HOW TO START A UNIFORM MANUFACTURING SERVICES BUSINESS IN NIGERIA

A uniform is defined as the distinctive clothing worn by members of the same organization or body or by children attending certain schools. It is a kind of identity that distinguishes an individual or organization from others. The uniform manufacturing business is a profitable business that deals in with the clothing industry. This business can be done in any location including from the home of the business owner. When starting a uniform manufacturing business, the capital to be invested depends on whether you want to build the company from a large scale because little capital investment can be used to acquire machinery and equipment.  Uniform manufacturing services include sewing:

• School uniforms
• Physical education wears
• Sport wears
• Sweatshirts
• Sweaters
• Knitted shirts
• Customized embroidery
• Custom made uniform for companies
• Medical uniforms such as lab coats, doctors coat, nurses wears, patient wears and dress, theatre wears, disposable wear and scrub wears
• Casuals
• And training services
• Uniform for infants
• Boiler suits
• Overall jumpsuits
• Dungarees suit
• Protective jackets
• Factory wears
• Hotel uniforms
• Aprons
• Protective wears

You have to ensure that good raw materials are used in order to manufacture quality uniforms to your customers. The customer target of a uniform manufacturing services business

Business to other Business like airlines, industrial companies, hotels and airlines

Business to consumers like manufacturing school uniforms, sport wears etc.

Business to governments like hospitals, military, police etc.

The uniform manufacturing services business follows the procedure below

Design > Supply of raw materials > Manufacture > Wholesale > Retail > Customers.

PROCEDURES AND GUIDELINES ON HOW TO START A UNIFORM MANUFACTURING SERVICES BUSINESS

The uniform industry is highly competitive, and only entrepreneurs who know what they’re doing can expect to survive and enjoy profit. Thus in order to build a successful uniform manufacturing services business, the following procedures must be adopted

• Know your target

Before starting a uniform manufacturing services business, the first step you are meant to take is knowing your niche. This has to do with knowing the types of uniforms you want to manufacture. Are you manufacturing for schools or hospitals, law enforcement agencies or a combination of all of them.  You must have a clear understanding of the industry you are offering your services to. After you must have built your reputation, you can expand your services to other industries

• Make a business plan

A business plan is vital for any establishment. Having a business plan will help you create goals and make plans in order to improve your business in the long run. A well drafted and proper business plan consists of:

1. Executive summary (This will be done after the plan is written)

• Business Overview
• Market Overview: The Opportunity & Solution
• Competition
• Financial Highlights
• Our Ask

2. The company overview

This is the introduction and description of your company. It covers the following details

• Mission and vision
• Overview of company history/capabilities
• Product description and present stage of development
• Competitive advantage (what’s different or better than competition)
• Past customers and performance (if applicable)
• Legal entity, hours of operation, location description and attributes
• Structure & Ownership
• Management Team
• Intellectual property status (if applicable)
• Commercialization strategies (if applicable – time frame and actions to move from idea to marketplace

3. Product and services

This covers the following:

• Definition of Products or Services to be Sold
• Product Viability
• Technology

4. Industry analysis, market analysis and marketing strategy
5. Swot analysis
6. Market analysis

• Market size(Estimate of the total market size for the product or service and trends
• Quantification of the size of each market segment in terms of (Naira spent, units used, number of people, percent of income etc.)
• Competition to the business
• Market Segmentation and Demographics
• Customer Profile(Actual and potential purchasers of product or services by market segments)
• Barriers to Entry

7. Marketing/sales plan
8. Management and operations
9. Summary of risks involved
10. Professional and advisors
11. Financials

• Cash flow projection and/or existing (3 years) with breakeven analysis
• Income/Expense projection and/or existing (3 years with ratios and benchmarks to industry)
• Sources and uses of funds (funds needed, owner equity, how funds will be used/start-up cost analysis

12. Funding

• Amount of Money Sought
• Use of Proceeds

13. Project implementation schedule if any

• Obtain funding

After drafting a business plan, the costs to be incurred by you in the course of the business is estimated in the business. The next step is to obtain funding or financing that will be invested in the business. Funding can be gotten for the business from:

1. Self-financing
2. Families and friends
3. Seeking bank loans
4. Investors
5. Venture capital
6. Selling shares of the company to the public

• Incorporate your company

Incorporating your company deals with registering your company which will ensure that it is treated as a separate legal entity that is different from its owners. This will ensure that your personal liability is protected if your company is sued. The business owner will register the company name with the Corporate Commission in Nigeria. The business will be registered as a limited liability company. The following are the requirements for registering your company as a limited liability company

1. The first step required by the applicant is to choose two suitable proposed names for the company. Where this is done, an availability check will be conducted on the CAC online portal to find out if the name is available and not already in use.
2. Choosing the type of company to be registered whether a private limited company or private unlimited company or company limited by guarantee.
3. The objectives and business of the company must be provided.
4. The registered principal address of the company.
5. The share capital and shareholding formula among shareholders will be required.
6. The particulars of a minimum of two (2) Directors will be required. A copy of their means of identification such as voter’s card, national ID, drivers’ license or international passport.
7. Particulars of the company secretary (one of the directors may also act as the Secretary of the company)
8. The applicant will be required to furnish details of the shareholders of the company. Details such as names, occupation, residential address, email address, mobile phone number and means of identification such as driver’s license, international passport or national identity card. It should be noted that the directors listed can also hold the capacity of shareholders in the company if desired.
9. The memorandum and Articles of association of the company to be registered which is advisable to be drafted professionally by a Legal Practitioner. However, the CAC has provided a generic MEMART, which any new company can be adopted.

