Comprehensive Guide To Start POS Business In Nigeria


  It is no longer news that one of the easiest ways to create wealth is to start a business. Unlike the average 9 to 5 job that offers a fixed salary regardless of the effort a worker puts into generating profit, a business offers a reward equivalent to the effort to make it successful.

     The state of the economy in the country has even made matters worse and has encouraged people to leave their regular jobs to start businesses of their own. 

     Suppose you belong to this set of people and are interested in starting a POS business in Nigeria. In that case, this article is the right one for you as it contains a complete guide that can help you start and run a successful POS business in Nigeria.



     A POS (also known as Point-Of-Sale) business is where an individual (usually referred to as the POS agent) provides bank-related services to people. Like money transfer, withdrawal of money, payment of bills, and So on, with a POS machine(operated by the POS agent) and a debit card(usually that of customers).

     When customers seek these services from a POS agent, They will be prompted to input their 4-digit pin to continue with the transaction. A GPRS network (usually connected to the customer’s bank server) will approve the transaction. If successful, a receipt will be printed from the POS machine to prove that a transaction occurred between a customer and a POS agent/bank. 



     Initially, POS machines were only used in business outlets like supermarkets, restaurants, and some big shops. Still, the high demand for certain financial services outside the four walls of banks has led to the popularity and success of the POS business. You might want to consider a POS business if you plan to start your own business.

  1. Faulty ATMs:- little wonder why some POS outlets are located around banks and ATM centers. This is an alternative for customers when these ATMs stop dispensing cash or become faulty. 
  2. The need to save time:- rather than go to a bank or ATM center to transfer or withdraw money, most people would rather look for the nearest POS outlet around them to make transactions, notwithstanding the extra fee they have to pay 



     You might be unsure whether profit awaits POS agents when customers make transactions through their banks; the truth is, IT DOES!!!

     When customers make a transaction at a POS terminal, they are charged a fee (depending on the amount involved) from which the POS agent gets a percentage. In that case, if a customer is making a transaction worth 10,000 naira and is charged with a transaction fee of 200 naira, the POS agent will be given a percentage of that transaction fee from which profit will be made.



     Starting and running a successful POS business in Nigeria is not hard to achieve, provided you do things the right way. Here are steps to take to start your own POS business:

  1. Get adequate finance

     Money is one factor that decides a business’s success or failure. Most businesses tend to fail when they are not financially stable. The POS industry in Nigeria operates similarly. An average POS outlet can have customers coming to make withdrawals of over 100,000 naira in a day. If you don’t have enough money, to begin with, how will you be able to pay customers when they come to withdraw from you? To start a POS business in Nigeria, money is crucial.

     There are also various means through which you can get finance to start your own POS business in Nigeria;

  • Save money in advance. You can decide to save enough money ahead before venturing into the POS business.
  • Borrow from a microfinance bank.
  • Borrow or ask for help from family members or friends.  
  1. Pick a location

     Once you have the finance in place, the next thing is to pick a location where you want your POS stand to be. When picking a location for your POS business, ensure it is where people buy and sell regularly. This would help increase the chances of people coming to you to withdraw or transfer money.

     It would be best if you also considered choosing a location close to a bank. As it has been mentioned already in this article, ATMs can get faulty at times or fail to dispense cash. Hence, your POS shop can serve as an alternative.

   Also, there are times when queues in the bank will be very long, and people who want to make deposits can just come directly to your shop.   

     In addition, you should also consider an area where there is high security and a low crime rate. This is because the nature of the POS business would require you to always be with huge sums of money.

  1. Get the POS machine.

     Once you’ve got the finance needed to start your POS business and a good location, the next thing is to get a POS machine. You can get a POS machine from a POS agent/company or a bank. Here are some things you need to get a POS machine from a bank:

  • You must have a business that has existed for at least a year and is registered with the Corporate Affairs Commission.
  • You must have a functioning account with whichever bank you wish to get your POS machine from
  • You must provide other documents, including a tax identification number, an ID card (international passport, diver’s license, voters card, national ID card), and your Bank Verification Number(BVN).

     Some banks in Nigeria that give out POS machines include UBA(United Bank for Africa), Fidelity Bank, Diamond Bank, First Bank, Keystone Bank, GTB(Guaranty Trust Bank), Wema Bank, Zenith Bank, e.t.c.

     Go to the branch of any of these banks and tell them you intend to get a POS machine. You will be given a form to fill out and be submitted alongside the documents listed above.

   Approving your application for a POS machine might take weeks or months(depending on the bank), but once it is completed, you will surely get the machine. 


     Aside from getting a POS machine from a bank, you can also start and operate a successful POS business by working for POS agents. Here are some POS agents in Nigeria you can work for as a POS attendant:

 Also Read:- How To Start Online Business From Home

I.  Wema Bank POS Agent

     If you are working as a POS attendant for Wema Bank POS, you will be required to provide some services to customers like bill payments, Bank Verification Number(BVN) services, cash transfers, cash withdrawal, e.t.c. 

     All you need to register is a Wema Bank account, your BVN, a valid ID card, passport photographs, an android phone, and an existing business. Walk into any Wema Bank branch and request a POS agent form. Fill out the form and wait for your application to be approved.  


II.  Opay POS Agent

     Working as an Opay POS agent will require you to provide services like cash withdrawal, cash transfer, payment of electrical bills, payment for subscription to TV services, and not to mention but a few.

     Before registering as an Opay agent, have it at the back of your mind that you will be required to provide a valid ID card, your BVN, your passport photographs, and a utility bill(should not be more than three months).

   To register, open the Opay app and request for the ‘Opay Merchandise Registration Form.’ Fill out the form, upload the necessary documents and submit the application. You will then have to wait for the approval of your application.


III. Bankly POS Agent

     If you are working as a POS attendant for Bankly, you will be required to offer services like cash transfer, cash withdrawal, and payment of utility bills, among others.  

     To register, open the Bankly mobile app and sign up. You will be required to provide details, which the support personnel will verify. Once the verification is complete, you can log in to process your application to become a POS agent for Bankly.

Note that you’ll be required to provide documents like your email address, the certificate for your registered business, your BVN, your bank account number, a utility bill, and passport photographs.  

     Other POS agents you can work for include Quickteller POS agent, GTB POS agent, Paga POS agent, Zenith Bank POS agent, Kudi POS agent, Monies Point POS agent, and not to mention but a few.



      If you are looking to start a profitable business in Nigeria, you should consider starting a POS business because its services are high in demand, and it has proven to be a successful venture over the years. Depending on the area in which your shop is located, you can earn between 5,000 naira and 15,000 in a day.

Also Read:- How To Start Online Business From Home

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