GUIDE TO MECHANIZED SHEABUTTER EXTRACTION AND REFINERY IN NIGERIA
There are many agro commodities to invest your capital but one stand out product will always be Shea butter. A large market exists for shea butter worldwide, particularly as it is organically produced. Shea butter is in high demand and is a wonderful product. It has a high prospect and sells well in the international market. Opportunities exist in its production value chain producing on a small, medium and on a larger scale to meet the growing demand. The raw material is shea nut. It is available in abundant quantities and qualities and will be made available for production. Depending on the proposed location of your production plant, you will be sure of readily available raw material. One will be sure it is closer to the shea producing states of Oyo, Kwara, Kogi, Niger and Kebbi State. A shea nut gathering point should be set up in each of the shea sourcing areas. There should be a central warehouse and office in each shea area, where the shea nuts will be harvested and stored temporarily. Harvesting of the shea nuts will be coordinated from this office. The women cooperatives collect shea nuts and bring the collected shea nuts to a central point/office. Small trucks will be transporting the shea nuts from the central point to the central warehouse in the shea zone where it will be stored temporarily before it will be conveyed by larger trucks to the production factory.
There is a growing interest in butter from Nigeria for use as ingredients in the cosmetics, pharmaceutical and confectionary industries, yet the commodity is in limited supply as much of it is processed by local women through crude and labour intensive means. Investment in the processing of the butter in large volume will not only be profitable but will also create a feel factor for government support as it is also an avenue for employment for its teeming youths. The strong interest in the product by cosmetic companies is due to the growing demand for a more natural product that is perfect for skin. 10% of the world demand is by the cosmetic companies in the US and European Countries. 90% of world demand is by the chocolate and confectioneries industry. The European Union allows up to 5% shea butter to be included in its confectioneries and if the US lifts ban on using Cocoa butter alternatives as expected, then consumption in this sector will also increase. The commercial interest in shea centres on its use as a substitute for Cocoa due to high cocoa prices in the market. On the flip side, the demand for certified shea butter is essential, especially if you factor in the availability of good quality product that companies and buyers are searching for. Looking at the size of the market. The market size is huge. The global market for confectionery products is about $200 billion while that of cosmetics and toiletries ingredients is estimated at about $40 billion in 2016. One will have to follow daily the major players in the shea butter, chocolate and cosmetics industry, respond to trend to keep ahead of its competitors. Asia is also an important growth market for CBEs as most Asian countries do not have any regulations against using CBEs in chocolate. Together, Western Europe and Asia consume about two-thirds of global CBE production(2/3) (66%). World chocolate consumption is increasing overall, especially in the growing economies of Latin America and Eastern Europe where disposable incomes and population are rising. Despite the relative maturity of the Western European market, chocolate consumption is still strong. Another income stream is the Shea cake. Shea cake is a residue from the production of shea butter. It has economic value. It can be used as a raw material for bricks and it is demanded oversea for use as a niche input to high-end production of animal feeds.
There is more demand for Shea butter than is currently produced. Rural-based women from time immemorial have been using manual traditional methods to process about 60% of all the crude butter produced in Nigeria at a relatively low extraction rate of about 25%. Currently, the production of Shea butter is often done manually in semi-industrial and small 100% industrial scale in Nigeria. One constraint to shea production in West Africa is quality issues. Because West Africa has not enough factories to produce a high-grade quality of Shea butter, the opportunities in export are yet to be adequately tapped. There is the specific quality of shea butter needed in the international market and it is of ultimate concern to buyers. Buyers want to know the Iodine number, acid and free fatty acid number and other parameters of the shea butter he wants to import. The African entrepreneur has too little access to financing for trade and investment, hence 80% of the Shea butter production is done in Europe and Asia by multinational companies. Shea Tree grows only in West Africa and lesser extent in Central Africa, and nowhere else in the world with Nigeria a leading producer of the raw material (Shea nut). Nigeria produces about 500, 000 Tons of Shea nut annually. On the business side, Nigeria can compete favourably with the established industries in Europe and America. The disadvantage of processing Shea Nuts into Shea Butter in Europe or Asia is the transport costs because the raw material can only be gotten in Africa. To produce 1 kg of Shea Butter, you need 2.2 kg Shea Nuts, so as you understand, it is much cheaper to produce Shea Butter in Nigeria with easy access to the raw material. Staff costs here are also lower.
Nigeria needs to invest more in a high technological and mechanized shea butter processing plant to satisfy the demand for shea butter. Shea is very much a self-contained industry, which could scale very quickly with investment in processing machinery and skills training. From research, 50tons per day processing plant could be set up in any industrial zone in the country, with relatively extraction rate of 40% and if the oil content of 40-50%, 50tons input shea nut would yield 20 tons of shea butter per day, 500 tons per month and about 6000 tons in a year which could further refined to satisfy the need of the market. Shea cake is another derivative of shea butter processing with economic benefit. It is also demanded by foreign buyers. On the financial level, there is potential for a quick and higher return on investment. About $3.6 million will be invested on the project with a breakeven point in earnings before the end of the second year and profit over 90%. Earnings before taxes, depreciation and amortization (EBITDA) is a positive and investors can expect dividend from their investment in the subsequent years.
To process Shea butter, one would need to have the capital to procure raw materials, equipment and machinery, put in place necessary facilities to aid production and ensure the provision of paper documents such as the feasibility analysis providing necessary guidance on the project. But know that if you are going to exploit a Shea Butter plant with specially developed machines, you need managers with a technical background; those with several years of experience in the industrial production of Shea Butter. More insight will be provided to you on this in the detailed feasibility analysis of this project. On the production process, you got to choose either the refined, raw and cold press processing methods. But I want you to know this about shea butter, the adopted processing method determine the quality and quantity of your output shea butter. The refined shea butter has become one of the popular and common shea butter in the market. It is white, odourless and hard in texture because, during the refining process, it is subjected to extreme heat which changes it’s the state and ensures it has a longer shelf life. Refiners will use hexane to strip it of its colour and nutty fragrance. This is necessary if one wants to use Shea Butter without all the variation in appearance and odour. Chemicals used will include Alkali, Phosphorus and bleaching earth. Alkali requirement is by range value of 1.6-2.2 per 1-ton oil, Phosphorus 0.5-1.0kg per ton oil and bleaching earth 3-20 depending on the colour requirement per ton oil. Generally, chemical consumption used will depend on the acid value of the crude shea butter extract. The raw production method produces Shea Butter of light beige to a more creamy yellow. It is smooth to the touch, absorbs easily and sometimes has a roasted fragrance to it. Interest in Raw Shea Butter is having a well-deserved resurgence.
The result of the production process is a miraculous beauty, anti-ageing and therapeutic lotion that is naturally high in vitamin A and E has more antioxidants than Green Tea and boasts of six different essential fatty acids. Its high nutrient content makes Raw Shea Butter useful for everything from hair care to reducing wrinkles. The latter is a new way which is gaining popularity. It is the Cold pressed. Cold Pressed Shea Butter produces a final product that is lighter in Shea Scent and Colour but still as nutritive. Cold pressing involves extracting oil and nutrients from the Shea Nut using an expeller press or something similar. An expeller press is a machine that puts a great amount of pressure on oil bearing materials like olives, coconuts and in this case Shea. Heavy friction and continuous pressure release oil from the Shea and the oil seeps through small openings that do not allow solid shea fibres to enter. Although cold pressing does not extract every last trace oil in the same way that raw processing does, the process does cut 3-5 hours off the extraction time. The result is somewhat similar to refined Shea Butter, but no chemicals or synthetics are used.
The mechanized equipment needed for the production line can be easily sourced and installed by the equipment manufacturer who has proven track record in oil machinery production and installation. Because of their long experience, they have achieved economies of scale to carry out any of this project in a cost-effective manner. Also available are Consultants who specialize in quality issues. He will ensure product quality is never compromised. Output shea butter from the production line will be sampled, tested, inspected and certified by SGS. An SGS is a world commodity certification company. Its standard is an international standard and quality consultant will ensure certification of the output shea butter. One can start mechanized shea butter production on a small scale and grow over time to medium and large scale level. 5 metric tons per day capacity plant can yield about 2 tons shea butter. 10 tons capacity yields 4 tons shea butter, 20 tons yields about 8 tons shea butter while 50 tons will produce 20 tons daily of shea butter. The time to invest in mechanized shea butter production is now. And over time, the investor will rationalize its production system or received sufficient orders to exploit economies of scale within their plants and gain a higher competitive edge. One is assured that with the renewed demand for Cocoa Butter Equivalent in the International market, government ever willing support for agriculture and advances in Information and Communication Technology which has facilitated trade world over, investing in a high technological mechanized Shea butter plant will be a viable idea and a wise investment. Your future policy should be to expand. When your Shea Butter Plant functioned relatively optimal, it will make economic sense to expand the operation by building a similar factory in other states or neighbouring country where shea nut is in abundant. For marketing purposes, there will need to open sales offices in major cities in Nigeria and if possible in Europe, Asia and America. This will facilitate good contact with your major customers. The aim should be that within 10 years, a large chunk of the Shea butter market will be in your hands. In the long term, It should be a multinational and should create a good number of Jobs. With these and many more, the time to invest in shea butter processing plant which is a low risk, responsible investment is now.
