STARTING SMALL BUSINESS IN NIGERIA

What are the best investment opportunities in Nigeria? Are you in search for small business ideas in Nigeria? Then read on as i share with you a detailed list of 15 fastest growing small business opportunities in Nigeria for 2013.
For quite sometime now, my email box has been filled with request from fellow Nigerian entrepreneurs asking for the fastest growing business opportunities in Nigeria which they can invest in. Before I proceed with any detailed explanation, I want to state clearly that there are untapped small scale business opportunities in every industry both in Nigeria and all over the world; you just need to dig deeper to find such niches.

Now for those landing on this blog for the first time, i think it is important i introduce myself briefly. I am

Abatan Oluwasegun Babs (+2348107024162); an Entrepreneur, Realtor and Oil logistics Agent with a passion to share my knowledge and also learn from others.
While there are untapped business opportunities in every industry, this article will be pointing out the fastest growing business opportunities in Nigeria. If you are non-Nigerian or you’re a Nigerian in Diaspora wishing to start a business in Nigeria; then you will find this list of fastest growing business opportunities in Nigeria very useful.

A lot of things have been said about my country Nigeria and her harsh business terrain. If you are a non-Nigerian entrepreneur or a Nigerian in Diaspora; then this is my take about starting or doing business in Nigeria. If you are an experienced serial entrepreneur or an entrepreneur with guts; then you should know that one of the best places to invest your money and build a business is in a developing terrain.

Nigeria is a developing country and one of the best places to invest or build a business is in a developing environment. Though the risk is high, so also is the reward. Like I said; if you are an entrepreneur with guts to take on business challenges like Richard Branson; then this article is for you.
If you are hungry for entrepreneurial ideas and information; then sit back, grab a cup of coffee and read on as I present with you a detailed list of 15 fastest growing small business ideas and opportunities in Nigeria.
15 Fastest Growing Small Business Opportunities in Nigeria for 2013
Before I begin listing the fastest growing business opportunities in Nigeria; let me tell you how I came about this list.

Sometime ago, I handed out a task to some members of my strategic business team and that task was to research and get a detailed report on the fastest growing business opportunities in Nigeria with moderate risk and strong profit potential within a defined time frame. After several weeks of painstaking research, my business team reported back to me with an in-depth list of 500 Hottest Business Opportunities in Nigeria for 2013.
Well; if you must know why I mandated such task to be carried out, then I am going to spill it. As at the time of this writing, I am currently developing a strategic diversification plan with my business team and we are looking at the various options of business opportunities available.

So while I am not going to tell you the specific industry i will be breaking into; I am going to share with you a short extract from my list of 15+ fastest growing business opportunities in Nigeria, as researched by my team.

What if You Don’t Have the Money or Capital to Start a Business?

Now i know Nigerians are enterprising and industrious, but the inability to access the necessary funds or capital is what is holding back most Nigerians. The Federal Government went a step ahead to initiate a programme called “YouWin” and to be sincere, i really laud this proactive measure.

But the problem is that YouWin can’t finance everybody’s business; you must learn to raise money on your own without going to the bank. So in response to this, i wrote an article that reveals 100 Alternative Ways to Finance a Business Without Going to the Bank.

So without wasting your time, below is a brief extract of the fastest growing small business opportunities in Nigeria.

15 Fastest Growing Small Business Opportunities in Nigeria for 2013

Agricultural Sector
1. Catfish and Poultry Farming
The first of the fastest growing business opportunities in Nigeria is catfish farming. The primary reason I listed catfish farming as one of the fastest business opportunities in Nigeria is because it’s an emerging industry that hasn’t reached its peak or full potential. The major players in this business are usually regional players. What this means in essence is that each major player in the catfish farming industry is focused only on a particular business terrain within the geographical location of the farm.
So all you need to do is look for a region with a growing demand that haven’t been covered by a major player and situate your business there. As for poultry farming, the ban imposed by the federal government of Nigeria with respect to the importation of live or frozen poultry birds has only helped explode the demand. Snail farming is also another under-exploited money maker.

When accessing any of these business opportunities listed above, you must note three important facts. One, food is one of the basic necessities of man, thus making catfish, snail and poultry farming a huge potential. Two is that the population in Nigeria is estimated to be over 150 million and growing so that entails a growing demand for food. Three is that even if the local market with 150 million Nigerians gets saturated (which I strongly doubt as this niche is still in its adolescent phase), there’s still a growing demand for catfish all over the world. So do your own in-depth analysis and put your money to work.

