Do you need good business ideas you can start with five thousand naira (N500000), N80000, N60000, N50000, N40000, N20000, or even ten thousand naira (N10000)? Are you looking for small business that you can invest little capital on and make a big profit in Nigeria? There are such businesses and investment opportunities in Nigeria and Africa in General.
Updated; 2020: We have made some changes to this article. After another year of extensive research on small business ideas in Nigeria, we’ve come up with more small business ideas in Nigeria; you can consider starting. They are all lucrative businesses in Nigeria if properly managed.
Across the world, people are looking for small business they can do to meet up with their daily growing spending. With the world’s fast-rising rate of unemployment, it has become paramount that every unemployed youth starts a business no matter how small the business might be at the starting point.
According to McKinsey’s report in this year’s World Economic Forum held in Davos in which youth unemployment took centre stage; the report carries it that youth unemployment is growing in uncomfortable proportion. In India, which has one of the largest populations of young people in the world, 75 million youth are unemployed and more than 1 million people are added to the workforce each day. In Saudi Arabia, 70 per cent of the population is under the age of 30 and they are not finding jobs.
In Nigeria, youth unemployment is as high as 50%. The number keeps increasing in a geometric sequence. 75 per cent of university professors believe they are adequately preparing their students for the workforce. Conversely, only 40 per cent of employers take the same view.
In most cases, it is not that those unemployed entrepreneurs are not willing to start a business but their problem lies in finding the best business ideas to do with little capital they have. So, if you are one of those that have little amount of money like 1 million, 500000, one hundred thousand naira (N100000), eight thousand naira (N80000), sixty thousand naira (N60000), fifty thousand naira (N50000), forty thousand naira (N40000), twenty thousand naira (N20000), even ten thousand naira (N10000) and the zeal to do business is in you; I have below a list of businesses you can start with such amount of.
Even if you don’t want to kick start immediately, you can prepare yourself to begin any of these businesses in 2020 or in the year to come. However, be aware that delay is dangerous; the earlier the better.
What do you require to succeed in any of the business?
- Your best brain
- Right mindset
- Skills where necessary
Why will these lows capital businesses thrive well in Africa especially Nigeria?
Yes! Businesses started in a populous continent like Africa is bound to thrive very well. Africa is one of the populated continent in the world with a 38 per cent urban population, India (30 per cent) and nearly as China (45 per cent). 52 African cities have a population of more than one million people.
Nigeria is Africa’s largest country by population. Lagos state alone record 17.5 million in population according to Lagos state government but the latest report estimates the population at 21,642,797, making Lagos largest city in Africa and the seventh fastest-growing city in the world. Kano, as estimated by the Kano state government, records 3,626,068 in population. Ibadan has a total population of 3,500,000 as of 2015; Abuja 3,000,000; Port-Harcourt 1,947,000 and so on. So, with this high population in Nigerian cities and rural areas, businesses are bound to do very well if other things being equal. Updated 2020: the figures above are 2016 statistics
Let’s explore these business ideas and see if it’s something you would want to give a try…
Wait a bit! I want you to consider reading this;
- 100+ Profitable Small Business Ideas you can start today in Nigeria
- How to start a small business and be successful
- Top 10 Factors to consider when starting a small business
- How to start a small scale business in Nigeria from scratch
- 15 Business to do on weekends to add to your monthly salary
- 50+ lucrative Online Business Ideas for Beginners with/without capital investment.
- 15 Tips on finding Right Location for small business
You’ve read all, right? Let us proceed.
I conducted extensive research on different businesses and have come up with these couple of businesses you can start up with a range of capital of Ten Thousand Naira to one million naira (N10, 000 – N1,000, 000).
25 different types of Profitable Businesses to Start with 1 million naira or less capital
Here are the business ideas you can start with 10K, 20K, 40K, 50K, 100K, 200k, 500k, 800k or 1million Naira;
Beer parlour/Beer bar business
Beer Parlour business requires less capital startup. N200000 – N500000 will be enough to start a beer parlour business. Beer bars/parlours have become the top recreation destination for single and married couple, business people and the tourists.
To draw huge customers and make more profit in your Beer Bars business, a full restaurant with smoke option and chilled beers which are served with snacks, fried snail, beef popularly called suya, chicken barbecue and fish pepper soup are added. With the huge popularity of football fans in Nigeria and many other parts of Africa, if you add big-size TV to display football game, more customers of different classes of people will be attracted to the beer bars. Sometimes, especially weekends you can hire live bands to provide entertainment
A good location in a densely populated and accessible part of town with a competitive price and excellent customer service is essential to the success of this business.
