AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
Start from your full landed cost per unit, set a retail price with your target margin, then set one or two wholesale tiers at lower margins tied to a minimum order quantity. Each tier must still cover its own costs, and wholesale volume has to be large enough to replace the margin you give up.
Why the same product has two prices
Selling one pack to a walk-in customer and fifty packs to a kiosk owner are different jobs. The retail customer takes staff time, a bag, change and space at the counter for a single unit. The bulk buyer takes one conversation, one loading and one payment for many units. Wholesale prices are lower because the cost to serve each unit is lower and because the buyer takes stock off your hands faster. The risk is that discounts are set by feel and the business ends up busy but no richer.
Step 1: know your landed cost
Landed cost is what one unit has cost you by the time it sits on your shelf: the supplier's price, transport from the market or depot, loading and offloading, any levies on the way, and an allowance for breakage or expiry. Work it out per unit, not per carton, so tiers are comparable. If you are unsure what to include, see cost-plus pricing.
Step 2: build the tiers
Example only. A drinks distributor in Onitsha has a landed cost of ₦4,000 per pack.
| Tier | Minimum order | Price per pack | Margin per pack | Margin on price |
|---|---|---|---|---|
| Retail | 1 pack | ₦5,000 | ₦1,000 | 20.0% |
| Wholesale 1 | 10 packs | ₦4,600 | ₦600 | 13.0% |
| Wholesale 2 | 50 packs | ₦4,400 | ₦400 | 9.1% |
Each step down in price is earned by a bigger commitment. The minimum order quantity (MOQ) is what stops a retail customer from asking for the wholesale price on two packs.
Check the volume trade-off
At retail, 100 packs earn 100 × ₦1,000 = ₦100,000. At the 50-pack tier, the same ₦100,000 needs ₦100,000 ÷ ₦400 = 250 packs. Ask yourself whether the wholesale buyer brings that extra volume, or simply buys what they would have bought at retail. If it is the second, the discount is a loss.
Rules that keep tiers honest
- Every tier covers its own costs. If wholesale buyers want delivery, add the delivery cost or raise the MOQ.
- Payment terms are part of the price. Thirty days' credit on a wholesale order ties up your cash; the lowest tier should be for payment on delivery. See the cash conversion cycle.
- Mixed cartons count. Decide whether an MOQ of 50 means 50 of one item or 50 across the range, and write it down.
- Publish the tiers. A printed price list stops staff negotiating differently with each buyer.
- Protect your resellers. If kiosk owners buy from you at ₦4,600 and you sell to the public at ₦4,600, they cannot compete. Keep your own retail price at or above their typical shelf price.
When costs move
In a market where supplier prices change often, tiers built as fixed naira gaps go wrong fast. Set them as margins instead (for example, retail at cost plus 25%, wholesale 1 at cost plus 15%) and recalculate when your landed cost changes. The National Bureau of Statistics reported headline inflation of 14.63% for September 2026 (via Voice of Nigeria, 16 October 2026); at that pace a price list can be out of date within weeks. Date every list and tell buyers how long prices hold.
VAT on wholesale invoices
If you are VAT-registered, wholesale buyers who are also registered may want VAT shown separately so they can claim it. Forvis Mazars' March 2026 summary of the Nigeria Tax Act 2025 notes the rate stays at 7.5% and that businesses with turnover up to ₦100 million and fixed assets up to ₦250 million (excluding professional services) are exempt from charging it. Quote prices clearly as including or excluding VAT. This is information, not tax advice.
Other ways to reward bulk buyers
A lower unit price is not the only lever. Some sellers keep one price and add value instead, which protects the price list and is easier to reverse later.
- Free delivery above a set order size, where your transport cost per unit falls with volume anyway.
- A free unit per carton, for example one pack free for every 25, which works out to a 3.8% discount (1 ÷ 26) but feels larger to buyers.
- Quarterly rebates paid on total volume, so the discount is earned only after the buyer has actually bought the volume.
- Priority supply during shortages, which many traders value more than a small price cut.
What to check first
- Landed cost per unit, with transport and wastage.
- Your retail margin target.
- Each wholesale tier's margin and the volume needed to replace retail profit.
- Credit terms per tier.
- Whether your tiers undercut customers who resell your products.
For ways to grow retail sales without discounting, see raising spend per customer.
Where Pryme fits
Wholesale orders are often paid by transfer. Pryme's invoicing lets you send a dated invoice showing the tier, and the Sales agent can prepare quotes from your price list for a person to approve.
Questions people ask
How do I calculate wholesale price from retail price?
Work from cost, not retail. Take landed cost per unit, add a smaller margin than retail, and attach the price to a minimum order quantity.
What is a good wholesale discount in Nigeria?
There is no standard. It depends on your margin and how much extra volume bulk buyers bring. Check that the lower margin times the extra volume beats your retail profit.
What is minimum order quantity (MOQ)?
The smallest order that qualifies for a price tier. It stops buyers taking bulk prices on small purchases.
Should wholesale customers get credit?
Only if the price reflects the cost of waiting for payment and you have a written agreement. The lowest price should be for payment on delivery.
Sources
- Nigeria's headline inflation drops to 14.63 per cent (Voice of Nigeria, 16 Oct 2026) · accessed Oct 2026
- VAT and Nigeria's 2025 tax reforms: key changes for businesses (Forvis Mazars, 16 Mar 2026) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.