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Top 10 lucrative business ideas in Nigeria 2020

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The country Nigeria on the west coast of Africa is not only the most populated in the continent but also amongst some of the most well known in the entire world. Nigeria, the land of celebrated singer Fela Kuti has made its impact in various spheres of art, culture, and trade. No wonder, the best business ideas in Nigeria sounds lucrative enough for the rest of the world.

Its geography itself features a climate that varies from arid to equatorial or humid.

But the main diversity lies in its people.

A quick assessment of the country reveals languages numbering in hundreds are spoken in Nigeria alone.

Some of these include languages like; Igbo, Fula, Yoruba, Ibibio, Tiv, and of course English.

With such variation, the potential for untapped business in Nigeria is quite huge as always.

It is not overnight that people starting over, aim to attain success in Nigeria.

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Their road to success starts small and slowly develops over a length of time into something of mention.

The hot business ideas in Nigeria require simple effort and a bit of planning to take shape.

The country is known to be home to some of the largest deposits of oil and natural gas.

It must be said here, the best business in Nigeria can very well begin with minimal capital.

Once handled with enough care and supervision, all business opportunities have the potential to grow big over time.

Now to mark and identify some of the best business ideas in Nigeria, we have some really good options.

Let’s start as following;

The business of oil and natural gas

It is an undeniable fact, how much the world depends on natural gas.

It is this demand that keeps on creating work for more and more people.

In Nigeria alone, with the scarcity of electricity prevalent, people rightly depend on fuel in their daily lives.

The areas of oil and gas that offers the best business in Nigeria

The Areas

  • In the best of business opportunities in Nigeria, the very first opportunity comes of distribution. It is one of the most lucrative and profitable parts of this business. Though the capital requires to be successful in these business opportunities is a bit on the higher side. The distributors do the job of distributing oil and related petroleum products in the country.
  • Now how about opening a petrol station? All it requires is a few million Nigerian Naira currencies. Nigeria has a handsome population of vehicles, and the owners depend on nearby petrol stations to refuel them. Other than cars and vehicles, also the prevalent usage of generators for power in the absence of electricity. The filling or a petrol station is thus a place where every kind of oil from motor spirit to diesel, kerosene and cooking gas are stocked and retailed.
  • Let’s now talk about the cooking gas business in Nigeria. Surprisingly, cooking gas is one of the top business opportunities that remain largely overlooked. People are more inclined to buy petroleum products. Cooking gas business opportunities open up to become retailers. These are also business opportunities that don’t require much capital to begin. Undoubtedly one of the best business ideas in Nigeria.
  • Several Nigerians depend on kerosene for a variety of reasons. Households using cooking gas also very much use kerosene powered stoves to back up. The best business in Nigeria of kerosene supply is not overlooking. Especially since the kerosene business opportunities have few people involved in it.
  • Petroleum products, like all other products, also require transportation. People who have money can get into these business opportunities. One can purchase tankers or even ships to ferry across the products and earn from it. It is among the business opportunities for sure.

Takeaway

Nigeria has an abundance of oil and natural gas resources.

Anyone looking forward to cashing in on this business can do so.

While the investment requires considerable money in this industry, the returns on investment stakes are also quite high.

Undoubtedly, it is one of the best business ideas in Nigeria.

Agriculture in Nigeria

If there’s a quiz with questions asked as name some of the best business in Nigeria, it will remain functional for as long as mankind is around on Earth?

The answer to this is none other than the agriculture business ideas.

As one of the best business ideas in Nigeria, it springs out of the basic necessity of humans.

No other business opportunities have as much helped and assistance available as agriculture.

People trying to start these types of business opportunities can take loans or get it financed by financial institutions in Nigeria.

Lenders prefer to invest in the agriculture sector owing to its guaranteed return and safety of constant demands.

It offers one of the business opportunities.

Nigeria, as a country has its bank of Agriculture.

