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Mobile Phones – Did you know that Nigeria’s mobile telephone subscriber base had hit105.2 million as at August, 2012? Well, that is what the subscriber data released by the Nigerian Communications Commission revealed. All of those subscribers would need mobile phones and even if there can be two SIM cards in a phone, the number of Nigerians who own more than one mobile phone takes care of that meaning that mobile phone handsets in Nigeria as at today are over 100 million in number.

This figure is 100 times bigger than what we have for vehicles which hardly crosses 100,000 in a year. For example, the Nigerian Automobile Manufacturers Association informs us that 96,629 vehicles were imported into the country between January and September of 2012.

It says 22,192 of the vehicles were new and 74,437 vehicles were used ones. Of the new vehicles, there was, even a drop of 65.7 per cent compared with 36,773 new vehicles imported within the same period last year. Based on the above, would you rather be an automobile technician or a mobile phone repair technician? Your guess is as good as ours.

The point to note is that those who engage in the repair of this minicomputer with hardware and software components that we call mobile phone have no idle time and there is little for them to regret as you will discover in this edition of Success Digest. Getting Knowledge About The Business Mr. Hassan Azeez is the Director at Alonso Technology, Ijoko, Ogun State.

He says, “According to a Yoruba adage, “A child who is to become a talkative would start blabbing from a tender age,”. I developed interest in electronics from the age of seven. I was always inquisitive – wanting to know what a toy was made of. After my O’ levels, I went to Federal College of Education, Oyo, now Emmanuel Alayande College of Education and after seriously prowling for a job to no avail, I decided to become self employed. When my mind went in this direction, I remembered that I had a friend in Otigba Street, Ikeja.

He trained me. Before the formal training, I used to take my phones to him for repair and while he was working, I studied what he was doing. At that time I paid more than other customers because of what I was gaining”.Mr. Ime Daniel is the CEO of Net Potech Service, Ikeja. He says, “Before you get knowledge, you must have been trained by a professional. After the training, you acquire your tools or equipment and look for a place to start up the business – you may not really need a very big place, as you may even start inside your room, creating a space.

Inasmuch as you have the necessary tools and you know the right thing to do, your performance will bring customers or clients”. Starting Out.

Azeez says, “After the training, I thought about setting up shop but due to lack of capital, I began to repair generators in my neighborhood. I borrowed tools to do this. It was from the money I made in this business that I bought all the equipment I needed for my phone repair business”.

Chika Uzor, a GSM Phone Repair and Maintenance Engineer at Sabo, Yaba, Lagos, says, “I have been in this business for about 10 years now. I started during my university days at the University of Benin. I just took interest in the business and decided to learn it. At that time, GSM wasn’t as common as it is now but I could foresee that the GSM was going to be like a daily bread so I learnt the business from my brother. All Nigerians, young and old own or desire to own a GSM phone, so I knew there was opportunity in it.

I graduated but I never used my certificate to look for job, not even for one day. I just knew I had to have a degree as a plan B but I’ve always desired to make a living from something I do with my hands. If I had not learnt GSM repair and maintenance work maybe I would have been an auto technician and I know I would have done well in that trade also. I stayed off campus and there was a guy who sold GSM phones and accessories and also repaired phones close to a friends’ house, so he was the one I learnt from”.

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Nwachukwu Simeon Chinedu says, “I started this business of repairing GSM phones about eight years ago, through a close friend that I had favored somehow in the past. He taught me about GSM repairs, and the software area, that is, what we call unlocking, flashing, installation of programs and applications, upgrading and downloading. I have no regrets that I went into this business”. Kenneth Peters is also a GSM Phone Repair and Maintenance Engineer at Lawanson, Lagos. He says, “I have been in this business for about five years.

I learnt the business from my brother because he was also in it. So, when I finished with my secondary education, instead of going to search for a job, I decided to learn the trade from my brother”.

