The POS (Point of Sale) business has become a crucial aspect of Nigeria’s financial ecosystem. While fintech and digital payment options continue to grow, there is also a high demand for financial services like withdrawals, deposits, bill payments, airtime and data recharge. In all of these, cash withdrawals remain a key aspect of the economy, especially in rural and semi-urban areas. Since there are both people who prefer cashless payments and others who rely on cash transactions, entrepreneurs seeking to diversify into a sustainable business should consider the POS business in 2025. It offers a perfect opportunity to meet both needs, and ensure steady demand and profitability. 

Top Reasons why Entrepreneurs Should Start a POS Business in 2025

Here’s why starting a POS business in 2025 is worth considering.

• Easy to Start

One of the biggest attractions of the POS business is its low startup cost. Entrepreneurs need minimal capital to get a POS machine, register with banks or fintech companies, and secure their CAC license. Little wonder many small scale business owners like shopkeepers, and traders add POS services to attract more customers. This integration allows them to offer essential services while increasing foot traffic and sales.

• High Demand for Financial Services

Customers use POS businesses to withdraw cash, transfer money, pay bills, and buy airtime. It is this constant demand that ensures agents have a steady stream of income. Entrepreneurs can benefit greatly by positioning themselves in high-traffic areas where these services are most needed.

• Quick Return on Investment (ROI)

A well-located POS business can break even and become profitable within a few months. Agents earn a commission on each transaction, which can quickly accumulate through daily operations. Entrepreneurs who run existing businesses can further make more profits by reducing operating costs and leveraging customer trust. For example, a convenience store offering both goods and POS services may see higher revenue from increased customer visits and cross-sales.

• Job Creation

Entrepreneurs can employ agents to operate multiple locations or manage services on their behalf In areas with limited formal employment. The POS business not only offers job opportunities for many Nigerians but also enhance economic growth by providing both direct and indirect employment. The POS operations also stimulate local economies by improving access to banking services, and helping small businesses thrive through increased cash flow and access to capital.

• Support from Banks and Fintech Companies

Banks and fintech companies in Nigeria actively support POS agents as part of their financial inclusion strategies. These institutions provide training, affordable POS equipment, and competitive commission structures to help agents succeed.

• Profitability and Business Growth

POS services complement other business operations, making them a smart addition for entrepreneurs. Increased foot traffic from POS customers can lead to more sales of products or services. So, as the business grows, entrepreneurs can expand by offering additional services like micro-loans, insurance payments, or savings schemes. With consistent demand and support from financial institutions, the POS business is guaranteed to remain a profitable venture well into the future.

Our Take

As the POS business continues to thrive in Nigeria, it provides essential financial services to communities across the country. For entrepreneurs, it presents an opportunity to generate steady income, create jobs, and support financial inclusion. With low startup costs, quick ROI, and strong demand, the POS sector is a smart investment for 2025. Entrepreneurs seeking to grow or diversify their business should seize this opportunity and contact a POS service provider like Kashzoo to enhance their profitability and community impact.