How to Start Pos business in Nigeria 2021

I will show you how to Start Pos business in Nigeria Is POS business profitable in Nigeria? Yes it is. How much does it cost to start a POS business in Nigeria? If you have ₦250,000 to ₦150,000 you can start a very lucrative POS business in Nigeria. How can I do POS business in Nigeria? Here is how to get started, you need register from the appropriate authority and obtain a licensed to operate. Then you have up to the amount I earlier started, and then get a good space or location for your POS business. There is no way you will not make good money from it.

Now, for the typical Nigerian, a POS business is one of the best ways to start a business. As a result of its ease and convenience, it is gradually taking over ATMs. In exchange for a commission or fee, the POS business or mobile money agent provides cash to customers.

Since ATMs are scarce and people have to wait in long lines to use them. Everywhere you look in Nigeria, you’ll find a POS business owner.

We’ll go through all you need to know about the Nigerian POS market in this article. In Nigeria, beginning a point-of-sale business might be expensive, but it can also be lucrative and profitable. As well as the POS machine you can use, and the Agent networks you can join, if you decide to get into it.

How to Start Pos business in Nigeria 2021

What is POS business in Nigeria?

Business owners, merchants, and retailers can now receive payment for goods and services without the need of cash by using a POS (point of sale) equipment. However, since then, point-of-sale (POS) machines, also known as terminals, have been adopted by Nigerian banks and fintechs (financial technology businesses) in order to increase financial inclusion by providing financial services to the country’s unbanked and underbanked populations.

In essence, you no longer need to visit a bank in order to do the majority of financial transactions. These transactions can be completed with the use of a POS facility.

As a result, those who previously did not have access to banks or banking services can now take advantage of these services as long as there is a point of sale business nearby. This is especially true for persons who live in isolated or rural areas. This is one of the reasons why point of sale (POS) businesses are becoming increasingly popular in undeveloped and emerging countries.

A POS agent is a person who is responsible for the establishment of a POS business in Nigeria. Customers/consumers that use POS agents to complete authorized financial transactions on their behalf will receive commissions in exchange for their services.

In Nigeria, a point of sale (POS) firm is used for more than only payments and transfers. You may use it to recharge your phone’s battery, make DSTV and GOTV purchases, and even pay your taxes.

In Nigeria, the services of a POS business or a mobile money agent are available.

A POS agent business or a Mobile Money Agent business in Nigeria can provide the following services to the individuals who live in the vicinity of their place of business.

New bank accounts should be opened.

Money can be deposited and withdrawn from any bank account.

Payments for utilities, cable TV, airtime, and taxes can be made by sending money or making bill payments.

Enroll in the BVN program (Bank Verification Number)

Is POS business profitable in Nigeria?

It is possible to be wealthy and prosperous in the POS industry if you start small. This is especially true if you already have a business with a location that you are currently operating. Because it lowers the amount of capital required to launch this business.


This is due to the fact that more and more individuals are turning to POS centers on a daily basis to complete their financial transactions and avoid the stress that comes with dealing with banks.

In Nigeria, the point-of-sale (POS) sector is especially profitable since many distant areas lack bank branches, and as a result, POS agents have taken on the role of de facto banks. Furthermore, because they are in the public light, a POS agent or business does not need to sell themselves because customers would always flock to them for the convenience they provide.

POS agents, particularly for cash withdrawals and transfers, have now established themselves as a legitimate alternative to travelling to the bank.

Starting a POS business in Nigeria does not require a large amount of capital, and you can begin earning money on the same day that you open your doors. Just make certain that you are at an excellent spot. A POS agent in Nigeria can earn between N7,000 and N10,000 per day on average, depending on their location and how well they’ve established trust with their consumers, particularly those in their immediate vicinity.

The question is how can you make money from a POS business in Nigeria? You make money from the commissions you receive from each and every customer who comes to your POS machine to do business with you. Consider the following scenario: a customer wishes to withdraw N5,000. Charge N100 for each transaction and share the information with your POS service provider. You can take N60 as a commission, while the bank of the company would take N40 as a commission.

