Miahzworld

Due to popular demand, I have decided to fully explain the business of GSM RECHARGE CARDS so that even a newbie can understand. I will not hold back anything and should anyone have a question, do not hesitate to ask on this forum for the benefit of all. For those who wish to ask some personal questions, simply send me a mail @ jeresoftblog@gmail.com

For newbies, we must realize the fact that although the business of GSM recharge card is very lucrative, it is also relatively CAPITAL INTENSIVE. The amount of capital you invest in the business depends on your level of entry. In other words, if you intend to be a major distributor to any of the telecom companies, you must have a registered company and must be ready to invest between N5M to N10M depending on the telecom company. Your registration will also depend on the availability of the DEALERSHIP. To the best of my knowledge, at this moment I doubt if a dealership slot for the Lagos environ is available.

To confirm all the basic requirements and availability of dealership slots in any state, simply go to the office in your state for inquiries. If a dealership slot is available and you meet up with all the requirements, then you are in business because you will get the pins very cheap.

Note that you have to register with all the different networks in Nigeria independently to become a major dealer for all the networks. I guess you realise that this involves a lot of money.

For those who might not have so much money, you will have to register as a sub dealer with any major dealer with the major dealers. The requirements differs from one sub dealer to the other. Therefore,it will not be necessary to ask me what are the requirements are. In a nutshell, the amount you need to invest to become a sub-dealer varies from one dealer to the other. To get the CURRENT dealers in any state in Nigeria, you will have to go the offices of any of the telecom providers. This is so because some of the previous dealers have folded up due to competition from other dealers.

At this point, if you have so much money to invest either as a dealer or a sub dealer, you know what steps to take.

Does this mean that the common man with a lesser amount of money cannot invest in the business of GSM recharge cards (PRINTING)?
The answer is yes, you can start the business even if you have limited funds. The only difference will be your level of entry and participation.

We must understand the fact that it what matters most in this business is the cost price of the recharge cards and the cost incurred at getting the cards at a particular price. What I mean is that we should not be carried away by the terminology or the use of the word SOFTWARE. You may be surprised that at the end of the day, it doesn’t make your printing cheaper, rather perhaps more expensive. I will now go further.

There used to be a company calledI PREPAID NIGERIA. The company offered their software for FREE. Unfortunately, their prices were not competitive at all. Since they are no longer in existence, there is no need going into all that.

The second company I know of that uses a software for printing GSM recharge cards is called Ringo Telecoms. The software costs N10,000. It can print ONLY the lower denominations of all networks. ie N100 & N200. It cannot print the higher denominations like N400, N500, N750, N1500 etc. Therefore you are limited to printing the lower denominations. You will have to take your laptop to their office at 115/117 Allen , Allen junction by Tantalizers, Ikeja, Lagos.

It is most pertinent to note that the fact that you have bought the software does not make you get the pins CHEAPER from the same company. These are the costs incurred if you are to print ONLY the lower denominations using a software.

1. Software – N10,000
2. A4 paper – N900/N1000
3. Internet modem – N5000/N10000
4. Monthly subscription – N4000/N6500 ( depends on the user)
5. A valid email address.
6. A printer – N9500
7. Ink – ?
8. 100 units and above for each network and denomination to get the pins at the cost price listed below

MTN 100 – N95 = N9500
MTN 200 – N190 = N19000
GLO 100 – N93 = N9300
ETI 100 – N91 = N9100
VISA 100 – N91.5 = N9150
MULTI 100 – N92 = N9200
XCOMMS 100 – N91 = N9100

These prices are not fixed but subject to change at any time.

The total cost of the pins amounts to N74350. This is if you are to print all the lower denominations only of all the networks. Well, you may ask if perhaps you can reduce the volume of the pins you are purchasing but I guess it may affect the price. The customer care personnel I met there was not very open when I tried knowing the exact prices I will get the pins. He said that the prices vary. Well further inquiries from their other office where the cards are sold over the counter revealed that one actually gets the pins AT THE SAME PRICE!

It was funny because the lady in quote said ” Better buy the recharge cards over the counter “. They are the same prices and you will save money on all the other recurring expenditures.

If you live in Lagos around the mainland area and Allen is close to you, you may as well buy the pins over the counter and save your self the stress of printing via a software. But if you live far away from this address, you may decide to use the software. But before that, answer these questions.

1. Do you wish to sell to the end user?
2. Do you wish to distribute those who sell to the end user?

This will determine your level of entry into the business.

For those who wish to sell to the end user, answer these questions,

1. Where is your location? Is it a school, church, market, plaza, estate, government quarters?etc
2. Who are your target market and what is their demand?

Some of our clients who conduct their businesses in the Apapa and some markets such as Balogun markets in Lagos do have their customers purchase more of the higher denominations or recharge cards than the lower denominations. Others in universities actually record a mixture of both higher and lower denominations. Therefore, knowing your target market will enable you know how to venture into the business.

You do not need to come over to Ringo if it is very far fro you. Simply locate any major dealer in your vicinity and make your purchase. The higher your purchase, the cheaper you get the cards. Make your due diligence before purchase.

THE USE OF THE POS MACHINE

The POS machine is powered by Inter Switch.
Unlike the software process, the machine can actually print ALL DENOMINATIONS from ALL NETWORKS. From MTN 100,200,400,750 etc to AIRTEL, GLO, STARCOMMS, etc. It prints any denomination. It is the only machine that has the ability to do this. It can also print DSTV,& GOTV scratch cards. You can actually start printing recharge cards with as low as N1000. This excludes the cost of the machine.

With the use of the machine, the use of a software , ink, A4 paper, internet connection , email address, printer and so on is no longer required. Also, you have access to ALL the denominations from ALL NETWORKS at any point in time. The process is safe because you do not carry recharge cards about. Rather, the machine prints the cards on demand. The machine is also pass worded. Loading your account on te machine can be done from your ATM card. Simply read my ealier post on this thread to get all the details of the machine. Find below the cost price of the cards on the machine.

MTN – 5% ie MTN 100 = N95, MTN 200 = N190, MTN 400 = N380,etc
GLO – 6% ie GLO 100 = N94, GLO 1000 = N940, etc
Other networks 7%. eg , AIRTEL 100 = N93, N1000 = N930, etc

It is convenient, safe and portable. All records of the transaction are digitally accessible.
The machine costs N75,000. All those interested should please send a mail to tosabem2000@yahoo.com

Now, I hope this throw throws more light on the topic of recharge card business. I welcome all questions and will provide answers to the best of my ability.
God bless you all.