Hi Guys, I live in the USA now and am planning to relocate to Nig later this year. I am not Nigerian, I have friends out there who are. However I have spent about 3 to 4 months visiting there in 2004, I loved it a lot, people there are inspring and hardworking. I know there are others who focus more on the negative.

I want to open a Toiletery and laundry supplies manufacturing business and I also want to do houseware stuff like beddings, dishes etc, all of these to sell wholesale to the local market.

What do you guys advise. thx

Yes, it is good to come and Invest in Nigeria, it will improve our Economy, and you will make alot of Profit, one thing is, you have to be very careful with people you will deal with in Nigeria, put an eye on every step they made, and you know there is less security in Nigeria, you have to also invest alot in securing you Investment in Nigeria,

I suggest a fact finding visit  first

Setting up a business in Nigeria is not an easy task. It is fraught with obstacles and bureaucracy
There is also corruption you have to deal with which pervades every facet of life

Bribes are required for almost everything legitimate or not
You will find that doing something as mundane as getting from A to B is not as easy as you may be accustomed to, police check points, fuel scarcity, lack of good roads etc

You should go and investigate things like location, required machinery, power supply, labour, running costs etc just to give you a quick run through but i am sure you would have thought of most of these things anyway

The list if things you need to do is endless, but always remember to watch your back and trust no one as you would anywhere in the world that is new to you not just Nigeria

Its always a good idea to touch base with the local chamber of commerce for potential contacts and advise regarding bureaucracy

But then Nigeria is a very progressive country and there are lots of people making a difference

Do your homework

caution is the key word though, Nigeria is a beautiful place and honey pot for most foreign businessmen. i suggest a thorough business reseach before you embark on the business proper.

Goodluck

Nigeria has a lot of potentials for business. With a population of over 150million people, it is the largest market in africa. Oppourtunities for profir are enormous, as regulating agencies and tax authorities are very lenient (except when they need a bribe from you!), however, the challenges involved are substantial. You have to generate your own power (electricity) as the public supply is practically non-existent, provide your own water supply (and still pay for having your own source of water because they government could not provide it), practically construct access roads to your factory, etc
Lest I forget, you must have your own police/army (prefarably OPC) to guarantee your security!

The challenges like the return on investment is enormous, so before you venture there, it will be a very good idea to go and live there for 3 to6 months to study the lay of the land. If you can survive it, you'll definitley be smiling to the bank (ask MTN Nigeria!)

Pepsi2, first of all congratulations on your decision. Nigeria is a country with numerous profit yielding opportunities. My advice to you when the hiring decision comes is never to hire your friends. Do not go anywhere in Nigeria without your trusted escort. Nigerians can smell an American accent.

2.it is quite teribble and horribly dismaying that it is nigerians that are discouraging someone that intends to invest in d very country that even nigerians will not invest the very wealth dta they stole from the country. i mean: wot does this say about us? nigerians are thiefs? u tell them to beware before u tell them how great the country is? its absolutely terrible that nobody believes in the possibilty that there still are honest nigerians,

well whatever u guys think, it remains a fact that nigerians are great people
every prospecting investor has to do his homework just like in every other part of the world.

anizzle:

seun might ban me for this but i don't reall care when it come to issues like this.


1.i seriously don't believe that this guy is 4 real
2.it is quite teribble and horribly dismaying that it is nigerians that are discouraging someone that intends to invest in d very country that even nigerians will not invest the very wealth dta they stole from the country. i mean: wot does this say about us? nigerians are thiefs? u tell them to beware before u tell them how great the country is? its absolutely terrible that nobody believes in the possibilty that there still are honest nigerians,
well wotever u guys think, it remains a fact that nigerians are great people
every prospecting investor has to do his homework just like in every other part of the world.


if u like! don't believe , na your toro be that
i love nija, 4ver.
na we tite pass

Mr 'tite' Nigerian
Whats the 'dizzle' with your america derived handle?