In operation through the central bank, ministry of finance & agriculture, and under the federal government.

The agriculture sector offers the best business in Nigeria with nothing but profit in store for them who ventures into it.

Some of the popular types of agriculture

  • Cattle Farming. Meat especially beef is an important food source for Nigerian people. Cow milk is also in huge demand. Cattle farming is thus an option of agriculture business opportunities that has a good percentage of returns on investment. Research on the internet gives a clear idea of how to go about starting a business in Nigeria.
  • Now want to hear about another best business in Nigeria? It is the palm oil business. Things used daily from body soaps to cream have the element of palm oil. So much is the demand for palm oil globally, several companies import them from Nigeria.
  • As the most populated country in the African continent, in Nigeria, meat is always on the menu. Apart from beef, which has been discussed earlier, chicken and turkey meat are very popular. Demands especially skyrocket during the festive occasions. It is for this reason; poultry farming is one of the hot business ideas in Nigeria. All one needs for one of this best business in Nigeria is some initial small time investment which has the potential to grow in a very short time.
  • If you are looking for ideas for untapped business in Nigeria, then snail farming is what fits the bill perfectly. The possibilities and potentials of this best business in Nigeria offer some surprise. Snail farming is essentially the raising of land snails that are fit for human consumption. Also, snail slime can further be used to produce snail eggs or even cosmetics!
  • How much revolting it may sound to some readers or even surprising too, but snake farming is a lucrative agriculture business. Reason? Snakes are reared for commercial purposes. The rearing of an abundant species of snakes has its associated risks.

Takeaway

This clearly shows as one of the business opportunities, agriculture’s profitability is quite high with guaranteed safety of returns.

The food business

There are simply no other business ideas in the world that can replace the best business in Nigeria, which is food.

Food is a constant item of necessity.

People love eating and want to tuck in delicacies.

Studies have shown, even market conditions bad or good haven’t deterred people from eating out.

One of the best business ideas in Nigeria, though it has multiple sides to it.

For instance, food business ideas can make an investor rich.

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It can also help win a restaurant or similar food outlets, loyal customers.

People do keep coming back to a food joint if they end up liking the food.

The food business ideas have several areas of work and investments on offer.

Let’s shed here some light on a couple.

Areas of work in the food business

The much heard and celebrated the word ‘franchise’.Let’s discuss this first.

Brands like the rest of the world are popular in Nigeria too.

Especially if it’s a food brand.

The loyalty of the people to some of these brands isn’t hard to find.

All one needs to do to start a franchise of a popular brand is looking for a good location.

The location offers minimal competition for a food joint. After that, the rest falls in line easily.

The outlet can get opened once the location gets the approval from the brand.

Can you name some of the Nigerian delicacies that people love? It’s the Affang soup, and Edika-ikong found in a local Calabar restaurant.

That’s right, local restaurants in Nigeria are in a league of their own.

Local restaurants can specialise in Nigerian cuisine and offer freshly prepared home-like food.

A readily lovable food option for the people.

Investments in opening up local restaurants with an eye for people’s liking and tastes simply mean profit in return.

What else can feature as one of the best business ideas in Nigeria?

Work lives for most are hectic these days. It is for this, catering and food supply business ideas have picked up the pace.

Making timely delivery of food to seminars, banks, and other institutes is how the best business ideas in Nigeria are thriving.

The food supply business ideas only require the setup of a few networks.

This network consists of a cook, or you may cook yourself if you have the cooking skills.

One can rope in more help for the food supply business ideas like planners and organisers.

Keeping the high profitability factor in mind, the food business is one of the best business opportunities to follow.

Car wash business

Car owners in Nigeria do face this problem, especially if they are a little out of the city.

All it takes for car washing business opportunities as one of the best business in Nigeria is a waiting area for customers, availability of refreshments, entertainment like TV, while their cars get washed.

A good source of water and a shade stands enough for the car wash area to set up.

