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6 Modern Ways Of Saving Money In Nigeria

Odi Chukwuemeka Valentine

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Modern ways of saving money

6 Modern Ways Of Saving Money In Nigeria

One of the major challenges associated with becoming an adult is accepting and tackling responsibilities head-on. Sadly, responsibilities do not have a budget, naturally, human needs are insatiable, hence, they come spontaneously without informing us.

Immediately one starts to pay his/her bills, pressure somewhat creeps in, causing panic and unrest, especially when one is not financially buoyant to foot the bills. You know, one of the painful things that can happen to anyone is being broke and at the same time, not having anybody to borrow from or a backup plan. Hence, it is important to learn modern ways of saving money in Nigeria.

Related: 7 short term investments in Nigeria for Youths

This year further placed everybody in panic mode, with everything revolving around having money and being able to cater for oneself and maybe, family and friends in extension.

The year has thought everyone the great lesson-the importance of Saving for the rainy days. In the midst of all of the challenges, an average Nigerian has the capabilities and can live above financial inadequacies. This article is a guide on five modern ways of saving money efficiently, all things being equal.

Kindly read through with an open mind, being optimistic about good financial results via the application of financial intelligence tips, going forward.

The Modern Ways Of Saving Money In Nigeria

  1. Have a Budget

A budget can be defined as a financial plan over a period of time; say monthly, quarterly, or yearly. Having a budget helps an individual keep track of his/her finances especially against unplanned expenses. In the same vein, having a savings budget can be of great importance to an individual towards achieving financial freedom in contemporary society.

Modern ways of saving money

For example, one can set a savings plan of N500,000 over a period of 12 months. This plan is achievable and is solely dependent on the individual’s source of daily or monthly income.

The amount received is also considered in this regard. While making room for unforeseeable circumstances beyond human control, it is possible for an individual not to be able to achieve his/her budgeted savings plans, however, one can come close to the budgeted amount.

Be it as it may, savings have been made which is the ultimate goal which qualifies it to be a modern way of saving money.

  1. Make savings from your salary/wage.

Salary is the sum total of a person’s worth for a well-defined role, usually paid at the end of every month. Wage, on the other hand, is the money received hourly upon completion of a task or service.

These two are the major sources of income, aside from financial favors granted by benefactors and benefactresses. Another source of income is money made from the business. Being able to save a certain percentage from either salary, wage or business can help you plan for the future.

It is advisable to save at least 30% of your salary/wage. It may be difficult to start, but as we all know, there will always be a first time for everything we do. Before carving out 30% of your income for savings, it is necessary to draw a plan similar to a budget for transportation, household needs, feeding, and miscellaneous expenditures.

This will make the saving percentage effective and that’s what makes it a modern way of saving. In the past, people plan on saving but do not define the percentage, hence, they alter their plans by frequent withdrawals.

  1. Use of digital saving platforms.

Thanks to technological advancements, there have been good digital savings platforms developed by tech-savvy individuals with a proper understanding of the finance sector and the money market.

These digital savings platforms are certified and regulated by the Central Bank of Nigeria (CBN), Nigeria Deposit Insurance Corporation (NDIC), amongst others. This is to ensure that peoples’ hard-earned money is not carted away not neglecting internet fraud. So which platform do I recommend? Sumotrust!

Sumotrust is among the leading digital savings platforms in Nigeria, with thousands of users subscribed and active with savings plans.

It was set up to meet the financial needs of Nigerians through savings. Unlike commercial banks that for every transaction made, there are charges, Sumotrust rather gives her customers 10-15% annually when they save on the platform. Interesting, yeah?

To further ensure ease of their services, Sumotrust has its app compatible with both PC, Mobile phones, and Tablets available for iOS and Android devices on apple store and play store, respectively. The Sumotrust app interphase is user friendly, a click on each icon has its features explained.

One of the striking features of the Sumotrust app is the ability to link your commercial bank account via BVN with Sumotrust, hence, you can use the ‘Autosave’ feature to automatically save. Sumotrust uses the highest levels of internet security, and it is secured by 256 bits SSL security encryption to ensure your information is completely protected from fraud.

Additionally, it uses a powerful blockchain security protocol to secure users’ accounts against hackers. To cap it up, Sumotrust has an active Customer care representative whose service delivery is second to none. All of these qualities are the reasons why I recommend Sumotrust as a modern way of saving money. To learn more about Sumotrust, kindly visit www.sumotrust.com

  1. Join a savings challenge.

Yes, join a savings challenge. A savings challenge is advisable amongst peers with common goals. Ideally, we humans love being pushed by our friends towards achieving a goal. A savings challenge inspires you to keep pace with your peers, though, not necessarily seen as a competition.

In the olden days, people are known for contributing money monthly and sharing amongst themselves in an orderly, rotatory manner, handled by a treasurer. In this modern era, the savings challenge is majorly held on digital saving platforms.