Leonard Anekwe Okemefuna says, “I stated this business since 2004. A friend introduced me to the business. It was just like play, what I call ‘guys hangout’ stuff. Anytime I visited this friend who was already into GSM repairs (hardware), he was just concerned about teaching me what he already knew in the business. Initially, I was not too kin about it because the whole GSM thing was just being introduced to the Nigerian market.

“I just took interest when I was seeing the progress he was making and the money he earned daily.
Today, I do not regret taking that step to do it as a business”. Training Duration/Place

 

Azeez says, “A fast learner with a sharp brain needs one year; a slow learner needs about two years. It is
advisable to get trained by an expert who knows the rudiments of the job, like me”.

Uzor says, “Sincerely, I can’t say for sure how long it took me to learn because I only went there in my free time. I was involved in some other stuffs back then in school. But I started learning before I graduated from the university. Even though I knew along the line I was competent enough to start fixing smaller phones, I didn’t want to gamble with people’s phones so I kept learning. And sometimes, the guy would give me phones to fix but I would always ask him questions and sometimes he would end up finishing it himself.

I didn’t try my hands on any phone from start to finish until I graduated and it was my dad’s phone. And I can remember him being so happy after I fixed it”.

Chinedu says, “Yes, but I would like to say this from the very start: don’t wait until you have all the money you need before you start something. I give you an instance with how I started: like I said earlier, it was through a friend who was into the business that I leant from. Now, it wasn’t that I paid any money to him before he thought me, I was just interested in the business, and he saw my interest, and he felt like he owes me a favor, and this was the right time to repay me. That was how I learnt the business from him.

 

But I didn’t just stop at what he was teaching me; I was going from place to place gathering knowledge about the business. Training is very important, but you can learn this business without paying much. The training will expose you to a lot of trade secrets in the business, because the business is highly competitive: a lot of guys are doing GSM repairs now, so the much you know will stand you out in the crowd.

There are plenty of places one can be trained especially in Computer Village. If you get to any well established GSM repair shop and enquire about what it take to learn the trade, they will refer you to those that train if they don’t do it themselves. Since I started this business I have trained quite a number of people and I still train, so if you come to me for training in the software area of any GSM phone, you will be satisfied. Within a number of months – depending on how smart you are to be able to pick files from different places to solve the problem of your phone – you would have become adapt at it”.

How Much Is Needed?
Azeez says, “There are the software and hardware aspects of phone repair and maintenance and you can get trained both online and offline. If you remove the cost of renting a shop, you can start with N50,000 minimum”.

Daniel says, “Well, since the customer will pay for the spare parts, you just have to charge for your labour – the basic thing is for you to get equipment. So, assuming you don’t have a standard shop somewhere to start with and you want to start it in-house, you can start up with at least N50,000 – to get a small generator for power supply, a hot air station or work station, a multi-meter, other tools, then get a small table, which serves as the work bench.

It is okay for a start because you are not investing in spare parts, you are buying it from somewhere to stock up: as it is when the client comes and from what you charge them that you get money for spare parts. So, what you need do is to set up your work station, get some tools and off you go”.

Needed Equipment/Cost
Azeez says, “Apart from a standby power generating set, the most important equipment for the hardware are different types of soldering iron, lead, rework station, among others. The N50,000 can take care of all these”.

Uzor says, “You don’t need much to start. Once you have gotten the training and you are sure you can stand on your own, all you need is set of screw drivers, volt meter, soldering rod and some other small  things. You don’t even need a shop, you can get and open space for a start, just get a big umbrella and you are good to go”.

Chinedu says, “The very first equipment or tool needed is your brain. If you have a forgetful memory and you can’t retain information for long, you may not do well in this business. I give you an instance: in this business there are some unique problems with phones that come once in a while.

If after addressing a unique problem and after two months another customer brings his/her phone having the same kind of problem you solved two months ago and now you can’t remember how you solved the problem, you can’t remember the files you put together to solve the problem, you will still solve the problem though, but you have just slowed down the hand of time and your level of progress as it affects rate of jobs done per day. If you had remembered what you did the last time that problem came, all you needed to do was go directly to the exact place you saved those files and in minutes, you are done, instead of searching and probably going to buy what you bought before, wasting money.

 

So if your brain is not well developed to retain information, you may as well think of another business to pursue. Also, you have to know how to rack your brain to give you the information you need, you have to know how to brainstorm, even with other colleagues in the business. Build a cordial relationship with other guys in the business that you can share ideas with and get assistance from when the need arises. You will need a laptop, which may come at different charges, from used to new ones.

Depending on what you can afford, with N25, 000 or more you could buy one that will be very useful. You will need office space, which may not come so cheap, but you can start by hanging out in already established shops in the area of your choice, because just hanging along the street without a permanent structure may make you seem like an unserious fellow. A place where you can be located during work hours is important.

“You will also need to buy some tools: these are small devices that connect your device to a phone for easy access to the phone to enable you treat any issue with that phone. For flashing and unlocking of phones you’ll also need to buy some software programs”.

Peters says, “The business is one kind of business that you can start with almost nothing at all as long as you have the knowledge. When I started, I didn’t have any tools. I only started buying my tools and also expanded after I had started the business. “The basic things you need are your set of screwdrivers, soldering iron, paste and lead. They don’t cost much, with N2,000, you can buy your screwdriver, scalding iron, paste and led. You really don’t have to start owing a shop; you can just find some open space near a GSM phone sales shop”.

Okemefuna says, “You will need the use of your brain, which is your most invaluable tool. You need are work station, you need pickers, screwdrivers, soldering iron and lead, etc. with N15, 000 you can setup this business and turn your life around; but this is minus the money for a shop if you don’t already have one”, Compare Internet Training With Offline Training Daniel says, “Though, the internet sourced knowledge is not bad, as the major work and objective of GSM is practical oriented – you need to have at least 80 percent practical experience – and that means you need an instructor, a facilitator or trainer around you because one aspect which is relevant and that you cannot avoid in GSM is assembling and dis-assembling or overhauling of the phone.

If you cannot assemble and dis-assemble, it can cause a lot of issues and I’m not sure the man on internet would do as good as the man you see face-to-face on that. When you make mistakes, the offline teacher corrects you, then you try it again until you are perfect”.
Peters says, “Yes, I have. I read books and also do research on the internet. At this modern age,
everything is virtually on the internet. “This business is a type of business in which you can’t afford to stop learning. You can improve your knowledge every day because new phones are released into the market every year and the phones are upgraded, technology keeps improving and there are easier and faster ways of doing things.

“As a phone engineer, I upgrade myself every year so I can be on top of my game. One needs to keep abreast with technological trends. Internet research also provides solutions to problems you might be trying to fix on a phone”.

How Lucrative Is The Business?

How To Make Generate Income From Over 100 Million Mobile Phones In Nigeria

Azeez says, “People underestimate the income-generating potential of this business. They look at it as not being a money-spinning business. But to me this is contrary to the facts. For instance, the cost of repairing ordinary mouth piece is N500. If you repair three of this a day, you know what that means. I can wholeheartedly say it is a business that can sustain a family, because of the extent of my achievements in life through it.”

Uzor says, “I would say the business is lucrative. Can you imagine how many people who are into this trade? If you go to Ikeja, every nook and cranny is filled with GSM repairers. If it wasn’t profitable, the business won’t be that jam- packed. Every day, more people come into the trade. There is no time I don’t have someone who I am training to also be a part of the business. And the business has also helped in solving the problem of unemployment to a large extent. I can say I make a minimum of N5,000 a day”.

Chinedu says, “This is one business I will strongly recommend for those our graduates who are roaming
about the streets looking for employment; you can easily setup and start earning money.” Does Location Matter In Terms Of How Much One Can Make?

