Connect with us

How To

How To Solve The Nigerian Startup Growth Problem: The Way Forward

Avatar

Published

on

Startup growth

How To Solve The Nigerian Startup Growth Problem: The Way Forward

In the Nigeria startup ecosystem, quality and progressive startup growth have really posed a big problem and it doesn’t mean well for young Nigerian entrepreneurs. As a young and rising entrepreneur in Nigeria, your startup growth will always be the number one priority. I must tell you that the aforementioned problem is not peculiar to only the Nigerian system. Globally, it is not easy for anyone to become an entrepreneur.

Startup growth

You need to let it sink deep in your head so that it will be motivation rather than a discouragement. There are many innovative startups in Nigeria, but the challenge has always been how to gain progressive startup growth. It is very important that you understand your environment very well before starting your startup venture.

Also read: How to source fund for your startup in Nigeria

With good knowledge of the Nigerian environment, you will be in a better position to understand the Nigeria startup ecosystem.  This article is written specifically to guide you on the best approach towards enjoying a great startup growth in Nigeria.

There are salient and important issues you must never ignore if you want to scale up your startup efficiently and effectively. Let us consider these important tips on how you can solve the Nigerian startup problem.

How To Solve The Nigerian Startup Growth Problem

To effectively tackle startup growth issues in your business, you need to strictly adhere to the points highlighted below.

  • You Must Have A Specified Roadmap

Any business venture that you as the originator cannot see the end from the very beginning is a sign that there is no good plan on the ground. By having a roadmap, you already know where your business is going and how you intend to get there. Before starting your startup here in Nigeria, it is imperative that you conduct quality research.

It is a universal truth that the Nigerian economy is in shambles; you don’t have to compound your problem by working without a roadmap. Believe me; you wouldn’t want to venture into starting a business venture in Nigeria without quality research. Without background knowledge on the Nigeria startup ecosystem, it will be highly improbable for you to have a good startup growth.

When I talk about research, I mean you going out of your contact zone to bring in those who understand the Nigerian market. I am not saying you should spend money on people to get your research done, however, you can do that if you have the financial capacity.  In a situation where you cannot afford such, there are lots of Nigerian market reviews online that will be of great help to you.

In any emerging market, the key to success is knowledge and timely execution.

  • Raise Adequate Startup Capital

Whether you like it or not, adequate seed equity and debt capital are important criteria for having a quality startup growth in Nigeria. It is always the best for you to avoid venture capitalist and angel investors at this stage in your business. In a situation where you have no alternative, these two (venture capitalists and angel investors) becomes the necessary evil.

Also see: See why your startup will fail after succeeding 

You must know that not all money is good money when it comes to scaling your startup. It is important that you ensure the vision of the potential investor in your business aligns completely with yours. Don’t make the mistake of accepting an investment simply because you need the money. If you do that, you will surely sacrifice your startup growth in the future.

The truth is that you need capital, but in excess, it can send your startup in the opposite direction. It is advisable that you bootstrap to survive in the early months to the first year of business. At this time, you must have had a good experience with a better understanding of the Nigeria startup ecosystem.

The truth is that debt capital is very expensive but demands great discipline to manage. Socrates the great Greek philosopher said, “Man know thyself”. If you know you lack the discipline to manage capital dept, please don’t take it.

  • Build A Business You Would Want To Use

To have a good and progressive startup growth, you need to be very innovative and enticing as well. Would you use the platform you have built? If your answer is no, then you have got a big problem in your hand. When you can’t make use of your own startup, how do you expect your customers to patronize your business?

There is practically no way you can have a good startup growth with a mediocre product or service to customers. The innovative startups in Nigeria are the ones enjoying quality growth on the average. So, to enjoy good startup growth in your business, you need to be very innovative and carter for the basic needs of your customers.

  • Have A Good And Effective Team

Nothing compares to effective teamwork in the business community. For you to enjoy a great startup growth, your team members have a lot to contribute in that regard. Napoleon Hill calls it “the mater mind”. Without capable hands in your team, your business already has a crack; just a matter of time before it all comes crashing down like a pack of cards. In your quest to scale up your startup in Nigeria, it is essential and highly imperative that you get a good team to support your vision.

Also read: How to overcome the challenges of scaling your startup in Nigeria

  • Enter Into Strategic Partnership

It is a fact that strong partnerships have the capacity to grow your business in Nigeria. Remember that a bad partnership is worse than no partnership at all. Never get into any partnership that the terms and conditions are shrouded and unclear. In as much as a strategic partnership is indeed needful and helpful, ensure you don’t get into bed with sharks that would swallow up your startup in its infant stage.

Conclusion

Solving the Nigerian startup growth problem can be a real and tough nut to crack, but applying the aforementioned point will greatly improve your chances and scaling your startup to a great height. The Nigeria startup ecosystem is growing on a daily basis, don’t enter into the fray without a well laid out plan because if you do the odd will definitely be against you.

 

 

Comments

comments

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Finance

3 Major Startup Financing Challenges And How To Solve Them

Ossi Samuel

Published

on

major startup financing challenges

Comments

comments

Continue Reading

Business

Practical Guide On How To Start A Profitable Food Processing And Packaging Business In Nigeria

Ossi Samuel

Published

on

start a profitable food processing and packaging business

Comments

comments

Continue Reading

How To

How to Start Buying from Aliexpress and Make Money

Avatar

Published

on

Are you looking for a good business idea that will bring you some cool cash within a fairly short timeframe? Then you should consider buying and reselling goods (importation) from Aliexpress.

What is Aliexpress? Why Should You Use It?

According to Wikipedia.org, ‘AliExpress is an online retail service based in China owned by the Alibaba Group. Launched in 2010, AliExpress is made up of small businesses in China and other locations like Singapore that offer products to international online buyers. The Company (AliExpress) facilitates small businesses to sell to customers all over the world.

How to Start Buying from Aliexpress and Make Money

How to Start Buying from Aliexpress and Make Money

You might be wondering if it’s safe to buy from Aliexpress. Well, it is very safe to buy from this Chinese site in fact, safer than buying from other e-commerce websites you might know of or that you are used to. This is because in Aliexpress, you are protected no matter what you buy as far as you buy it directly from the site.

Again, why this is so is because, most of Aliexpress suppliers who list their products on the site are legitimate. Hence, it is very safe and reliable to buy from Aliexpress. But there are still a few bad eggs on the site of which you should be aware of and refrain from.

Why Are Products So Cheap In Aliexpress?

A common question asked by many people is, “Why are products so cheap in Aliexpress?” this is a genuine question because many people think that most of the products on Aliexpress are not of high quality because of their low prices but this is very wrong!

Aliexpress products are cheap because most of the merchants selling products on Aliexpress are based in China. Since most of their products are manufactured there (in China) and this is not done by a few companies but hundreds of companies, the market forces significantly bring down the price of goods.

Besides, the cost of production is relatively cheap, China has a lot of resources to deploy easily plus ready technologies which significantly reduce the production cost. Finally, given its huge population statistics (Over 1billion people), the cost of labor is cheap too. When combined these ergonomics help in pulling down the price margins for goods compared to other parts of the world. These and more reasons account for why most of the products made in China are Cheap.

The Two (2) Modes of Buying from Aliexpress.

There are two ways of buying and reselling goods from Aliexpress namely (1) importation business and (2) dropshipping. each of these ha its advantages and disadvantages. In an earlier article, I did an in-depth analysis of what these two (2) forms of buying from Aliexpress entail, their pros and cons. Do well to check the article here.

For more resources on importation business in Nigeria, please read this free guide where I explained this subject matter in detail.

You should also check out my additional guide on how to start dropshipping business in Nigeria.

For this guide, my focus is on both importation business and dropshipping. The section below shows a summary process for buying from Aliexpress and reselling whether you choose importation business or dropshipping or both.

Step-by-Step On How to Start Buying from Aliexpress and Make Money

To start buying from Aliexpress to sell and make profits, here are some tips to help you:

(1) Choose a Specific Niche.

Choose a very targeted group of products that are always in high demand all or nearly all the seasons. This is called the target “general” niche. After choosing a target niche, proceed to choose a good category (that fits your interest) from that niche. For example, you can choose “Ladies’ Wears” as your target niche then choose “Shoes and Bags” as your category.

(2) Compare Shops Offering Products In Your Niche.

If you choose ladies’ wears as your niche, for example, then you should visit some shops in your area (or in your town and/or wherever you want to sell to) to see the kind of ladies’ wears that are trending at the time. Once you’ve known what sells, go to Aliexpress and check if you can find the product there.

If you see the products, begin checking for and consulting or checking with the sellers or suppliers of the products on Aliexpress. While doing this, please make sure that your prospective Aliexpress supplier is reliable. You can check reviews from his previous customers to know if he/she is worth doing business with or not.

(3) Order Samples.

Before you start bulk-buying what you are going to resell, order some samples. This will enable you to know whether the products are good or not. Also, it will open your eyes to the time taken before products are delivered.

(4) Buy the Products, Market It.

After you’ve ordered the product  samples, tested and found them to be market-worthy, the next thing you have to do is to go ahead and start buying the products for sale. However, understand that your brand will not spread if you don’t advertise it effectively.

There are many ways to advertise or market a business. If you make a website to use for your advertorials and marketing, make sure it is customized and that your product’s pictures are of high resolution. You can run Facebook adverts (ads) or contact social media influencers to help you promote your brand.

(5) Focus on the Welfare of Your Customers.

Nothing much to say here than this, “take your customer’s welfare and user experience seriously and reap continuous rewards. Neglect this and sit back to lick the consequence”. That’s self-explanatory enough. Isn’t it?

Conclusion

To start buying from Aliexpress and reselling to the local or international audience, make sure that you buy what is trendy and in high demand else you might end up not getting customers and run into severe loses. Ladies wears and fashion items are good categories to choose because there is always a new trend that sells like hot Shawarma and the demand is always high. I wish you the best of luck in this industry. Thank you for reading.

Comments

comments

Continue Reading

Trending