People enter into the challenge with a common goal-a a target amount to be saved over a period of time. I encourage you to sign up on Sumotrust to enjoy this feature of a modern way of saving money.

  1. Invest in Cryptocurrencies

 

Modern ways of saving money

The world is constantly moving fast with daily innovations. One of such innovations is the use of digital currencies. Cryptocurrencies are widely accepted for transactions even within the Nigerian cyberspace. However, before you get involved in crypto you would have to do your due diligence by understudying how the systems work.

Why did I suggest cryptocurrencies? The Nigerian ‘Naira’ has been devalued over time and in most cases, is not appreciated, hence, its usage can be limited. Cryptocurrencies are accepted worldwide. Crypto is the future.

  1. Create Multiple Bank Accounts.

The essence of coming up with this idea of creating multiple bank accounts is to enable you to dedicate each of the accounts for a specific purpose. It is advisable to have a savings account and a salary account. As their respective names imply, you know your savings account is mainly for you to save money.

You can even place the account on ‘fixed deposit’ which will discipline you from withdrawing from the account until the due date. A salary account, on the other hand, will be can for day-to-day activities. However, it is advisable to have plans for days of withdrawal in a week or month. It is a way of avoiding too many expenses, including impulsive buying.

In summary, the above discussed five ways of saving money in Nigeria cannot be achieved without good financial discipline. I usually tell people to only use money meant for savings in a situation where human life is on the line. At least, life would be saved in the end. However, careless expenses have to be avoided.

Do not buy things you don’t need, do your laundry while you can, cook your meals, cut down the amount spent eating out. Be frugal in your spending.

Most employers do not have good retirement plans for their employees. Even civil servants suffer after retirement due to problems with their pension. As such, people tend to live from hand to mouth.

These amongst others validates the need for you to get involved in modern ways of saving money.  If you truly understand that people whom you look up to for financial favors also have challenges, you would be fired up to save daily, no matter the amount.

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5 Important Tips For Starting A Fashion Business In Nigeria

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The fashion business in Nigeria is one industry with considerable profit potentials for prospective entrepreneurs looking forward to doing this business. Below are five tips you may find helpful if you are just starting out or thinking of venturing into this fashion business in Nigeria.

  1. Identify The “UNIQUE” Market Need(s).

The first step in starting a fashion business is to identify something the market is in need of and which is unique. Coming into the business with a special service or idea will help you to be ahead of the competition. So, commit to thinking about a sub-niche you have passion for within the fashion niche that is not currently filled. Deciding what niche to go into will help you to make targeted adverts and make the best of your marketing adverts. This will help to sell meet the unique needs your targeted audience has.

  1. Get Proper Training, Get a Business Plan.

Having identified the peculiar market need that you want to fix, the next thing you should do is to get good training. This will furnish you with the needed professional knowledge on how to work fabrics into fitted dresses.

You can do this by enrolling with a fashion institute for at least six (6) months if you have a pre-knowledge of fashion designing. If you haven’t been trained in fashion designing before, make it at least 1 year of training. However, if you’re thinking of running a clothing line and scaling up fast then training on sewing is optional as you can simply employ people to sew or work with a dress manufacturer to deliver the products- the sales of fashion clothes

Having completed your training, the next thing you will need is a business plan. To put this together successfully, you will need to carry out feasibility studies to enable you to understand your target market. Besides your target market, your feasibility studies will help you to identify and understand your competitors and how you can favorably compete alongside them.

One other importance of a business plan is that it will help you access grants and loan opportunities available to entrepreneurs which could be of help to your business as a source of starting capital.

tips for starting a fashion business in Nigeria

Tips for starting a fashion business in Nigeria

  1. Get The Needed Capital, Choose the Right Location

The amount you require to start your fashion business in Nigeria depends on the size of the business you have in mind and how you want to start it. If you intend to start from home, then the only cost will be that of acquiring the equipment needed.

On the other hand, for a factory-scale fashion business, various costs will be involved basic among which are the cost of acquiring a place, the cost of acquiring equipment, the cost of materials, and salaries you will be paying your workers. The capital required for this will normally range from some thousands to millions of naira.

Getting a location suitable for the business is something you have to pay close attention to as this can positively or adversely affect your business’s success. You should consider choosing locations with greater access to customers and that have little or no competition. This is highly essential especially when starting out as a newbie in the fashion business world.

  1. Have All The Necessary Equipment in Place

Getting the proper equipment in place before beginning to design and sew is of paramount importance in this business. You should at least have the following equipment in place when starting a fashion design business:

  1. A manual or industrial sewing Machine
  2. An embroidery machine to help make designs on clothes and
  3. A weaving machine that you will use to put finishing touches on sewn clothes that need weaving.

Other equipment that you should get include

  1. a pair of scissors,
  2. at least 3 measuring tapes,
  3. bunches of assorted sewing machine needles,
  4. at least a mid-range power generating set that can power the equipment you have comfortably,
  5. bunches of threads of different makes, shapes, and sizes,
  6. a sketch pad,
  7. Chairs, pencils, and chalks.
  8. at least one pressing iron (manual and electric).