Read the threads above carefully.
Nobody here is dissing Nigeria, afterall we are all Nigerians
We have warned him to do his homework like any discerning businessman should

Nigeria has its particular dangers which he has been warned about. You can't change the fact that some of our Bros are crooks so don't hide your head in the sand

If he was going to invest in Iraq then Iraqi peeps will tell him to watch out for roadside bombs and machete wielding fanatics who want his head forcibly removed his neck, so let him take heed and not say nobody told him so

As for you hope you have the Naija flag hanging from your window but don't let your large flag obscure your vision

Thank you to all of you guys, all of you are very insightful.
In term of Security like armed police or military men, what is that going to cost one to secure a company and I am thinking where I will live as well?

I had friends living in Lekki and Ikoyi and the Island. Those areas seemed ok, no complaints. I am Liberian/American but I am not completely americanized I can understand the lack of electricity and water. I come to Africa every now and then.

I liked Nig when I visited in 2004. I am tired with being here and need to become my own boss now. I am concerned with the bribery for I am a girl and my boyfriend is so busy, I hope he can refer trusted folks to guide me. I intend to be so involved with everything for this is the biggest sacrifice I would have made and leaving my comfort zone.

you can contact companies such as Bemil Security - they provide security services for a lot of financial institutions, they should be able to serve your firm as well. Living in those 'high-brow' areas will be necessary, security in most other parts of the country is worse.

depending on where you eventually decide to site your industry/company, arrangements are under way to generate electricity solely for industrial use at certain locations, you might avail yourself of these as well.

things are not as bleak as some may paint, but you do need to be extra vigilant, too many people are out there trying to prey on people with good intentions.

I wish you all the best in your quest.

Thank Debosky, I will save the info on the Sec company. I am excited about this move. It is so expensive/hard to start a business here. I can give back to my own people at the same time out there. I hear rent is so high, but in terms of security is it best to do apartment/flats or bungalows i am not sure which ones that is? If I wanted to live alone.

if you can afford it, a serviced apartment/flat in V/I or Lekki would be a safe bet, if not, getting a bungalow or duplex in one of the private estates can serve well too, but those might be a little more difficult to handle alone.

Thx Debosky, I have this website that quotes prices, www.ip4properties.com. Realistically, what will a serviced flat cost annually? I am so sorry for the questions but this is part of my convincing research.

Thanks for all of the pieces of advice it is highly appreciated guys

serviced flats tend to charge their rents in dollars, I really dont have any hard estimates, but 10 - 15,000 dollars a year could be expected.

you can contact http://www.diya-fatimilehin.com/v2/main.cfm they are reliable property managers and can give you more info.

Good move Pepsi2.Business is good in nigeria.I returned over a year ago and really I'm impressed.Since you are Liberian American, if u can keep your accent down a little bit, u wouldn't need the constant security.However you might need them at your facility.Mobile police in the Niger delta cost us about 700 dollars per month for two.I guess Lagos would be cheaper.
As per serviced flats, those things are way too expensive.Some charge as much as 100 usd per night, others charge more.That's almost as expensive as manhattan or london. I'd reccommed u stay in serviced flats for a month then get a personalized place for the long term.
Don't forget that in manufacturing in Nigeria, electricity is the biggest problem.
Best of luck.

Thx Beaver007, I am glad to hear from a person who just made a similar move. I am really trying to make the move successful. I am looking for a regular apartment that has security and gated community not neccessarily like a hotel type thing. I can't afford that for sure.


I will keep you guys posted. thx so much

You also need to need to carry out a feasibility study on your venture. I think that you have to compare cost of production in Nigerian with Chinese imported toiletry products.

i suggest you get in touch with reputable companies that can give foreigners infoabout relocating to Naija.i dont have any at my fingertips now but i'll make a check and buzz ya.d catch is that you dont have to be here to make a fact-finding search.A consulting company here can also help u out wit making feasibilty studies at an affordable rate.

Adcoline thx, I was wondering about the Ban on toilerteries and Luandry products. I thought of inporting them compare to manufacturing but feared the Ban and the bribery to still inport such products. What do you think?

Thx SOJ, I will be looking for the infor on Firms. I was thinking about a consultant firm for good info as well.

