How To Become a Distributor for Star Beer in Nigeria: Tips and Advice

Register Online as a Distributor with Wigmore Trading

You’re a distributor for Star Beer and you want to become a wholesaler in Nigeria. This blog post is going to teach you how, where, and what steps need to be taken so that your business can grow. The first item on the agenda is finding a Nigerian bank account which will accept international transfers from other countries. Next, you’ll need an import permit from the Nigerian government as well as have all of your legal documents in order. If this sounds like something that’s up your alley then read on!

What is a Distributor?
You’ll have to find a company to work with and become an actual distributor for the Star Beer brand. You will become the contact point for customers who want to buy Star Beer in your area. The best way to find distributors is to take a look at the website for Star Beer. They have a directory, and the nearest distributor that’s located in your area will be highlighted.

Understand how a distributor is different than an importer

As a distributor, you need to understand how things work. An importer has to have a Federal Import License and the Export License. The Import License is necessary for you to import a significant amount of product. When you import a lot of product, you need to pay a separate tax. To import the required amount, you need to use a registered importer.

How to become a wholesaler in Nigeria
Find your closest regional Star Beer Distributor in Nigeria. Figure out how to establish a business relationship with the Nigerian distributor. Be careful when dealing with an international company as they are not known for their favoritism. You’ll be able to determine this when you meet with them to discuss business terms. Make sure to negotiate a fixed price for Star products which are also a requirement of the Star distributors. Be prepared to pay $7.50 per case (22 bottles) of Star Beer. The cost is much cheaper in Nigeria than most countries around the world. The fees paid to the Nigerian government should be lower than the final price you will receive from the Nigerian distributor. Be cautious when you negotiate the cost.

The Nigerian government and their process for getting an import permit
Star Beer is produced in Nigeria by Heineken and it is sold in many different countries including the United States, the UK, Ghana, Kenya, and China. The first thing to do is contact the Nigerian Export Promotion Council (NEPC). This organization facilitates foreign trade and it provides a guide for other companies who want to sell their products to Nigerians. There are many companies who want to use Star Beer as a form of advertisement so that consumers will be looking at their products as they’re driving by. Another way the product is promoted is to have a Star Beer billboard which is sponsored by the company in the form of a foreign car or other big ticket item. You may also be able to secure free advertising from the NEPC if they sponsor you.

Finding a Nigerian bank account that accept international transfers
As mentioned above, the bank that you’ll be dealing with is willing to handle all of your transactions if you have a Nigerian bank account. The main challenge when opening an account is that the bank is primarily based in the United States. There are a few large banks in Nigeria, but they’re not the usual large banks that are found in the US. To start the process of opening an account, you’ll need to locate an established Nigerian bank in the country that accepts international transfers. To find a bank, you can contact www.convergefsng.com or the NSE online exchange platform www.NGEX.com. NSE is the largest exchange site in Nigeria. This will allow you to connect with about 500 banks.

The Import Permit
This is usually a lengthy process. You’ll have to get an import permit which you can do on-line in order to send and receive money. You must also have a letter of authorization from Star Beer with your business license number. It’s also advisable to look into or visit the Bank Verification Number (BVN) website for a list of all the banks in Nigeria. Once you obtain the import permit, you’ll have to go through the import process and find a warehouse. This could take a few months but after that, your business can move into the import stage and begin importing goods.

Create a Distributor’s Card

This is the hardest step! You’ll need to go to any local and/or Nigerian bank and show them a copy of your Import Permit.

Getting all your legal documents in order
To legally import beer to Nigeria, you’ll need to create a “working capital account” which will then be used to buy beer, and then resell it to distributors and other businesses in Nigeria. To create a working capital account you must fill out a form and go through the approval process of a Nigerian bank. This is where the first step will be finding the right bank account and how to go about getting approved.

The banks in Nigeria have online payment systems that are compatible with international wire transfers and you can use this system to transfer money from your bank account in the US to your working capital account. You can then transfer the money using Western Union and MoneyGram transfer.