Glade Blog.

Get updates about what is happening in our company, our products and services.

How To Start A POS Business In Nigeria

start a POS business in Nigeria

Sometime in the not-so-distant past, you had to physically go to banking halls to carry out every transaction. Whether it was transfers, cash withdrawals or payment of bills, it was impossible to achieve it outside of the banks. This meant the inconvenience of commuting to and queuing up at the banking halls was unavoidable.

With the advent of mobile banking, people were able to perform most transactions from the palm of their hands with an internet-enabled phone; limiting bank visits to when they needed to get cash either over the counter or via the ATM.

However, in recent years, POS agents have solved the problem of easy accessibility of cash. They’ve eliminated the stress and inconvenience of commuting to the bank for minor transactions, especially for people in rural areas where banks are a long distance away. If you’ve ever wondered how you can start a POS business or more importantly, how you can make money from it, you’re in the right place.

In this article, we’ll talk about:

  1. How does the POS business work?
  2. How much money can I make from a POS business?
  3. Factors to consider when starting a POS business
  4. Where do I locate my POS business?
  5. How to choose the right provider for your POS business
  6. How do I start a POS business?

How does the POS business work?

POS agents operate under banks or financial institutions in partnership with banks. They get a POS device which they use to process transactions with the customer’s debit card.
They make it easy for people to perform transactions such as cash withdrawals, transfers, bill payments or airtime purchases without the inconvenience of queuing up in a banking hall.

How much money can I make from a POS business?

The POS business is highly lucrative because they charge a commission on every transaction. This is usually an average of N100 – N500 – depending of course, on the type of transaction and the value of the transaction.
Most POS operators charge N100 for transactions of N5000 and below, with an N100 incremental increase for additional amounts less than N5000. These transactions can be transfers, cash withdrawals, bill payments or even airtime purchases.

So as a POS agent, you can easily expect a turnover of N5,000 and above daily, especially If you’re in a prime location.

What should I consider before starting a POS business?

There are 4 major factors to consider when starting a POS business. Ensuring these factors are in place will help you get your POS business up, running and thriving quickly:

Location: The location of your POS kiosk, stall, or store will make or break your business. A high-traffic area is always the advisable option because the more people there are who require your service, the more potential customers you have.

Your security: Due to the nature of the business, POS agents handle a lot of cash. They get cash from the banks to be able to complete cash withdrawal transactions, they also get cash from customers who want to initiate money transfers. This could make you a target for thieves or robbers. To limit the chances of this happening, ensure you’re in a location where passers-by are frequent and don’t keep your business running till late in the night.

Internet: Most POS terminals require an internet connection to function. This means that when choosing your internet provider, you want to make sure that they have a strong enough network where your POS business will be located. Fluctuations in the network could delay processing transactions and affect your productivity.

Advertising: This is basically how you intend to let people know that you offer this service. And it doesn’t have to be anything fancy, a simple banner outside of your location will do.

Where do I locate my POS business?

Markets & shopping malls: locations, where people sell, would always be a winner for POS businesses. This is because shoppers are likely to require cash, and if you’re positioned at a spot where they can quickly notice you, it’ll be profitable for you.

Universities: Campuses or locations close to them are also great places to set up your POS business. Because of the high volume of people concentrated in that particular area, you would get a steady influx of customers.

Places of worship: Places of worship like churches and other fellowship centres always host a large volume of people, especially on dedicated worship days like Sundays. Note that you don’t have to be located within the premises of the religious centre as that might not always be feasible, but just being within close proximity where visitors can easily spot you is enough.

Neighbourhoods: Besides places like markets, shopping malls, universities and religious centres, setting up your POS business in a residential neighbourhood is also profitable because people would appreciate getting access to cash without needing to commute to the bank.

How to choose the right provider for your POS business

Most banks and financial institutions have POS terminals that you can access, but with so many options available, how do you pick the provider that will be right for you?

Here are a few things you should look out for:

  • It should remit the payments into your bank account instantly.
  • The POS terminal should work with all banks in Nigeria
  • It should have a long-lasting battery so you can perform several transactions without needing to charge.
  • It should have low transaction fees

The Glade Android 2-in1 POS terminal offers you all of this and because of that, it is the best option for you to start your POS business.

How do I start a POS business?

With a Glade business or personal account, it is very easy to get a POS terminal and start your POS business and we show you how below:

For business accounts, once you are logged in click on ‘’POS’’. Next, click “Request POS” and fill out the request form. Our business team will get back to you as soon as we can.

For personal accounts, you can only request a POS by logging into your account via the web. So visit and at the top right-hand corner of your dashboard, click on the arrow next to your account name.
Next, click on ‘’settings’’ and select ‘’manage services’’.
Click on ‘’Request a POS’’, fill out the information required on the form and click on “submit”. Our business team will get back to you as soon as we can.

Also, on Glade, you can request a POS, get it delivered to you and make complete payment within 6 months! To do this, when filling out the request form, choose the option to pay monthly and our business team will get back to you.

Now that you have the necessary information to start and run a successful POS business, log in to your Glade account to request a POS now.

Don’t have a Glade account? You can open one in just 5 minutes! Click here to get started.