After which a consultant will prepare the following incorporation documents. They include

• Duly verified particulars of the director and statement of share capital known as CAC Form 1.1
• Duly stamped Memorandum and Articles of Association
• The individual completes all the incorporation documents with the input of an accredited lawyer to duly attest to the incorporation documents.
• The payment of the prescribed fees will now be duly made online and the incorporation documents immediately stamped online.
• The stamped incorporation documents will now be duly uploaded into the CAC online portal again for the final review of the commission
• If all the incorporation documents are well completed and executed, the commission will incorporate the company and issue an incorporation number immediately online.
• Certificate of Incorporation and the Certified True Copies of the other documents will be issued by CAC and received by the consultant or lawyer, usually in less than 48 hours after the company is duly incorporated by CAC
• Secure a good location

A good and specious location is needed when you want to establish a uniform manufacturing services business. The location of the business should be in a commercial area where the products manufactured by the company will be displayed and where it is easily accessible to by clients and customers

• Get the necessary and relevant equipment and materials

The necessary and relevant equipment would also be required when starting the business. For a uniform manufacturing services business, the cost of acquiring equipment and materials requires little capital. The following equipment and materials are used in the course of work:

1. Sewing machine
2. Pattern makers for crafting designs
3. Fabric shears
4. Heat transfer machine for t-shirts
5. Digitizer board for pattern scanning
6. Mannequins to model our products
7. Racks
8. Packaging materials
9. CAD tools for designs
10. Hole punchers
11. Automatic zig zag machine
12. Cutting tables
13. Overlock machine
14. Electric iron
15. Imported Fusing Machine
16. Fabric folding machine
17. Interlocking machine
18. Button hole machine
19. Other miscellaneous equipment like scissors, tapes, elastic, sewing threads, buttons, zips etc.

• Hire experienced staffs

When starting a new business, you should source out for staffs that have competent sewing skills and experience in the industry. The following employees will be needed when establishing a uniform manufacturing services business:

1. Uniforms Production Manager
2. Human Resources and Admin Manager
3. Uniforms Design Manager
4. Accountant/Cashier
5. Marketing Executives
6. Purchasing and Inventory Manager
7. Front Desk Officer
8. Cleaner
9. Driver

Personnel can be gotten through

1. Posting about the vacancy on your website and across any social media or email marketing channels
2. Asking your business network, as well as friends and family if they know anyone suitable
3. Adding the vacancy to general recruitment websites
4. Advertising the vacancy in industry trade media or local newspapers

• Get a website for your business

Modern technology has aided a lot of organizations by boosting their sales. You can decide to have both a physical store and an online store. Having an online store will enable you reach out to clients and customers that cannot come down to the office location.  It will also increase the customer’s trust in your brand

• Intellectual Property Protection

In a uniform manufacturing services business, the business owner can come up with various designs that are not used or known elsewhere. The only way one can protect the design is by acquiring intellectual property protection. It is very essential to protect the intellectual properties of the company in order to prevent them from being stolen. The company will have to file for intellectual property protection in order to protect the company properties such as the company name, logo, documents and software that are unique to the company

• Market your business

There are many ways to which one can market its uniform manufacturing services business. They include:

1. Sending fliers to schools, sports teams, medical associations and government institutions telling them about your exceptional services
2. Launching a promotional website
3. Marketing your business to schools, offices, hospitals, and other businesses that will be interested in your services
4. Creating a unique business name
5. Developing an attractive logo
6. Place adverts on ICT magazines and related newspapers, radio stations and TV stations
7. Encouraging your customers to make referrals on your behalf
8. Leveraging on social media platforms and advertising on Facebook, Instagram, Twitter, LinkedIn in order to promote your business

• Develop a sales strategy

You will need to devise a sales strategy for your uniform manufacturing services business, this can be done by proving your worth to your clients and customers by adopting the following means

1. Bidding on private and public contracts
2. Pitching your business in order to ensure that people are willing to patronize your business
3. Contacting clients individually and approach them with the services you offer.
4. Introduce your business by sending introductory letters alongside your brochure to all the corporate organizations, small scale businesses and the international business community
5. Promptness in bidding for cloud computing contracts from corporate organizations
6. Join local chambers of commerce and industries around you with the main aim of networking and marketing your services

• Launch your business and maintain your reputation

After you have followed all the guidelines and procedures, you can now launch your business. You must ensure that you build and maintain your good reputation by delivering top notch services to your clients and customers. If you stick with delivering good quality services for years to come, your uniform manufacturing services business brand will be known.

CONCLUSION

In order to have successful uniform manufacturing services business, companies must adhere to the procedure and guidelines stated above. There are many great opportunities to make a profit in the uniform industry and establishing this line of business requires little capital.  . See a consultant now to help you ease the stress of going through the long process on your own. For more information on Uniform manufacturing services business, you can contact us on  08023200801, 08075765799, Email: info@qeeva.com

About the author

Onamakinde Dare Daniel is a highly motivated accountant with knowledge in Accounting, Taxation, Management, Audit, Costing and Research. He is keen on tax matters due to its ever dynamic nature.