However, you are free to use our own analysis and research on How to Start a Poultry Farm.

Textiles Sector
2. Importation of wears
Importation of clothes (designer wears) into Nigeria is another fast growing business opportunity you can tap into but I must warn you; you will be breaking the law if you engage in this business because there’s a ban by the federal government on the importation of wears. I listed this business opportunity for those who have the entrepreneurial guts to take calculated risk.

Update: The ban on importation has been lifted by the federal government of Nigeria.
Another reason I listed the importation of wears as one of the fastest growing business opportunities in Nigeria is because the ban cut short its supply thereby leaving a gap of demand that can only be filled by brave entrepreneurs. Please don’t assume I am trying to hype you or something; I am a player in this line majoring mainly in men designer wears which is imported from China and India. I source corporate wears from Hong Kong because of the quality of their finished product. Enough said.

3. Sewing of specialized uniforms
If you don’t have the entrepreneurial guts to go into the importation of wears; then you can set up a small scale textile firm that will specialize in sewing uniforms. The demand for uniforms is on the increase in Nigeria; from the crèche to the labor market, uniforms are highly in demand but it’s advisable you do your own detailed research before venturing into the business.

Transportation Sector
4. Inland water way transport
Inland water way transport is one of the fastest growing business opportunities in Nigeria. In fact, I believe the niche is still untapped because I am yet to see a modern commercial boat or ferry service system in Nigeria. Though there are a few operators in this industry; I am yet to see the modern facilities being used by the developed countries.

Another reason inland water way transport business proves viable is because population in states such as Lagos, Ogun state and Rivers is rapidly on the rise thereby resulting in the congestion of roads. Since the roads are becoming heavily congested; the next means of transportation the inhabitants of these heavily populated states will resort to is water transport. With proper planning, a good management team and adequate funding, you can break into this untapped industry and carve a niche for your business.

5. Haulage and logistics
Haulage and logistics is another fastest growing business opportunity in Nigeria. Though it’s considered a risky business; you can breakthrough if you have a strategic business management team on ground. Good management is the key to surviving in the business of haulage and logistics.

6. Outsourced bus service
This is similar to haulage and logistics but the cargo in this case is humans. I am not talking about the regular road transport bus service; in fact, I don’t think I have seen the idea for this business been utilized by anyone.
Now in this case, you are providing transportation services to firms and corporate entities. Some corporate organizations can’t afford an in-house transport system for its executives and staff, so this is where you come in. You provide the cars or buses, provide the drivers and you are paid on a monthly bases or contract bases for the use of your transport services

Another area of target is schools. Most schools would like to provide transport facilities for their students but they can’t afford it and this is where you come in. You provide a bus service system and send out a proposal to schools to use your bus services. Just imagine 20 or more young schools jointly using your student bus service system and you will catch the vision of this idea.

Information and Communication Technology

When it comes to ICT, I will say Nigeria is lagging behind when compared to the western world. It may sound like bad news to you but to entrepreneurs and investors, it is good news. ICT is still an emerging trend that hasn’t reached its peak so a lot of opportunities exist for both local and foreign investors. I won’t go into the capital intensive business opportunities that exist in the ICT sector; rather, I will stick with small and medium scale business opportunities.

7. Cyber Café
The demand to stay connected to the rest of the world is rapidly on the increase and the cost of internet connection is still on the high side when compared to what is obtainable in the western world, thereby making cyber café an alternative for internet users; and an investment opportunity for entrepreneurs. This business can be started either on a small, medium or large scale but I will prefer a large scale because size can be a competitive edge for you in this business as customers won’t like to be kept waiting.
Customers of this industry want speed and efficient service and most importantly; they want to be sure to find a vacant computer system anytime they want to surf the web without having to wait in line. If you can get a good location; provide speedy internet access and provide complementary services; you are in for a breakthrough.
8. E-Services
Just as the world is going e-crazy; so also is Nigeria catching up with the trend. E-services provision is still a virgin business opportunity that hasn’t fully been tapped. Under the umbrella of providing e-services; you can find the following fast growing business opportunities: E-payment, bulk Sms services, web design and hosting, database management services, e-portal management, etc.

15 Fastest Growing Small Business Ideas in Nigeria for 2013

Education
The need for education is on the increase and the burden to provide quality education is getting heavier for the government to bear thereby, leaving room for private and institutional investors. The following are ways you can tap into the potential opportunity.

FOREX GOOD SIDE

Forex or Foreign exchange is one of the hottest investment products out there and many online will have stumbled across adverts promoting over-the-counter Forex products. But many ask a perfectly legitimate question, can you really make money trading the foreign exchange markets from the comfort of your home? You will find many resources and websites online which will answer this question in the affirmative and make bold claims regarding the amazing returns you can make from trading Forex, however it is not quite as simple as this. Answering this question is not as simple as it may at first seem, of course there are a number of retail traders who are very successful. But the more important question is whether an average Joe with little trading knowledge or experience can expect to make money from trading. There is no good data in regards to what percentage of retail foreign exchange traders in fact turn a profit. There have been suggestions that maybe only 10-25% of retail foreign exchange traders turn a profit which demonstrates just how difficult it can be to make money trading. Should be these glum figures put you off trading Forex? In my opinion these statistics should make you seriously consider whether trading is in fact for you.
Why do so many retail Forex traders lose money?
I believe there are a number of reasons to why such a high percentage of retail traders lose money trading. Firstly, many new traders who are attracted to trading see Forex as something akin to a get rich scheme which will see them making huge returns without much effort. This is completely the wrong conception of Forex trading, in my personal experience trading the markets with real money at stake is one of the most demanding and stressful things you can do. A second factor which leads to many new traders ultimately losing is that many newbie and even some relatively experienced traders lack the relevant education to really understand trading. Many traders who start out may learn a bit about technical analysis or buy a trading system, without properly understanding how to use the system or the technical analysis they have learned. Technical analysis is a very nuanced and interpreting whether indicators are giving you could buy or sell signals can be quite difficult. At my blog I attempt to guide traders through some of the basic of technical analysis with the aim to helping people avoid making mistakes. The third major reason why I believe so many fail at Forex trading is that a certain temperament is needed to successfully trade the markets. One must be level headed, able to deal with considerable stress and be able to deal with the considerable highs and lows that traders have to deal with. This third reason is the one which I feel is the most difficult to provide to a solution to, as it appears to me that some people are simply not suited to Forex trading.  Here I want to echo the sentiments of Paul Belogour who in the FinancialTimes stated ‘But I say to customers: if this is money you have worked hard for – that you cannot afford to lose – never, never invest in foreign exchange.”
Making money with SocialTrading
Social investment and trading are generating a lot buzz on the internet and the main reason is that they seem to give people who don’t have the knowledge or ability to successfully trade Forex the possibility to make money from the markets.  Social trading networks allow users to piggyback on the success of other traders meaning that an individual doesn’t have to personally trade the markets in order to make money from them. While social trading does seem to offer individuals a way to make money from the markets, there is again little data in regards to what percentage of users end up profiting. My personal experiences with social trading have been good, but social trading does still involve picking which signal providers to copy thus bringing in an element of skill. Social trading does seem to have the potential to allow those who are not cut out to trade the financial markets the possibility of making significant returns. However as with all forms of trading there is a significant amount of risk.
Conclusion
It is certainly possible for retail traders to make money from trading the financial markets and I count myself lucky enough to be one of those in the minority who have had success with trading the Forex markets.  Financial trading is a complex and challenging, many jump into Foreign exchange trading without having the necessary knowledge or experience. Those interested in trading should make sure they get adequately acquainted with the necessary information to fully understand the workings of the Foreign exchange markets.  I also suggest that those interested in trading make use of demo accounts and get in plenty of trading practice, treating those accounts as if they were real money accounts. For some Forex trading is going to be a great opportunity to make a side income or grow an investment portfolio, others would do well to steer clear of trading and seek alternative lower risk investments

FOREX BAD SIDE

Playing Forex can appear alluring, but the majority of people who try it lose money. All you have to do is do a web search on the words "Forex" and "lose" to see this is the consensus.

Forex is similar to what we call a "zero sum" game. You are making a bet with someone else about whether a currency will rise or fall. For every winner there has to be a loser. The net winnings of everyone combined equals zero. If you are smarter than the average player, you may make money. If you are dumber than the average player, you are likely to lose money. Most of the people making the "bets" in Forex are highly trained professionals at banks and other institutions. You are unlikely to beat them at this game.

Actually Forex is not quite a zero sum game. It's a slightly negative sum game as the Forex broker takes a small percentage each time in the spread. It's a small amount but over a hundred trades, it ends up being a considerable amount of money. So the average player is likely to lose money, and remember the average player is a highly trained professional and probably smarter than you.

