a dangote cement retailer store

How To Become A Distributor of Dangote Cement (Cost And Things To Put In Place)

Last updated on July 9th, 2024 at 11:07 am

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  • Delivered order means using Dangote Transportation
  • Self-Collection Order means you will find the trainer that will handle the transportation for you.

Do you know that Dangote Cement is always seeking new distributors for its product? The good part: the application process is very straightforward provided you have the required documents ready.

In response to a guide circulating online regarding dangote cement distributor business, we sent an inquiry to the Dangote Cement Support to find out what a business person needs to join the list of distributors for the company and here is a part of the response we got from the multi-national cement company:

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In response to your mail, please be informed that it is mandatory to be registered as a Cement distributor with Dangote Cement before official transactions could be carried out.

Hence the mentioned documents are basically the required documents in registering as a Dangote Cement distributor.

Corporate distributorship: Dangote distributorship application form, C.A.C certificate of your company, 2 passport photograph and means of identification (Driver’s license, Voter’s card, international passport, etc.) of the business owner.

Individual distributorship: Dangote distributorship form, 2 passport photograph and means of identification(Driver’s license, Voter’s card, international passport, etc.) of the business owner.

Also note that the minimum you can purchase from Dangote Cement directly is 4500 bags (5 trucks) for Delivered Order(using Dangote Transportation) or 3000 bags (5 trucks) for Self-Collection Order.

What you need to put in place

Containers, if you don’t have a shop or building for the storage. A storage for 4,500 bags.

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I called a professional welder, who specializes in iron doors and making containers. He gave me N450,000 to make a container that will be good enough for 600 bags of cement and with a little space for a seat.

So, 10 feet by 10 feet  or 100 square feet of container cost between N450, 000-N500,000 (this price depends on your location).

You may need seven of these containers in different locations to house 4,500 bags of ecement.

If you will be going for a container, it means you need to rent a space, depending on your location, to rent a space between N100,000-N200,0000. This is cheaper in developing areas in some parts of Nigeria.

Required Documentation

After making arrangements for storage, Dangote Cement Plc will request that you have the following documents.

Evidence of a company registration:

You need to be registered as a Limited Liability or Limited Partnership company. You can get this certification from the Corporate Affairs Commission (CAC). As for the Limited Company registration, it is cheaper if you can manage the registration by yourself without passing through an accredited agent.

In case you want an agent to handle the registration on your behalf, the shared capital will majorly determine the service charge. If the shared capital of the company is between N50K-N1million, then you may find N60,000 including service charge.

Note: You will spend less if you can create a profile on the CAC pre-registration portal, but pay attention to the instructions so that you don’t have to battle with issues of query back and forth (check here to know what you need to register your company).

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Open a business account with a bank

Take your CAC company registration certificate to a bank of your choice to open a business account. You will need referees who are either corporate or business account holders to sign the form for you. When your business account is activated, an account officer will be assigned to you.

In some cases, your bank may mandate you to get a SCUML certificate if you will be transacting a huge amount. The SCUML certificate is issued for free by the Economic and Financial Crimes Commission (EFCC) on their site. SCUML means Special Control Unit Against Money Laundering. Their functions are outlined in our article.

Bank reference letter (scanned copy)

After opening a business account, talk to your account officer to get a reference letter for you. Your bank has to recommend you. It is one of the requirements to become a distributor for Dangote Cement.

Application to become a distributor

State your intention to become the distributor and the value your company will add to the manufacturer. And make it shorter and request the information you want clarification on. Here is how to write a letter to become a distributor.

Passport photograph

You need to attach your photograph if you are the proprietor. If you have a company’s representative, then attach his/her passport photograph

Send the above details to customercare@dangote.com

Fill out the distributor registration form

You have to fill out the customer application form which can be downloaded from the site. Attach your means of identification with any of the following:

  • Driver’s licence
  • International passport, or
  • National Identity Card
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If you prefer to send your application by a courier service, the address to send your application to is:

The National Sales Director,
Dangote Cement Plc,
Second Floor, Union Marble House,
1 Alfred Rewane Road, Falomo,
Ikoyi, Lagos.

You would want to use electronic means instead of sending a letter

Estimated cost of starting a cement distributorship with Dangote

The price of 4,5000 bags is based on the promise the cement manufacturers made with the federal government sometimes in February 2024 that cement retail prices should not cost more than N8,000.00.

So, we’re pegged the factory price at N7,000 because most retailers in part of Osun sell at N7,500 – N7,600 per bag (500 kg)

10 ft by 10 ft container = N450,000

Assuming you want to plant your containers in 7 different locations, that’s N450,000 multiply by 7 = N3,150,000

Cost of transporting them (N50k/one) = N350,000

Limited liability company registration: N60, 000 (this come with Tax Identification Number TIN)

Let’s peg the factory price at N7,000/bag and you order five trucks (4,500 bags of cement)

Therefore 4,500 bags X N7,000 = N31,500,000

Rent for a space: N1,400,000

Miscellaneous: N500,000

TOTAL= N36,960,000 (tentatively)

You should get a response from the company within 48 hours, and the next step to take. Other details will be communicated to you via email.

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