How to Start a Small Nail Making Plant in Kenya With Less Than 3 Million Kenyan Shillings

How to Start a Small Nail Making Plant in Kenya With Less Than 3 Million Kenyan Shillings

Nails are a fast-moving consumer good just like soap, steel wool, pens, books etc. Every day there is need for nails owing to high demand for furniture, construction of houses that is being done in almost every available space in Kenya, fencing of homesteads and land etc. There is no particular day that nails will not be required. The good news is that the demand keeps growing more and more. Has this revelation opened your eyes makes you feel like slapping yourself for not having thought about this? If this is you let us show you how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings.

Before you start throwing your hands in the air saying but I read somewhere online that you can start with half a million and all that brah brah brah…. It’s one thing to go online and pull a figure of one component of the nail making machine from Alibaba website but it’s a different whole thing knowing all the necessary equipment needed and their prices. Let me give you free piece of advice, a complete small nail making plant will cost around ksh 3 million shillings. This cost includes main machine, other components that must be assembled for the machine to run well(please refer to the components/accessories further down in this article), shipment, import duty, licenses and other costs of setting up the plant(some of these are relative like cost of labor, structures, cost of installing electricity etc).

Due to the readily available market and economical running costs, you can be assured of quick returns on your investment. Another highlight of why this is a very viable business is because the few nails making plants are concentrated in Nairobi and there is untapped market in other towns that depend on manufacturers that are concentrated in Nairobi. This shows you that surely you can’t go wrong with this business venture.

At SME Resource Centre, we will help you acquire the machine, set it up, commission it to start running and also offer you entrepreneurship training on running the business in a professional way. We walk with you step by step until you become a guru in this business.

Worried about capital? We have you covered in this also. We have financing options available for you subject to terms and conditions. A few of them will include you buying the machine from us, capability to repay, your credit worthiness and much more. Please get in touch with us to learn more.

Now let’s get down to business on how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings.

Nail making machine accessories and equipment requirement for a small nail making plant in Kenya

  1. Point rolling machine(is used to sharpen the head of the wire, before it can enter the wire drawing machine)
  2. Butt welding machine(used to weld two wires coils together. When one wire coil finishes being drawn, this machine connects the next wire coil to continue to be drawn by the wire drawing machine.)
  3. Nail polishing machine(this machine is used to polish the nails to make them brighter, smoother and anti-rust)
  4. Automatic cutter grinding machine(includes diamond grinding wheel)- it’s used to sharpen the nail cutter.
  5. Wire reel(for holding the wire to ensure it unfolds well)
  6. Nail mould(for making the shapes of the nail)
  7. Wire drawing machine– (reduces the diameter of wire if the diameter of wire is thick before it entering the nail making machine the user can set the diameter needed.
  8. Cutter
  9. Punch pin
  10. Extra spare parts

Below are some photos of the accessories and machines that make up a nail making plant

How to Start a Small Nail Making Plant in Kenya With Less Than 3 Million Kenyan Shillings

Main nail making machine component(contains moulds that determine size and shape)

how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings

Single horizontal wire drawing machine

how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings

Nail polishing machine

how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings

Combined wire drawing machine with 3 rollers

how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings

Grinder

how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings

Pointing rolling machine

How to Start a Small Nail Making Plant in Kenya With Less Than 3 Million Kenyan Shillings

Butt welding machine

 

 

Space

The ideal space is not very big. A space of 15m² you are all set. However, its always advisable to have as much space as possible for expansion, storage, administration and service area.

Power

You will need at least 3 phase power supply and some machines might require 4 phase power supply. It’s good to check which power supply needed before buying the machinery so as to make the necessary arrangements.

Location

You need to consider the location of your business wisely. As indicated earlier, it’s very advisable to target the other counties apart from Nairobi. Fast growing towns like Nanyuki, Isiolo, Machakos or towns that have had a consistent growth trajectory where there is huge market like, Kisumu, Nakuru, Meru, Nyeri, Eldoret. Other places very ideal are the satellite towns of Nairobi like Githurai, Ruai, Rongai etc.

Licenses and business permits

You must have a business permit and relevant licenses from the county government. This is mandatory for any business legally operating in Kenya.

Raw materials

The major raw material in nail making is wire. However, this is a special type of wire specifically made for making nails. This can be imported from either South Africa, China or India. You can also check out some of the wire making companies in Kenya to see if they make nail wire.

You can read our earlier article on How to Start a Soap Making Business to get more insight on the above requirements.

How the 3 million Kenyan Shillings is spent

The bulk of this amount goes towards buying the unit which includes accessories, shipment  and import duty which will cost around 2.2 million Kenyan shillings for the 2-4 inch size nails. For other sizes you have to add an extra component for the size range(no one size fits all) at an extra cost. The rest of 800,000 Kenyan shillings will go towards set up costs like labor, floor modification, licenses, permits, rent, electric installation etc. However these costs can go lower if you already have some of these requirements in place or choose a location where cost of setting up the business is low.

The guide above on how to start a small nail making plant in Kenya with less than 3 million Kenyan shillings is not exhaustible. There could be some things I might have overlooked and it’s your duty to do a good research on the viability of this business.

If you want to get into this and need our assistance in terms of acquiring machinery, training, and financing please feel free to get in touch with us today. Call/Whatsapp 0735235084.

Save

Save

Save

Save

Save

Save

Save

Save

Save