Azeez says, “Well, it is obvious that location affects this business. This is my immediate environment,
where I live and I can’t afford people lossing trust in me. So, I would have to render my service with
sincerity”.

Uzor says, “Yes, location matters. You need to position yourself at a place that can attract customers to
you. And the place must be easily accessible. There are some locations, where you can boast of at getting least seven customers a day while in other places, you would struggle to get one”.

Chinedu says, “You need to carry out a market survey to help you determine the best location for the business. Where you presently live may not be the best place because the traffic of people moving to and fro may not be that high, and if the traffic is not high, there is a possibility that less people know and see what you do, so you will have less patronage, but if the area is densely populated and they have a high buying power, you have just found yourself the best location for the business”.

Daniel says, “I will say location too affects this business, notwithstanding your performance also speaks. If you are in a good location that is densely populated and you are not doing well in terms of quality delivery, there might not  much patronage. If you are also in a less populated area, you may not make it; or you are in an area where you have high classed people, you may not make it. This is because their respective companies take care of the expenses of almost all of them.

It is like someone who opens a hospital in Victoria Island; he must have a company to patronize him, otherwise he may end up renting an apartment, paying staff, but with no patient coming. But if he has a hospital in a place like Orile, Agege or Iyana-Ipaja, where you have average Nigerians taking care of themselves and not companies, he will surely get patronage here. So, consider location before you open a phone repair and maintenance outlet, but not withstanding, if you know what you are doing, even if you are inside a hole, customers will still come”.

Okemefuna says, “Your location must be right if you want to earn the right money. Don’t just setup
anywhere you see, ask questions, find out the type of people living there, what they want, and how
much they are willing to pay”.

How Do You Determine Charges?

Azeez says, “Determining charges with us depends on the fault of the phone, unlike some who looks at the appearance of clients – status doesn’t change charges here, but if you feel like compensating us, it’s different and it’s allowed”.

Uzor says, “The fault of the phone determines the amount charged”.

Chinedu says, “I charge according to the type of phone, the worth, the peculiarity of the fault and considering how much I will spend to fix the phone, for instance, some smart phones are locked with codes, and to unlock such phone you will need to buy the code online, you will need internet service, you will have to buy or change to foreign currency to make that purchase, and because we live in a society where you have to provide everything for yourself, you will need to fuel your generator, some unlocking takes days, weeks.

“These are the things that inform what I charge, also, if for instance I know that I am working for maybe a very wealthy man, who may not mind how much I will charge, his interest is for the phone to be in a working condition, I will not charge just anything because he has the money to pay.

“Same way if someone comes to me begging me to help him fix his phone, narrates a very long story to me on why I should take what he has, now wit may be that what he has does not cover what I have spent, but because I have gained much from the other man, I may want to consider doing it because again, no condition is permanent and the prices at not fixed. “So I charge as the occasion demands, let’s say, from N500-N25, 000 to fix a phone or even more”.

Daniel says, “Charges depend on the nature of fault of the phone – what it takes to repair the phone and the resources needed: the spare parts that will be used will be considered because a Tecno 605phone is not as expensive as Samsung android phone.”

Peter says, “I determine my charge based on the kind of faults a phone has and the kind of phone it is. Also, sometimes, you assess the customer to also determine your charges so no price is fixed. “If it is a fault that has to do with the panel, the charge would be very high but if it has to do with replacement of certain part or parts, the charge rate would be minimal. Also, the price for fixing a touch screen phone is different from that of a a non touch screen phone. “Everyone can not have a fixed price because you know customers would always want to beat down the price. So, the idea is to first of all, inflate the price and then allow the customer to negotiate”.

Okemefuna says, “When you bring your phone for repairs, the materials needed, the time spent, the value of the phone, the extent of damage and many more are the things that informs what you charge”.

Challenges/Solutions

Azeez says, “There are different types of customers one has to deal with on a daily basis; that’s major challenge to me, but you as an engineer must exercise 100 percent patience to handle them. Again, your money might be tied down with some customers who are yet to bring their balance payment”.

