What Business can I do in Nigeria with Little Capital? |Golden News

What Business can I do in Nigeria with Little Capital?

Amazon Business

I dedicate 20–25 hours weekly to exploring online money-making opportunities, and among various options, Amazon private label selling stands out with the best return on investment (ROI). To illustrate the effort and investment needed for success in an Amazon business, here’s an example.

1. I invest 4–8 hours researching Amazon products, using tools like JungleScout (N70,249 one-time cost) and the free Keepa chrome extension.

2. My approach to product selection differs from typical Amazon seller advice, as I follow a specific formula to assess if a product is worth pursuing.

I estimate the total gross profits for a product in 12 months using JungleScout and Keepa.
After calculating projected sales, deducting Amazon’s costs, and factoring in shipping, I multiply by 12.
To determine the initial order cost, I triple the monthly sales estimate and add 100 for promotions, usually totaling 700–1300 units.
I then divide the first order cost into the 12-month gross profits. If the result is 5–6 or higher, I consider it a good product.

3. Spend 4–8 hours researching a product on Amazon using tools like JungleScout and Keepa (costing about N70).

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4. Calculate total estimated gross profits for 12 months, considering sales, subtracting costs, and factoring in shipping.

5. Spend 4–5 hours contacting vendors on Alibaba, negotiating, etc.

6. Order samples, costing $40–80 each, and finalize the deal with the vendor.

7. For small orders, ship air freight; for large orders, ship by boat (combining orders for shipping efficiency).

8. Conduct 6–8 hours of pre-launch marketing on Instagram and Facebook, creating basic WordPress sites.

9. Inspect product cases upon arrival (1 hour) and send them to the nearest Amazon fulfillment center (shipping cost: 5,525-7,893 Niara per case).

10. After products arrive at Amazon, start shipping out promos for SEO acceleration, and activate Amazon PPC advertising.

11. Spend a few weeks tweaking advertising (15 minutes per product per week for the first 12 weeks).

12. Business runs itself, and I reorder as needed. With main vendors, I send an email specifying details, and they handle the rest.

13. My current Amazon business has 10 products (with 4 more on the way), and I spend roughly 4 hours per week on it.

List of Business You can do in Nigeria with Little Capital?

In whatever business you decide to pursue, ensure you’re adding value, solving a problem, and making life easier for people.

1. Retail Store:

Start a store selling groceries, clothing, electronics, or household items. Costs vary but generally range from hundreds of thousands to millions of Naira.

2. Food Business:

Explore restaurants, fast food joints, food delivery, or catering. Startup costs vary but typically range from a few hundred thousand to several million Naira.

3. Agriculture:

Venture into crop, poultry, fish farming, or livestock rearing. Costs vary widely, from tens of thousands for small-scale farming to millions for larger operations.

4. YouTube:

If you’re creative, create content on YouTube and monetize your channel for passive income.

5. Affiliate Marketing:

Join affiliate programs of e-commerce sites like Jumia and Konga, earning commissions for products sold through your referral links.

6. Blogging:

Start a blog on a topic you love, post quality content consistently, and apply for Google AdSense to earn money.

7. Writing:

Write and publish books on platforms like Booksrite and Okadabooks or start a blog with Google AdSense for income.

8. Sewing:

Launch a sewing business creating personalized designs. Stay updated on fashion trends to attract customers.

9. Education and Training:

Tap into the demand for education with a private school, tutoring center, language school, or vocational training institute. Costs vary based on factors like location and infrastructure, ranging from hundreds of thousands to tens of millions of Naira.

Methodical Approach and Steps to Follow for Any Business in Nigeria with Little Capital

I gave this advice to a friend, and I want to share it with you, hoping you take it seriously. Commendably, you’re looking to grow your business with little capital, and I believe your efforts will yield success.

Remember, business involves growth and the opportunities it brings, so approach it methodically and be patient.

1. Get a sample of boxers shorts you like from the local market.

2. Consult a tailor to estimate material quantity and cost for making a pair of shorts.

3. Visit clothing material merchants for prices based on the tailor’s information.

4. Compare costs and make estimates; ensure it aligns with the sample’s price.

5. Negotiate a discounted supply offer with the boxers’ sellers.

6. Purchase materials from clothing merchants after successful negotiation.

7. Find affordable tailors and closely supervise the production process.

8. Pay the tailors and deliver the boxers to the sellers, collecting immediate payment.

9. Repeat the process to grow your business gradually.

10. Establish relationships with material sellers and tailors for credit facilities.

11. Market your products actively to boost sales and business growth.

What is it That is Difficult to Get in Your Locality? Can You make it more Available for a Token?

Think about what is challenging to find in your local area and consider making it more accessible at an affordable cost. Young Nigerians and Africans should focus on solving problems and improving existing processes. Starting a business doesn’t always require a large investment or fancy offices; the key is to make a meaningful impact.

Don’t be concerned about running a business from a modest space; prioritize the value you bring rather than the appearance of your location. With innovative thinking, even a small amount like 10,000 can make a significant difference in addressing local needs.

The Biggest Risk You Need to Face when Starting a Business in Nigeria with Little Capital:

The main challenge when starting a business is the potential difficulty in attracting enough customers to make it successful. To mitigate this, focus on creating an excellent product or service and promote it widely through effective advertising.

Investing in marketing materials may also be necessary. Another risk is the possibility of expenses surpassing income, leading to a loss. To prevent this, identify a niche market and prioritize delivering high-quality products or services.

Adding to that, the challenge of finding suitable suppliers can be addressed by partnering with other businesses or outsourcing specific tasks.

The Common Mistakes That You should Avoid:

New businesses often make the mistake of attempting to handle everything internally instead of outsourcing specific tasks to other businesses or individuals. This can lead to challenges in managing costs and may result in financial losses.

Another common mistake is trying to compete in too many product or service areas, which can be expensive and might not generate profits.

Lastly, neglecting to dedicate sufficient time to plan and prepare for the future is a mistake. This oversight can lead to a decline in customer base, decreased sales, and missed opportunities for business growth.

Your Dedication and Time matters:

The time required to start a business varies based on the type of venture. For instance, launching a virtual assistant business may only take a few hours, while starting a pet-sitting business might involve investing time and resources in supplies and employee training. Businesses with significant marketing and advertising needs may demand many hours of effort to establish a strong presence.

Summary

This is an eye-opener emphasizing starting businesses in Nigeria with minimal capital, outlining a step-by-step guide for success. It explores diverse ventures, including Amazon selling, YouTube, affiliate marketing, and local initiatives. Practical advice is provided, focusing on problem-solving, value addition, and efficient marketing. Common risks and mistakes are highlighted, emphasizing strategic planning and dedicated effort for business viability.