How to Start a Procurement Business

Procurement business is one of the good investments today. Starting a procurement business does not really requires a lot of hard work however, just like any other business whether online, home based, or actual shops require you to learn the business itself.

Procurement means sourcing and buying of services and goods for business use.

The individual businesses established procurement protocols that take control of their option of suppliers, methods and products and procedures that should be used to get in touch with their suppliers. For instance, businesses have established procedures for evaluating and calling for proposals. There are a few issues regarding procurement. These include the identification of the suppliers and customers’ needs, preparation and choosing of tools as well as processes to get in touch with the suppliers, preparation of requests for the quotations and proposals, and the establishments of policies for the evaluation of proposals, suppliers, and quotes.

Businesses can only be successful and profitable if they have excellent ability to accommodate quality products for their customers in a timely approach. Whether you are a vendor selling your products or services or a buyer obtaining the products or the services, the system that was created to transfer the goods is very important. Establishing a procurement system can be as simple as listing down the current process or may need a major check which requires input from those people involved.

Starting a Procurement Business

First, determine what the stakeholders require. If you are the vendor, this means that you need to contact everyone who will use the system to obtain the products. It can be an individual client or another company. Whoever it is, you must be sure to get honest feedback before engaging to the real work. Next is to develop a good process of work flow. This can be done after the compilation of all the stakeholders’ feedbacks. The developed work flow should include the best practices as well as meet the legal policies while providing the stakeholders’ needs. It must be close to the overall objective of the system.

Creating a web as well as offline solutions is a must too. Sometimes, the web solutions to the procurement issues are the main goal. While it is vital to develop an online procurement system, be careful in placing all your eggs in only one basket. Ensure that the offline fax and customer service representatives are always available through phone for queries. This allows the continuous enhancement of the system. Then, lastly, test and implement the system. Invite customers to use and test the procurement system and then ask for feedbacks. In this way, bugs or revamp parts can be enhanced and fixed accordingly.