Uzor says, “The business doesn’t really have challenges. The only challenge is when someone brings a
phone for you to fix and its taking longer than expected”.

Chinedu says, “The major challenge I have is power problem. I don’t get regular power supply as I should, so I am forced to buy generator to work, and it affects my pricing/charging because sometimes I just charge without considering the amount of fuel and maintenance cost of the generator”.

Daniel says, “One of the challenges is that there are so many competitors and of course as I said earlier, despite the competitors, we have new customers. So, it all depends on how you play your game. “Another thing is costing – as in many people don’t like spending much on phone repair , they try considering the price of new ones, they just choose to add little amount and go for new one.

Also, sometimes, it is as if money is tied down because out of 100 percent of labour and spare parts, the customer may decide to give you 50 percent as advance. “Then, when you now take your money and add to repair the phone, the same person who told you he is coming the next day, may come back in two weeks time. Your money you have committed will be tied down”.

Peters says, “The major challenge – which is not really a challenge but a means for one to improve himself – is that new phones keep coming out. Someone might bring a type of phone to you that you’ve never worked on before, you go to the internet and the solution you get there doesn’t work. In such a case, you need to ask some other engineers and also use your knowledge about similar phones”. For People Who Just Want To Finance The Business – Get People To Run It For Them, How Can They Go About It?

Azeez says, “I will say this is possible because it is also a means of investment, but you must not put a round peg in a square hole. The person you are putting in-charge must be competent enough, after which you go into a formal agreement. Another thing is that, you can’t just pick anybody to head the business, it must be someone close to you and whom you trust – trustworthiness is important”.

Chinedu says, “Yes you can set it up for someone to manage for you, but the person has to be trustworthy. In this case I will recommend you retain someone you have trained, someone you know is able to do the job, not by CV or mere referral, but someone you have tested and trust can represent you and the business. But if you just set it up without you having the knowhow, whatever they tell you is what you will believe – you would have just opened a shop to enrich others”.

Daniel says, “For people like this, they must sit and there should be a Memorandum of Understanding -as an investor, you need someone as an operator. As a businessman, you must look at the output before committing your money. You can’t run it with a total outsider, it must be with someone you know and you must also have experience, little knowledge by getting orientation from somebody who is experienced in the business”.

In What Other Ways Do You Make Money?

Uzor says, “Other way are selling of phones, unlocking and flashing of phones and selling of phone
accessories like phone cases, batteries, screens, body parts, etc”.

Peters says, “Just by selling phone accessories and parts. We also help people in downloading software
applications on their phones and we charge for that. There are several ways of making money in
phone business”.

Advice To New Entrants/What Does It Take To Succeed?

Azeez says, “My advice is this: don’t be enticed by the money you can make, but think about the service
to render – it is not a “get rich quick” business, of course. Your patience matters”.

Uzor say, “You just need to be disciplined and also learn to keep to your words. If you tell someone to come back in the evening to collect his or her phone, make sure it is ready at that time. You also have to be careful in handling people’s phones. Most phones of these days are touch screen phones, and once they drop on the floor, there’s a problem so one really has to be careful”.

Chinedu says, “You need to be an honest person. Also, you need to keep updating your knowledge; you
need to keep cordial relationship and above all you need God to help you succeed”.

Daniel says, “Well, you must know what you are doing, you must be able to deliver, then you must
have a good approach to customers – you know customers are always right. You must also be ready to take risks – like tying down your money, among other things. You must as well consider location and the staff members working
with you, because you can’t do it alone. The staff must always make the customers feel comfortable and
welcome”.

Peters says, “I would just say the person needs to be calm and focused. It is a business that has several distractions. You are dealing with small objects. I’m talking about the parts now, so you need to be careful when you are trying to change a part. And you need concentration. But all in all, it is a good business”.

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