Mini Importation business
Importation business is a very lucrative business and easy to start with as little as N10,000 plus. Usually, you make a profit on every sale and then keep increasing the business. But, to succeed in this business; you need to learn the dons and don’ts of the business. The internet has made everything easier to access. You can sit down at the comfort of your room and order for any product you want to sale.
Most single young ladies and men of these days prefer eating at a well decent restaurant where delicious food is being served. The restaurant business is a flourishing business especially in most cities like Lagos, Onitsha, Abuja, Port Harcourt, Aba, etc. where people are highly busy that never find time to cook by themselves. The business is not capital intensive. With N70000 you can do this business. The two most important things necessary to succeed in this business are ability to cook nicely and neatness.
PROFITABLE PRODUCTION BUSINESS IDEAS
One of the high paying business you can start in your locality is production business. One good thing about production business is that you can fix and control the market price for the goods or product you produce rather than totally being control by market forces of demand and supply. Usually, most production businesses are capital intensive because of costly machines employed in production. Starting production business can cost one as high as N300000, N500000, N1000000, and N200000, N750000, and N2000000+ depending on the product you intend producing. However, you can still start some production business with capital as low as N100, 000.
Here are production business ideas that you start with One hundred thousand naira or so;
Perfume and liquid soap production
This business requires basic chemistry knowledge. With a capital of less than N80000 naira, you can start perfume and liquid soap production. For your liquid soap production, your first target market should be restaurant, hotel, fast food joints, beer parlours and catering centres. For the perfume production, your first target market should be high-class professionals like bankers, lecturers, marketers, teachers and other services professional
Fresh fruit juice business
The Fresh fruit juice production business is one of the profitable small businesses in Nigeria that is often neglected. The business sells fast most in highly populated cites like Lagos, Anambra, Port Harcourt, Abuja, Aba, Kano etc. Fruit juices are served cold in filling station, hotels etc. So, outside the cost of buying freezer and power plant (Generator), you can start fresh fruit juice production with an amount as low as N10000; N20000; N30000; N50000.
PROFITABLE AGRICULTURAL BUSINESS IDEAS
These Agricultural business Ideas can be started as a sole-proprietor business and then grown into a full-blown Limited Liability Company. Here is an agricultural business that you can start with capital as low as N100000;
Garri processing business
Garri processing business is a fast-moving business that thrives very in the rural and sub-urban locality. This commodity business often predominates in places like Abakaliki, Benue, Ajibode, Benin. Mechanizing this business in these areas is rewarding. But, mechanizing it may require a startup capital of at-least 250000 -500000
Palm oil milling business
Commercial palm oil milling and processing may require up-to a startup capital of 400000.
Rice milling is a rural and sub-urban lucrative agricultural business. New technology and cost of machine for milling rice has drastically affected the start-up capital of this business. With the latest technology in rice milling, starting rice milling business can cost as high as N250000 to N750000.
Small scale fish fingerling
Fish Fingerling is easy to start especially where there is availability of water supply. With the sum of N90, 000 to N80, 000 one can set up a small-scale fish fingerling. In this business, you can be making over 100% returns but it requires care and monitory. Good water PH and climate conditions are necessary for the success of this business.
Snail farming is not difficult to start and you don’t need up to N100, 000 Naira to start this business. With 50K to 80K, you can start snail farming in your locality. Snail is very expensive in restaurants and hotels where they serve. So, after you finish rearing set of snails, you can always take them to restaurants and hotels for sale. Snail is a hot market and a market for high-class people.
Boiler poultry farming
This is one of the easiest businesses to start with little money. With N20, 000+ you can do this business. The business does not require skill. The major thing you needed in this business is space and water supply. Day-old chicken (boiler) may cost N150/each, so you can with 50 chickens which cost a total of N7500. In less than 9 weeks, you can start selling these birds at the rate of N1800 to N2000 naira per each. However, bear in mind that this business is seasonal although it can do at all time.
In certain northern part of Nigeria like JOS and southern part of Nigeria, dog breeding business is thriving very well. Some people breed the dogs for meat (popularly called 404) and others for pet purposes. The business is a lucrative one. With seventy thousand naira (N70, 000), you can buy a female English dog and breed. When the dog delivers, it can give birth to seven…eight puppies which you can sell at the rate of seventy thousand naira each.
The major cost you will incur in this business is in the feeding of the dog. You have to be dog-friendly for you to be able to do this business.
Small scale piggery farming
Piggery farming is one of the oldest lucrative business. Some people in the northern part of Nigeria, especially those with cold weather consume pork meat so much. You can start piggery farming with N60000+ and sometimes you need to employ an assistant.
