Entrepreneurship in ICT – JSS3 Computer Hardware & GSM Repair Lesson Note (Second Term)

An ICT entrepreneur is a person who uses computer and phone repair skills to start and run a business for profit.

Behavioural objectives

1. Define an entrepreneur and state two reasons for starting an ICT repair business.
2. List the three things needed to start a repair business.
3. Name the starter tools and the three location options.
4. Explain pricing, marketing and customer service in a simple business plan.
5. Separate customer money into cost of parts, savings and profit, and calculate profit.
6. List the items a receipt should show.

Who is an ICT entrepreneur?

An entrepreneur is a person who sees a problem, provides a solution and earns a profit from it.

• Problem: a neighbour’s phone has a broken screen.
• Solution: you repair the phone.
• Profit: the customer pays you more than the repair cost you.
• Business: an entrepreneur does not just work for one person. He or she builds a business that serves many customers.

What are the qualities of a good entrepreneur?

A good entrepreneur is honest, hardworking, punctual and willing to learn.

• Honesty: you tell the customer the real fault and the real price.
• Punctuality: you finish repairs on the day you promised.
• Hard work: you keep practising until your repairs are perfect.
• Good customer care: you treat every customer politely.
• Willingness to take a risk: you spend your own money on tools and parts before you know how many customers will come.

Why start an ICT business?

People choose an ICT business because it is cheap to begin, always in demand and able to grow.

• Small start: you do not need a big building. A small table and a toolkit are enough.
• Everyday need: most people use their phones every day, so there are always faults to repair.
• Growth: you can begin with phone repairs and later own a shop that sells laptops and accessories.
• Income: the skill can feed you and your family.

What do you need to start a repair business?

You need three main things to start: skill, tools and space.

1. Skill (your product)

• Meaning: skill is what you sell. Customers pay for your repair service.
• Practice first: repair old, dead phones at home before you collect money from anyone.
• Ready to sell: start charging only when you can repair them correctly.

2. The basic toolkit (starter kit)

A starter kit is the first set of tools an entrepreneur buys to open and repair gadgets.

• Precision screwdrivers: open phones and laptops without damaging the tiny screws.
• Soldering iron: joins or removes parts on a circuit board. It gets very hot, so handle it with care.
• Multimeter: measures voltage and checks whether a circuit or part is working.
• Cleaning alcohol (IPA): isopropyl alcohol that cleans dirt and dried liquid from boards and connectors.

3. The space (location)

There are three location options: home-based, kiosk or shop, and mobile technician.

What is a business plan?

A business plan is a simple set of answers about how your business will earn money and attract customers.

A JSS3 plan does not have to be long. It answers three questions: pricing, marketing and customer service.

1. What will I charge? (Pricing)

• Check the market: find out what other technicians charge. Do not just guess.
• Charge a little less: if others charge ₦2,000 to change a screen, you may charge ₦1,800 to attract customers.
• Add value: you may charge ₦2,000 but offer a free cleaning to please the customer.
• Cover your costs: your price must pay for the parts, your time and your electricity, and still leave a profit.

2. How will people know me? (Marketing)

Marketing is telling people about your business so they become customers.

• Word of mouth: tell your teachers, parents and members of your church or mosque.
• Handbills: print simple black-and-white flyers with your name, services and phone number.
• Social media: post “before” and “after” photos on WhatsApp Status or Facebook.

3. How will I treat customers? (Customer service)

Customer service is the way you treat people before, during and after a repair.

• Be honest: many customers distrust technicians who tell lies. Honesty wins loyal customers.
• Deliver on time: a technician who is not late will have more customers than he or she can handle.
• Explain the fault: tell the customer the problem and the price before you start.
• Respect privacy: never read or share a customer’s messages, photos or files.

How do you manage business money?

Managing money means sharing what a customer pays into cost of parts, savings and profit.

Many small businesses fail because the owner spends the profit on snacks and soft drinks without saving.

• Cost of parts: money to buy the new screen or battery.
• Business savings: money to buy better tools later.
• Your profit: the part you may spend on yourself.

How do you work out profit?

Profit is the money left after you subtract the cost of the job from the amount the customer pays.

1. Write down the amount the customer paid.
2. Write down the cost of the part used.
3. Subtract the cost from the amount paid.
4. Subtract other costs, such as your electricity, to get the real profit.

• Example: a customer pays ₦4,000 and the part cost ₦2,500. The profit before other costs is ₦4,000 minus ₦2,500, which is ₦1,500.

What is a receipt and why keep a receipt book?

A receipt is a written proof that a customer paid you for a service.

• Professional look: it shows that your business is organised.
• Avoids arguments: it prevents “he said, she said” disputes about what was agreed.
• Record of income: your copies show how much you earned.

What should a receipt show?

1. The date.
2. What you fixed.
3. The amount paid.
4. The warranty, for example “7 days warranty”.

What is a warranty?

A warranty is a promise to repair the same fault again, free of charge, within a stated number of days.

• Builds trust: customers feel safe paying you.
• Shows confidence: it tells the customer that you trust your own work.
• Brings repeat customers: satisfied customers return and tell others.

What habits help a business grow?

• Start small, plan big: begin with what you can afford and grow step by step.
• Be honest: honesty is your best marketing tool.
• Keep tools clean: clean, well-kept tools last longer and work better.
• Keep records straight: write down every sale and every expense.
• Register later: when the business grows, register the business name with the Corporation Affairs Commission (CAC).

Evaluation

1. Who is an entrepreneur, in your own words?
2. Mention two advantages of starting an ICT repair business.
3. Why is it important to have a warranty for your repairs?
4. A customer pays ₦5,000 for a repair and the new part cost ₦3,000. How much is your profit before other costs? (Hint: think about your time and electricity too.)

Assignment

Write a one-page business plan for a phone repair business you would like to start. Include the business name, your chosen location, three prices, two ways of marketing and the items on your receipt.