How much does it cost to start a POS business in Nigeria?

In Nigeria, there are no fixed costs associated with establishing a POS business. The cost of beginning a POS business can vary depending on whether or not you have acquired a physical location (store). Whether or not you receive a free POS machine is another factor to take into consideration.

The most important thing to consider when beginning a POS business in Nigeria is the amount of cash on hand that would be required to make withdrawals possible. This can be anywhere between 250,000 and 150,000.

New POS machines/terminals from some banks or fintech businesses in Nigeria can cost as little as N85,000-N100,000, depending on the specifications. However, some companies provide free POS machines, but you must meet their eligibility restrictions.

How much is a POS Machine in Nigeria / Cost Of POS Machine in Nigeria?

The cost of a POS machine in Nigeria is determined by the bank or firm with which you wish to work as an agent or from which you wish to purchase a machine. In Nigeria, there is no set price for point-of-sale terminals.

Based on the characteristics of the POS machine, the prices can range anywhere between N45,000 and N65,000, and they can even reach N200,000.

Varied POS terminals have different specifications, such as 2G, 3G, and 4G, as well as different sorts of features and functionality.

List of POS Charges in Nigeria

Here is a list of financial institutions (banks) where you can work as a POS agent in Nigeria, as well as a breakdown of their POS fees.


Please keep in mind that the rates listed here may differ from the charges you see when you visit your preferred mobile money agent service.




Payforce POS Charges

Deposit: N25

Withdrawals: (0- ₦5000) = N30, (₦5,001- ₦16,500) = 0.6%, (₦16,501- ₦100,000) = N110, (₦100,001 and above) = 0.11%

Kudi POS Charges

Withdrawal: (below ₦4500) = ₦25, (₦4,501- ₦25k): = 0.6%, (Above ₦25k) = ₦150

Transfer: ₦45

Paycentre POS Charges

Withdrawals: (0 to ₦10,000) = 0.55%, (N10,001 to ₦15,000) = N65, (₦15,001 to ₦20,000) = ₦75, (₦20,000 Above) = ₦80.

For transfers: (0 – ₦5,000) = ₦10.5, (₦5,001-₦50,000) = ₦26.25 , (₦50,000 and above)=₦50.00

Moniepoint POS Charges

Withdrawal: 0.5% (₦1000 – ₦19900), 100 Naira Flat for (₦20K – ₦1,000, 000)

Deposit: ₦12 Naira

Kashzoo POS Charges

Withdrawals: ₦1,000 to ₦5,000 are charged at ₦30, ₦5,001 to ₦10,000 are charged at ₦45, ₦10,001 to ₦20,000 are charged at ₦76, ₦20,001 to ₦40,000 are charged at ₦85, ₦40,001 to ₦100,000 are charged at ₦110, ₦100,001 to ₦200,000 are charged at ₦150

Kolomoni POS Charges

0.5% for withdrawal from ₦1000 – ₦19900,

₦30 for Deposits 100 Naira flat from 2000 Naira and above.

Where to Get POS Machines?

In Nigeria, POS machines are exclusively available from banks and other financial institutions.

GTBank is one of the most well-known banks and financial institutions in Nigeria from which to get a POS machine. First Bank, Access Bank, UBA, Zenith Bank, OPAy, Baxi, Monie point, Kudi, and Bankly are among of the financial institutions that accept OPAy.

Which POS Agent is the best in Nigeria?

The following firms are some of the best to consider if you want to become a POS Agent in Nigeria, both in terms of cost and commission rates:

Steps on How to Start a POS Business or Become a POS agent in Nigeria

Listed below are the procedures you must take in order to become a mobile money agent or to establish a point of sale business in Nigeria.

