Installments guide
How to Start an Installment Business in Pakistan
An installment business sells today and gets paid over months. It can grow steadily — bikes, phones, appliances, furniture and solar all sell well on monthly plans — but it ties up capital and depends on disciplined recovery. Plan these six things before the first sale.
By Rana Yasir Ali, Founder & CEO7 min read
1. Work out how much capital the plan needs
Your money comes back slowly. If you sell an item worth Rs 150,000 on a 12-month plan with Rs 30,000 advance, Rs 120,000 of your capital is out in the market until the plan ends. Add up your expected sales for the first six months and keep enough cash to keep buying stock while installments come in.
2. Choose products that hold their value
- Items people need every day: motorcycles, phones, fridges, ACs, LEDs
- Items with a clear identity — chassis, IMEI or serial number — so each unit can be traced
- Items with steady prices, so the plan stays fair to both sides
3. Set your pricing rules once
Decide a minimum advance (for example 20%), the plan lengths you offer (6, 12, 18 months), and your markup for each. Apply markup to the balance after the advance. Write the rules down so every salesman quotes the same plan.
| Cash price | Rs 100,000 |
|---|---|
| Advance 20% | Rs 20,000 → balance Rs 80,000 |
| 6 months at 10% | Rs 88,000 → Rs 14,667 a month |
| 12 months at 20% | Rs 96,000 → Rs 8,000 a month |
| 18 months at 30% | Rs 104,000 → Rs 5,778 a month |
4. Check every customer and take a guarantor
- Copy of CNIC, home address and two phone numbers
- Where the customer works, and a monthly income that fits the installment
- A guarantor with his own CNIC, address and phone
- A signed schedule that both sides keep
5. Plan recovery from day one
Group customers by area into routes, give each route a recovery officer, and review due, overdue and defaulter lists every week. Recovery is the business — sales only start it.
6. Keep the books from the first sale
Record every sale with its schedule, every payment with its account (cash, bank or wallet), and every expense. Starting clean is far easier than fixing six months of loose records later.
HisabMate
Start your installment business on HisabMate
HisabMate runs an installment business from the first quote to the last payment.
- Installment calculator for quoting before the sale
- Automatic schedule on every installment sale, with guarantor and CNIC details
- Vehicle, mobile and property details on each sale
- Payments fill the oldest unpaid installment first
- Routes, recovery officers and expected collections
- Cash, bank and wallet accounts, expenses and profit reports
Questions
How much advance should I take?
Many businesses take 20% to 30%. A higher advance lowers your risk and the customer’s markup.
Which products sell best on installments?
Everyday essentials with a clear identity number — motorcycles, phones and home appliances are common choices.
Roman Urdu
Qiston ka kaam kaise shuru karein?
Pehle capital ka hisaab lagayein, aise products chunein jin ka serial/IMEI ho, advance aur markup ke rule tay karein, har customer se guarantor lein, aur pehle din se recovery routes banayein.
Installment business ke liye software?
HisabMate mein calculator, khud banne wala schedule, guarantor ki detail aur recovery routes sab mojood hain.