HOW TO GET PLENTY CUSTOMERS FOR YOUR BUSINESS, USE THESE SECRETS TO TRIPLE YOUR PROFIT EVERY TIME
If you are a business owner, chances are that you will want to increase your profit. One viable way to raise your profit is by getting more customers to buy your product or service. Now, how do you get this done?
How do you increase your paying customers? This is not hard science. The truth is that if you don’t know how to market your service or product yourself, chances are that you will be out of business sooner or later. And even if you survive, you will earn little. You must have been in the business sector where there is competition for customers. You must have also wondered why some of your competitors sell their products quicker like they weird magical powers. These fast guys will sell off 5 cartons of products and wanting more while you are still struggling to sell off one cartoon.
The truth is that learning how to market your stuff is like learning how to weird magical powers.
The very moment you learn and apply it, you have the key to control your bank account. Marketing is a big subject. How to easily get customers for your Business This is the first rule. Don’t chase any customer. Never! They should chase you. Now, think about this. How do you feel when you walk into the market and someone attempts to drag your arms? You will feel irritated and annoyed.
That is what you do when you jump into people forcing your flyers into their hands.
You annoy them, some will take your flyers to the toilet, amigo. So, the best decision now is to stop it. They should chase you. How? I will show you how, but I want you to know this first before looking for a customer. First, find a selling point of your business and be very clear who your customers are. For example, someone selling weight loss supplement online should be clear on what he is selling. If he or she were to be asked about what he is selling. If his reply is weight loss supplements. It is wrong. No, that is not what you are selling. The reason he is not earning enough money is that he thinks he is just selling weight loss supplement. He doesn’t have a selling point.
His proper selling point is to sell a weight loss supplement for women who just gave birth. And to position his product as a viable solution for baby fat. This single clarity will double sale next month. This is the reason it will work so well. The more specific your selling point becomes, the more you attract customers. Why Take that weight loss supplement, for instance, everyone is selling it. But when he came and said, ‘’This is just for women who just gave birth’’. Then, women who just gave birth will say to themselves, ‘’since this is just for us, and not like the random weight loss thing out there, then it will probably work. I will choose it over the rest of the craps out there. Bam… more sales for you.
Weight loss plan for women with stretch marks.
Bams, you raise the standard above the competition and become a boss. Now, when you have got your selling point right and being very specific about who your customers are. It is now the best time to attract them. The next step is to attract. Please note, I did not say ‘’Go after’’. The keyword is attracting. How do you attract customers? How do you get them to meet you at your business location? By offering your customers something they cannot refuse. Incorporate attraction with a free gift I once consulted with a school owner.
She wanted to get more students enrolment in her school.
Her school is spacious and nice but parents were not bringing in their kids. What we did for her was simple, we organised a free workshop for parents whose kids are not good at maths. The venue was the school premise, so we can use the opportunity to show off the school environment. At the very end of the programme, interested parents who wanted the school to do help out were asked to enrol their kids. Right there on the spot, over 92 parents registered their kids. Hence, never underestimate the power of a gift. But note, the gift has to be designed to make the customer want what you have to sell. Also, it should not cost you. You can’t give free painting if you are in the paint business, you can go broke. But you can give free paint surveying to your client, where you visit to look at the house and give expert advice on the paint combination to use. Then after that, you may ask, will you want us to do it for you? Apply these simple tricks and watch your sales increase to double and triple times as you will ever imagine.
DISCOVER 7 FASTEST SELLING AGRO COMMODITIES IN INTERNATIONAL MARKET TODAY (CONTINUATION)
Sesame seed export is very profitable. It is one of the commodities with the highest return on investment. The product is readily available and Nigeria sesame seed has a good quality rating in the international market. Where does Sesame Seed grow in Nigeria? Sesame seed is widely grown in the following states: Jigawa (highest producing states); Benue; Nasarawa; Yobe; Gombe; Kano; Plateau; Katsina; and Kogi
Ginger export is the export of fresh ginger, ginger powder, and sun-dried split Ginger from Nigeria to international buyers located in various parts of the world. It is mostly exported semi-processed and further processed upon arrival at the buyer’s facility for its intended uses. The season for ginger runs from May to October. Supply goes on for upward of nine months, guaranteeing sustainable exports. All exporting companies in Nigeria comply with important food safety standards (SPS). Adherence to best practices and food safety measures at all steps in the value chain is ensured, from farmer to exporter. This is a very important commodity in the export market. Ginger is a product that is marketable because it has various qualities. Demand for ginger is high both in Nigeria and overseas as Nigeria ginger meets international standard by quality and quantity. If you go with ginger, you will gain the benefit of a higher return on investment that covers your local product cost and overhead expenses while assuring good profit for you.
TYPES OF GINGER EXPORTED IN NIGERIA
SUN-DRIED SPLIT GINGER
Sun-dried split ginger is the most exported type of ginger from Nigeria. They’re usually dried to boost the shelf life so it can be exported to any country around the world on a long voyage and for further storage. As a result, sun-dried split ginger exporters in Nigeria are the most common ginger exporters found in Nigeria.
Fresh ginger is far less exported in Nigeria than sun-dried split ginger. Because of its short shelf life, fresh ginger needs to be shipped as soon as it is harvested, else, it would have to be dried before export.
Ginger powder is also exported from Nigeria after processing fresh ginger.
BUSINESS OPPORTUNITIES IN GINGER BUSINESS GINGER EXPORT: Fresh ginger or dry split ginger is usually sold at varying amounts at the farm areas or local markets and are then resold to international buyers at varying prices per metric tonne depending on the specification and other factors. Dried split ginger exporters in Nigeria usually have a strong connection to enable them to buy ginger at the lowest possible price, and as a result, they’re able to help most international buyers of ginger get the products they need.
GINGER BROKERAGE: When you have little to no capital to venture into a particular type of business, the best bet is to first start by brokering the sales of the products and services. And in this case, you can broker the sales of ginger for dry split ginger exporters in Nigeria to international buyers of ginger. You could venture into the Ginger brokerage business by linking a buyer to a ginger seller, and in the process, add a markup price per metric tonne for your organisation, after getting the final selling price from the seller or get a standard commission from the ginger supplier.
Sample Ginger trade offer
OUR GINGER TRADE SPECIFICATIONS ARE LISTED BELOW: Origin: Nigeria Type: Sun-Dried Split Ginger Price: Competitive & Negotiable Trial Order: 20 Metric Tonnes (One 20 ft Container Load) Trade Process: FOB/C&F Payment Method: 100% irrevocable & Confirmed L/C at sight Packaging: 50 kg bags loaded in container 20″ FCL Shipping Time: 15 to 25 days after confirmation of L/C Specifications Impurities: Maximum of 2% Moisture Content: Maximum of 7% Drying
Process: Sun-dried Inspection
SGS Cashew Nut
The demand for cashew nut is very high especially among the Asian and European countries of the world. Nigeria cashew nut is very marketable and it sells well in the international market. Return on investment is high after deducting expenses and product cost. Our cashew nut is premium quality raw cashew nuts, with an average 48 kernel yield out-turn. There is a reliable and sustainable supply base in cashew offer. Our large production base with 19 producing states makes us the fourth-largest producer of cashew nuts worldwide. Need more information that will benefit you. In Nigeria, cashew season is long. We have a relatively long cashew producing season – December to June. Cashew is stored, so exporting goes on all year round. Supply is therefore guaranteed.
All exporting companies comply with the most important food safety standards (SPS). Adherence to best practices and food safety at all steps in the value chain (farmer àmerchant à processor à exporter) Nigerian cashew boast excellent qualities such as good nut count, high kernel output ratio, excellent moisture content and less defective nuts. Which country imports cashew nuts? Germany imports cashew nuts from Vietnam, Benin, Cote d'Ivoire, India, and Nigeria.
The primary source of cashews in Germany is the Netherlands who import them from Brazil, Africa, and Asia. India is the largest single producer of cashew nuts while West Africa--principally Ivory Coast, Benin, and Guinea-Bissau—is the largest regional producer. Vietnam, Brazil, and East Africa are the other major sources of production. Indonesia has become a major producer and exporter in Southeast Asia. Which grade of cashew is best? W - 240, it is an attractive grade which is reasonably priced. W - 320, are the most popular among cashew kernels and highest in terms of availability, worldwide. W - 450, is the smallest and cheapest white whole kernels and hence the favourite among low priced whole grades.
What is the difference between cashew nut and cashew kernel? Cashew Kernels. Cashew Nut Kernels is Processed from Raw Cashew. Cashew Kernel intact from the shell and grading them carefully to superior standards required by top food companies all over the world. The un-shelled nut is steamed to soften the shell and carefully cut open.
Gum Arabic is a commodity with good potential for the export business. The demand for gum Arabic is high especially in Europe and Asian countries of the world. To be specific, “Two countries, France and India, import three-quarters of all crude gum Arabic. After processing, France alone exports two-thirds of all processed gum Arabic.
