Finding a decent, profitable business in Nigeria may seem difficult, but with little strategy and preparation, you may start a successful company to boost your income or work for yourself full-time.
Perhaps you already have a plan for the business you want to launch. Although you can be enthusiastic about your concept and feel prepared for a new endeavor, you might also be looking for some guidance.
Starting any business can be quite tedious and risky especially if you’re new to it. This article will shed some light on starting a new business and list out 10 profitable businesses you can start in Nigeria.
Here is a list of the top 10 lucrative businesses in Nigeria to get you started.
How to start a lucrative business
These options for lucrative businesses in Nigeria include a range of fields and demand various time commitments and initial expenditures. However, you must launch your business before you can start making any money.
To get you started, consider the following three steps:
1. Do your research
Make sure to research any idea before committing to it, whether you decide to use one of the suggestions here or develop your own. To test your business idea and evaluate whether you want to proceed with your business plan, you should do idea validation, a process that combines market and competition research as well as a financial feasibility analysis.
2. Get organized and make it official
You are prepared to write a complete business plan once you have selected a potent business concept. Your business plan will describe the objectives of your organization and how you intend to achieve them. It will also serve as a guide for you (and possible investors) to follow for the ensuing three to five years.
After drafting your business plan, you can follow the appropriate actions to incorporate your small firm. You’ll pick a legal structure for your company, apply for an employment identification number, register your “Doing Business As” name (if required), and obtain all the business permits and registrations required before you can start operating.
3. Find the right financing
Some conventional business loans might be challenging for startups to qualify for since they frequently need several years of business history. Instead, startup business entrepreneurs might think about methods for startup funding such microloans, grants, crowdfunding, or asking friends and family for money.
Top 10 lucrative businesses in Nigeria
It would almost be treasonous to leave agriculture off a list of the most lucrative businesses in Nigeria. And the cause is straightforward. People require food. Since the dawn of time, agriculture has been one of the oldest industries, and it is essential to human survival.
Agribusiness is one of the only businesses that offers agriculture entrepreneurs a wide range of loan, grant, and funding choices due to its consistently promising future. One of these is the Bank of Agriculture, which is run by the Federal Government through the Ministries of Finance, the Central Bank, and Agriculture.
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Take a look around your contacts; there’s got to be a photographer there. The reason is that, despite the fact that there are already millions of photographers in Nigeria, the industry is huge and growing there. There are various areas of photography to explore, each having potential characteristics, just like there are in every industry. Your skills will always offer you an advantage over the next person, as with anything else.
3. Cosmetic Business
Most likely, you have a contact who has tried to sell you one of their skincare items. Due to the increased demand for effective skincare products and treatments, the cosmetics sector is becoming more and more widespread.
The yearly value of the cosmetics sector was estimated at N500 billion. One of the lucrative businesses in Nigeria that you shouldn’t neglect is the beauty market. For business owners, it holds great promise.
Teaching is one of the oldest professions, however few people are aware of its financial aspect. Teaching is one profession that lets you make money from your interests. You may now publish your tutorials on YouTube and receive payments from the service over time for your content.
5. Website design
How businesses operate has altered as a result of the internet. It is impossible to deny the value and services of a website designer. One of the top ten skill demands for 2020, according to LinkedIn, is web design. It is a really fulfilling profession.
The numerous entrepreneurs that have entered the field of web design in Nigeria witness to the industry’s profitability. It is a low-capital enterprise and one of the businesses that offers freelancing services, so you may benefit from the flexibility it offers.
6. Social Media Marketing
Web design is closely followed by social media marketing. One of the various lucrative online enterprises is social media marketing. Since businesses began using the internet, it has evolved into a universal marketplace. The internet-based telemarketers are the only ones who truly understand this audience.
It is one of the most lucrative businesses in Nigeria with rising demand and is particularly helpful for small firms aspiring to become large ones. One of the industries/professions that will survive the oncoming fourth industrial revolution is social media marketing and web design.
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7. Real Estate
Real estate is another industry that anyone can get into, much like agriculture. There can be only one explanation for Nigeria’s steadily expanding population. Everyone requires a place to sleep. When the next population boom arrives, who should be flocking to become the landlords? Real estate is also one of the few industries with consistent percentage growth.
The price of the home you currently reside in has decreased. It will increase in value over the next ten years—no, make that the next five—rather than now. It should come as no surprise that those who began earlier are today billionaires and millions.
8. Fashion Designing
This list of lucrative businesses in Nigeria would not be complete without including the industry of fashion design. In Nigeria, one of the most lucrative industries is fashion. Demand for fashion is very strong. According to estimates, the $5 billion fashion market in Nigeria continues to draw investors.
9. Dropshipping Business
Dropshipping is another lucrative business in Nigeria. We have entered the e-commerce era. Dropshipping is a successful industry because of this. Dropshipping has proven successful for startups, SMEs, and small shops. Due to how profitable it is, a number of dropshipping businesses are emerging.
10. Oil and Gas business
Oil and gas would have topped lists of the most lucrative businesses in Nigeria a few decades ago. Though not universal, it is the same in Africa. Nigeria’s dependence on petroleum products means that the oil and gas industry will continue to grow, but not on a global scale.
How the renowned OIL and GAS didn’t make the list may have you scratching your head. Well, the fact that Oil & Gas didn’t rank first on the list can be attributed to the present oil prices. The globe will switch to new energy sources in a few years, and the oil and gas industry is expected to suffer as a result.
Here are a few honorable mentions that aren’t in our top 10 but worth the mention. Most of these businesses below are online based. You should also consider the following businesses below;
- VTU Business
- Graphics Design
- Online Marketing
- Social Media Influencing
- Gadgets and Devices
Frequently Asked Questions
How can I start my own business with no money?
Without any initial capital, a firm can be successfully launched. Work on a business concept that leverages your skill set to provide the market with something fresh and distinctive. Keep working at your existing employment (your “day job”) as you build your new firm to lower the financial risk.
Also Read- How To Start Food Stuff Business In Nigeria
What is the easiest business to start?
The simplest business to launch is one that needs little to no upfront capital and shouldn’t need substantial training to understand the industry. A drop shipping business is among the simplest to start up of any new business kind.
When is the best time to start a business?
The best time frame for launching a new firm will vary from person to person. First and foremost, you ought to create a business when you have adequate time to focus on it. You need to ask yourself a few questions like;
- Do I have enough capital?
- How much do i know about the business?
- Do i have the time to focus on the business?
- Where is the business located?
- Who is my audience and how do i get to them?
- What makes my business better than others already existing?
We’ve reached the end of our list of top 10 lucrative businesses in Nigeria. As with any business, it is crucial to do your research to make sure it is realistic and to learn about its benefits and drawbacks before you get started.
If you can succeed in Nigeria’s business environment, you can succeed everywhere, according to a well-known proverb there. It seems that success everywhere in the world requires a rite of passage through the hard Nigerian environment.