70 Comments

  • Nephious Tari said on November 21, 2012
    i have an idea to go into business where my establishment would be a Procurement Thrust. i would like to go into business of playing an agency role in procurement. i intend to have this establishment in Zimbabwe, Harare. i want help towards setting up the company and to manage supplies and suppliers. i would like to know of the system recommendations (procurement), in summation, just do give a full list of requirements.
  • Don Simmons said on April 11, 2013
    I am based in the US and would like to know more about your intended Procurement Thrust business. I have similar ambition and would benefit from your partnership. Just write back at dts.ogu@gmail.com
  • velodine chepkoech said on April 23, 2013
    I would like to start my own company in kenya, where I can connect suppliers with customers. please advice me on how to go about. Thank you
  • vasanth said on August 14, 2013
    This is Vasanth From Dubai, I own Trinco Electronics Trading LLC. Though we keep stock of Wireless Networking products, still we work as procurement agents for special needs in Telecom and Networking sector. Our main market is Africa and middle east. We support our buyers buyers with our extended techno commercial support. We welcome new partners to work together in MENA. Contact at vasanth@trincoelectronics.com or vasanth@trinco.ae
  • mavis offei said on October 21, 2013
    I am located in ghana and I would like to set up a procurement business in ghana so as to link suppliers to buyers and help in supplier evaluation and development
  • Bonaventure Mwakisambwe said on November 22, 2013
    i have interested in the business but i am not aware on how to start. can you give the general guide to start? in terms of procurement business plan and on how to connect suppliers and clients.
  • Mustapha Yamba said on December 1, 2013
    Knowledge on how to set up a procurement firm.
  • ARNOLD said on March 11, 2014
    Hi i am in Kenya and would like to start a procurement company, am looking for someone we can partner with from a broad. If anyone is interested and have a passion in procurement, please contact me through my mail.arnoldliandaro@yahoo.com
  • Kgopotso said on April 7, 2014
    Hi, I want to start a procurement company. Please advise on how to go about doing so.
  • Wellington said on April 13, 2014
    hi, I was once into purchasing of goods on behalf of some educational institutions on a part time basis, though i did not have a lot of customers I was successful. My question is, how do I set up a sound and professional procurement business system? kind regards Welly
  • Lucy said on April 29, 2014
    i am a procurement/finance professional. I started a procurement business last month. I'm doing business plans for clients among other services. For those interested pls contact me. charges affordable.
  • Bob Gourdt said on May 15, 2014
    I would like to start a home business based in Ga. Representing small business abroad linking suppliers to buyers looking for manufacturers, distributors, wholesalers mainly in the industry of solar energy, agriculture, technology, construction. Please, send me some feedback.
  • Robert Zimon said on July 16, 2014
    I am in Southern California and have several years of MRO Purchasing and Procurement experience in the private sector and military. I recently lost my corporate job in purchasing and am really motivated in pursuing my own business with or without partners. I can be emailed at: rzimon2@hotmail.com if anyone is in my area and has the same passion and desire. Thanks.
  • Armand Rodrigue Mangongo-Ledoux said on August 7, 2014
    Hi @luci, I am interested in starting my own business(Procurement) and I will need your help to a business plan. Armand
  • Himanshu Gupta said on August 11, 2014
    I am Mechanical Engineer from India (Delhi). I wish to start Procurement Consultancy Firm for technical equipment/machinery, mainly for steel and allied industry. If you have some other sector in your mind to start with, please advice. I don't have much idea how to do it. Thanking You, Best Regards, Himanshu Gupta
  • Mia said on September 9, 2014
    Lucy can you contact me about a procurement business plan.
  • Cedric L. said on October 7, 2014
    Hi I have been a purchasing director for the last 10 years in large companies (FCMG and Industry), I decided to start my own business in procurement consultancy in France. I will be glad to discuss business modeling with anyone interested to. Cedric
  • Tony Alexander said on October 8, 2014
    My name is Tony Alexander, i have over 8 years of procurement experience i have worked with the Royal Saudi Air force, KAUST and a huge trading company handling all of there purchasing and sourcing. I am now looking to open my procurement business in the US. if anyone is interested please contact me at ramo_2k@hotmail.com
  • Burak said on October 12, 2014
    Hey @Cedric, I have begun the process of doing research of procurement. I would like to get a business plan/model to submit to my sister company. This would be specific to fitness equipment and office furniture. Email me at Burak.yorumez84@gmail.com
  • stephen gho said on October 17, 2014
    i read all your msg i would help, but first we need to talk more
  • Donna Wilson said on October 25, 2014
    Good evening Cedric and others, My name is Donna Wilson and I reside in New Jersey USA. I am looking to explore business opportunities in procurement, more specifically in developing a business model with a goal to operate in a hub/enterprise zone with minority business certification. If anyone is in the area and is willing to teach me the business, share a successful model or possibly partner, please contact me. Dmwilson73@gmail.com
  • Christian Usoboh said on February 3, 2015
    I would really like to know the basics of running a procurement company.
  • Brenda said on February 21, 2015
    Did purchasing in the military and would like to start my own business. I would like to know what do I need in order to do so? Thank you.
  • Shane said on March 22, 2015
    hello, I'm from Toronto Canada and I have been in the buying industry for almost 20 years and would like to start my own procurement business, possibly with a partnership.
  • maxime said on March 25, 2015
    hello, maxime from johannesburg South Africa, contact me for all your procurements needs maximemugabe@gmail.com
  • Aniruddh Bagri said on March 30, 2015
    I would like to start a procurement company in China in partnership. I would like to know the basics of the business and a running model would be much appreciated. Thanks.
  • Palai Yasowa said on April 1, 2015
    I'm from Papua New Guinea and would like to inquire on well established procurement companies in China and USA as we do a lot of purchases for a big Gold Mine company in Papua New Guinea
