By Rex Lemani
Business description
My business name is Rex’s Agro Dealing. I have 60 regular customers, I purchase raw agro products like maize, rice, beans, soybeans, and groundnuts and supply them to the community in Blantyre Malawi, especially in Chilomoni. In Chilomoni, most people do not have farming land to produce their own food products, as such purchasing food products like maize, soya beans, rice, and groundnuts is their only option. Currently, am able to supply 700kg of maize, rice, beans, soybeans, and groundnuts exclusively. If given a grant, I will expand my business by supplying twice as much and switch to a new shop with a large warehouse to store enough stock while selling cooking oil as part of expanding my business. This will hypothetically increase the profit margin.
If given a grant
I believe that your loan if granted will boost my business as I’ll have more capital to obtain more stock and be able to rent more room for stocking our agro-products as yet to be sold. It will also improve our business or service delivery by ensuring the availability of high-quality products throughout the year. This will increase my business competitiveness in the market and hence increase my profit margin.
HOW I‘LL UTILIZE THE LOAN IF GRANTED
I’ll use $730 to purchase raw materials and $270 will be used for operational costs as follows.
Raw Materials Operation cost
Beans 100kg=$125 Rent =$30
Maize 250kg=$125 Transportation cost =$50
Rice 150kg=$225 Employee Salaries =$30
Soya 100kg=$130 Security =$25
Ground 100kg=$125 Communication =$15
=$730 Fuel cost =$30
Grading & Packing =$15
Utilities =$15
Precaution =$60
=$270
Total =$730 + $270= $1,000
Income statement as of May 2024 to April 2025
Mission
My mission is to make sure people in my community Chilomoni find quality agro products of their desire at their convenience. I plan to achieve this by building strong relationships with farmers, suppliers, and consumers. Most importantly, to become the leading Agro-dealing company in my region and contribute to food security and availability in the local community is my goal.
SERVICES DELIVERABLE
● Grading and packaging: The business offers grading and packaging services to customers who want their products to be professionally packed and free of wrinkles.
●Delivery: I do offer delivery services to customers who don’t have the time or means to drop off their orders or products in person.
My best customer
Lower and middle-class community members including Nephesh Kitchen are my best customers. As said, my target audience is those middle-class and marginalized people located in Chilomoni Blantyre, that are in constant need of Agro-products to sustain their livelihood.
Why customers do business with me rather than my competitors
I use a cost leadership strategy to attract customers. It is a business strategy that involves offering the lowest cost for agro products on the market. This strategy helps my business by increasing profit margin, attracting price-sensitive customers, gaining market share, and creating a sustainable competitive advantage. In addition, my business also offers grading and packaging services to customers who want their products to be professionally packed and free of unpleasant particles. This tends to be convenient for my customers thus giving me a competitive advantage over other suppliers.
In my business, I also prevail over other suppliers because I own a vehicle. It is a Toyota Sienta with an engine capacity of 1500cc, millage of 54031, and gross vehicle mass of 1595kg. Year of making 2008. This gives me a competitive advantage and helps me to maximize my revenue as I incur less transportation cost from the producers (The local farmers) to the consumers (the community). It also helps me offer delivery services to customers who dont have the time or means to drop off their order or products in person for an extra fee. This is more convenient for my customers and has helped me build a loyal customer base.
Prices to customers
Prices for customers (K2, 000 = $1)
Product Price per kg/per bag
Maize K1, 000(0.5$) per kg/ K50, 000(25$) per bag
Rice K3, 000(1.5$) per kg/ K 150, 000(75$) per bag
Beans K2, 000(1$) per kg / K 125, 000(62.5$) per bag
Soybeans K2, 600(1.3) per kg / K 130, 000(65$) per bag
Groundnuts K2, 500(1.25) per kg / K 125, 000(62.5$) per bag
How to find customers
My customers find me by visiting my agro-dealing shop in Chilomoni where I handle my business. To attract more customers, I use social media platforms to engage and do business with my customers. I use social media platforms like WhatsApp, Facebook and TikTok. Sometimes I advertise through regular customer comments.
Why did I choose agro-dealing?
I choose agro-dealing because it has high-profit margins and it has constant demand on the market. This is because it uses less cost to yield a higher profit and is constantly demanded as it is consumed on a daily basis in Malawi as a whole.
Top ways to find new customers
On social media platforms like WhatsApp, Facebook and TikTok.
How long I have been in this business?
I have been in business for more than 1 year. My business is my only source of income.
Interaction with the customer during the selling of my products.
Rearranging my products.
How to return the grand?
I will pay the loan in phases $40 every month for 24 months.
CASH FLOW
I am 53 years old and married with three children. This is a picture of me and my family. With my wife Annie Lemani, God blessed us with children. The firstborn is a girl, Mwai Lemani. She is seconded by Madalitso Rex Lemani, whois my son and then lastly, God blessed, me with a girl, Promise Lemani. As you can see, my family and I have benefited from the training we had with Entrapov. I’ve learned a lot and gained skills that have contributed to the improvement of my business. I was unable to sustain my family fully but with that Entrapov training, we are a happy family and we hope it’ll change our lives. I believe with the grant, my business will expand and I’ll continue caring for my family, pay for school fees, and take care of church activities including tithe to our heavenly father.
- WhatsApp phone number +265-881-963-749
- Email Address rexlemani701@gmail.com
- Course facilitator is Chrissie Chimphonda Tembo
- Email Address chrissyget.07@gmail.com