Additional are a few hoses, a washing machine, a few sponges, and soap.

In no time, customers can head their way with a clean, shiny car while the car wash owner pockets a good return in exchange.

It is advisable to follow some basic guidelines for one of these best business ideas in Nigeria to take effect.

Guidelines for car wash business

  • Managing all the finance comes first. Estimates suggest an initial investment of N200,000 to around N500,000 must be enough to start this one of the business opportunities. If one is planning to execute large scale car-washing business ideas, then the capital has to be a bit higher.
  • Researching the market thoroughly is what comes next. A quick look at similar car wash stores and the facility they offer, the equipment in use can help. All these come in handy as necessary inputs of best business ideas in Nigeria.
  • Surveying with potential customers gives a better idea of what might they be looking for in a car wash service they like to visit.
  • The location for the car wash service has to be in line with consumer demands. A good place to have such a service is busy roads with a fair amount of traffic flow throughout the day.
  • Getting adequate approval from the authorities is what comes next. Once the inspection of the site by the concerned authorities turns out to be positive, one of the best business in Nigeria will be good to go.

With the above many points, it is very clear.

There is an immense potential to let some of the best business ideas in Nigeria to take effect and grow over time.

Every sign of a healthy, thriving economy is present in Nigeria.

Perhaps more than in any other part of the world in this present time!

So, doing the best business in Nigeria will certainly be lucrative.

Therefore, you have the best business ideas in Nigeria that you can execute to create your business opportunities.

You can rest assured you will have a better ROI from your business ideas.

Thus, be wise and invest rightly to gain more profits.

The business of real estate

The business ideas of real estate are undoubtedly one of the most well-known and famous around the entire world.

The basic necessity of shelter over one’s head is what real estate primarily gives.

Nigeria alone has the most number of population in the entire African continent.

It is therefore predictable; people’s requirement for a roof over their head is to only increase over the next couple of years.

Nigerian cities are already having a steady in-flow of people.

Real-estate is a good business in Nigeria alone offers numerous opportunities for anyone interested.

The work can be from that of an agent who helps people to get their dream home, or help property sellers to get tenants and buyers.

All the agent works take place in return for a fee.
Demand for a property depends on certain external factors.

These are like, the immediate environment of the property or the development around it.

One thing is to be always kept in mind while starting real estate is a great business in Nigeria.

And that is, success does not happen overnight.

Planning the investment

Planning and work for one of the best business ideas in Nigeria to take effect can be like;

  • Deciding and selecting at first the real estate sector one is targeting
  • Getting the proper license and documentation from the authorities comes next.
  • Develop proper business ideas
  • Creation of a proper strategy is also critical.
  • Website creation gives the reach to potential customers.
  • Build a healthy network
  • Do ample advertising
  • Develop goodwill over time

Real estate is certainly a better investment that can yield excellent returns.

It is one of the best opportunities in Nigeria.

Return on Investment or ROI just gets higher and higher over time.

Nigeria, with its constant demand for better living spaces, surely is a market to tap in.

With the mention of homes and real estate, next comes what makes up the interior of a real home.

Furniture! Be it as a showcase of luxury or essentiality.

The demand for furniture never comes down.

There are always people looking for the most suitable kitchen, living room, or bedroom furniture.

If not homes, several offices, schools, and institutes still have the demand for furniture items.

Due to its popularity, business ideas can start for some through a carpentry shop.

It is here that furniture can be made and polished following demand.

Hotel business

The best business ideas in Nigeria are also inclusive of the hotel business.

A major part of the Nigerian population is on the move, and staying in hotels is thus common.

This movement can be either for pleasure or business opportunities.

It does not just end here for hotels since people coming in from all parts of the world also take accommodation in hotels.

So to start in the hotel business, as the best business in Nigeria, much like the food franchise outlets, the location is of immense importance.

The area of the hotel should be competitive, and services must be available at cheaper rates.