  • Maame Asieduah said on April 6, 2015
    @Palai Yasowa, I might be able to help you contact me on msamea@hotmail.co.uk
  • Devereaux Robertson said on April 13, 2015
    Any supply queries please feel free to contact me on devereaux@globesource.co.za, we will assist on any price that you require.
  • Sara Iitana said on April 16, 2015
    I'm from Namibia, Windhoek. I have procurement experience and have been researching on starting a procurement consultancy firm. Cedric L, please advise on how to build a successful business model.
  • Rukundo Macdonald said on April 19, 2015
    Am based in Uganda and have a desire to start a firm providing procurement services in form of an agency. Please advise me on how to start and how to do the costing to my clients.
  • Davis Urasa said on June 5, 2015
    Am based in Tanzania and interested in starting up my own procurement business. Need some light on the basics
  • Catherine Njeri said on June 15, 2015
    Hi Lucy am Catherine from Kenya I have a passion in procurement would like to seek for advice on a business plan.
  • Nath. Chisom said on June 17, 2015
    Edinburg,TX. 78541, 8 years in Used cars and used auto parts Export. Need help marketing to Sub Sahara Africa. And starting Procurement services in Africa.
  • Sunil Borade said on June 18, 2015
    Am based in India with 15+ years of procurement experience in machine tool industry and project procurement for Oil & gas, fertilizer projects and have a desire to start a firm providing procurement services in form of an agency. Please advise me on how to start and how to do the costing to my clients.
  • Robert Zimon said on June 19, 2015
    I have been in procurement and have operated in the military and private sectors for almost 20 years. I am finished with Corporate positions and am highly motivated to start either my own business or explore opportunities with a new startup. Please contact me if interested either way: rzimon2@hotmail.com
  • Saravanan said on July 4, 2015
    I am in Malaysian Railway procurement business. I like to offer my service to other part of railways especially African countries. Also interested in having business relationship on railway items from worldwide. I can be contacted: sarvanandoraisamy@outlook.com
  • eliud said on July 23, 2015
    I am in nairobi kenya and i would like to start a procurement company. and take the advantage our government has offered us 30% of the government tenders given to the youths in kenya. i just need someone to invest in my business plan. contact at mwangieliud69@yahoo.com
  • Jay Rich said on July 31, 2015
    Hello, My name is Jay and I have 9 years of MRO purchasing experience. I am ready to start my own business by being a third party procurement sector for other businesses. Please help me with start up advice and marketing. Patrich0924@gmail.com
  • Richard said on September 7, 2015
    Hi i am Richard a Ghanaian, i have been in the supply chain business for more than 5 year. i have always had the ambition of starting my own purchasing and supplying to companies. Any help from someone??? You can contact me on adjeirichard15@gmail.com
  • Avon Tony said on October 11, 2015
    Hello,I started my procurement consulting company about a year ago and looking for partners internationally.I specialize in cost saving strategic end to end sourcing.Indirect procurement category management.Anyone looking to partner please let me know. I can be reached at avondapcs@gmail.com also www.thepronetwork.com.I have over 5 years in procuring and hold a Masters degree in procurement. I look forward to connecting with you soon.
  • Avon Tony said on October 11, 2015
    Anyone needing help with business plan please email at avondapcs@gmail.com! join the best and only network for procurement professionals and suppliers. The Pro Network. www.thepronetwork.org
  • D. Mwesigwa said on December 27, 2015
    Hi everyone, am from Uganda. Anyone interested in partnering with me in a logistics firm please contact me at mwesigwaderrick17@gmail.com.
  • Josiah Achimugu said on January 26, 2016
    Good day everyone, we just registered a company in Nigeria for procurement business with interest in Telecommunications and oil & Gas. We already have a major company to deal with in telecommunications company and also working to sign with oil & Gas. We need a technical partners that will help us source for any products we will be getting for our clients. We have huge ambition to play in this sector not only in Nigeria but in sub Sahara Africa. Kindly contact us through mail jos_achma@yahoo.com
  • Pllumbi said on February 24, 2016
    Dear I'm in medical,dental,aesthetic business for more than 25 years and i can supply good prices for any procurement activity. I have many supply center in Europe.In case of any demand please write me : eldental_co@hotmail.com
  • Ntita Mopeli said on March 26, 2016
    I am in Lesotho and worked for a Brewery for 32 years as a purchaser.I am aiming at setting up a procurement consultancy in Lesotho and wishes to partner with partners internationally and local on all business needs.I hold a diploma in purchasing management: 0 0266 58561361 phone and whatshapp.
  • Samuel Masha said on March 27, 2016
    I have 16 years experience in procurement mainly 75% in hotel industry and 25% medical and research procurement, I'm starting a procurement consultancy and therefore looking for business partner(s) with similar passion so we can move on same wavelength.I'm based in Kenya and can be reached on samuel.masha4@gmail.com.
  • Maame konadu said on April 11, 2016
    hi, am maame from Ghana. I would like to start a procurement consultancy. I want to specialize in the hotel industry. am looking for partners. pls contact me on maame. K. kwabia@gmail.com
  • Gbenga odusanya said on April 21, 2016
    I have had a12yrs experience in logistics and procurement. The plan now is to set up a procurement and logistics consultancy and services in raw and packaging materials. Looking for interested partners. I am based in Lagos Nigeria. Gbengaodusanya@yahoo.com
  • robert said on May 6, 2016
    Please advice me on how to start a procurement business am in nairobi, Kenya.
  • Kevin Omai said on May 19, 2016
    I am a supply chain professional and want to start a consultancy in procurement and Logistics, Kindly advice how to start.
  • Bo Britt beginner adviser said on June 12, 2016
    My name is Bo Britt. I am an owner of a company in Louisiana specializing in a wide range of procurement, networking, and logistical needs. We have an extensive network of suppliers here in the south. We provide a dynamic that is unique to the business with the highest standards of integrity that is paramount in our functional process. We also consult with other businesses. Contact us for all your business needs. -b0 (tbombritt@outlook.com