The design stage is where you put your creativity to the test. However, you ensure that your designs are in-line with what your customers need and are ready to buy.  More importantly, ensure that you design dresses that are cost-effective and that will yield considerable profit.

Start by making sketches of the design patterns you have in mind on paper and carve out a paper prototype of the design to avoid incessant wastage of fabric.

  1. Build Your Brand and Market Your Fashion Business

Preserving and popularizing your brand should be top-priority to you. Your reputation is of vital importance to getting and keeping customers. So, ensure that you offer the best customer service and deliver before agreed deadlines.

If the business must sell, then you want to ensure that the customer experience your business offers is top-notch. You should be very creative, conscious of, and keep to delivery dates. This is to avoid the problem of having a bunch of unsatisfied customers especially at the early stage of your business. Endeavor to solidly establish your brand as one that delivers quality and on time.

Marketing involves a series of activities that put your business out to the public. Knowing how to publicize your brand is necessary if your business must grow fast. There are several ways you could market your fashion business. You could create a fashion ovation where models display your designs. Besides this, going online with your business marketing is one great way to increase your customer base. Create social media pages for your business and get a website as well.

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4 Great Marketing Tips For Small Businesses In Nigeria

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The Nigerian business environment plays host to numerous small businesses. Every small business in the country is affected by one form of competition or the other. Therefore, knowing the effective strategies for marketing goods and services is necessary for the enhancement of a business, especially a small business.

Every successful business has nimble marketing strategies it draws upon to see tangible results. When coming up with a marketing strategy, it is important that every small business be mindful of the four (4) fundamental Ps of marketing. These four P’s which are regarded as the foundation of all marketing programs are Product, Price, Place, and Promotion.

The 4 P’s of Marketing

Product

Whatever it is a business offers for sale counts as its product or service. Products are buyable- goods or services that can be paid for. These can be physical goods, service rendition, consultancy, etc.

Price

Price refers to how much a business’s goods or services are valued in monetary terms. The value for which goods and/or services would readily exchange is referred to as price.

Place

This is the location for the transaction or exchange of goods and/or services.

Promotion

This refers to how a business goes about creating public awareness of the goods or services it renders.

These Four Ps influence what a business is selling, how much it is selling, where the sale is going to take place, and what methods it will use to let consumers know about it.

With these in mind, therefore, how does a business design and implement marketing strategies in the Nigerian business environment for success? The following tips should do the trick:

1. Understand Your Market – (i.e. The Nigerian Market)

More than anything else, understanding your market is probably the most important part of marketing your business. You should carefully answer questions like:

  1. What are the needs of my target market?
  2. What solution will my business proffer to the existing market need?
  3. What class of persons (i.e. customers) will my business serve?
  4. What does the topography of competition in my business look like?
  5. How is my competition providing solutions?
  6. How can I improve the quality of my business delivery as time proceeds?

These are some of the questions you should endeavor to find vivid answers to while designing your marketing model as a small business in Nigeria.

Marketing Tips For Small Businesses In Nigeria

Essential Marketing Tips For Small Businesses In Nigeria

2. Pay Close Attention to Data

Data doesn’t lie.

Paying close attention to numbers is one component that is critical to successful marketing endeavors. As a small company, being efficient is of utmost importance, hence the need to pay very close attention to your metrics to find out what endeavors are working and which ones are not.

Since data analysis could be time-taking as well as tasking, you’d want to start with biannual reports to make things a little easier for you but while doing so, place greater emphasis on in-depth details.

The trends in the data you analyze should help you with deciding your next course of action as you plan your marketing.

3. Leverage Online Marketing Channels

With the prevalence of internet technology and its increasing benefits in the country, taking the marketing of your business online will not only be profitable (besides also widening your market) but it will also be an investment for the future. There is a lot of verifiable truth in this as access to and the use of the internet is still on the increase in Nigeria.

So, get a business website as soon as you can. It will not only help you to promote your business easily and efficiently but will also portray your business as one that is highly professional.

An aspect of online (digital) marketing is social media advertising. 

In the last few years, the social media has really gained enormous usage and popularity among Nigerians. Paid social media ads will amplify the extent of your business’ reach and boost the public’s awareness of your brand. Besides, with social media marketing, you can make your business instantly accessible to everyone worldwide who is online with any device.

4. Deploy Offline Media Advertising Opportunities

The traditional offline advertising channels still work to date despite the advent and use of online marketing. These traditional offline advertising channels are generally termed, “mass media”. The mass media are the radio, television, the print media (newspapers, magazines, flyers, posters, flex banners), amongst others.

You should consider using these mass media channels together with online marketing channels to enhance your marketing efforts.

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

Ossi Samuel

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start a profitable food processing and packaging business

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