Also know that there is a single European manufacturer, France-based Nexira – which calls itself a “manufacturer of natural innovative ingredients for the food, nutrition and health industries” – is said to hold a 50% global market share in processed gum arabic products. Gum Arabic is a promising commodity for producing countries due to its potential to generate foreign exchange, promote sustainable agriculture and forestry and ensure food security. Gum arabic is a natural product derived from hardened acacia tree sap, harvested in the Sahel region of Africa, gum arabic is used primarily by the food industry.
Given its many desirable properties, safety record and natural origin, gum arabic is the most commercially valuable of what are known as exudate gums – those secreted by plants. It is used as a stabilizer, a binder, an emulsifier or a viscosity-increasing agent, not only in confectionery, soft drinks, wine, liquor, and dietary fibre but also for non-food products such as pharmaceuticals, cosmetics, printing, ceramics, photosensitive chemicals, textiles, paper, ink, paints and adhesives. Indeed, the three largest exporters of crude gum arabic are Sudan, which accounts for 66% of the total, Chad with 13%, and Nigeria with 8.5%, in 2014–2016. Also, exports of processed gum arabic more than tripled, from 17,000 tonnes to 53,000 tonnes in the same period. If you invest in gum Arabic, you will reap a good return on your investment that will cover adequately your product cost and overhead expenses.
There is a business in Sheabutter. It is one of the lucrative commodities to export with the potential for a good return on investment. There is a return of over 40% on investment. The commodity is readily available in some part of Nigeria as Kwara, Kogi, Oyo, kebbi, Niger etc. Just as shea butter, it’s raw material is shea nut. Shea nut is also a highly demanded product in Nigeria and is used for producing many products by the pharmaceutical, cosmetic and confectionery industries.
We are the leading exporter of Shea nuts and butter in the world with a total trade value estimated at $600,000. You can take advantage of the vast opportunity that exists in the export and value addition of Shea nut and butter. Incentives are offered for better quality nuts through premium that is paid to exporters and Nigeria’s Shea is one of the best in the world and qualify for organic certification. The return on investment on the export of Shea nut is estimated between 10%- 15% while for Shea butter it is between 15%-25%. The export season for shea nut commences by June and ends in October.
Major destinations for Nigeria's Sheanut and Butter are the EU and Japan. Major European importing companies are primarily based in Denmark, Sweden and the UK. The special opportunity on this business is that you can start local production of Shea Butter here in Nigeria and develop it into an international brand which can be sold under your company brand name in overseas and also here in Nigeria. Specification Moisture Content: less than or equal to 7% Free Fatty Acid: less than or equal to 6% Oil content: greater than or equal to 4% Latex: 4 - 10% Colour: Off white Solid at Room Temperature Solubility: Insoluble in water
One of the fastest-selling commodity in the export market is Charcoal. Charcoal business is lucrative. It’s a money spinner and Nigeria export a lot of it by export volume every year. The need for alternative energy sources has increased the demand for charcoal and there is a large market for it in the United States (US), European Union (EU), and Asia where prices go from 250 Euro to 300 Euro per tonne. Nigeria Charcoal is in high demand in the European Union because it is of good quality. We have quality charcoal in Mokwa, Niger State and Iganna in Oyo state which are sold in Belgium, UAE, Turkey, UK, US etc. European buyers want charcoal that is compliant with quality control measures of size and moisture content.
Charcoal is grouped into categories according to research. Those in the industrial category falls within the 20mm to 60mm size, others range from 20mm to 80mm and restaurants are between 20mm and 140mm. The Export of charcoal is an all year round business that with reduced demand only between July and September. But Exporters earn a lot of money during the summertime of May to August when demand is high. Europeans place orders during this time of the year while the Asians order the product throughout the year. The UK and Dubai remain one of the largest consumers of charcoal. Veteran Exporters will brag about this product because it has given them good profits. Do you know that one of the bye products of Charcoal, charcoal dust is blended with coconut shell from Brazil to produce refined charcoal blocks which are sold in big stores abroad?
However, Charcoal production is another value chain and lucrative if one could persevere and work hard. Presently, one will need between N1.5 million and 2 million nairas to do a container export of charcoal. We expect more demand for this commodity as years roll by. There is a request for a regular supply of charcoal from restaurants, barbecue and industries, especially from Asia.
Sample Charcoal Export Specification
Origin: Nigeria Product Type: Lump Hardwood/BBQ/Shisha/Briquette Charcoal Physical Specification: Buyers Specification Quantity: Buyers Specification Price: Negotiable/MT Trade Process: Ex Works/FOB/CIF Payment Method: 100% Irrevocable SBLC or L/C at sight from top 25 prime bank. Shipping Time: 15 days after confirmation of L/C Loading Port: Lagos, Nigeria Conclusion The Agro export business is at a very primitive stage in Nigeria with a high potential for growth. The market is thus inexhaustible especially for agriculture commodities and other consumables.
There are many products in our communities that can be traded in the International market. Therefore, there is space for anyone that would like to earn foreign exchange via the export business. A well-packaged product that meets International specification sells well in the International market and one consistent order from a supplier can boost a business bottom-line by profit. If you are interested in the export business, you take action by registering your business for export. You progress along the value chains to gain invaluable experience. Also, on one side, I will suggest you get a mentor who will guide you on what to do at any given time but on the other side, you enter as an armchair exporter, grow to become a part-time exporter and finally a full-time exporter depending on your strategy. Over time you will gain some positive economies, you will consolidate on practices while expanding your market reach.
THIS THING YOU ARE ABOUT TO READ IS INCREDIBLY POWERFUL AND CAN DOUBLE YOUR PROFIT INSTANTLY
Every entrepreneur who is passionate about his business is ever interested in how he will double his business profit. However, so often, they forget the basic equation of how to run a business. Hi, today we will talk a little bit on the pillars of profit doubling. How are you going to double your business profit? Do you know that by making just 10% improvements on each of the four areas, and if you do the maths, you will see it can actually double your profits or even more increase the profits
of your business?
So, often, people forget about the basic relationship: You have to sell to more people, you have to sell them more stuff, you have to sell them at higher margin, you have to reduce your costs and if you go to that very simple calculation, you will surely have your profit at the end. If you work on each of the 4 pillars and just make 10% improvement, you will see how that adds to the bottom-line. What this means, is that if you work on these four things in your business, you are going to drastically double your profit. The difference between you and some other guys who are good at making high sales is because they know these four pillars and have mastered the art of using it to their advantage.
Guess what. I’m going to show you what those pillars are, and then how to work on them and ultimately soonest, your business will start bringing in more sales than ever before. So, when people say, I want more sales in my business. All they usually meant is one thing. That is, they need customers. The reason you don’t generate profit is not just because you don’t attract customers. There are other things such as: The number of interested customers. The number of those interested customers that convert to buyers The number of items they buy The number of repeat purchase Your profit margin These things I am about to reveal to you are incredibly powerful. Marketing experts charge a lot of money just to teach it. They are very important. Those five points up there are the steps of profit doubling and you will need to work your way all down. Step one says you will need to attract more interested customers. Note the difference between customers and interested customers. I mean interested customers. Which it means is they are not ready with cash at this moment.
Okay? They are just interested in your offer. Maybe they are Pedestrians who see your goods on display or a song blasting from your shop. To double your profit, you need to start by getting more people to see your showcase. Not want to buy at the moment –just look. That is the first step. The first stage is the Lead generation stage. Leads are interested customers. Two, after you have got people to look your way. The next thing is to make them open their wallet and buy. It could be an offer as; buy before 2 p.m today and get two free lumps of meat. This stage is also called the conversion stage. If customers are looking your way. If people are entering your shop and not doing the purchase, then know the problem is from this stage. Don’t say it is village people. The problem is, you are not doing enough conversion. You are not pushing in enough of the buy injection. When you start converting leads, the next thing is to increase the number of sales per purchase. What it means is that, if one aunty enters, you should get her to buy more than one item. The reason is if she buys a product with a profit of 1 naira. Your profit is only 1 naira. But, if he buys another one of 1 naira profit, your profit jumps to 2 naira. These are very simple stuff and they sound common sense but most people overlook it.
If a customer comes in to order for Rice, you should ask, ‘Can I add meat? What of soft drink? To continue, when you are getting interested customers and you are converting them. More people are purchasing more but the profit is not enough, then you kick start the next step which is getting a repeat purchase. It means if you make a profit of 2 naira, and they come again, that is another profit of 2 naira. If you carry out all these and no significant improvement, then raise your profit margin. That is if your offer is giving you 2 naira profit, then increase it to 4 naira. You can do all these by increasing your price or repeat the four strategies above. Thank you and have a nice day.
