Starting a business in Nigeria is hard. Not only is the business not guaranteed to make profit, there are systems in place to frustrate you.
However, savvy business owners and entrepreneurs in Nigeria are still making a killing despite the several business challenges.
I’ve seen small businesses making millions of Naira in monthly profit, and I’ve seen big businesses struggle to make 200k Naira monthly profit.
The secret of business success, whether for a small or big business, is by having a strategy that works.
In this article, we’ll be looking at a few ways to start a business in Nigeria that makes at least 1 million Naira monthly.
Let’s dive in.
Solve a Big Problem
The first step to start a business that makes good money is to start a business that solves a big problem.
What problems do a lot of people need to solve?
Is there a transport problem faced by a lot of people in your community?
What products or services are people looking for but aren’t getting right now?
Can you compete with a new company solving a big problem for a lot of people?
There lies your answer.
If you can provide a solution for just 1,000 people at a price of 1,000 Naira monthly, you would be making exactly 1 million Naira per month.
You only have to find the right problem to solve and demand your fair share in cash.
Distribute Essential Goods
If you have big capital to start a big business, then starting a distributorship is one of the most guaranteed ways to start making millions monthly.
Distributing essential goods in food, construction, and cosmetics would guarantee you consistent massive streams of income.
I recently spoke with a cement distributor in my area about the profitability of starting a cement distributor business.
He was at first adamant and suspicious of my question before opening up to tell me that the only thing that can stop anyone from making money in the cement distributor business is a lack of capital.
He opined that once you have enough capital to start and run the business, nothing else can stop you from making good income on a monthly basis.
That’s bare facts speaking.
There are 101 distribution businesses you can start in Nigeria with less than 2 million Naira. You only have to do your research to find the industry that is right for you, and you are on your way to making millions on a monthly basis.
Manufacture for Retailers
Manufacturing can be at different scales.
You don’t have to own a factory and hire tens of workers to start a manufacturing business.
There are manufacturers that focus on a specific industry and manufacture in small quantities just for retailers.
I’ve seen these kinds of manufacturers in the food, cosmetics, and fashion industry.
I’ve seen businesses producing and distributing chinchin and pie via a large distributor network, and they are actually making a killing.
I’ve met a mom and pop distributor who processes flour and oatmeal. The business uses a double shop with 3 grinders, and sells directly to flour and oatmeal resellers. The man bought his first truck after just 6 months of business.
That’s to show you how much money they were making on a monthly basis.
The secret of making it in this kind of business is to find an area where the retailers have to go far to purchase their goods.
If you start your manufacturing business in such an area, you will be guaranteed good patronage that could translate into making millions of Naira per month.
Local Business Branding
Branding is one of the strongest ways to segment your business and enjoy more visibility and patronage.
A lot of small businesses do not do any form of branding, hence they don’t enjoy any market differentiation.
I’ve noticed that local branding could be the difference between one business struggling to make ends meet and another business making huge turnover.
So, how do you do local branding for your business?
By Niching down and focusing on one product category.
You can have a branded mechanic workshop that is known for providing quality services.
You can have a branded salon that gives the best hair care services in the area.
You can have a branded mobile accessories outlet that sells only genuine accessories.
To make money with local business branding, you have to build a positive narrative that is unique with your business brand name.
That way, when a customer wants a product or service in your market, they naturally come to your business and patronize you.
There are a few local businesses in Nigeria making millions of Naira monthly just by carving a niche for themselves this way.
Multiply Business Outlets
The fastest way to grow your business monthly income is to multiply your sources of income.
Savvy entrepreneurs know this, that is why they quickly saturate an area with their business outlets so as to have money coming from different sources.
I’ve seen a P.O.S agent business that has over 20 outlets in just one area. Each outlet makes at least 3,000 Naira per day in profit. Which means that the business makes 60,000 Naira per day from all 20 outlets. Therefore, in 24-working days in a month, they would make 1.44 million Naira in pure profit.
Now, that’s business.Share: