The act of distributing eggs and making them available to customers locally is known as the egg supply business or egg distribution business.
To start an egg business, you need to start your Poultry farm or locate a Poultry into layers raising, bargain with them, get means of transportation then move the eggs to a direct client.
Let’s quickly take a step-by-step guide on how to start an egg distribution business.
How To Start Egg Distribution Business [Step By Step Guide]
Here are the steps involves to start supplying eggs to customers;
Step 1: Locate a Poultry farm or start yours
The quickest way to start egg supply right away is to search for a big Poultry that can supply you with large quantities of eggs to redistribute to end-users.
You can scout for one by searching on social media, and telling friends and relatives to keep you abreast if they found one.
Alternatively, you can start your own Poultry farm and raise layers that will lay eggs for you.
The difference between this two is that with the first approach you can get into business right away, while the latter will take you time to get your business off ground.
Step 2: Do a market survey for potential buyers
Distribution requires you to have clients who are readily available to buy directly from you. So to make your quest of starting an egg distribution business a success, you need to enter the market, neighborhood, and religious places and collect information about customers who are in need of eggs and the quantities they will be needing.
Step 3: Raise Capital
To start your business, you need to raise capital. You will need an initial capital of at least $1000. With this, you can Poultry of your choice to book stocks.
Step 4: Find means of transportation
The hardest part of this business is having the mobility to move from one customer to another.
To reduce the cost of mobility, you may purchase a tricycle. This will not only reduce the cost of the vehicle but as well reduce the expenses you may need to spend on it when it is faulty.
Also, it will help reduce running costs on fueling.
Step 5: Purchase other tools needed to start supplying
To kickstart your supply business, you need to buy crates, and books to take orders, and have an office location where your customer can come book as well. With this in place, you can start running your business.
Pros Of Egg Supply Business
Working as an eggs supplier comes with lots of benefits which include;
You can have a good return on capital if you venture into the egg distribution business.
You can make 100naira per crate multiplied by the number of crates you sell daily or weekly.
It is easy to start:
Unlike other businesses, the egg supply business is easy to start from anywhere in the country.
High demand for eggs:
The demand for eggs is always high. You cannot run at a loss if you start distributing eggs.
It creates a source of employment:
in the face of timing unemployment, starting an egg distributing business can help wipe out unemployment from society.
Cons Of Egg Supply Business:
It is expensive to start:
To start an egg distribution business requires lots of money to start.
Ranging from money to buy equipment to use, to buy stocks, to run daily expenses, one can conclude it’s expensive to start.
High risk of shortage:
Distributing eggs comes with its risks. Owing to the fragility of eggs, eggs can easily break while transported from farm to client.
It doesn’t stay too long before it got spoilt:
If eggs are not sold between 1-2weeks intervals, they can deteriorate to a level one will run at loss.
Potential Places You Can Supply Eggs To
To start your egg distribution business, you need to know your potential buyers and they include;
Those who make snacks and stuff, they may need eggs to make Dutch eggs, egg pie, etc.
You can approach those who are into making cakes as they require eggs in course of their cake production.
Home and offices:
You may distribute to office workers who intend to cook and eat eggs at home.
You can approach the cosmetic industry as they also require eggs for their production.
Common Problems Facing Egg Distribution Business
The common problems facing the egg distribution business include
- High risk of egg breaking
- Capital intensive
- High cost of animal feeds
- Bad road network which sometimes leads to cracking and breaking of eggs.
Is the egg business a profitable business?
Yes, the egg business is a profitable business to start anywhere in the world.
How Much Capital to start an egg business
You need at least $1,000 to start an egg business anywhere in the world
Before you start your venture into the egg supply business, you need to follow the steps we have listed in this guide. So, that is all we have prepared you on how to start an egg distribution business.