12 CLEAR REASONS WHY YOU SHOULD START A BUSINESS IN NIGERIA TODAY; CHECK IT OUT
Starting a business is something that many people think about at one time or another during their lives. Motivations for wanting to become an entrepreneur can vary greatly. Truly, milestones are what entrepreneurs and business owners work towards. You reach a certain point, then reflection can truly begin. Sometimes, it is a whole lot of drama. Now, what motivate people to start a new business? Anyway, there is a popular perception that the main motivation for starting a business is just to make money i.e. to earn a return from making an investment and taking a worthy risk. There is certainly plenty of evidence to support this perception. However, research suggests that there are many more reasons why someone wants to start a business. Some of the motives include:
The necessity to be rich legally and fast may motivate someone to begin a new business. His interest is the financial reward that entrepreneurship can bring him. It has to generate enough profit. Unlike a job where your earnings are limited to what your company is willing to pay you or a predetermined wage scale, the income you earn from a business is often determined by your efforts and business skill. Also, if your initial venture is successful, you can add to your earnings through expansion.
Desire to Pursue a Business Idea
A business idea may occur from any source to a prospective entrepreneur. He may eventually be motivated to pursue the idea and begin a new business. Successful entrepreneurs achieve wealth because they believe in what they are doing and inject personal core values into how they build a business. Wealth is their reward; not their God.
Take advantage of an Opportunity in the Market
They say that opportunity only knocks once. In the business world, however, opportunities do not get the chance to knock before they are shoved through the door. You see, entrepreneurs take business opportunities very seriously. Serious entrepreneurs do not wait for an opportunity to come to them. They study their environment and find the opportunity. Opportunity counts for so much in the business world. One need to grasp it and submit it to your will. Some entrepreneur takes advantage of business opportunities through seduction, as prey, as plant and as luck.
Desire to be their Boss
An employee could be motivated by his desire to be his boss and become an entrepreneur. He/she eventually begins a new business that will be under his or her full control. They want to be their own and in charge of all of the day to day operations of a company. The entrepreneur want to be the one making the important business decisions, determining the direction the company will take, making the call on product development and marketing and being responsible for every aspect of the company’s operation.
Frustration with Low Pay
A worker who is frustrated in a company may decide to get out and establish his outfit which he believes can compete favourably with his previous employer. Note that he must have acquired enough experience from them. He knows the weakness and strength of the previous company and their desire to control their destiny.
Desire to control the Economy
Some entrepreneurs want to control the entire or certain aspects of the economy of their people. In Nigeria today,Aliko Dangote, Wale Tinubu, Wale Adenuga, Jimoh Ibrahim, Dantata, Cletus Ibetos, Tony Elumelu, Jim Ovia etc are individuals being motivated by their desire to control certain aspect of the Nigeria industry. Today, these entrepreneurs are controlling the building industry, petroleum, cement, food, telecommunications and banking. The desire of such persons or their group motivates them to continue to start new businesses.
Replicating a Business Idea found in other Environment
Some entrepreneurs who travels may come in contact with a business idea that is new to his environment. This may be replicated in the new place by the entrepreneur on his own or with with the assistance of the original environment. Of course, actual business people know that few ideas are truly original. Almost every new product, service or business model owns inspiration to something that came before and in some cases another environment. Favourable government policies and procedures A favourable government policies and procedures can motivate entrepreneurs to begin a new business. The Nigerian government has a lot of policies in place to assist entrepreneurs. These include establishment of special banks like the Bank of Commerce, Agriculture and Industries. Government policy tolerates civil servants to venture into any area of Agriculture while in service and the protection of creativity and innovations.
Exposure to some available Fund
The availability of some excess fund that is not being used may motivate the idea of beginning a new business. So many bankers, civil servants, retirees, exposed to a lot of gratuity become entrepreneurs. In some cases, many entrepreneurs have to dive into their bank accounts and personal savings to get things started. You may not need to completely liquidate your nest egg, but you will have to front at least some personal money, and that means abandoning, or at least diminishing your safety net.
Life after Retirement
The fear of what to do to augment their pension salary challenges retirees to begin a new business. Retirement age in Nigeria is between 60-70 years depending on one’s profession. To prevent their early death, medical doctors have recommended that retirees at that age range should be involved in continuous activities like that of their offices while in service. Retirees are therefore motivated by these two challenges to begin their own business.
The desire to make things improve the World Someone can be motivated to begin a new business if he/she feels highly pressed to make things that will improve the lots of common man in the society. Your motivation is one of the most important things that allows you to keep moving forward with your goals and dreams. It all about having the right mindset to solve problems. Also, there are situations where an entrepreneur invites someone to begin a new business for him.
Maintain own ethical values which their employer didn’t share
The desire by a prospective entrepreneur to maintain his ethical values may motivate him to establish a new business. The mis-match between the values, goals and ambitions of these entrepreneur spirits and their employers is a very strong motivating factor for establishing a new business. Also a spirit of returning to the society, who already feels accomplished but now want to contribute to the society by offering valuable services to their customers. He or she may then decide to start a new business that may or not compliment his original business. These are the reasons why you should start a business today. However, we understand the effect of our environment, so also are cultural factors. Please let us know your peculiar environment and how your culture affects business.
Till we meet again, have a nice day.
KNOWLEDGE IS A REAL POWER: ONE THING I INTRODUCED THAT CHANGED MY BUSINESS PROFITS, CHECK IT OUT
There are many challenges of business but one of them is how to make more profit. This is because, with more profit, there comes the capacity of business to survive and excel to achieve it’s core objectives. But in spite of all business challenges, the begging question remains. How are you going to earn more money from your business? Should I stock more goods or increase the paying customers? Should I show more commitment or go for capacity training? In school, we were told to sell better – communicate it constantly and frequently, explain it, and try to make sense of it. It’s all about sell, sell and sell. The reality is most successful businesses excel at one thing than mediocre businesses don’t – maximizing opportunities. When we maximize opportunities, we have maximized profits. Now, have you ever gone shopping and you ended up spending above your budget? You might be thinking you are conned. No, not at all. You all need what you bought. The reality is that the salesman has used the power of profit maximizers to increase his profit. When you use profit maximizers, you gain more profit for your business. Let your competition worry about how to save money here and cut costs there. You will be focused on growing profits, not cutting costs. Your business growth methods are to ‘’increase the average transaction value per customer’’. That’s where the profit maximize comes very handy.
Picture this scenario.
You went to a beer parlour and the attendant asks ‘What would you want Sir’. She asked. You ordered some drinks, she went off and returned with them. While she was opening them, she looked, smiled right into your face and said. ‘’We have Abacha o’’. Maybe you ordered for some. Plus she was persuasive in describing it. She zooms off and returned with the plates some minutes later.
And while she dropped it, she was making conversation, smiling and teasing. In the process, she dropped a hint about how great their barbecue was. At this point, your friend demanded a fish and then she brought it. As she was setting it on the table, she whispered in a ‘’friendly and confidential’’ manner ‘’We have girls o’’. ‘’What? You are stunned. Lost. She looked at some girls on a table close-by. You followed her eyes, got the message, threw your head off and laughed. ‘’No abeg, let it stop here’’. You told here. ‘’We are okay’’. Check it out. I want you to observe a trend. She offered Beer. Then, she came up with a complimentary product as Abacha to go with the beer. Quite obvious, then another item, a fish and all out. Then the last offer. She never stops at the Abacha. This is called Profit maximizers or sales funnels.
Now, what profit maximizer do you have in your business?
If you don’t have any or much, then you are leaving money on the table. If you do, I will ask, ‘’How many’’? Is that number enough or can you add some more? Yesterday, Chioma went to the market to get fresh tomatoes for stew. It was plenty to be blended at home, so she had to go to another shop to have it ground. Imagine another shop to have grind her tomatoes. Now think of it, ‘’Imagine how many people that buy tomatoes from this lady.
Imagine how much she loses from everyone that goes somewhere else to crush their tomatoes. She should have sourced for money to get a little machine and have someone operate it for her. You should not be like the Tomato woman. Be like the smart waitress. On a business sense, you ask yourself, ‘’What extra product can I offer to the people who buy my stuff to maximize my profit’’? What profit maximisers can I introduce to boost my business? But note that your profit maximizers must compliment your main product. If you sell brush, throw in brands of toothpaste, then cups, then teeth whiteners and maybe teeth check too. Please don’t offer tooth pulling services if you are not a dentist.
Have you observe Shoprite stores very well, they know how to maximize profits.
They have some shelves close to the checking out counter. This is for a purpose. While you stand in line to pay for what you bought, you see beautiful brands of sneakers before you, cups, wine openers etc. Their purpose is to make you keep buying right to the door and before you know it, you are pulling them off to your already filled basket. This is the power of profit maximizers- to increase the average transaction value of your customers. Hence while average businesses are focused on a single offer, smart businesses are creating funnels with multiple channels.
INFORMATION IS PRICELESS: DO THIS ONE THING AND SEE A MASSIVE INCREASE OF YOUR PAYING CUSTOMERS
Introduction When we were much younger, we always talk openly about our dreams of owning an empire. With great passion from our eyes to the bones, we talk and talk and talk. We will do this! We will do that! Hey when I grow up, then you will get this. With this passion, we set out to establish the very business with no experience in the bag. After spending a sizeable amount of money setting things up. Now, a new reality bemoans on us to face competition and attract customers. And here comes the challenge. A marketing challenge that drives us to the nuts and makes us equal to our challenges in business. The truth is that you are not alone. It’s not your peculiar challenge. It is a general one that confronts all entrepreneurs. However, there is good news because I will show you how to increase the number of people that buys whatever you sell. Come along with me and I will show you one little marketing trick that can double the number of people who buy whatever you are selling right now, whenever you run an advert. Can you imagine this scenario? How will you feel if anytime you write an advert, people would rush to give you money. This is the ultimate. Most times in business, we all have competitors but what if you discover one little thing you can add to your adverts, and if you put out your advert with a competitor’s ad and show the same advert to ten persons, every single one of them will choose you over your competitor every time. You might say ‘Too good to be true’ right? I understand that is the same reaction I get from clients when I tell them about this one secret, then they apply it and the result shocks them off. The one thing that can double the response rate of your advert and increase paying customers is a Bribe. You hear it well. Let me break it down. Picture this out. Let’s check two restaurants, side by side. They give the same menu. They both sell rice, beans, yam, Ewedu and Amala etc. Now, there are two of these shops and there is a signboard right in front of two of them. The first signboard at the front of the first restaurant reads; ‘’Food is Ready. Buy Now’’. The other signboard of the second restaurant has a different caption like; ‘’Food is Ready. Buy Now. 2 Extra Free Portions of meat for Everything You Buy Before 4 PM Today’’. Now, take a glance at the two signboards in your head. Where will you eat? Even if you cut each of the meat into smaller pieces, no wahala – people just like bribes. That’s all. It will still pull them in. Similarly, if you see two barbing salons. One says, ‘Barb your hair’. The second says, ‘Barb your hair now. Free Manicures – Monday and Thursdays. I know you breeze into the latter. Hence, when you make an offer and ask people to act now and offer them a bribe for acting now, then you should give a deadline for your bribe, it automatically doubles or triples the desire for your product in your customer’s head, and you get them to act in real-time. Let’s tie it all together. Offer + Tell them to act Now + Deadline for the Bride = Strong Buying Impulse. Hence, the little add-on on your adverts makes your offers Juicy and attractive like a bag of money. off Introduction When we were much younger, we always talk openly about our dreams of owning an empire. With great passion from our eyes to the bones, we talk and talk and talk. We will do this! We will do that! Hey when I grow up, then you will get this. With this passion, we set out to establish the very business with no experience in the bag. After spending a sizeable amount of money setting things up. Now, a new reality bemoans on us to face competition and attract customers. And here comes the challenge. A marketing challenge that drives us to the nuts and makes us equal to our challenges in business. The truth is that you are not alone. It’s not your peculiar challenge. It is a general one that confronts all entrepreneurs. However, there is good news because I will show you how to increase the number of people that buys whatever you sell. Come along with me and I will show you one little marketing trick that can double the number of people who buy whatever you are selling right now, whenever you run an advert. Can you imagine this scenario? How will you feel if anytime you write an advert, people would rush to give you money. This is the ultimate. Most times in business, we all have competitors but what if you discover one little thing you can add to your adverts, and if you put out your advert with a competitor’s ad and show the same advert to ten persons, every single one of them will choose you over your competitor every time. You might say ‘Too good to be true’ right? I understand that is the same reaction I get from clients when I tell them about this one secret, then they apply it and the result shocks them off. The one thing that can double the response rate of your advert and increase paying customers is a Bribe. You hear it well. Let me break it down. Picture this out. Let’s check two restaurants, side by side. They give the same menu. They both sell rice, beans, yam, Ewedu and Amala etc. Now, there are two of these shops and there is a signboard right in front of two of them. The first signboard at the front of the first restaurant reads; ‘’Food is Ready. Buy Now’’. The other signboard of the second restaurant has a different caption like; ‘’Food is Ready. Buy Now. 2 Extra Free Portions of meat for Everything You Buy Before 4 PM Today’’. Now, take a glance at the two signboards in your head. Where will you eat? Even if you cut each of the meat into smaller pieces, no wahala – people just like bribes. That’s all. It will still pull them in. Similarly, if you see two barbing salons. One says, ‘Barb your hair’. The second says, ‘Barb your hair now. Free Manicures – Monday and Thursdays. I know you breeze into the latter. Hence, when you make an offer and ask people to act now and offer them a bribe for acting now, then you should give a deadline for your bribe, it automatically doubles or triples the desire for your product in your customer’s head, and you get them to act in real-time. Let’s tie it all together. Offer + Tell them to act Now + Deadline for the Bride = Strong Buying Impulse. Hence, the little add-on on your adverts makes your offers Juicy and attractive like a bag of money. ers to maximize their profit per customer.
IF YOU APPLY THESE SECRETS IN YOUR BUSINESS, EVERY CUSTOMER WILL BE YOURS
Every business owners' desire for his business is to have a lot of paying customers for his business. This is because when there is good patronage, the business survives and achieve growth over time. The business earns money by selling products and services to people at a profit. Also, no matter how great your product or service, your business will not earn you money unless customers are willing to buy them. Hence no customer, no business. However, most small businesses experience hard times or failure, not just because customers do not want to buy their products, but because customers don’t even know they exist at all. They get difficulty attracting customers. Marketing and advertising is a huge problem.
Now, what if I tell you secrets you can apply today that will make a huge difference by attracting many customers to your business. These are secrets that people years to learn but I will spill it to you one after the other. For some, this might be something they have already know. So, they might not find it very helpful. What I’m about to reveal to you is very simple. Hence, people often neglect how powerful it is because they are simple. But still, the question is, even if you already know this secret, do you practice it? Now, what is the secret? This is how to manage your cashflow. Assuming you are starting from a scratch. You have a job and some business. You earn from here and there. And you have the vision to build an empire. But there is a challenge of keeping the money you make. You find it harder than even earning it. You earn money and you spend it all. How do you re-invest what you earn? Why does your money keep slipping off your hands so easily? If you need a solution to this challenge. This is what you do.
You should create an ‘’Investment saving account’’. Let this account be different from your account. You should not have an ATM card to this particular account. When you get your income, draw a part of less than 5 per cent of your entire income. Push that 5 per cent into an investment saving account. Never touch this, not even during emergencies. It is a sacred account. Then you can send the remaining part of your income into your bank and do anything you want with it. Keep saving more money in the investment account and when you get to an amount, you invest it. If you keep mixing things up and putting everything into your account, you will keep spending it. It is like going round in a circle. But that is the ‘’safe path’’, and you know, safe is boring. One day, something important comes up and you have to dip your hand into it and finish it in one sweep.
That brings us to a better path. Increase your income level. You simply do this by selling more of your products, being excellent and hot in demand at your expertise and built capacity to charge premium prices. Someone who earns 100,000 nairas monthly will be able to save 50,000 nairas faster than someone who earns 10,000 nairas. It is very simple. The higher your income, the faster you will be able to save more money for investment into your project. Product Appeal What I’m about to reveal to you is one of the most powerful business lessons in customer attraction. This one thing can earn you more money in the next few months if you learn to apply it. You see, some businesses have more appeal than others. Have you not ever wondered why people that deal drugs turn out rich most times? Or why most churches have cashflow in millions of naira weekly. The key is simple – It is as a result of what is called ‘’Emotional Appeal’’. The higher the ‘’emotional demand’’ for a product, the more you get money from selling it. Note; it is different from ‘’ demand’’, it is ‘’Emotional demand’’. They are two different things. Let us take drugs and cigarettes for example.
People who take cigarettes and drugs know the harmful effect. Heck, it’s well written on the cigarettes pack that these kinds of stuff kill – yet people still buy it. It’s is obvious that a drug addict or a cigarettes addict should not take it. Yet he does. Why? Because of the power of addiction. It’s more powerful than logic. Now, let’s proceed from drugs and cigarettes. Gucci, Zara, Rolls Royce, Bentley, Amada Armani etc are brands that are priced 30times more than other products in their market. Yet people still buy it. It’s not reasonable to buy a pay of shorts at MAX for 9000 naira, yet people buy it. Some pairs of Jordan sneakers sell for 500,000, yet people it. Why? ‘’Emotional demand’’. The demand for products like that is connected to the emotional appeal. The higher the emotional appeal for a product, the more the demand for the product or service. How do you know the product or service with an emotional demand? First, they are addictive. Secondly, they make the buyer feel special or affluent. Thirdly, they solve a pressing problem that makes the buyer feel shame, fear, greed or pain. Now, you can name other addictive habits like gambling, Baba Ijebu, Lottery etc. Greed keeps them returning to win 1 million naira with 200 naira, even when it keeps negative. Thanks and till we meet again, see you at the top.
DISCOVER 7 FASTEST SELLING AGRO COMMODITIES IN INTERNATIONAL MARKET TODAY
In Nigeria today, one business opportunity hugely untapped is Agricultural Export trading with good returns on capital on monthly basis exporting sesame seed, shea butter, cassava products, wood charcoal, honey, gallstones, bitter kola, cashew, ginger, gum arabic, chilli pepper, cotton etc. It is one of the most lucrative endeavours anyone can be engaged in going by the abundance of many products that can be exported from Nigeria. This is a sector that is currently untapped and offers a high return on the investment with minimum risk and great opportunities for growth. Nigeria agro-commodities have huge demand overseas especially in Asia and European countries. Now, the world is a global community with the introduction of Information and Communication Technology. People just want to buy things from other countries. Anything at all sells in the global market ranging from cassava (chips, starch, flour, stem), charcoal, bitter kola, coconut, okra, yam etc, just name it. Do you know that these products that are of Nigerian origin are hot cakes in foreign markets? The food crisis has caused global attention to Agriculture and rural development. Hence, foreigners are looking for people like you and me to supply these products to them and a lot of money is being made today in Home-Based Export Business. Leverage on Technology The advantages of an export business are great. What a good way to build up a successful business from nothing and have fun doing it? The export business may be your answer not just because you can do it but also because of the opportunities within its value chains.
The agro-export value chain is the different valuable components that support export trade. Not only does some of its value chains require little or no financial investment, but it also offers the prestige of working with clients from all over the world. This has been made possible due to the advancements in information and communication technology (ICT). Especially, the emergence of the Internet. The internet has transformed the world into a “Global Village” such that a commercial ginger farmer in Kaduna, Nigeria can access the contact details of an importer of ginger based in Hamburg, Germany. Apart from accessing the foreign importers' contact details, the farmer can reach product buyers with the aid of his GSM phone. The buyer and seller upon introduction and establishment of contact could also proceed to sign a sales contract for the export of a certain quantity of the product at an agreed price, convenient and secure method of payment without both parties seeing each other. That is the power of the internet. I mean the internet can be that leverage. Fulfilling a successful export business requires constant attention even to the minutes' details that concerns the transaction.
If you can sell and an air of transparency and diplomacy, the export business might be right for you. You need the desire and determination to make it work. As you progress in the business, many factors become obvious and easy to handle. For example, you’ll need to find a person to handle shipments called a “freight forwarder”. And you’ll need to create solid contacts and strong relationships with reliable local product suppliers and also export merchants. But after a short time, you can be well on your way to making a sizable income with very low overhead. What you gain in Agro export- business invention? It might interest you to know that the gap between you and the monetary gains waiting for you in this business is nothing but the “basic understanding of an export business process”. Understanding the fundamentals of an export business process especially as it concerns securing a genuine export order/ contract with a well-secured method of payment, then you are on your way to earning lots of money. If you are unemployed/ financially challenged then your condition could be likened to this scenario: A man that has crude oil well hidden in his backyard but starves of food all day due to his ignorance of the enormous wealth staring at him every time.
The Agro-export big secret Veteran exporters and prospective exporters need export contracts for the various agricultural and allied/mineral commodities that could be explored within the country. So all you should do as an agro-export entrepreneur is to secure these contracts via the internet using the various trade portals and also aided with your GSM phone, you could start earning commissions which run into millions of naira in few months depending on the size of the shipment. This manual contains all you may need to secure a “genuine export contract”. All you need to do is to read through, carefully understanding the elements of an export business process. It can also launch you out as an export consultant and facilitator to the numerous prospective exporters who are out there seriously searching for your services.
How it works
Anything that is manufactured or sourced within Nigeria and taken out for sale outside the country is said to be exported. Although it seems obvious that all manufacturers, merchants or suppliers of goods (which maybe agricultural or mineral commodities) would want a worldwide market, it is not easy for a company that is limited in its scope and abilities. Brokerage Opportunities sourcing for Commodities and getting paid This opportunity is massive not only for those already in the export business but even for newcomers. Here you will discover how to be part of the project 1000, with exporters to be recruited, hints on how to earn N600 000 monthly without spending a dime, how big Investors can now earn regular income through aggregated export service and eliminate costly commissions. Also, Internet-savvy Nigerians can now get export contracts online and sell the contract for millions of naira; additionally, there is an opportunity for geologists and agricultural graduates to get automatic employment and earn extra income, so too, there is an opportunity to supply Nigeria minerals and agro- products to Chinese who are still in Nigeria. And then the big one, you don’t need to do any export before you start making the money, simply gather a trip of commodity from any location in Nigeria and get paid N150 000 on the spot by a company in Nigeria.
Starting an Agro export business
To start an export business, money is not the most important thing. You need to know, the right idea and the market needed. On the other hand, to do a containerized export, you will surely need some sizable amount of money to cover the commodity cost and overhead expenses. There is a promise to assist any Nigerian with the right will power. Besides capital, what you need most to succeed is Integrity, honesty, and diligence. A lot of Nigerians are operating a highly lucrative agro-based export company and they are making a steady Income of between N50 000 and N1,000 000 monthly, regularly and some with no capital investment, no risk at their spare time. The profit from the first transaction can be ploughed back and an investor will be able to build up his capital base.
Here are some Export business options in Nigeria Full-time exporter:
These exporters only engage freight forwarders minimally for their port of loading operations. The option is suitable for those who are available 24 hrs and also existing business providers that will like to be fully involved in their export operations. The return on Investment on this option could range from 30% to 45%. The exporter is involved in export planning, export financing, export contract sourcing, export product sourcing, pre-export documentation, haulage to the warehousing, warehousing and inspection, freight forwarding, haulage to the port of loading and posts export documentation.
These exporters depend on consulting firms and freight forwarders to carry out some of their export operations. This option is suitable for individuals that would like to start a business while still in paid employment and also have some time to spare. Is also a viable option for existing businesses that want to divest. The return on investment for this option could range from 25% to 35%. The exporter is involved in export planning, export financing, export product sourcing, pre-export documentation, haulage to the warehouse, haulage to the port of loading, post export documentation.
These exporters depend on consulting firms, local buying agents and freight forwarders to carry out most of their export operation. This option is suitable for individuals that would like to start a business while still in paid employment but do not have enough time to spare. The return on investment for this option could range from 10% to 25%. The exporter is only involved in export planning, export financing, pre-export documentation and post export documentation.
An export broker is a matchmaker. Becoming an export broker is one of the easiest and the most rewarding ways any prospecting exporter can raise money to go into the full-time export business. Their advantage is enormous starting from little or no capital, an export broker could earn large “finders fees” with absolutely unlimited income. There is hardly another business requiring a negligible start-up cost that can put you into a six-figure bracket so quickly than an online based export business. It gives one the power, prestige and high respectability in his community.
Some of the commodities anyone can export Cocoa Coffee Cashew nuts Rubber Kola nuts Palm kernel Coconuts Cotton Ginger Charcoal Cow horns and hooves Timber Camelina Shrimps and prawns Shea nut Sesame seeds Etc
Higher Return On Investment.
Guaranteed Pre-determined Profit.
Short turnaround period.
Access to export grants.
Access to microfinance loans.
Fast Selling Agro Products
If you ask me to inform you on the top exportable products from Nigeria that are lucrative and selling fast in the International market right now, I will prefer to highlight some of them and you check it out. Why do I choose these 7 products?
Well, from our research we have come to understand that these products that move fast in the export market because of the importance and the uses of the products and from my years of practice, most exporters have never sold or exported any other product outside Nigeria like these. They sell like hotcakes and are highly competitive in the marketplace. Also, the destination of the products, that is, the countries that buy them have over the years continue to ask for it without having alternatives. Besides, these products have high economic value that each of them can be used for several other things as a component for use in accomplishing other products. You can see why the demand is very high and sometimes exporters can’t even meet orders. Bitter kola Bitter kola has health benefits. Bitter kola has a greater variety of use; from its use as an ingredient in the production of Kola soft drinks to agricultural produce in the treatment of bacterial infections such as tuberculosis and diarrhoea.
Bitter Kola exportation is p rofitable. According to statistics, Nigeria is one of the highest producers of bitter kola in the world. With about 90% of its current production consumed locally. There is an opportunity for individuals looking to start Bitter Kola exportation; as it is of high demand in countries like Great Britain, America, China, India and other Asian countries. What is the current price of Bitter Kola? Presently, you can sell 1kg of Bitter Kola at the international market for $17.00; while you can easily purchase it locally as low as ₦600.00 (less than $2). The profit margin is high, even after factoring all overheads and cost of shipping. Similar to the process of exporting Kola nuts, I will advise that you get a serious buyer before committing too much capital its exportation.
Sesame Seed Export
Sesame seeds in ranked second in commodity demand in Nigeria. The first is Cocoa. As a result, Nigeria is ranked third on the list of the major producer of sesame seeds across the globe. Only India and China (respectively) produce more.Presently, Nigeria currently produces over 500,000 tonnes of Sesame Seed per year. And with the current ₦600,000/tonne in the global market, the country is raking in substantial revenue for the exportation of Sesame seeds.
THIS IS THE 12 MOST TECHNOLOGICALLY ADVANCED COUNTRIES IN THE WORLD AND SEE WHY THE FUTURE IS BRIGHT
Do you know the countries that have achieved most in technology? Come along and let’s check it out.
What is technology? We spend a lot of time talking about it. Is technology a science? Yes indeed. Technology is an applied science. Putting our scientific knowledge for a worthy purpose of improving our everyday lives.
Internet and computers are a simple example of technology. Now, we can say technology is science or knowledge put into practical use to solve problems or invent useful tools. Merriam-Webster dictionary says it’s the use of science in industry, engineering, etc to invent useful things or to solve problems. Oxford advanced learners dictionary says it is scientific knowledge used in practical ways especially in industry.
Advancement in technology has enabled our work and make our life easier. At the medical level, technology can treat more sick people, save many lives and stop very harmful bacteria and viruses all along. At another level, the invention of the computer has transformed our lives because it enhances communication and world trade. Hence, with the advancement in technology, we serve a bigger purpose by solving bigger problems. Our life becomes better and we enjoy tremendous benefits than our previous generations. Like the popular Glo slogan ‘’Rule your world’’, we take charge and adapt easily to our environment.
But why are some countries more technologically advanced than the other. Is there no level playing ground anymore? Well, it is due to many factors such as great universities, the number of research institutions which is the foundation of development, a very high percentage of GDP spent on research and development. So, it is all about the economy.
Now, what are those countries that have developed technologically more than others? Let’s explore it in ascending order.
From an ambitious space project to a mile-long waste to energy plants, China is leading in technology. Some years back, the Chinese president outlined his vision to make his country a leading player in science and technology globally. He maintained that great scientific and technological capacity is a must for China to be strong and improve wellbeing. Fast forward to 2020, it has become a leader in quantum research, boldly challenging the USA for a supercomputer arms race and creating successful space projects.
In the Netherlands, high-tech companies have their location at every nook and cranny of the Dutch-speaking country. The Dutch are not new to technological advancement as you will thank them for inventing the Microscope, the Eye test, Cassette, CD, DVD, Bluetooth, Wi-Fi, Stock market etc.
The high-tech companies produce telecommunication systems, electronic measurement, vehicles, medical and scientific instruments, medical control equipment, electric switching gear and transformers.
Singapore plug and play business environment let technological companies hit the ground running in real-time. In Singapore, you gain the benefit of the most advanced IT infrastructure in the world. Notable recent advances are the pay via QR codes, driverless cars, fastest internet, fitness watches and EZ-link cards, use of drones to catch bad guys, Intelligent HDB home system, lamp posts that gather data, integrating Robots to society.
Canada has developed a lot in technology. The unwavering support of their Government to IT and technological industrial research through various programmes is producing rewards. Canada is known for advances in two major fields; Biotechnology and space exploration. They don’t pay lip service to research and development as it allocates about 2% of its GDP to research and development. The revolutionary chip less credit and debit cards are from Canada.
The UK is not new to technology. Technology in the United Kingdom has a long history producing the iPod, Radar, computer, electric motor, jet engine, light bulb, television, telephone, train, photography etc.
It has also witnessed advances all along the ages and diversity of those technologies with inclusive of the improvement of networking.
All of its advances, I will add one more thing. It has been a major destination country for research and development especially to Nigerians and African in generally helping to disseminate the knowledge of technology to distant places.
This small Finnish country is technologically well advanced. We should thank them for a lot of products and services used worldwide today.
Example of those Finnish inventions and advances has made lives safer, easier and more enjoyable. They include the dish draining closet, Electric sail, heart rate monitor, the internet browser, wind turbine, Nokia, Ice Skates, Linux, SMS, etc.
Now, Finland focuses more on biosciences, energy and environmental science.
You know the exploits of the Russian. First to put a man to space and humans like object to the moon and bla bla but in a real sense, the Russians are known for manufacturing heavy-duty machinery, the long-range surface to air, air to air missiles. They are a technological powerhouse nation.
People all over normally rave about this country for their impact in engineering, technology and innovation. In the part of the world where I live, we call them ‘’German Machine’’. This resonates with the solidity and ruggedness of their machinery. Their prowess in engineering cannot be disputed. Engineers bore out of Russia are world leaders known for their dedication to function, precision and power.
Israel has achieved some great technological achievement over the years, like the Netafilm (the first drip irrigation system), Pythagoras Solar (world-first solar window), and Viber (the epilator). This country is a global tech hotspot. They are developing a Sniff phone, an innovative medical diagnostics device that can sniff out diseases. Another is Rewalk Exoskeleton that helps paraplegics walk again. Others are PillCam, flexible stent used to open up arteries to treat coronary heart diseases, firewall software, net film, a drip irrigation system for improving crop yields etc. Also, they have made inroads into space science and defence industry. Indeed, the future looks exciting for the people of Israel and the world.
If you are already excited by technological advances, I will encourage you to breeze through South Korea, the birthplace of technology companies like Samsung, Hyundai, and LG. South Korea, is a technological leader competing with global giants like Toyota and Apple. One field they have achieved a breakthrough in Robotics.
The so-named ‘’God’s own country’’ of the world have achieved advances in space technology which has made them a global superpower. A few months ago, the President launched the Amerian Artificial Intelligence initiative to ensure artificial intelligence is developed for the benefit of the American people. American Scientists are leading, working round the clock to improve the condition of humanity for good. Recently, Scientist at the national laboratory has made a revolutionary discovery, a new way to domestically produce medical isotopes to treat late-stage prostate cancer. It has the most powerful and technological advanced military in the world and leading world brand as Google, Facebook, Apple, Intel and Microsoft are housed over there.
And now, Japan is the real leader of technological advances. It has redefined today’s technological landscape. If you live in this world, you must have heard of Toshiba, the first laptop we all work from, produced for the mass market. According to Forbes analysis, it is home to almost 10% of the world’s most innovative companies.
Japan produces the bullet train, pocket calculator, Walkman, blue led light, android robots etc. They have made real contributions in various fields like automobiles, electronics, machinery, earthquake engineering, optics, industrial robotics, metals and semi-conductors. Of recent, they have inaugurated seven nuclear reactors and it supplies around 34% of the nation’s electricity.
Now, tell us your opinion and what do you think makes a country more technologically advanced than the other?Lastly, what is hindering technological advancement in Nigeria and Africa?
Thank you for your time and have a nice day.
HOW TO GET RICH, FAMOUS AND POWERFUL PEOPLE TO TAKE NOTICE OF YOUR BUSINESS
Well, the headline is clear and to the point. There are wealthy, rich and famous people around us. Some live in our vicinity while others live in distant places. But Lots of companies and private individuals who are in business hope to sell their products or services to wealthy people because they know these prospective buyers can afford what they offer. On the other hand, wealthy people are aware of this, so they are often wary whenever someone they don’t know wants to sell them something.
You will need the right marketing strategies while you take time to build trust and credibility.
Also, you need to find out what rich people buy, where they buy it and why they buy it. Wealthy and famous people can be easier to convert to sales than people with an average income because they have higher purchasing power and can simply purchase anything they like its look without having to count their pennies. However, famous people also demand the best and discerning about where they spend their money. After all, nobody ever makes it rich by throwing money away.
Now think about this.
Assuming Jay-z was just anybody on the street, with a six hours daily job that pays a dollar equivalent of 30,000 naira monthly. Also, let’s assume he lives in a 3 bedroom apartment and drives some old pick up van. Do you ever think he would have met Beyonce? With all his fame and wealth. Even if by a stroke of luck, he does meet her, do you think Beyonce would have agreed to date him or marry? Here is the hard truth. People are never friends with people below their status. It may sound harsh. But that is the truth. Even if a high-status person smiles at someone below him, it’s never as an equal, no matter how humble he is.
Observe the way a doctor responds to the greetings of a cleaner in his hospital.
Even if they have a cordial relationship, there is always that deference from the cleaner and the superior air about the doctor. It’s an involuntary act. It’s an unconscious act. It just happens to them. It’s like the way you respond to greetings from someone way younger than you and the way you respond to greetings from someone ten years older. Every day, lot’s of young and ambitious people walk into the office and DMs of rich and famous men to beg for start-up capital. And every time they leave empty-handed, they curse and label them stingy. No, they are not stingy, they just don’t respect you.
Whereas you know, you are special and have great potentials in you.
Yes, you are right but here is another hard reality. Well, this ‘’great’’ people you will run to for help don’t believe in you yet. They just don’t give a dime about you. They are less interested in your dreams as they don’t believe in them. They don’t have the time to listen to you talk about your dreams in the first place. They are not being any wicked. It’s just how life is, amigo. I have learned that the only way to get these people to listen to you is when you have something going on for you. To get their attention, you must show that you are making something happen, in your little way. To them, life is, It’s their way or the high way. Now listen. Do you think Facebook and Mark Zuckerberg would have got investors for his company if he has not started facebook and manage it till it caught fire?
When you have a start-up business that is doing well, it is very easier to raise funds or a loan from financial technology companies or banks than when you have nothing on the ground.
