There are many ways to invest money in Nigeria, and there are many ways not to invest money in Nigeria.

If you have the sum of 200k Naira lying idle in your Nigerian bank account, and you want to invest it for reasonable returns, what comes to your mind?

Majority of Nigerians would first think of banks. After all, that is where they keep their money and even though there are many issues with handing your money over to Nigerian banks, one can’t deny that they are the most trusted customer-facing financial institution in Nigeria.

So, what are the options an investor has with a capital of 200k in Nigeria?

Savings Investment and Fixed Deposit

Stocks

HYIP and MLM Schemes

Liquid Funds

A Different Kind of Investor
While the aforementioned investment opportunities are good enough for the average investor, there is a different kind of investor who wants to go beyond the average market ROI, to get more returns for their capital.

These kinds of investors do not only want to have their investment portfolios written on paper or on the screens of their computers. They want to invest in a brick and mortar business where they can meet with real people and monitor the day-to-day progress of their investments.

They do not just want skin the game, they want ownership. They do not just want ROI, they want cashflow. For this kind of investor, the ROI doesn’t have an expiry date. They continue to earn on their investment as long as the business continues to operate, and until they decide to exit the business.

The success or failure of this type of investment would usually depend on the kind of structure put in place not only to hedge the investment, but to ensure legitimate use of capital.

So, while you might have heard of investors investing their money in Nigerian businesses listed on the stock exchange, it is also possible to invest in lucrative Nigerian businesses that are not listed on the stock exchange.

Investing in a Nigerian Business
The truth is that 200k may be too little to invest in a Nigerian business, but it is a good start to test the waters. You can invest in a small business with potential to grow a sector of the economy and bring huge profits in the future.

You just have to have the eye to spot a good deal and put the right structure to make the business thrive.

So, what are the steps to investing your 200k in a Nigerian business?

Find an Industry of interest

Find your scale of opportunity

Talk to Many Different Businesses

Choose a partner you can work with

Create an MOA

Hedge your Funds

Conclusion
It is important to know that true investors do not entertain any anxiety over making returns on their investment.

Despite the fact that you want to keep your investment growing and above the raging inflation, the goal is to ensure you do not lose your money.

Investing 200k is a good start, but you must ensure that you invest at the right scale. Don’t be too ambitious and throw your money into the HYIP whirlwind. It is better to own 50% of a fast growing business with huge potential than 0.5% of a saturated stock of a company you don’t even know where it exists.

Whatever route you choose, your investment portfolio needs to be as liquid as possible so you can quickly cut your losses or take advantage of new profit waves. You need that sort of flexibility to be able to divest and keep your funds growing.

Read the full article here: https://bizvestor.com.ng/investment/invest-200k/

Nice.. Thank you.