There is a lot of luck in Forex, and if you play it, you will have some periods of time where you make money. This is usually because you are having a lucky streak, not because you have suddenly become an expert Forex player. However, most people are unwilling to admit their success is due to luck. They become convinced they have a system that works, and lose a lot of money trying to refine it.

Further complicating the problem is the large number of Forex scams on the internet. Most Forex websites are of questionable honesty. You will find many people on the Internet that claim they made a lot of money using Forex. They are usually liars trying to make money. They will say: "Go to Forexcrap,com/q2347." The "q2347" is a signal to the Forexcrap site that you are being referred to them by "q2347." If they sell something to you, "q2347" gets a kickback. These coded signals can be hidden by different methods in the link. Other people will refer you to their own private website or blog for the purpose of trying to get money off you. Also there are a good number of trolls out there that like to pretend they are successful forex traders just for the fun of it.

I would recommend not trying to do Forex at all, unless you are a trained professional. It's like playing poker with people better than you, with the house constantly taking a small percentage from the pot.

Read the warnings in the links below:

INCOME FROM SPORT BETTING

Having supported myself solely through sportsbetting (mostly on NFL football) for about a decade, and during that time interacting with a lot of folks on both sides of the counter who helped me learn what it takes to win, I can make several suggestions to the person serious about making money betting on sports:
1. Bet with your head, not your heart.
There are reasons-cold, hard, dry, dull, mathematical, boring, logical reasons-for or against any bet you could make. A good way to lose is to let your emotions sway you from such reasons.
Don't bet on a team because you grew up rooting for them. Don't bet a game because it's televised. Don't bet more on Monday Night Football because you want to catch back what you lost over the weekend (or because you want to go for the big kill after a winning weekend). Don't hedge a bet because you have a psychological preference for safety. Don't bet a game because you haven't found anything to bet all day and it's getting late and you really wanted to gamble today. Don't bet a "teaser" just because it's a "fun" way to bet. Etc., etc.
If that kills it for you because it sounds too much like a job, then accept that you're a "recreational" bettor, and not destined to make money at this.
2. Learn math.
Simple addition, multiplication, division, fractions, percentages, etc. will handle a lot of what you need to do. But the more knowledge you have of probability and statistics and more advanced areas like that, the more you'll find it opening up new opportunities for you and enabling you to better exploit existing opportunities.
3. Realize that it takes money to make money.
A lot of the factors I'll talk about below are easier to do the more money you have. People with $100,000 to invest in sportsbetting can pursue a lot more strategies a lot more effectively than people with $1,000 to invest.
4. Have as many sportsbetting accounts as you can handle.
If you're playing with the neighborhood bookie, making all your bets with just one person or shop, that eliminates or lessens almost all the ways you can make money sportsbetting. So I'm assuming you have legal access to online sportsbooks. If so, don't pick one or two and put all your action in there. Pick ten or twenty or thirty. (When you're playing online, it's not unrealistic to manage that many. It's not like we're talking about running around on foot to dozens of Vegas sportsbooks in person.)
5. Be careful to use only the safest sportsbooks.
Don't open an account at a sportsbook just because you got a mailer in your mailbox, or a spam e-mail, or saw a banner ad, or saw a link in an online article. Go to the various sportsbetting forums online and research which places people recommend. Then research them further through Google or other means, looking to see if you can find anyone claiming them to be a scam or pulling anything underhanded. Call them and make sure you're comfortable with them before committing. After you join, keep your eyes open for further news on the forums and elsewhere so you can get out if it sounds like people are having bad experiences with them.
This is a largely unregulated area. So you have to do a lot more homework. There's no "Well I'm sure they wouldn't let them operate if they weren't on the level," or "I'm sure they wouldn't let them advertise if they were crooks." Sportsbooks range from legitimate companies roughly as safe as "conventional" big name businesses, to the equivalent of Nigerian e-mail scams, and everything in between.
6. Shop lines and shop odds.
The more accounts you have, the more you can shop. Don't make a bet at -4.5 when -4 is available. Don't make a bet at -120 when -115 is available. (-120 means the odds are such that you have to risk $120 to win $100; -115 means the odds are such that you have to risk $115 to win $100.) Often the difference is slight, but those pennies add up.
7. Learn how to scalp and middle.
If you have multiple accounts funded, you can sometimes come upon opportunities to play both sides of a bet at different places. So maybe you can get -3 on one team at one sportsbook and +4 on their opponent at another. (That's a "middle.") Or maybe you can get +180 on one team at one sportsbook and -175 on their opponent at another. (That's a "scalp.")