You guys are truly helpful on here. Thx

very funny, nobody is talkin about wat exactly he is coming to engage in.
u cant just wake one morning n dcide ur comin to Nigeria to start up a business.
The very market u r targetting should b ur priority, wit that all other logistics will b considered.

ur market population,ur desired passion for a particular kindda of business makes it at d top of ur prference coz u must really b passionate bout wateva ur doin in NIGERIA to b successful.
ur ability to manage disappointments,tension,stress,people 4rm different carzy backgrounds and so on must also b considered.

my point,
comin to invest is not really the issue,,u must identify all dis points and try to find how to get them done n over wit.
doin business in nigeria requires a lot more than just having the money n idea.

i think she has answered these Q. b4 making a post,my guy.dats y she's here 4 advice and u sure are giving it!
ok Pepsi2,u r welcome.

Hi Pepsi2
I appreciate that you see Nigeria as a place you can come i nd invest.
If i must tell you the truth- starting up a manufacturing comp. here will require hundreds of millions, if you are coming to compete with the existing ones.
Meanwhile, like you have been told, you have to consider the long list of prohibited items if you intend to import itmes into Nigeria. Moreso, chinese produtcs are not letting nIgerian comp. to grow. And nigerian importers are preffered victors in business becasue they have bring down the chinese economies into competition here.
Unless, you are going into the area that Asian companies can not compete with.
Another important factor is that you have to have it in mind to provide virtually all you need to start up and remain in business here. Relying on govt will mean planning to fail.
I pray you will succeed.

Thx SOJ AND DANIEL. I am trying to tighten all loose ends and you guys are rite that is why I am on here to get answers since I have been reading your posting for a while and figure you were insightful.

I am sure the Asians have a lot of influence in the market in so many ways and leaves just a little options to run with. I want to create a toiletery line of soap, cream/lotions medicated to cater to things like insects bites especially for the skin itches/rashes that spreads among kids in unfortunate neighborhoods, this is common to lots of third world countries. And products with suncreen for our weather type and baby produts and then washing soap and detergents for clothes and dishes and other cleaning purposes.

Should you need any assistance on fisibility study for your business and business development and related services.

Call 2348033979979 or mail globalvilakoncept@yahoo.com

Pepsi2,
I fancy your plan in the line of production you have chosen.
I will advice that you add perfume - fragrance to it. At least its cheper to produce here.

@ Danialng thx that you think the idea is good, but what are chances with the Asian big influence over our African market? That is why I want to cater to 'US' IN OUR SPECIFIC SKINCARE AND PERSONAL NEEDS.

So you think perfume will do good along with the line? That can be manufactured locally too?
Thx

Your idea of localizing the products is just right.You Know, one of the most successful soap brands in Nigeria is Dudu Osun.Its the very local black soap that our forefathers used and yet the owners were able to make it into a premuim brand.Lux and Joy(most common brands) sell for about 30 naira while dudu osun sells for something like 80-100 naira.
So really I don't see the Asian brands as a major obstacle especially if you make your brand premuim.
Fact is - use of cosmetics is a class thing and most of those asian brands are competing for the lowest end of the market.
On the thought of producing 4 the poor children, forget it.These kids don't care much about toiletries.Focus on the emerging middle class.It is huge.
The perfume, nah, nah, nah!Ah ah, perfume is a signature statement.That is a whole different game entirely.Leave that one to the celebrities.

Do your homework first, before investing in Nigeria. Sure, it is my country, but I'll be deceiving you, if I tell you that all is dandy in the country. While there are opportunities to operate a small scale industry, I would have to remind you to do a feasibility study of the place that you intend operating your biz. I am certain that there are some companies that deal with toiletries, so, for a newbie, you might face stiff competition. Instead of investing in Lagos, that may be saturated with such business ventures, you could try a different locale that lacks the presence of such corporations. In that case, you will be "Omo" in the area.

Best wishes.

Well you got a good idea, but i would advice you to carry a research/feasibilty study to help you make some good decisions. I can help you in the area of research, I work with one of the best or I'd say the best research firm in the world, ACNIELSEN but now NIELSEN. Contact me if you want more info, CIAO

pls try and make research before making any move,Nigeria is a very nice place to work.

Thx Kelly and Mansa. Kelly are you in Nigeria, is there as website?

check out the website: www.nielsen.com
call me: +2348028542696