makes an impression that is long-lasting. Screen printing is not as  lasting as engraving. But with current technology, sublimation could be done. Sublimation lasts more than screen  printing.

But Mrs Semowo would not advise anybody who wants to start this line of business now to do so without being  computerised. Whoever wants to start this business now should start with computerised machines.

The pioneers in the business used to train engravers for about six months. But when Mrs Semowo started the  engraving business in 1975, she  had to advertise in Daily Times  for six months before she could get somebody to be  trained. Her business name then was Ronke Commercial Enterprises but later she changed it to Cheladet Nig. Ltd. The  engraving machine was also imported. It wasn’t a business many people were aware of then.

Said she: “But by the Grace of God, we have continued until now and along the line we added screen printing, making  of award plaques, writing of marriage proposal letters and promotional products.

"However, I have always told beginners in any business that they must have genuine interest in whatever they want to  do.

“You must carefully go about it and you must listen to your inner voice to guide you. At the time I started this business,  not many people knew what it was all about. But with time, things got better as awareness about our services  increased. We believe we are one of the best companies making award plaques in this country,” she said.