In effect, scalps and middles reverse the house edge to put you in the position of advantage.
8. Take bonuses.
Most online sportsbooks offer incentives and perks of various kinds to get business. The most common is a sign-up bonus on your initial deposit. A 20% sign-up bonus, for instance, means if you send them $1,000, instead of depositing $1,000 in your account, they'll deposit $1,200.
You can also sometimes get bonuses for subsequent deposits if you happen to lose your whole balance, referral bonuses for other customers who sign up that you recommended, and more.
Don't get too caught up in the "free money" and lose sight of whether these are places you'd want to play for other reasons (safety, good betting opportunities), but bonuses can be a nice boost to one's bottom line.
Some bonuses are of more complicated types, such as a "free play" instead of cash. Be sure to research how to use any such bonus, because there can be big differences in its value (that wouldn't be obvious to a beginner) depending on how you use it.
9. Don't buy "picks."
Total waste of money. Total scam. Success as a tout is all about marketing, not handicapping. Don't get caught up in that.
If you absolutely have to follow someone else's picks rather than do your own work, there are no shortage of handicappers on the sportsbetting forums who share their picks with each other and the public for free just because they enjoy this activity or it boosts their ego for people to see them pick winners. On average they're as good or better than the people trying to sell you their picks.
10. Research, crunch numbers.
For example, learn more than the betting public about how much a team's roster was helped by free agency or the draft, or how likely it is their injured starters will be able to play in their next game.
Learn whether it's better to take +7 at -110 odds, or +6.5 at even money. (Depends on how often games land right on 7. Find out.)
I knew a bettor who made a fortune betting "in game" or "in progress" wagers. (These are bets a few shops offer where you can continue betting throughout a game as the odds change.) How? He spent thousands of hours compiling meticulously detailed charts to match every game situation.
For example, let's say an NBA team is playing at home and is favored by 5. There are currently 7 minutes left in the 3rd quarter and they are up by 2. They are about to in bound the ball from center court. He could tell you in the history of the NBA, what percentage of the time a team falling under that description in precisely those circumstances went on to win by more than 5. (Which he could then adjust for unique circumstances like if a key player was injured during the game or was in foul trouble.)
How well do you think he did against the average bettor operating at the level of "I really like the Knicks here. They have the momentum; I think they're going to pull away"? Which would you rather be?
11. Look for obscure angles other people don't know about.
Years ago I remember a bettor who made a lot of money on golf telling me that a certain golf tournament has a tradition of making the pin placements particularly difficult on Day 4. So he'd look for shops offering props on individual golfer scores on that day, and bet the Over (remember, in golf low scores are better than high scores) on all of them.
When NASCAR first became a big sport, neither the betting public nor the oddsmakers were all that knowledgeable about the ins and outs of the sport. For awhile, they grossly underestimated the importance of the qualifying rounds. Drivers that qualified with the highest speeds barely had their odds adjusted for the race itself, whereas in reality their likelihood of doing well increased a lot more than that. So savvy bettors who knew that cashed in.
You want a really obscure one? I knew a bettor who found out awhile back that every season Shaquille O'Neal would dedicate a game to his grandmother on her birthday, and he would almost always put up big numbers that day. So each season, whatever game was played on or closest to that date, this guy would go to sportsbooks that put up basketball props, and he'd bet the Over on O'Neal points and rebounds and such, and he'd make a nice chunk of change.
How the heck would a person know about something like these? Well, when you treat this as your job, and you spend hours every day reading newspapers, reading websites, talking to other successful gamblers, etc., you find little nuggets.
12. Learn about all the non-conventional bet types.
There are times parlays are more advantageous than straight bets. Same with teasers. There are times it might make more sense to bet a half or a quarter than a whole game. Occasionally (rarely) it's to your advantageous to move the line by "buying points." And so on.
Find out what those occasions are and why.
If you limit yourself to making straight bets on whole games like 90% of gamblers, you'll miss all this.
13. Disregard all betting "systems" that purport to give you an edge by how you alter bet size.
You simply cannot overcome (or even change) a house edge against you by how you order your bets. (This is true of casino games like craps or roulette as well.) Any system of "double up after a loss, then start over at a win," or "bet one unit until you win at least three in a row, then bet 2 units until you lose two in a row, then bet one unit," or whatever is mathematical garbage. Period.
OK, we'll stop at a lucky 13.
Good luck with your wagering. But better yet, bet smart and let the luck take care of itself over the long run.