10 Tips In Starting Your Own Business in Nigeria

Nigeria is rank at 145th out of 190 economies in the world in terms of the “ease of doing business”, thus making Nigeria one of the difficult places (country) to do business in and this pose a big challenge especially to start ups and medium size business.

Well! In today’s article, we will give 10 tips to aspiring entrepreneurs and those are struggling to get their business moving forward.

The first tip is;

Understand the Concept Called Business

Do you really know what business mean and the processes associated with it? It may surprise you but a large chuck of individuals just dive into various business because they heard people are making millions monthly from it.

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There is a large difference between working for a firm and owning a firm, when you work for someone you are working in respect to the plan your boss has laid out. But on the other hand if you’re an entrepreneur you are working on the plan you have laid out for yourself and your future business, without anyone telling you what to do and when to do it.

Do the Market Research

Chinedu felt like opening up a provision store, cool! He decided he will be selling his provisions in whole sales, Chinedu felt so optimistic about it that he went straight in and 3 month later Chinedu started regretting, why? Chinedu observed that his customers do not buy their provisions in whole sale rather they prefer buying through retailing, which was a loss since he didn’t prepare for it.

 

Ouch! That hurt after spending so much resources, he h

Building in a hand businessmen

ad to come back to square one and that’s why market research is critical and play a vital role before making any decision on starting your business.

Always take the pain in going to the field and taking surveys before making your decision. Remember NO PAIN NO GAIN.

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Keep Financial Records

Welcome to Nigeria, we are pretty much religious and believe a lot in superstition like madam Nkechi believing in a witch keeping her down and sucking all her finances away or aunty Bisi who is scared of receiving “bad money” from customers and anoint and pray over all money received during the day.

If we are to do a proper auditing on their account we will find out that these people do not keep financial records such as their expenses and income thus making business men and women to sometimes spend more than their income thus acquiring debt which in turn can make most business go bankrupt.

Plan Long Term

This is one of the mistake entrepreneurs make, most do not even plan more, than 3 years which is wrong, every business needs to have at least a 5 years plan. This plan aid the CEO to make decisions and improve ideas, learn to plan into the future.

Build Your Business Team

Starting a business alone can be frustrating and depressing, that’s why most famous and successful entrepreneurs have a co-founder(s). In other for your business to break barriers you will need a business team. These team mustn’t be key players in your business, they can be friends and family members, that give you advices, motivation, inspiration etc., they literally keep the business fire burning deep in you.

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Believe In Your Self

There are times when you will become depressed either from making a loss or making a grave mistake all these things are normal and are a part of the business process but irrespective of what you met on the ladder to the top, you need to have a clear vison and keep believing in yourself and that vision.

Learn the Marketing Strategy

Assume you have a good business idea to sell branded cloths in the Nigerian market and you plan ahead and decided to dive in, nobody will probably know about you or your business name or even what you do, that’s where marketing comes in. You mustn’t necessary carry your products and move round the street.

You can market your product through social media such as Instagram, Facebook, etc. and even though blogs; it spread faster that way and you can reach the right audience.

Cut Unnecessary Spending

Everybody do spend but the question we ask is “what you are spending on necessary or not?” As a business man you need to be very couscous of your spending.

You will be forced to cut unnecessary spending such as eating out and the amount you spend on outing, shopping. You will start living on budget and start keeping financial record on your expenses daily.

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Cultivate the Investing Culture

Many people would say “learn to save” true no doubt, but do you know that inflation make the purchasing power of money to be weaken over time. Compare what one thousand naira could buy in 2010 and what it could buy in 2018 and you can see the difference especially in the exchange rate among various currencies.

No one become rich by saving instead you are giving the financial institution more money to use in its own business.

Instead learn to invest your savings, remember savings and not your business capital, you can invest by buying Bonds, treasury bonds, stocks, ETFs etc.

Where Is Your Location

Your location is critical, different business thrive in different locations. That’s why you need to do a market research to know where your products or the kindle of business you will be doing will be in high demand, so choose your location wisely.

In summary, when venturing into a business two things are essential, capital and innovation and without these two things the above tips might have no major effect in your business.

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