After Ayoola graduated from university, he started his National Youth Service Corps (NYSC) and was introduced to the Skill Acquisition and Entrepreneurship Development (SAED). During the program, he fell in love with entrepreneurship and decided to start a footwear business to take advantage of a potential client base - his fellow corpers.
But he had questions: “How do I start a business?” “What is the first step?” “How do I make money from my passion?”
If you’ve ever found yourself with a burning idea or a desire to create something of your own, you’re not alone. Many successful businesses in Nigeria began like Ayoola’s—born out of necessity, passion, or the drive to be your boss. Taking your business from idea to thriving business can be challenging, but with the right steps, it’s entirely achievable. This guide is designed to take you from that first spark of inspiration to the grand opening of your business.
Every great business starts with a solid idea. Like Ayoola, you need to think about what you’re passionate about and where your skills lie. But it’s not just about what you love—your business idea should also fill a need in the market. What do people in your community need or want that aren't readily available? This could be your golden opportunity.
How to identify your business idea: If you aren’t sure how to identify your business idea, you can use tools like Google Trends or social media to research what’s popular in your chosen industry. You can also talk to potential customers to understand their needs.
Once you’ve identified your business idea, the next step is to research your market. Who are your potential customers? What are their needs, preferences, and pain points? What are their buying habits? What is the competition like? Market research will give you a clear picture of the landscape and help you position your business for success.
How to conduct market research: Conduct surveys or informal interviews with your target audience. Use tools like SurveyMonkey or Google Forms to gather data efficiently. Then, create a customer persona to understand and connect with your target audience from the data you have gotten.
Your business plan is your roadmap to success. It outlines your business goals, target market, competition, marketing strategy, operational plan, and financial projections. A well-thought-out business plan not only guides your decisions but also makes it easier to secure funding.
How to write a business plan: Search the internet for free business plan templates.
You need to register your business with the Corporate Affairs Commission (CAC). Choose a business name, ensure it’s available, and start your registration.
How to register your small business: You can register your business online by creating your CAC account and following the necessary steps.
You’ll need capital to get your business off the ground. This could come from personal savings, friends and family savings, loans from banks, grants, or investors.
How to get funding: You can secure funding opportunities for your small business from institutions like the Bank of Industry (BOI) and grants from organizations like the Tony Elumelu Foundation, which provides funding and mentorship to entrepreneurs across Africa.
Once your business is registered and you’ve secured funding, it's time to establish your day-to-day operations. This involves setting up the processes, tools, and systems to keep your business running smoothly. Whether managing inventory, setting up a supply chain, hiring employees, or using software to track customer orders, efficient operations are the backbone of any successful business. Define clear roles and responsibilities, establish workflows, and ensure your operations are scalable as your business grows.
How to set up operations for your business: Start by mapping out your entire business process, from receiving orders to delivering products or services. Identify key areas where technology can automate repetitive tasks, saving time and reducing errors.
Location is key, especially for physical businesses. If you’re opening a shop or office, make sure it’s in a place that is easily accessible to your target market. For online businesses, setting up a professional website or social media presence is crucial.
To attract customers, you need a robust marketing strategy. Consider both online and offline methods to reach your audience. Social media, email marketing, and word-of-mouth are powerful tools, especially in the Nigerian market.
How to market your business: Start with cost-effective strategies like social media marketing - Instagram, TikTok, WhatsApp, Facebook and X are some social media platforms you can explore- and Google My Business.
Keeping track of your finances from day one is very important. Your financial system will help you monitor income, expenses, and profits, ensuring your business stays financially healthy. Explore tools like SecurePay for your billing and invoicing needs which can help you collect payments and track your invoices.
With everything in place, it’s time to launch! To gain awareness for your business before you launch, tease your launch on social media. This can be through countdown posts and talking about key information about your business such as your mission, vision and how you plan to serve your customers. On the day of your launch, host an event, encourage friends and family to share your business, or run a promotion to attract your first customers. Remember, the initial phase is crucial for establishing your brand, so deliver excellent customer service and ask for feedback to improve.
How to promote your launch: Leverage social media to announce and engage with potential customers. Offer discounts or promotions to attract your first customers.
Starting a small business in Nigeria requires careful planning and execution, but with the right approach, it can be gratifying. By following these steps, you’ll be well on your way to building a successful business. Remember, every big business started small—what’s important is that you take that first step.
Using invoicing and billing software can help you manage your business finances. Instead of spending hours manually tracking payments, generating invoices, and following up on overdue accounts, you can automate these processes, allowing you to focus on what matters—growing your business. Ready to start your business finances from day one? Sign up on SecurePay now.
