Investing In Security Doors Business

Security door, a kind of door that can withstand high impact forces such as kicks, smashes, gunshots or even attempted break-ins, are a must, considering the high rate of crime committed on a daily basis in Nigeria.

The main reason being that home invasions, burglary and other security breaches are rampant and weak doors, even with burglary reinforcement are often not sufficient to prevent thieves and kidnappers from gaining access to people’s homes and offices.

For instance, a report by Statista revealed that almost 70,000 crimes against property were reported in Nigeria in 2017. The largest number of cases was related to theft and stealing in general, which reached over 30,000 records; over 3,000 cases of armed robbery was recorded; 3,212 cases of house breaking; 2,167 cases of burglary and 1,873 cases of store breaking were recorded in the year under review.

A professional business plan consultant, Paul Onwueme vividly puts it when he said a good look at homes and offices revealed that most security breaches is usually done through doors, adding that, “It is more stressful and time consuming for thieves and robbers to attempt forcible entry through windows or ceilings. Thieves often break into churches to steal musical instruments, equipment and generating sets. Private homes have lost their electronics, home gadgets, cash and other valuables.”

These cases, coupled with rapid urbanisation, housing deficits and growing middle class, among several other factors, have created a market space for security doors business to thrive in Nigeria.

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Onwueme added that, security doors that are well made can stop thieves and intruders from gaining entry into private residences.

As a result of this, many home owners, especially middle class owners, who have been victims or know other people who have been victims are in need of high capacity security doors, the consultant revealed, adding that, some locally made metal steel/metal doors are readily produced by artisans, even though, these are often not very secure as they cannot withstand very heavy force (most of the time).

Investing In The Business

To start with, one must be able to differentiate between high quality security doors and the low quality ones, Onwueme said, adding that, most high quality security doors in Nigeria are foreign made.

“The locally made ones though they serve their purpose are often not as good and functional as the foreign made ones. A little more improvement and quality control would make locally made doors very appealing to the middle class market,” he explained.

He listed the different types of security doors as Israeli Security doors, which is highly effective against forced entry, aesthetically designed and often times bullet proof but very expensive; Turkish made Security doors, which is more affordable than Israeli doors, also effective but not as effective as Israeli made doors; German Steel doors are more affordable than both Israeli and Turkish doors and also a good alternative and locally made Security doors, which are usually strong enough to withstand smashes but not as resilient as most foreign made doors.

Having known the different types of security doors, the next thing to do is to know the market, the consultant stated, adding that, coupled to the crime committed on a daily basis which has forced the demand for security doors to increase tremendously, there are a lot of houses being constructed daily in Nigeria.

“In most cities as population increases so too does housing deficit become apparent leading to construction new houses or renovation of existing buildings to meet the housing needs of residents. Part of this often involves purchase and installation of high capacity security doors especially Israeli and Turkish doors. These doors are in very high demand for upscale residential apartments and offices. From my estimate, we are talking at least 40,000 units of these doors with their prices starting from N110,000, we are talking of at least N4.4 billion per annum in sales (this is a conservative estimate),” he explained.

He listed key target markets as courts, hotels, government offices, schools, universities, private residences, embassy buildings, factories, offices, shops, churches, airport buildings among others.

Business Capital

“The cost of setting up a security doors production Company in Nigeria besides pre-setup admin expenses is at least N45 million. The breakdown of this startup amount covers such costs as; purchase of machinery, door accessories, components and raw materials, purchase of a power generating set, delivery van and office equipment. The administration setup expenses come down to N15 million. A conservative startup amount therefore is N60 million,” Onwueme revealed.

However, LEADERSHIP investigation revealed that, with N2 million to N5 million, one can start selling these security doors, at least, on a small scale.