Moneydesks

โšก Game plan 3: Energy โ€” refurbished generators & solar kits to West Africa

Open this guide in the app โ†’

๐ŸŽฏ The concrete business: buying used/surplus 20โ€“100 kVA diesel generators and new solar kits in the U.S., refurbishing the gensets with a local mechanic, and selling them to businesses in Nigeria and Ghana โ€” where the grid fails daily and American equipment is the gold standard.

๐Ÿ“… 90-day launch plan

Weeks 1โ€“2: LLC/EIN/bank. Pick ONE size class (say 20โ€“60 kVA). Confirm with BIS the gear is EAR99 (one free call) โ€” standard gensets/solar are.

Weeks 3โ€“4: build your supply list: GovDeals + GovPlanet auctions, hospital/data-center dealer trade-ins, IronPlanet. Record 30 sold prices so you know real value. Find a diesel mechanic whoโ€™ll inspect/refurb per unit ($500โ€“1,500).

Weeks 5โ€“8: demand side: WhatsApp Business number (West Africa runs on WhatsApp), simple one-page site with stock + videos, list on Machinio and TradeWheel; ask your USEAC for their Nigeria/Ghana commercial specialist. Get freight-forwarder quotes for a 40-ft container and RoRo to Lagos/Tema so quoting is instant.

Weeks 9โ€“12: first deal: buyer pays 100% by bank wire before loading (standard in this trade; serious buyers expect it). Forwarder files the export declaration (AES); chamber of commerce issues a certificate of origin (~$50) if asked.

๐Ÿ’ต Startup budget
Broker model (no inventory โ€” match buyer to unit, take commission)$2,000โ€“5,000
Inventory model: 2 gensets bought + refurbed$20,000โ€“30,000
Site + listings + WhatsApp/tools$600
Inspections/mechanic per unit$500โ€“1,500
๐Ÿงพ Paperwork, in order

1) LLC/EIN โ†’ 2) EAR99 confirmation (BIS call, free) โ†’ 3) per deal: screen buyer on the Consolidated Screening List (free, 2 min) โ†’ 4) commercial invoice + packing list โ†’ 5) forwarder files EEI/AES (required over $2,500) โ†’ 6) destination pre-import certs are the buyerโ€™s job (Nigeria SONCAP, Ghana conformity) โ€” know the names so you can point their broker at them.

๐ŸŽฃ Your first 10 customers

1โ€“4: Machinio/TradeWheel inquiries (answer within an hour; speed wins). 5โ€“6: USEAC intro to vetted Lagos equipment dealers. 7โ€“8: Nigerian/Ghanaian diaspora business associations in Houston/Atlanta โ€” many buy for family firms back home. 9โ€“10: repeat + referral (this trade runs on trust networks).

๐Ÿงฎ The math

60 kVA genset: buy $8,000 + refurb $2,000 โ†’ sell FOB U.S. port $14,500 โ†’ $4,500/unit. Two units/month = $9,000 gross. Solar kits stack on top at 25โ€“35% margins. Broker deals: 10% commission, zero capital at risk.

๐Ÿšฆ Milestones

Month 3: supplier list + instant freight quotes + first 20 inquiries. Month 6: 2 completed deals, one repeat buyer. Month 12: container-level orders; consider a Lagos sales agent on commission. Change-course rule: lots of inquiries but no wires = prices off or trust missing โ€” add video walkthroughs, third-party inspection option (SGS, ~$300, buyer pays), and USEAC-verified references.

๐Ÿ›ก Top risks, defused

โ‘  Fraud โ€œbuyersโ€ โ†’ 100% prepay, verify via USEAC, never accept overpayment-refund schemes. โ‘ก Freight surprises โ†’ forwarder quote BEFORE you quote. โ‘ข Warranty fights โ†’ sell โ€œas-is, tested, with videoโ€; offer the SGS inspection instead of promises. โ‘ฃ The big-league note: exporting actual LNG/crude needs DOE/FERC authorizations and billions โ€” thatโ€™s the corporate path; equipment and services are yours.

โ† Game plan 2: Food & farm โ€” a specialty-sauce brand exporting to the UK & Gulf Game plan 4: Medical supplies โ€” Class I trading to Gulf & African clinics โ†’