Mobile phone accessories business
Mobile phone accessories business is a lucrative business. We have millions of GSM users. Mobile phones like Nokia product, Samsung product, Sony Ericsson product, Blackberry, Techno, and other smartphones; their repair parts and accessories are readily available in the market. The total capital of $ 120 will be enough to start the business on a small scale however if you are to start the business on a more large scale, the cost of starting may increase.
Computer/laptop repair business
Skills on computer hardware repair and software troubleshooting are required in this business. You can easily acquire this skill or knowledge by attaching yourself to an experience computer hardware and software repair expert before you starting your own computer repair business. Usually, starting this business will not cost you up to N80000 and you can make big time when you become so popular.
Mini Business centre
A mini Business centre is a highly lucrative business, especially when suited in within tertiary institutions like universities, polytechnics and colleges or around these institutions. A set of a desktop computer at the cost of N25000, one three in one photocopying machine (Scanning, printing and photocopying machine) at cost of N60000, tables and chairs are enough to start this business. Snacks with soft drinks and few provisions are added to make it business, a mini business centre. So, the total amount of one hundred thousand naira is enough to start this business.
Beads shop and making business
Viewing centre business
Viewing centre is a fast-growing business. With the increase in the number of football and other sports fans watching football games, viewing centre has continued to multiply. So, you can take advantage of this and start the business.
To start the business, you need few things like; flat-screen television, cable connection, desktop and power supply. This business does not require much capital.
Fast selling business – Most fast selling businesses is best started small and then grow later. This allows for testing varieties of products before settling with high profit yielding ones. Ladies wears and babies’ wears have proven to be a lucrative and fast-moving product to sell in Nigeria. Okirika Ladies and Babies wears are also in this category of business.
Sales of ladies’ handbags, Jewelries and wrist watches
Ladies wears are fast selling products. You can make money selling ladies’ wears in Nigeria. If you have passion for ladies’ things, you can go for this business. With capital of N20000, you’re good to start this business.
Sales of babies’ wear
PROFITABLE INTERNET BUSINESS IDEAS
One of the less expensive business to start today anywhere is internet business. You can start some of these internet businesses with capital less than N100, 000. But an entrepreneur starting internet business need to have the basic knowledge of computer and the internet. Again, it also requires that you grounded in the aspect of the internet business you intend to start. Here are some internet businesses you can do with N50, 000+;
Internet course training
Affiliate marketing is one of the best way to make money online. The average time it takes to start a business like this is 2 to 5 days. With 20k, you can create blog for this business. The principle behind this is really simple:
a. You sign up for an affiliate marketing program.
b. You’ll be given a unique affiliate link/banner
c. You redirect customers to the affiliate marketing page through your unique affiliate link.
d. customers buys a product or sign up .
You get a commission and you don’t even need to invest in stock or maintain a warehouse, it can’t possibly get easier than this.
Updated; February 2020: The following are some additional lucrative small business ideas in Nigeria. Most of these business ideas can successfully be started from small then grow into large limited liability company in Nigeria.
(You can check on any of them that we have written about before to learn more)
Small Business Ideas You Can Consider starting in Nigeria are;
- Fast food Joints
- Sachet and Bottle water business
- Frozen food sales
- Sport viewing and betting center
- Hair stylist company
- Cosmetics business
- Sub-distributorship business
- Animal feed production and sales
- Escrow company
- Tutorial centre
- Daycare services company
- Trustworthy network marketing
- Digital Marketing
- Commercial Vegetable Garden
- Rental services (start with seats & tables)
- Poultry farming (200 Layers)
- Haulage services
- Taxi transport business (High price starting)
- (High price starting) – check out our best car for taxi transport business
- Keke napep tricycle (High price starting)
- Coffee Shop
- Chemist business
- Currency trading – Currency trading business idea include forex trading as well as cryptocurrency trading business. So, you have choice to make. You can choose to start cryptocurrency trading business and later include forex trading. Or vice versa
- Event planning
- Graphic Design Services
A lot of entrepreneurs are not designers, they are business people. But because you’re starting graphic design business; you’re an entrepreneur as well as a designer. To become a good graphic designer, you need to acquire or learn;
- Video editing skills
- Corel draw
- Photoshop CS6
- Corel paints
- Photo paint
- Paint artist
- Photo explorer
- Draw plus
Online businesses (choose one or two to start)
I have written an article on top 10 part-time online businesses you can start today from home and 30 online money-making business; these are all internet-based Businesses. Many of the businesses there require less capital startup as low as N10000. You can choose from that list of internet businesses to start today.
I wish you all the best of luck as you set to start up any of the above businesses that require 1million naira to as low as ten thousand naira.
Footnote: 5k = five thousand naira. 10k = ten thousand naira. 20k = twenty thousand naira. 40K = forty thousand naira. 50K = fifty thousand naira. 100K = one hundred thousand naira.