    tbombritt@outlook.com || Consultant

  • Lilian said on July 14, 2016
    Hi, I am a procurement graduate from Kenya and would like to venture into procurement consultancy business. I also have a passion for catering and would be glad to have a partner whom we would go along with.
  • Sunny Nkain said on August 5, 2016
    Please advice me on how to start procurement business in oil and Gas tools, marine sector, raw and packing goods. Am in Nigeria
  • silas boateng said on October 22, 2016
    i am Silas from ghana...A student and am yet to start my procurement business in the capital of Ghana... but I need someone who already has a procurement company to partner with or probably someone to mentor me so we can expand his or her business in my country...this is my mail... cylaxboateng2015@gmail.com...or call +233266868319
  • Maxwell Moyo said on October 25, 2016
    Am Maxwell Moyo currently residing in South Africa and student at UNISA doing public procurement and supply chain management. I consider setting my purchasing consulting agency. Am looking for guidance or someone to partner with. I would like to get exposure and experience in the industry Call me: +2761 848 3939
  • Chunga Ignatius Suh Ngufo beginner adviser said on November 2, 2016
    Hello Every one, I am writing from Cameroon- Africa. I am a certified professional in Sourcing and Procurement, with the Chartered Institute of Logistics and Transport UK. I also have many years of experience as a Business Strategy consultant with start- ups, and small and medium sized enterprises. You can contact me for any sourcing, procurement, supply chain , logistics and transport challenges either for a startup strategy, or process re engineering. Our company name is PROJECTS.com. But the web page is not yet hosted .Coming soon. Exceeding your expectations is our mission. Contact me on nguubehumble@gmail.com. +237662736909/ +237675602300

    +237675602300 || Procurement Business Consultant

  • Udoka said on November 18, 2016
    I am a Nigerian looking forward to starting up a procurement business in Nigeria. Expand your business to Nigeria. Do you need a mentee/partner? Contact me on jerrygunsz@yahoo.com
  • Mr. Loveless said on February 6, 2017
    I am looking to start a procurement agency and would like direction, guidance, and expertise from an experienced professional in the business. I have a financial background so I am limited in the area of procurement. As well, this is my first startup. All professional assistance welcome.
  • Basirat Arike said on February 12, 2017
    I am based in Nigeria, looking to start a hospitality procurement business. If there is any one who has any suggestions on how I can start i would love to read it.
  • Shadab ali said on March 1, 2017
    @Lucy, I have a desire to setup a procurement consulting firm in India and am quiet sure this is my passion and my dream to full fill buyers and suppliers needs. Am sure about how the process works and i really want to get into a very focused industry. I have good knowledge in information technology for banks, financial firms, real estate, utilities ect. I have done events related to these industry and I know how the process works. Looking for partners who can collaborate to start fresh and redefine sourcing process. Regards, Shadab Ali, +918970253575 Shankhanahankhan45@gmail.com
  • Venhar Tmava said on March 21, 2017
    Hi everyone My name is Venhar Tmava and I am from Kosovo, now I am establishing a procurement company I am interested in partnering internationally, contact me venhartmava@gmail.com
  • jackie bibian said on March 25, 2017
    hi everyone, am jackie and am starting up my own procurement firm here in uganda, would really appreciate any help given towards achieving that. contact me at jeyby35@gmail.com
  • Kyal Stahl said on April 29, 2017
    Good afternoon everyone, my name is Kyal and I'm looking into starting a procurement firm. Any assistance or guidance in terms of business models, processes and principles will be much appreciated. I am in Cape Town South Africa. You can e-mail me on kakesstakes1@gmail.com
  • Angie said on October 13, 2017
    Just interested to know: if one is wanting to link suppliers with buyers, how does one make money from that? How does one sustain their own business? I'm also interested in procurement, will offer my services in sourcing a product at competitive prices. Pls email me at angie.abrahm91@gmail.com. Interested to hear you respond to my question. Thank you
  • samuel said on November 14, 2017
    i am Samuel from Ghana and wants to start a procurement thrust business in Ghana. can you please give me some guidelines as to how to go by it. And would like to partner people in and outside Ghana for business.. Thanks.. Can reach me through.. k.badu2007@gmail.com.. thanks
  • Usef said on March 5, 2018
    I am Usef from Doha -Qatar, running a procurement office for Industries, corporate, and gov's. The product ranges are diverse based on the requirements arise from clients in Qatar. I would like to cooperate with offices of similar interest from different regions. You may send your profile together with your strong areas of business to spring79379@gmail.com.
  • Amule Emmanuel said on July 10, 2018
    Am Emma from uganda interested in starting a mini procurement firm dealing in procurement related activities. i'm looking for a partner passionate abt procurement too if interested email me on. amuleemma2@gmail.com
  • Ogwang Simon said on July 11, 2018
    Hello, i am Ogwang Simon from Kampala, Uganda and i would like a Procurement firm dealing in sourcing suppliers for goods and services for other companies in the region. i would also like to deal in other services like contract negotiation, request for Proposal writing, developing specifications for client companies etc. please advise. simon.ogwang@yahoo.com
  • Selam Franklin said on August 21, 2018
    I have been working for small and large companies in US as Procurement and Sourcing Specialist for over 15 years. I am great in negotiation and managing inventory and vendor relation and developing and managing RFQ & RFP. I am currently trying to start my own business. My plan is to be a US sourcing agent. If you need anything from US, I can source and negotiate the price and if needed can arrange the logistic part that best fit for the clients. I have experience working with freight forwarders that can help deliver the products the best cost effective way anywhere around the world. If interested and need more info, please contact me @ abrcua@yahoo.com

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