Further additions can be that of a restaurant or a bar to the hotel for luring in more eager customers.

All such clever additions and explorations compile as the best business ideas in Nigeria.

This ensures the investment in the hotel business ideas is worth every penny.

Nigeria, as a country, has a lot of people willing to spend that extra dime over merriment or luxury during a stay.

Thus, revenue generation from hotels as one of the best business in Nigeria can be high.

A good way to explain is through examples.

In a 10 room hotel, with each person spending an amount of N2500 for every night, the hotel will end up earning N25000 daily.

Just in terms of revenue, N750000 can be earned.

The challenges will also be present in running a hotel business.

That can be from competition to optimum upkeep, hygiene levels, and proper customer service.

It is essentially a hotel owner before embarking in the hotel business must be clear on the type of hotel he or she wants to build.

It includes everything from the number of rooms to the quality on offer.

Takeaway

The hotel business opportunities are incomplete without the inclusion of gyms.

Nigerians too are in the same footing with the rest of the world trying to be fit amidst the daily grinds.

Better physique means better stamina and more spirited work outputs.

Moreover, health concerns like cancer have already affected numerous.

It is thus essential for people to give up old bad habits and embrace a new, more fitness-centric one.

Businesses, especially hotels, are eyeing this as one of the business opportunities, and surely it is one.

Just spend money to equip with the latest gym and exercise types of equipment.

The young generation is particularly interested in fitness.

Transport business

People coming to stay in hotels or going out of the city with a tour itinerary has to have a proper mode of conveyance.

This business in Nigeria, transportation, does not just end there as people are constantly on the move.

This movement can be either locally for even out of town.

As a city, Nigeria holds a population of over 150 million people.

Thus is it is understandable why transport is one of the best business ideas in Nigeria if it is done in the right manner.

The transportation business opportunities aren’t that difficult.

Several financial institutions provide vehicle loans.

The initial investment can be well within one’s abilities.

Transport services in Nigeria majorly constitute of Uber, or buses, Keke-Napep or Okada.

And even if that seemed enough, guess what, there also planes!

The transport market has a huge reach and a wide potential to grow more and more.

Nigeria’s transport business effectively depends on all 3 major ways of transportation that island, water, and air.

While less than 10% of the Nigerian population travel by sea, a majority of them take to travelling by land.

If a question arises in the mind of the reader why the transport business opportunities are a great business in Nigeria, here are a few points.

Why transport business

  • Out of every 1000 people in Nigeria, estimates suggest only 31 own cars.
  • As one of the business opportunities, it undoubtedly is one of the most lucrative businesses in the country.
  • Making good money in these business opportunities is possible by following a set of rules.
  • Even trying a hand in public transport is possible in this business.

A few quick easy to start the transport as the best business in Nigeria are as follows;

  • Firstly deciding on the type of transport business opportunities one is looking forward to starting.
  • Then comes to choose and decide on the roots and location.
  • The vehicle can be obtained through the means of a lease, hire, or just purchasing it straight away.
  • Initially, in this business, if someone decides to start small, the vehicle can be self-driven too.
  • Or one can also start-off by engaging a professional driver.
  • The growth of business opportunities can then happen over time.

As one of the best business ideas in Nigeria, Transport business opportunities are not at all complex and can be done very successfully by following all legality.

Pure drinking water business

Most cities of the world are faced with this demand for pure packaged drinking water to homes and offices daily.

Nigeria too isn’t an exception in this.

Nigeria has the biggest population on the African continent.

The access to pure drinking water thus always remains no. 1 on the list of priorities.

Starting the pure water business opportunities is easy.

Almost all of Nigeria’s villages and cities have a demand for pure drinking water.

A good number of Nigerian bottling companies have already started their business.

All it takes to have successful best business ideas in Nigeria is some careful planning and strict follow-up of government rules.

The accessibility factor must also be looked into for the best business in Nigeria.

Since electricity, access roads are a necessity for pure drinking water bottling plants.

