Looking for a Pharmacy business plan for your new or existing enterprise?
Download this pharmacy business plan, which you can download to present to NIRSAL, TEF BOI, BOA, and other investors.
How Much to Start a Pharmacy Business in Nigeria
Starting a pharmacy business in Nigeria requires a significant amount of capital investment. The cost of starting a pharmacy business will depend on several factors, including the location, size of the store, the range of products, and the business model. Here is a detailed technical guide on how much it costs to start a pharmacy business in Nigeria.
- Business Plan: The first step to starting a pharmacy business in Nigeria is to develop a comprehensive business plan. The business plan should include details on the products to be sold, target market, marketing strategies, financial projections, and other essential details.
- Registration and Licensing: The next step is to register the business and obtain the necessary licenses and permits from regulatory agencies, such as the Pharmaceutical Council of Nigeria (PCN) and the National Agency for Food and Drug Administration and Control (NAFDAC). The cost of registration and licensing can range from ₦200,000 to ₦500,000.
- Store Location: The location of the pharmacy store is a critical factor in the success of the business. A strategic location with high foot traffic can attract more customers and generate more revenue. The cost of renting or leasing a store will depend on the location and size of the store. The cost of renting a store in a busy area can range from ₦500,000 to ₦2,000,000 per year.
- Interior Design and Furnishing: The interior design and furnishing of the store will depend on the size and location of the store. The cost of interior design and furnishing can range from ₦500,000 to ₦1,000,000.
- Inventory: The cost of inventory will depend on the size of the store and the range of products to be sold. A medium-sized pharmacy store will require about ₦5,000,000 to ₦10,000,000 worth of inventory.
- Equipment and Supplies: The equipment and supplies required for a pharmacy business include shelves, display cases, computers, cash registers, barcode scanners, and other supplies. The cost of equipment and supplies can range from ₦1,000,000 to ₦3,000,000.
- Staffing: The cost of staffing will depend on the number of employees and their salaries. A medium-sized pharmacy store will require at least four employees, including a pharmacist, a sales representative, and two support staff. The cost of staffing can range from ₦500,000 to ₦1,500,000 per year.
- Marketing: The cost of marketing will depend on the marketing strategies employed. A pharmacy business can employ various marketing strategies, including social media marketing, email marketing, and local advertising. The cost of marketing can range from ₦100,000 to ₦500,000 per year.
Overall, the cost of starting a pharmacy business in Nigeria can range from ₦10,000,000 to ₦25,000,000, depending on the size of the store, the range of products, and the business model. Entrepreneurs need to conduct proper market research, develop a solid business plan, and invest in quality equipment and inventory to ensure the success of the business.
DOWNLOAD THE PHARMACY BUSINESS PLAN TEMPLATE
1.0. Executive Summary
Ara Pharmacy store will be located in the heart of Ilorin, Kwara state. A well-structured facility that matches the perfect picture of a community retail pharmacy store needed has been acquired on a term of the lease for 5 years. Also, the facility requires a little amount of spending on renovating because before taking over the facility, it was used as a retail store.
Ara Pharmacy store is looking to sell an array of pharmaceutical-related products within the Ilorin environment and beyond. We are targeting the common masses, so our pricing policy is “affordability and accessibility”, i,e to charge as low as possible via our online store and over the counter.
A key factor we have outlined is ensuring our staff including the physician are well trained in administering top-notch pharmaceutical services including drug administration, and clinic recommendations.
At Ara Pharmacy Store, we will ensure that all our customers are given first-class treatment whenever they patronize us. We will use CRM software to manage a one-one relationship with our customers no matter the increase in customers’ base. We will ensure that we carry along with our customers in the selection of brands that will be on our racks and also when make some business decisions.
Ara Pharmacy Store is owned and managed by Kunle Ara and Family. Mr Kunle Ara is the Chief Executive Officer of the business; he has a first Degree in Pharmacy and an MBA from the University of Ilorin, Nigeria. He has over ten years of experience working as a pharmacist with an NGO in Nigeria.
2.0. Products and Services
Ara Pharmacy Store will retail a wide range of generic and branded prescription drugs from different manufacturing brands to customers. Also, we will engage in the sale of the following Products;
Small scale medical equipment/instruments et al
3.0. Our Mission Statements
To become the most open retail pharmacy store in the whole of Ilorin and other parts of Nigeria.
4.0. Our Vision Statements
To Establish a standard and top-tier retail pharmacy store that provides her customer with a wide range of generic and branded prescription drugs from the best pharmaceutical manufacturing companies at affordable prices to the residence of Ilorin.
5.0. Our Business Structure
Ara Pharmacy Store is a business that will be built on a solid foundation. We decided to hire experienced and qualify employees as foundational staff of the organization because we are quite aware of the rules and regulations governing the pharmaceutical industry.
These are the positions that will be available at Ara Pharmacy Store;
CEO (pharmacy owner, superintendent pharmacist and supervising pharmacist)
Pharmacist technician (3)
Information Technologist (Contract)
Sales agents (3)
Cashier (Counter Agent).
6.0. SWOT ANALYSIS
We have compiled the SWOT analysis for
Our first strength will be the Business model we intend on operating with(physical store and online store) that will be opened for 24 hours, Seven days a week. Also, Our location and our excellent customer service knowledge will count as a great strength for us.
Our observed weakness is the fact we are a new pharmacy and we may not have the required finance to sustain the kind of publicity that the business requires to scale up.
The opportunities that are open to the retail pharmacy business is limitless and we are going to build our business to make the best out of the opportunities that will be available to us in Ilorin.
Just like any other business, one of the major threats that we are likely going to face is the economic downturn. It is a fact that an economic downturn affects purchasing/spending power. Another threat that may likely confront us is the arrival of a new retail pharmacy store in the same neighborhood where our target market exists.
7.0. Our Target Market
Ara Pharmacy Store is in the retail pharmacy business to service a wide range of customers in and around Ilorin. Our staff is trained to effectively service our customers and still play by the rules governing the industry. The fact that we are going to open our doors to a wide range of customers does not stop us from demanding and screening prescriptions as required by the law. Our customers can be classified into the following;
Sports Men and Women
8.0. Sources of Income
Our major source of income will be retailing of prescription drugs and over-the-counter drugs. Ara Pharmacy will also generate income from the sale of other products such as beauty goods, cosmetics, greeting cards, luxury foods et al.
How To Download Pharmacy Company Business Plan PDF and Doc (With financial analysis)
Pay the sum of N8000 (Eight thousand naira only) to the account detail below:
Name: Oyewole Abidemi (I am putting my name and not our company account so you know I am real and you can trust me, and trace me)
P.S: We can also tailor the pharmaceutical company business plan to your name, business size, capital requirements, and more to fit your direct needs. Call or message +234 701 754 2853 for inquiries.
Thereafter, send us your email address through text message to +234 701 754 2853. The text must contain the title of the business plan you want and also your email address. Immediately after the confirmation of your payment, we will send the pharmacy plan sample to your email address where you can easily download it.