1.      First Step #1: Find out how much it will cost to establish your own POS business.

The cost of establishing a point-of-sale (POS) business in Nigeria can vary from one individual to another. Because of the various areas where individuals choose to remain. The cost of renting a shop or space to establish this business in Lagos will be far more than the cost of doing so in a town like Maiduguri. POS agents must also be aware of which bank or company they will be affiliated with before they can begin their careers. Do they provide free POS machines, or do you have to pay for them? Is there a cost associated with their requirements? You should also think about how your shop will be organized. Are you in need of a safe? How are you planning on keeping the shop safe? These are some of the factors to take into consideration when determining the cost of starting this firm.

2.      First Step #2: Look for A suitable location.

Because this will be a physical business that will require a significant amount of foot traffic, it is critical to find a location that is ideal. A densely populated area will be an appropriate location for this project. It should be in a location where a large number of people reside and where there is limited access to banking facilities and ATMs.

3.      Raise Your Capital.

Since you’ve calculated your startup costs, you’ve decided how much money you’ll need to get the firm up and running. All that’s left is for you to raise the necessary funds, and you’ll be well on your way to being a POS agent.

4.      Apply to Become A POS Agent.

A POS agent’s application or the purchase of an ATM machine will vary depending on the bank or financial institution you are being involved with. Some ATM machines are available for free while others are available for purchase or renting. Make a decision on which of them is the most appropriate for you based on their requirements, commissions, and fees. You can apply for a POS machine online, or you can visit the bank or company’s office to complete the process. However, it can take anything from 2 weeks to a month for everything to be completed and ready.

Benefits & Advantages of POS business in Nigeria

The following are the advantages of running a POS business in Nigeria for both the business owner and the customers:

  • It can be a valuable source of additional money for small business owners.
  • The ability to conduct cash transactions without having to visit a bank provides customers with greater ease and convenience.
  • It works to increase financial inclusion in the nation.
  • Because people don’t have to carry around as much cash, they are less vulnerable to theft. in relation to armed robbery a
  • Merchants will see an increase in sales as a result of their ability to serve both cash and card-carrying customers.

The disadvantages and challenges of owning a POS business in Nigeria

  • Robbery attempts & Attacks. Because of the nature of this business (it deals with cash), it has the potential to attract thieves and other criminals to the establishment. Because you are unable to hire a security guard for this establishment. You’ll need to be extremely vigilant about your security and take safeguards when it comes to moving and holding money.
  • In this line of business, it is possible to run into problems with banking networks. As a result, it is necessary that whichever POS agent service you choose to deal with has a stable network infrastructure. Some consumers use up to three distinct point-of-sale terminals to overcome this problem.
  • Because of the irregular nature of the country’s power supply, it is critical that your POS machines be always charged. A modest generator might not be a bad idea in some situations.
  • Agency banking is subject to a lack of regulation. Because of the lucrativeness of the POS sector, a large number of people are flocking to it, and the industry as a whole is lacking in regulation. Various POS stores are located in close proximity to one another in some areas. There is no law that governs the spacing of the establishments in this neighborhood. Furthermore, because there is no set fee for POS agents, fees might vary from one agent to the next.

Frequently Asked Questions (FAQ) – Answers That Works

  • How much is POS charge in Nigeria?

Pos business charge in Nigeria all depends on the financial institution you register with. If you are ready to start this business drop a comments below with your email address an your working whatsApp number and we will contact and communicate with you as soon as possible.

  • How much does it cost to start a pos business in Nigeria

Pos business cost to start up could range from 100k up. If you have that amount you can start up something small and still make money from it. With time you will tend to have many locations which will triple your income/revenue.

  • How profitable is pos business

It’s very profitable, at least in a day you make noti9ng less than 10,000 naira

  • How lucrative is pos business in Nigeria

This business is also lucrative as it’s the reining business in Nigeria. You are bound to make money as far as people don’t want to stress their self up in cue.


How to Start Pos business in Nigeria have been discoursed so far. You can make massive income through this type of busi9ness. Everything that has been said above has been confirmed before writing it out and making it official. In case you need a deep explanation and a step by step practical guide where we will help you to on how to Start Pos business in Nigeria then, don’t forget to contact us.

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