Starting and building a business can be tough these days, not least because of the huge amount of competition that you face. No matter what type of business you decide to go into, you will have plenty of rivals to contend with. However, one thing that can make a difference is where you start and build your business.
One place that boasts an emerging economy is Nigeria. This makes it an excellent location for starting a business, as you can tap into the ongoing economic growth. In this article, I will discuss several ways to start a business there and which sectors to consider. In addition, I will discuss some of the potential risks and benefits linked to starting a new venture in Nigeria.
Starting your business in Nigeria
In Nigeria, people raise money in a variety of ways for all sorts of purposes including ways of funding a business. For example, take MMM (Mavro Mondia Movement), which is a community of people that provide financial aid to one another. Working out how you will find your new business is a vital consideration. You also need to work out which sector you should go into in order to maximize the chances of success. Some of the sectors that could be lucrative at the moment include:
- Procurement and supply in areas such as office supplies, diesel, and food supplies amongst others
- The integrated marketing communications sector, as many businesses are eager to raise the profile of their brands through IMC
- Real estate, with the sale of land having rocketed recently, making this a potentially very rewarding choice
- The recruitment industry, due to unemployment levels increasing and more people actively looking for jobs
When it comes to setting up a business in Nigeria, the steps you need to take are very similar to those you would take in any other country. So, some of the things you will need to do include:
- Develop your business idea – try to come up with something unique or something for which there is very high demand
- Determine how you will raise funding for the venture
- If you plan to get investment or loans, create a comprehensive and informative business plan
- Research the market – if you are from another country, the market in Nigeria could be very different so do thorough research
- Determine where you will base your business, as this can play an important part in your success. Ideally, look for a thriving area that is known as something of a business or commercial hub
- Based on the size and nature of the business, you may need to register with the Corporate Affairs Commission
What are the pros and cons of starting a business in Nigeria?
It is also important to consider the pros and cons associated with setting up a business in Nigeria. Some of the benefits of doing this include:
- You can tap into the booming growth in population
- The economy has experienced growth even when there was a global recession
- Access to plenty of resources for businesses
- It has amongst the fastest internet speeds in Africa
In terms of the cons, some of the factors you need to think about are:
- The power supply is a major issue, which could cause problems for your business
- Fear stemming from terrorism threat – this is an issue that affects countries all around the world
- Lack of support for small businesses due to poor infrastructure and logistics
In short, as long as you take the pros and cons into consideration, you will find that Nigeria is a great place in which to start up your new business venture. If you lack confidence or knowledge to start a business venture, you can consider learning new skills by using resources such as online business courses. You can then work toward developing the skills and knowledge required to set up your own business.
The growing economy in Nigeria is a particular benefit to new businesses and something that you can tap into in order to boost the growth of your business and enjoy greater financial success.