The water can be dug up from the groundwater reservoirs.

Surprising to believe, even with the proximity to the mighty Sahara desert, Nigeria does have adequate groundwater resources.

Underground aquifers hold enough water for a majority of the city.

The water pumped out can be stored in overhead tanks and then undergo the latest sterilisation measures before getting bottled.

Sealing mechanisms and then proper packaging would make the bottling process attain completion.

There is an absolute need to recruit staff for certain in this water business.

As staffs need to operate all types of machinery, distribute and do all the other related work.

Target market

For interested in starting a bottle water company, it is essential to identify the target market for the best business in Nigeria.

The target market should be near places where people hydrate themselves frequently.

These can be like near;

  • Sports venues
  • Shopping malls
  • Restaurants and fast food centres
  • Various bars, pubs, and joints.
  • School, universities, and offices

The marketing in pure water business opportunities has to be taken extra care.

Regular and proper advertising in TV stations, magazines, local newspapers can reach proper customers much faster.

The pure water business opportunities with a certain profitability factor are one of the best business ideas in Nigeria.

The fashion business

When so much has been said people’s lifestyle, food, and living criteria, a word without bringing in the fashion business would be incomplete.

Business opportunities for fashion are one of the best business ideas in Nigeria.

It is quite well known, how much Nigerians like to party, song and dance.

African culture has a certain sense of fashion embedded for thousands of yours.

It is this dressing sense and unique attire that come out to be worn by people following the occasion.

The demand for clothes thus will never fade away.

Now to look at the fashion industry as the best business in Nigeria, people can choose to be;

A designer and design clothes or unique patterns which will then make for some great pieces of fabric.

Or open a small boutique that can have both imported and locally made clothes for sale.

If all this seems not enough, one can also take to print.

The printing of caps, t-shirts, or mugs is an excellent way to start the business.

The fashion business in Nigeria can help one earn N100,000 or more in a week!

There is thus no doubt on the profitability aspect as one of the business opportunities.

A passion for designing clothes should be enough to get into this lucrative business.

Studies suggest, the global apparel market is itself priced at 3 trillion dollars and that too growing annually at a 2% rate.

Skills required for fashion business

To be successful in the fashion business opportunities as the best business in Nigeria, the skills one requires are;

  • Excellent managerial skills
  • A lot of creative skills
  • Proper marketing skills
  • Enough knowledge in negotiation and striking deals
  • Proper management of time

Tools required for fashion business

To start and give life to one of the best business ideas in Nigeria, one may need a basic set of tools like;

  • A sewing machine
  • A finishing instrument or that of a weaving machine
  • An embroidery machine
  • Proper furniture
  • Sewing materials
  • Pressing irons
  • Generator or power backup to keep the machines running even when there’s a power cut.

The profitability and success of the fashion business in Nigeria are proven and easy to follow.

The food processing business

In this age of packaged products, Nigeria has a lot of food and beverage products on offer.

These can be from frozen foods to palm oil, yoghurt, fruit juice, tomato puree, and so on.

The food processing business opportunities can take off to great heights with careful planning and staff involvement.

All the processes within one of the best business ideas in Nigeria have to run smoothly to obtain optimum results.

In an age when market competitions are high, the processed food readily creates a demand for its own.

Fresh farm grown tomatoes have a huge demand both in the market as well as in the processed food industry.

Remember the fresh tomato paste that many fast food joints put on their pizza?

Starting a tomato business is a great business in Nigeria isn’t too difficult.

All it is required is finding out the type of tomatoes that are more popular to grow.

This piece of information is best obtainable from local farmers or the ones who supply the seeds.

Mostly some varieties grow well and also there are varieties which are in high demand.

Just ensure, the picked-up seeds are nurture well to get the best of tomato produce.

As one of the best business ideas in Nigeria, it automatically thrives over time with excellent returns.

