Requirements To Start A Pure Water Business In Ghana

Pure Water Business In Ghana

Pure water, also known as sachet water, is one of the products that is in high demand in Ghana today. This is evident in the number of empty sachets of water you find in most waste bins or dump sites.

In most parts of Africa, Ghana included, most people do not have access to safe drinking water or a means of purifying the ones they have already, hence, they resort to drinking pure water which is also more affordable than bottled water.

So if you are looking to start a business in Ghana, the pure water business might be a very good and profitable one to start with.

This is why in this article, we’ve provided a step-by-step guide on how you can start and run a pure water business in Ghana. Let’s get started.

How Profitable Is Pure Water Business In Ghana?

Starting a pure water business in Ghana is highly profitable. And this is because of the daily needs of people when it comes to drinking sachet water.

Almost every household buys bags of pure water constantly. And some individuals love buying pure water daily.

Another reason why the pure water business is profitable is because of the scarcity of clean drinking water in some areas of Ghana which makes the establishment of a pure water business a good investment.

Meanwhile, what mostly determines how profitable your pure water business will be is your efficiency of operations, combating & winning the competitions, and meeting up with the market conditions.

What Are The Equipment Needed For Pure Water Business In Ghana?

Below is the list of equipment needed for the pure water business:

1. Water storage tanks
2. Water treatment system
3. Sachet water printing machine
4. Sachet water packaging machine
5. Sachet water sealing machine
6. Power generator
7. Water purification chemicals
8. Water storage and distribution containers
9. Water analysis equipment
10. Water dispensing racks
11. Ultra-violet (UV) sterilizer
12. Laboratory equipment, etc.

What Are The Challenges Of Pure Water Business In Ghana?

Every business has its challenges, but identifying them will help you know how to overcome them. However, below are the challenges of the pure water business in Ghana:

1. Water Source Contamination: This can be one of the biggest challenges of the pure water business. As a pure water business owner, you have to ensure that the source of water is tested periodically against any contamination.

2. Fluctuation Of Prices: At a time, the price of petroleum and materials like nylon might go up, whereas the price of pure water remains constant. This alone in turn affects the profit of the business.

3. High Competition In The Business: The high rate of competition between different brands of pure water manufacturers is alarming. And this can be a challenge to an upcoming pure water producer.

4. Inadequate Power Supply: The inadequate power supply can be a challenge for pure water business because it adds to the operational cost of starting a pure water business. And it may affect potential entrepreneurs.

5. The Challenge Of Regulatory Compliance: Pure water business is among the businesses that involve fulfilling all the legal requirements which range from packaging requirements, water quality standards, various regulations, and licenses.

However, when you fail to comply with them, it often results in the closure of business or other penalties.

How Much Do You Need To Start A Pure Water Business In Ghana?

The cost of starting a pure water business on a small scale should be around 50,000 to 100,000 Ghana cedis.

You should budget above 250,000 Ghana cedis to start a large-scale pure water business in Ghana. This budget should cover the cost of production, equipment, packaging, and labor.

What Are The Steps To Start A Pure Water Business In Ghana?

Below are the required steps to start a pure water business in Ghana:

1. Write A Business Plan: Your business plan should contain all the important information on how you want to start your pure water business with the goals and strategies.

When writing your business plan, you have to ensure that you develop strategies and how you intend to achieve your business goals.

It remains a fact that the pure water business plan is very essential for the success of your business.

2. Register Your Pure Water Business: First, you have to make sure that the operation of your pure water business will meet the requirements of the Ghana Standard Authority.

Then, the next step is to register your pure water business with the RGD for accountability.

Whether you are starting your pure water company on a small scale or large scale just make sure you register it with all the necessary authorities and as well as getting your licenses and permit for operation.

3. Find A Good Location: You need a suitable location for your pure water factory site. The pure water factory site is where the production of pure water takes place.

This means you will need to purchase land and build your pure water factory or you lease a big space for the operation of your business.

Most importantly, you have to make sure that the location is spacious enough to accommodate your factory. Moreover, a good pure water company should have spaces for water production, a storage room, a restroom, a changing room, a laboratory, and a general office.

At the same time, it should be free from air and water pollution.

4. The Necessary Facilities Should Be In Place: This starts with the drilling of boreholes as a source of water, then installing water equipment and purchasing all the necessary facilities that will make your pure water company ready for operation.

We mentioned the needed equipment to start a pure water business in Ghana, therefore go through them and make them available.

Above all, make proper arrangements for the installation of the water system. Make sure you hire the services of a good company that will build your pure water factory from scratch.

5. Hire Staffs: Whether it is a small-scale or large-scale pure water business, you need to hire staff for the up and running of your business.

Therefore, you need staff like cashiers, gatemen, loaders/offloaders, managers, etc.

6. Marketing: After setting up your pure water company and keeping everything in place, the next step now is the production and sales of pure water.

Meanwhile, the distribution of your pure waters cannot be complete without you having a delivery van. This will prompt you to purchase a delivery van for the distribution of pure water to retailers and customers.

On the other hand, for you to grow your customer base, you have to ensure that the sachet waters your company produces are of high quality and also make sure you sell at a discount price.

Conclusion

Despite the huge capital requirements and the challenges of the pure water business, it remains a profitable venture in Ghana.

We strongly believe that you have gotten an insight into both the equipment needed and how you can start a pure water business in Ghana.

With this information, you can decide on how to get started.

Ambassador Victor Chidera
Ambassador Victor ChideraAmbassador Victor Chidera is a business consultant, writer and a blogger. He provides lots of professional and expert advice to small businesses, entrepreneurs and organizations. He has many years of experience in business, teaching field, and research work. And his aim is to provide business articles that matters to you both nationally and internationally.
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