How to start a profitable business in Nigeria

 

How to start a profitable business in Nigeria


The main dream of many entrepreneurs is to one day own their own business. Having your own business is great because you can do things when you want without your boss looking over your shoulder. But as good as it is, starting a profitable business is such a demanding task that only a few companies survive.

According to Collins Dictionary, business is an activity related to the production, buying, and selling of goods or services. There is no limit to who can become a business owner or entrepreneur. You don't need a lot of money in your bank account or a degree to run your own business. However, what you need is a good business idea, a killer plan, and the passion to wake up every morning and keep working.

In this article, I will share the key steps and steps you need to start a profitable business in Nigeria which are; Evaluate Yourself, Find Business Ideas, Conduct Market Research, create a Business plan, Earn Business Income, Register your Business, Make Employment, Book Keeping & Accountability and Open a business account

The crisis in the Nigerian economy has caused the price of everything to rise. Every businessman knows the song "everything is expensive now" as a mother sings to her sick child; but the fact remains that there are endless opportunities for businesses you can start in Nigeria, especially as a developing country where all you need is determination, hard work and some money.

Starting a business is notoriously stressful. At a time like this, where money keeps paying and the cost of living continues to rise, we are faced with the need for high capital to start the simplest business; After all, business thrives on buying and selling goods and services, indirectly or not. It is important to find ways to start a profitable business that requires little or no investment but can grow exponentially.

This article aims to provide a list of profitable businesses in Nigeria that you can start with little money, the steps and steps you need to start a profitable business in Nigeria.

 


List of profitable businesses in Nigeria


How to start a profitable business in Nigeria


1. Baking and Confectionery Shop

2. Drop shipping

3. Meal ordering

4. Affiliate marketing

5. Animal farming

6. Day Care Centre

7. Home and Online Tutoring

8. Dry Cleaning

9. Viewing Centre

10. Pre-Order Importation

11. Soap Production

12. Real Estate Agency

13. Website and Graphic designing

14. Software and Application Development like accounting applications, gaming applications, business enabling applications

 


How Can You Start A Profitable Business with Little Capital in Nigeria


How to start a profitable business in Nigeria


A house built on a hill has a solid foundation. A business established with an effective plan will succeed.

 

1. Evaluate Yourself

Since you have decided to start a business, you need to carefully evaluate yourself by asking yourself the following questions.

• Do I have the skills to run this business?

• Do I have what it takes to lead or manage a team?

• Do I have what it takes to raise money for a business?

• Do I have the passion and drive to succeed?

So be honest with your answers and if most of your answers to the above questions are "Yes" then you are ready to start your own business.

 

2. Find Business Ideas

To start a business, you need to find or create a business idea against your existing capital. Many maintain businesses for many years resulting in insufficient profits compared to the stress and energy required to maintain them. When researching business ideas, there are a few things that will serve as a guide;

• Think about the problems in your area

 You can provide solutions to such problems and earn money

 Think about the implementation process: what will it cost you and how will you do it?

Not all business ideas are worth starting. A good business idea should be unique, useful, relevant to the market, and simple in quality.

It may also be that your business idea is completely new. So, what you want to be sure of is the offer and value of your company. You can ask people questions, do your own research, and seek advice from contractors.

 


3. Conduct Market Research

According to Wikipedia, a business plan is a statement of business goals, why they are achieved, and a strategy for achieving them. It may also contain general information about organizations or groups that are trying to achieve these goals. 

Every business, big or small, needs a business plan. When starting a business, a business plan helps you stay focused and organized. Remember that organizational skills are one of the most important skills of a successful entrepreneur.

So, when you write your business plan, you look to online business plans as your guide.

Analyze the current market for the desired business.

• Who are the potential buyers of the desired business?

• Can I be successful in this business? 

• Do I have the skills to make this business a success?

• Will the business be easy to calculate?

• What is the necessary amount of money that should be invested in this business and do I have it?

Don't be afraid to give up on business ideas when they're bad just because you've put so much energy and effort into them.

 

4. Create a Business Plan

Every company needs a business plan to monitor its implementation. It can be unwise to get inspired for a business idea, get the necessary funds to make it a reality, and then jump straight into the implementation phase.

What is an effective business plan?

An effective business plan is a document that does the following:

1. Purpose of the business / product to be sold

2. Business growth strategy

3. Media strategy

4. Physical presence and/or online only?

5. Customer Center

6. Capital requirements

 


5. Earn Business Income

Starting a business requires not only your skills and efforts, but also your money. Every business needs start-up capital that can be used to pay for the day-to-day operations of the business.

If you don't have the capital needed to start the business, there are different ways (bank loans, grants, equity investments, etc.) to find money for a new business. Many businesses die due to lack of cash, so make sure you have enough cash to weather financial crises.

 

6. Register your Business

This is another significant aspect of starting a business in Nigeria. Every company operating in Nigeria must be registered under the Companies Act and Related Matters. Your business can be registered as a business or company name, subject to approval and CAMA 2020 requirements. 

It is advisable to consult with a lawyer on the benefits of both that they are suitable for your business.

 

7. Make Employment

After registration, it is important to use the users according to your needs. If you think it's a small business that you can run on your own, do it. On the other hand, consider hiring a team that will take care of different aspects of the business, all within a salary structure that is appropriate in terms of the company's profits. Find out if advice or expertise is needed in your business.

 


8. Book Keeping & Accountability

The success of any business depends on its income. It's good to put yourself on the same salary as your other employees. If not, do it anyway. It helps you avoid unexpected expenses. Separate your personal and business finances and be sure to keep a record of all expenses and income.

 

9. Open a Business Account

A business account will help your business be able to make more money. You can place restrictions on the account to ensure better financial management.

A WEMA business account is ideal for this. This is an account designed to target small businesses and can be managed online to support business. It is designed to help small businesses grow. It has a minimum opening balance of only N10,000 and offers all the benefits of a checking account.

The cost of paying in this account is cheaper with monthly transfers. It is also important to create monthly, quarterly and annual business reports that should be reviewed by professionals, in order to maintain it.

Ultimately, the idea behind starting a business is to gain the financial freedom that only a private business can give you and to be free from the problems of the economy. You can start your business today with almost no capital and grow quickly with the above strategy.

You need to take steps towards financial freedom today.





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