7 facts to consider before starting any business with little capital in Nigeria

 As an entrepreneur or an entrepreneur to be, it is your dream to have your own business one day that earns you your own money. 

It is always very interesting to have a personal business because you can do anything and manage it the way you like without anyone controlling you. 

But in other to be successful, it requires (3) ethics;

* Hard work

* Commitment

* Dedication.

You do not need a huge amount of money in Nigeria to start a profitable business and earn big. This article will guide you on what you should do before starting any business. Below are the key points;

1. Gather idea's about the business

2. Make a research

3. Draw out a business plan

4. Question and rate yourself

5. Have a conclusion

6. Generate capital

7. Monitor and grow your business 

Gather idea's about the business

If you are already an entrepreneur, it is easier for you to get different business ideas that you want to start up with but for a novice who doesn't have any idea of business, you will need to be enlightened to gain more idea on the specific business you want to venture into. Why? 

So that you will be able to tackle all means especially when a loss comes in, you will no how to build it up instantly with your little profit. When you have an idea of the business you want to do, it gives you high hopes of making it big because you are already familiar with it. You know when to put an effort and when to relent.

An example of a business idea owners who can make it big easily are;

(i) Caterer's:- A caterer who knows how to bake a cake or have an idea of it will find it easier to earn much income once she starts the business on her own because she is already familiar with how to manage the resources, the ingredients to to add to make it sweet and how to decorate it to makes it looks beautiful.

(ii) A Vulcanizer:- These set of people must have worked under a boss for like a year or some months, starting their own business will be easier because even without the big machine, some of them still survive with the small equipment before upgrading the business once they start making profits.

(iii) Canapés (small Chop's) :- Those who specialises in canapés oftentimes makes it bigger than every other person because it requires little capital. Someone who run a canapé business can switch at anytime to any of it's group that earn her more profit.

Make a Research

Once you have gotten the idea of the business you want to venture into, the next thing to do is to carryout a survey. Make a research about the business and ensure to have great understanding about what you want to do. If during your research process, you found out the it isn't something you are capable of handling, you can find a trusted partner who is into business and discuss your ideas with him or her for proper guidance. Two heads puts together will definitely come out great with something perfect that suit your capabilities. 

While carrying out your research, ensure to know the pros and con's of the business and understand it well because these will help you later to determine whether you are making a gain or loosing then you will know how to rise the business with an immediate effect.

Draw out a business plan 

Now you have gotten something to work on, you have gotten an idea and as well carryout a research. It is time to put them together in a sheet to enable you work with a budget. A business plan is drawn to help you manage your capital and shape out your business for you. It can be done either with a sheet of paper or typed with a phone or a laptop. 

How do I draw out a business plan?

This is quite uncommon among Nigerian's as some people usually start up a business once they have little idea's about it without minding the disadvantages but with a business plan, you will know where to start from, what to buy one at a time, location to fix or start the business, when to kick start the business and what to suspend for later once you started making profit.

Here is a guide to help you draw out your business plan;

(i) Name of your goods or product's:- Start by putting down the name of the goods or products that you want to sell, as this will help you not to attach any other thing that will cause you loss later.

(ii) Aims and Aspirations:- Write down your aim or reason for venturing into the business and ensures they are true because this will keep it at the back of your mind to work hard towards achieving your goal and be dedicated.

(iii) Marketing and Sales:- This is the most important aspect in starting a business. You need to ensure that the business you want to venture into is an easy marketable and selling business. If you start up a business of people's demand, be rest assured that profit is yours but if it is people's wants, then you may likely feel that the business isn't growing.

(iv) Analyse your Competitors:- In every business, there must surely be a competitor, your research must have shown you the numbers of people that are into the same business within you or miles away. From these point, you will rate if your business can beat theirs or whether to change a location. If your competitors are high, you are at risk of selling your products and earning profits easily but if they are low, then proceed with the business.

(v) Financial Analysis:- These will help you examine the cash you have at hand in starting the business and also help you reach a budget. After auditing the capital, you will be able to know where to start from, what to buy first, and the things to pend for later. It will also guide you on how to split your profit once the business start. With your financial analysis, you will get to realize how much the business will cost you whether to add money to your cash at hand or not.

(vi) Brief Summary:- With the above five points, pen down a little summary of the business and justify whether it will be a profitable business or not and if it isn't, then you will sure have to come up with another idea but if it is, proceed to the business guiding yourself with the steps here.

Question and Rate Yourself 

As an entrepreneur to be, there are some few important and valuable but neglected questions which you are supposed to ask yourself and as well give yourself a guide. 80% people start up businesses this says without rating their selves to know if it is something they can handle or not. 

Some of the questions are as follows;

(i) Can I manage or handle a business?

(ii) Am I good at savings or keeping money?

(iii) Can I stand a loss in a business?

(iv) How courageous am I towards achieving a set aim? e.t.c 

After given right appropriate answers to the above questions, then you will no if you are set for the business or not but if your answers comes out negative, then it is always good to go for what you know how to do and capable of handling. In that regard, you will be able to explore and get yourself the best options.

Have a conclusion 

Just like the daily activities of life, reaching a conclusion helps us to achieve a specific goal. Conclude within you about how to begin with the business and as it's state's, in every business that earns you a profit, there must surely be a loss and how you tackle your loss determine the growth of the business. Always be prepared to take up the challenges of business and find a means of restructuring to stand it's feet again. A conclusion gives you the mindset on either to proceed or to change route. 

Generate capital

The key source to every successful business is capital (money). Once you have concluded on the business to venture into and you have as well realise that it's something you can achieve with little capital, then you create a means of generating capital (gathering money) for it either by wages (working under a boss to get paid by the day) or salary (engaging in one job or the other to earn you a pay by the end of the month). With these two means, you will be able to generate fund to start up your own business within a short period of time or after some months.

In other not to be starved while trying to raise fund to create your own business, the idea of savings will be the best option to help you sustain. Since you have got a target, as you are being paid, split it into two. One for savings and the other for miscellaneous. Your methods of savings will depend on how often you can keep your mind off money and it could come up through the following ways;

(i) Monthly or weekly savings in the bank 

(ii) Monthly, weekly or daily savings in a saving box 

(iii) Daily, weekly or monthly savings through contribution process 

(iv) By Investment:- Investment is another greatest means of saving money because it earns you interest which can serve as your capital for your business without touching your main savings.

The above listed are the several means in which you can generate fund to start up and build your own business.

Monitor and Grow your Business

A business monitored by the owner tends to grow faster than when handed over to someone to build. Once you have successfully establish the business, try as much as possible to put in your best in growing it because all successful businesses requires hard work, commitment and dedication from the owner. When you devote your time to a particular business and work hard towards achieving your set goals, then being successful and earning profit is very easy. 

With all this being mentioned and analysed in this article, starting a small business with little capital in Nigeria will be easy and incurring profit is certain.

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