What to expect from the food processing business

Ever have tucked into those crunchy chips made from unripe plantain?

Well, that is now one of the best business ideas in Nigeria.

Let’s present the figures to make it more understandable.

All it requires is to say an initial investment of N50000.

A return of N10000 in profit is guaranteed a return on the investment.

This is the business one should set up if one has a low capital business in mind.

One can start off taking tips from someone into this business with enough experience.

A quick grasp of recipes and proper set up of supply chain for both raw materials and finished products, and one is good to go.

A bit of patience is all that is required for one of the business opportunities to take effect.

Nigeria is a part of western Africa, and with proximity to the Sahara desert experiences some hot climate.

The natural refrigerant of ice is thus in much demand.

Businesses can tap into this extremely lucrative sector of ice production.

Especially since poor electricity distribution robs most houses of keeping refrigerators and making their ice.

Restaurants, households, bars all require a steady supply of ice.

This ice making business luckily does not at all require any lump sum investment to start.

A deep freezer, a generator and that’s all is required to start ice production.

Some businesses can also invest a furthermore and acquire an ice-block maker machine.

Overall for one of the best business ideas in Nigeria, the profitability surely is very promising from a variety of food processing ways and means.

FAQ

What is the most profitable business in Nigeria?

Some of the best business ideas in Nigeria give way to the most advanced areas of business in the agricultural sector.

The country that is teeming with the most population in the continent has a stable demand for rice.

Nigerians alone consume close to 5.5 million tons of rice on an annual basis.

And out of these 5.5 million tons, almost 3.6 million tons are produced on a regional basis.

Since consumption is much higher than the local produce, there is always room for individuals to start investing in rice farming.

Rice farming is a good business in Nigeria is necessary for the Nigerian economy as that minimises the requirement for import.

What are the most successful small businesses?

For business in Nigeria, as a country, it offers immense business opportunities for people to start their business ideas.

The consumption of various items is high, while the availability is low.

When you look at a lucrative and successful business in Nigeria.

And you see other such successful companies.

You will see it ranges from:

1. Agriculture
2. Animal husbandry and farming
3. Furniture business
4. Pure water production
5. Food processing industry
6. Oil, gas and petroleum products
7. Hotel business
8. Transport business

What business can I do with 200k?

Some of the best business in Nigeria is possible with 200k Naira to spare.

Many of the small businesses that are thriving in and around the cities of Nigeria are;

1. The restaurant business in Nigeria
2. Dry cleaning business
3. Farming of livestock
4. Car wash business in Nigeria
5. Daycare centre
6. Retail business in Nigeria
7. Home-based services, and more.

Top 10 lucrative business ideas in Nigeria 2020 conclusion

With the above many points, it is very clear; the best business ideas in Nigeria can take effect and grow over time.

Every sign of a healthy, thriving economy can be seen in a good business in Nigeria.

Perhaps more than in any other part of the world in this present time!

So, doing business in Nigeria will certainly be lucrative.

Therefore, you have the best business ideas in Nigeria that you can execute to create your business empire.

So, you can rest assured you will have a better ROI from your business in Nigeria.

Thus, be wise and invest rightly to gain more profits.

Studies suggest it’s hard to beat the best business ideas in Nigeria. Jobs aren’t there for everyone in Nigeria.

Finding jobs is tough, and people left with no incomes of their own suffer from depression, anxiety, and other health issues.

The home business ideas in Nigeria, as a result, have picked pace.

With a bit of smartness, one can easily maintain or start their business.

Income will soon follow, also helping others to get employed.

Best business ideas in Nigeria can take shape into reality based on the capital, which can be big or small.

The key is to build a brand over time.

Therefore the brand achieves growth based on the business’s growth.

Being rich is something almost everyone dreams of.

While employment and jobs don’t quite make you rich in particular, business surely has the advantage of being one’s one boss.

The best business ideas in Nigeria with low capital have enough potential to bring changes to the economy.