These are the rules for a successful mobile money business

Take daily records.

This is the first rule to run a successful mobile money business. Just like any other side hustle, records are very important in mobile money. Taking records of your transaction is important for future reference and troubleshooting where a loss possibly came from. If you wish to calculate your commission, this can also be helpful.

Balance the books.

Balancing the books is a very important check on capital. It involves calculating your closing capital which is the opening capital of the next day unless otherwise. At the end of the day, your closing capital (cash +float + other expenses) should equal the opening capital. If this isn’t the case, then you made a loss in some transactions. Balancing the books daily tells you of losses early enough. You can look through your transaction records to tell where the loss came from.

If you don’t balance books, you’ll not easily know when you make a loss. You may probably realize when it’s too late.

Read also; How to improve your mobile money commission.

Customers should always initiate the transaction first.

Initiation, in this case, is not limited to withdraws but also deposits. Let the client initiate a deposit by giving you the money. For cases where the agent initiates a withdraw, confirm that they’ve accepted the transaction by checking your account balance. You’ll often make transactions and clients match away without giving you money especially deposits or tell you they don’t have the money. This is the reality.

Only transact for devices in your vicinity.

I advise you to transact for devices that you have or the client has. This is because of the following.

• To avoid direct money transfer.

Direct transfer involves depositing money using the agent sim cards to another non-agent sim card that is not in the same geographical location as the agent. It’s better to first deposit it on a non-agent sim card in the same geographical location as the agent and then use that to send the money to earn a commission.

• To easily solve deposit mistakes.

A deposit mistake is one where you deposit more than what the Client wants or has requested. This is common and easy to do as an additional zero changes the whole sum greatly. If you have the phone with you, it’s easy to solve. If the phone isn’t close, then it’s complex. You have to call and request a refund or ask the mother company to do a reversal.

Don’t accept calls on the agent sim cards.

Con men are common nowadays. If you make calls with your agent sim card and they get to know it, they’ll try all tricks on you. Additionally, someone can come to withdraw money and if they know the agent number, they’ll pretend to be putting their pin after your transaction initiation and end up sending you a message similar to that sent by the mother company. If you don’t monitor your account balance and you’re in a rush, you can lose money. Keep your agent number a secret and don’t make calls with it.

Guard the capital.

For this case, capital is the cash and float that you use in the transactions. Keeping capital involves physically protecting it from physical thieves and doing the transactions right to avoid losing it.

Double-check the transaction.

this si another rule to run a successful mobile money business. Thanks to most companies for registering all Client SIM cards. Nowadays they automatically tell you the names of the person you are dealing with in the transaction. Nevertheless, agents still check one name, not both.  Names can be similar. Always double-check the number, names, and amount to avoid any losses

Read also; How to start a mobile money business with a smartphone.

Keep your pin a secret.

The pin is that five or four digit number you input to accept a transaction. The act of inputting the right pin is communication to the mother company that the right person is doing the transaction. So, to avoid miscommunication, keep your pin a secret. This can save you any losses from unauthorized transactions. In case you become suspicious, you can change your pin.

conclusion

If you follow these rules for a successful mobile money hustle, you’ll never have issues operating your mobile money, and you’ll see success come your way.

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First, let’s look at why you should start a mobile money side hustle.

All the other reasons for starting a side hustle may apply here. You can read about them here. But I want to encourage those with retail, wholesale, and majorly roadside businesses to try this out. It’s easy to add it to your business at a small fee of Ugx 20000. Then share operating capital with your business and earn a monthly commission.

Requirements

Just like any other mobile money business, the requirements that you’ll need to start include capital or operating funds in form of cash, the means of transacting, and an accessible place where customers can easily see your posts and come to you.

The main concern is the means of transacting of which in this case it shall be your smartphone with an internet connection.

Read also; How to improve your mobile money commission.

How it works.

You shall register with an online transaction company that can do the transactions on your behalf and pays your commission with a small fee of over 4%+ of the commission given by the mother companies taken as their operation fee. The fee the companies charge differs. After you register with the company, you’ll transact with them through their app. This is all that you do on your side. The companies later deal with the mother companies.

Different companies that work in this business.

These are the different companies that do transactions on your behalf with the mother companies.

General requirements that most of these companies require.

• A valid national Identity Card.
• Registraction fees. most of these companies charge very little registration fess. Some of these have been highlighted below.
• Photographs of the person registering.
• Operation area and site photographs.

Chap chap merchant.

This is one of the major companies. You can download the app on the Google play store and create an account to start transacting. A small registration fee of Ugx 20000 is charged and other additional requirements such as national ID, photographs, operating site disclosure, and more in the registration process. You can read more about chap chap.

Quick teller.

Just like the above, you can download the app from the play store and create an account to start transacting. A small registration fee of Ugx 20000 is also charged. you can read more about quick teller.

Pebbu

Pebbu also does just what the others do. The only difference is that pebbu registration fees are a little higher. They charge Ugx 100000. You can read more about pebbu.

There are many more companies doing this and the choice of the company to use is yours. All the companies provide the service. Though I recommend you register with two companies as sometimes, the systems of one of the companies may have issues and you consider using the other not to lose customers.

The first two are the best options as they charge less registration fees and the services are good.

Read also: Rules for successful mobile money business.

Why start a mobile money business with your smartphone?

I prefer transacting with my smartphone through these mediator companies simply because;

• It’s all in one.

The companies transact for most of the mother companies such as Airtel, Mtn, Africell, and more which is easier compared to having all those company agent sim cards.

• It’s cheaper in the short run. 

All you need is a smartphone connected to the internet and registration fees. This cheaper compared to buying agent sim cards of all networks

• It offers more services.

There are many more services that these companies offer compared to parent agent line companies such as buying airtime of many networks and paying most bills.

• It’s easier to transact and their customer/ agent help services are way better than those of parent companies
• It’s easier to track your earnings commission wise as all systems show your commission compared to the sim card system which doesn’t. If you want to always track your earnings, this is a good one.
• It requires very small registration fees and the registration process is fast. Very small registration fees are charged as shown above compared to the registration fees charged by mother companies to get agent sim cards. Additionally, The duration it takes to register is short and sometimes instant.

Nevertheless, there are shortcomings too.

• It’s expensive in the long run.

You always incur data charges and a 4%+ charge on commission.

• Different company systems keep getting issues. You can solve this by opening two accounts for different companies.

Conclusion.

Operating a mobile money business with a smartphone is a wise idea if you wish to do the hustle for a short time and quit or have little startup capital.

Note; All fees discussed in this post are subject to change.

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