6 Reasons Why You Should Start a
Business in Nigeria Today

1. Now Nigeria still remains a hub for most
entrepreneurs and investors. In fact, Nigeria
is now the largest economy in Africa , the
number one destination for Foreign Direct
Investment in Africa and one of the fastest
growing economies in the world. That’s why
South African and Chinese companies are
scrambling to invest in Nigeria .
Tiger brand recently acquired Aliko
Dangote’s stake in Dangote Flour.
MTN South Africa recently mopped up
shares of MTN Nigeria and Wal-Mart
has moved heavily into Nigeria through
its subsidiary, Shop Rite.
GlaxoSmithKline U.K has increased its
stake in GlaxoSmithKline Nigeria PLC.
General Electric is partnering with
power generation companies in Nigeria
to boost the nation’s power supply.
Chinese companies are partnering with
Nigerian companies to setup
manufacturing plants right here in
Nigeria. An example of such plant is
Innoson Vehicle Manufacturing
company in Nnewi.
Nissan has also established an auto
manufacturing plant in Nigeria.
The list goes on and on but the point I want
to stress is that this is the right time to
invest in Nigeria. Please if you are in doubt
of any of the information listed above,
Google is your friend. Just do a search.
2. There are over 150 million people resident
in Nigeria and the population in Nigeria is
been predicted to overtake that of United
States by 2050 . Now what this means in
essence is that the market is big enough to
absorb any product, provided enough
marketing and awareness is created. Another
positive impact of this population statistics
is that there is cheap labor. One of the
reasons China grew to become an industrial
hub is because of her large population, which
in turn brought down the cost of labor.
3. Nigeria is fast developing and there is a
huge need for innovative products. If you are
resident in Nigeria, kindly reflect on the
position of Nigeria ten years back and
compare it with her present state; you will
agree with me that there is a huge change.
Economically, technologically, etc; Nigeria is
growing, whether you admit it or not won’t
change the fact. That is why entrepreneurs
and institutional investors from countries like
South Africa, China, Lebanon, Brazil, India,
etc are scrambling to invest in Nigeria
because they see the potential that we
citizens don’t see.
4. Nigeria is currently riddled with problems
and the government is currently battling to
tackle these problems. I am talking about
challenges such as falling oil prices, security,
infrastructural decay, unemployment, power
failure, corruption, fall in education standard ,
accommodation, etc. The average minds
believe these problems can never be resolved
and if it is to be resolved, it should be done
by the government.
However, people with entrepreneurial mindset
know that these problems are opportunities;
and only those who act will turn these
opportunities into profitable businesses. In
all honesty and humility, I want you to know
that I am currently profiting from the security
situation in the country by providing a
solution to a specific security challenge.
5. The government is working to improve the
economic condition of the country, by
implementing several policies aimed at
encouraging local content production and
small scale enterprises. If you are well
positioned to take advantages of such
opportunities, you will make something from
it.
6. The eye of most entrepreneurs and
investors doing business in Nigeria is usually
on Lagos, Abuja, and Port Harcourt . However,
tremendous opportunities are laying waste in
other states cities such as Owerri, Aba,
Onitsha, Nnewi, Kano, Ogun, Ibadan, Enugu, etc.
Now to be honest with you, I don’t take heed
to what the World bank and IMF statistics
say about Nigeria. I am equally not moved
by the politically inclined propaganda
promoted on the media about Nigeria. I am
an entrepreneur on ground, and I have
personally assessed the situation on ground
and charted out ways to harness it.
I would rather work with my own hard facts
and proposed solutions than work with the
media statistics. I think I have said enough.
So without wasting your time, below are
some small scale business ideas and
opportunities in Nigeria you can invest in
today.
Six Criteria You Must Meet Before Investing
in Nigeria
Now for those who are eager to start a
business or invest in Nigeria , there are a few
criteria you must meet; so as to ensure you
are well positioned for success
1. You must be prepared to be on ground in
Nigeria
Yes, I have had so many people call me to
talk to me about the possibilities of starting
a business in Nigeria while running it from
overseas. Now the honest truth is that you
can successfully operate a business in
Nigeria without being physically present; but
not in the startup phase of the business.
You just don’t start a new business, turn it
over to someone and travel out of the
country; hoping that the person you handed
your business over to will do a good job.
This is one of the mistakes most Nigerians in
Diaspora make.
If you are really serious about establishing a
business in Nigeria, then you must be willing
to be on ground to run the business for at
least one year. Secondly, forget about doing
business with your family members or close
friends; it usually doesn’t end well. Rather, I
will advice you seek professional help,
incorporate your company and make sure
your back is covered legally.
2. You must have knowledge of the business
To succeed as an entrepreneur in Nigeria,
you must have skill and competence.
Competence is a product of knowledge mixed
with experience while skill is something you
can develop over time through training.
Please don’t start a business blindly simply
because a family member or friend
recommended such a business , the result of
such a venture is usually devastating. Invest
time first to learn everything you can about a
business before you invest your money.
3. You must have a short or long term plan
to employ people
To keep cost low, you may choose to start
as a self employed entrepreneur operating
from home, a shop or an office. There is
nothing wrong with starting out this way,
after all; I started out as a self employed
entrepreneur working from home. But as you
grow in business, you will need to bring in
competent hands. However, you shouldn’t
wait till then before you plan towards it, start
now.
4. You must have capital
There is no much explanation to do here. To
successfully setup a business in Nigeria, you
must have capital. This is needed to get
things done. Now when I say capital, I want
to emphasize that it doesn’t have to be a
million dollars. You can start with the little
you have even if it is just enough money to
get a laptop and an internet connection.
5. You must make sure your proposed
business has an evergreen demand
Another mistake you must avoid is starting a
business whose trend is dying. Take for
instance a cyber café business, this business
is dying because the trend is shifting towards
mobile connectivity. Why go to a cyber café to
access the internet when you can do it more
cheaply at home?
6. You must always remember that success
is not an overnight flight
Yea, this one is especially for those who are
looking for a business to start that will
provide a steady cash flow or a return of
30% – 50% in approximately one year. The
truth is that it doesn’t work that way.
Success can never be achieved or attained
by sudden flight; it is a product of
consistent, unyielding effort. So stop looking
for the best business to start, instead; look
for the best business you are willing to stick
to regardless of the surrounding
circumstances.