Similarly, if you have an online business that is doing well by profits, you will be noticed and invited to events than when you have nothing on the ground. Success will beget more success. That is how life is. Before you start asking people for start-up capital to operate a fish business, first buy a fridge. When investors see you have something happening already, that’s only when they will be serious about supporting your dream. Don’t wait for anybody, start small. Do something on it. Start from somewhere. Keep working on it and over time, you will be able to walk into a room full with your former role-models, but this time, they will be your rivals and would treat you only as an equal. Till you succeed in your pursuits. Have a nice day.
DO YOU KNOW 80% OF SME FAIL WITHIN 5 YEARS: DO NOT START ANY BUSINESS IN NIGERIA UNTIL YOU READ THIS
So you’re an aspiring entrepreneur, from Nigeria with passion in your bones. After reading Robert Kiyosaki's book (Rich Dad, Poor Dad). You believe anything is possible and you are ready to pay the price. However, the issue is you live in Nigeria. Most start-ups in Nigeria crash within a year because of little knowledge on how to make a profit. Simply put. Life as an entrepreneur in Nigeria is really difficult. In this article, we would be looking at some steps to take before getting into the Nigerian market. Let’s Begin. Knowing your Market Nigeria is an Untapped Goldmine. As an entrepreneur, for you to make a profit in Nigeria you need to stand out. This is one of the problems facing Nigerians today. Most Nigerians don’t think for themselves. Working on the idea of one person is the best way to earn money in Nigeria. That is why you would see two shops on the street selling the same products. This is wrong. If You don’t want to be someone who would need to beg your friends and family to buy your products, You need to know what your target market needs. The market will always come first before selling your product or services. It saves time and effort if you know the needs of the crowd find a way to fulfil those needs. Your market should determine the type of business you do at all times. Starting Small It’s all about the process. No offence but, many of us believe that they can become the richest man in Africa overnight. This not true. It takes time to make your business successful. You must start with what you have to create what you want. Assuming you don’t have enough capital as an entrepreneur, starting Small helps you to adjust to your market. Understand that business will always have its ups and downs. You may profit or you might lose. Starting Small would help you minimize your losses and this way you will be able to know what works and what doesn’t. Focus You can’t be a sun and moon at the same time. You must first channel your energy into one area. It is true we must not put our eggs in one basket but you must not spread too thin. For you to stand out in business you must first be specific. Knowing that you are successful in one area of business would encourage you to do more and at the same build up experience on how to handle other businesses. Finally, your success in any business is not determined by your environment but by you. Prosperity is not in a place, it is in a person. As an entrepreneur, you must have the right mindset for you to succeed. Understand that you must fail. The road to success is not always smooth but your victory is certain. You must never relent and you must be ready to pay the price. Many people would rather jump the process than pay the price and this is because it’s painful. But it is worth it. Because If it was was easy, everyone would do it.
PROBLEM -SOLUTIONS; HOW TO OVERCOME THE PROBLEM OF STARTING A BUSINESS IN NIGERIA AND SUCCEED ANYWAY
The business industry usually produces the greatest benefits and opportunities. In Nigeria, It’s an exciting journey of hopes, successes and challenges. A business comprises vast opportunities of much industry, creating positive experiences by impacting value to people, expanding to distant places and improving our world for the common good.
The valuable opportunities in starting and owning your own business are immeasurable. This whole idea of people, making good things to happen by taking a bold step to starting and owning a business defines the very concept of entrepreneurship and today, entrepreneurship practice is on the rise with over 500 million entrepreneurs around the world – which means one in every 18 people own a business. That number is still growing as a lot more people are leaving their nine-to-five jobs to pursue their entrepreneurial journey. In Nigeria, the massive youthful population is beginning to understand that their future lies in their hands by their daily choices, they can start and succeed in a business of their own. On the other hand, the government can be involved by initiating programs, policies and creating an enabling environment to support entrepreneurship.
Entrepreneurship is the pathway for wealth creation and our economy can receive a boost from startups and innovative businesses. We are experiencing a positive trend as there is renewed hope for business. This is possible considering how entrepreneurship has helped countries like the United States, UK, Canada and Asian countries to achieve a developed business landscape.
Today, a lot of people are considering starting their own business. In a positive sense, they have understood the plethora of benefits and opportunities that come from having a business (es) of their own. They also get motivated by successful people who have their fortune from business and living the lives of their dream. However, starting and succeeding in a business venture is never easy. It requires due diligence, vision, discipline, a good eye and a positive passion to see one through. In a simple sense, one needs to find his voice code. Your voice is your unique personal significance and it is revealed as we face challenges associated with the business. It is different from your talent, as your talent is your natural gifts and strengths, it is not passion either as passion are things that naturally energized, excite, motivate and inspire you. Your voice is simply your soul’s code. Anyway, all these are fundamental and common sense principles of business. This due diligence is described as “Pain Points”. Today, many prospective entrepreneurs in Nigeria face pain points when starting their own business. All these are evident when you hear them speak inaudibly from their heart; from statements as “what business do I start”, “where should I invest my capital”, “when should I start”, “should I do this business or a get a job right away”, “How will I start a business”, “can I start and manage it to success”, “should I give the capital to someone else to manage on my behalf”. It becomes worrisome when they have eventually come up with a business idea that fits their passion but they have got no capital. This is a double whammy situation. It is cultural for Nigerian entrepreneurs to own their business entirely, many are not able to raise the funds they need to execute their ideas and generate decent cash flow. They have to search for grants and equity funding, while they are not able to access or afford bank loans. If you think that is all, here arises another scenario. How would you describe a situation where one has finally come up with a sound business idea, and even capital to start but he has got no technical and managerial skill to get it running? In my years of business and studies, I have seen and experienced a lot of painful situation. I have met and listened to a lot of people and one can feel their frustration and dilemma of hundreds of thousands of people on business issues. My daily discussions with them through different sources over the years have been an eye-opener, the fundamental source of my learning and I can speak with deep conviction from all these timely experiences. Also, exposures, learning and years of interaction with these prospective and established business entrepreneurs have re-enforced this notion and have surely s my passion for writings on business cases. Going back to the pain, it is felt by people in every kind of organization. It is also felt in families, communities, and society. It has to lead a countless number into frustrations, time losses, low pay, delinquency, low morale etc. However, they knew themselves, they know of their great hidden business potentials, their talent, intelligence, capabilities, and creativity yet find it difficult to start and manage their dream business(es) to success. They struggle to make it in a new reality and a new environment. The pain is personal, and it’s deep. You and I can feel it by relating with, any of it yourself.
As one great man, Carl Rogers once said, “what is most personal is most general. Of course, one will say, “some people are already engaged in business enterprises of their own, contributing and energized in different areas, but I will tell you ‘’far too few” considering our peculiar situation in Nigeria. I want to let you know, this country is an open green field with a lot of business opportunities not tapped and others not fully explored. Just think about it. Think about all these for a moment; the numerous unexplored business opportunities in the different sectors of the economy that present great opportunities and our inability over the years to use our talents, capabilities, intelligence, and resources to utilize them. Honestly, business data are sobering and the economy is being affected. It matches my experience as well with business people. It is baffling despite all our gains in technology, innovation, and government well-meaning programs, many people are not starting and a lot are not thriving in the ones they already started. They are not fulfilled and are not excited either. They are frustrated. They are not very clear on the business to start. Some still cringe on the security shell of government jobs while others don’t think they can change things or make any difference. Now it has lead to a bigger pain to us as a nation. Wait! Just for a moment, Now, can you quantify the personal and national cost of not fully engaging the passion, energy, talents, knowledge, and intelligence of the young population as a nation? The government is indeed providing succour to alleviate these pains but as a nation, we should understand that wealth can only be created by its people and that human resources should define the purpose and essence of our governance. Great nations are great not because they make life pay but because it’s human resources has been developed and are great. Together, we must develop our human resources and reawaken our entrepreneurial spirit to start a business of our own and succeed in them.
The problem of starting a business enterprise is unique to the individual to manage the business. As we have taken time to analyze the pains points, let’s discuss the problem causing the pains. In other words, the problems, issues or challenges that prospective entrepreneurs and businesses are dealing with daily and that need to be resolved are the problem points. A lot of these problems are in the business landscape of ours and has resulted in the pains a lot of people have gone through in the course of their business life cycle. Good business (es) starts with a great business idea. The importance of a sound business idea cannot be over-emphasized as a wrong and poor one can lead to business failure no matter how well and further you have travelled on it. It is very important in today’s competitive business world that prospective and business leaders often lock themselves in for several weeks developing business ideas that can withstand the test of time.
So much time is often applied to this process that you wonder why the fundamental problems persist. Exploring and developing sound business ideas is very important that I have made it the overriding percept and essence of this book. Just as business ideas are unique, so also are the individuals and organizations planning to run and manage them to success. We are very unique in our talents, capabilities, bits of intelligence, experience, education and the environments we grew up that we respond differently to business ideas. In simpler terms, there is no fit all and we need a range of ideas to make informed and wise choices. Furthermore, what can be a fantastic business idea to Mr A might be a poor choice for Mr B and not even an option for Mr C. However, don’t get things twisted; we understand that to make business success, it is not just about the ideas rather making those ideas to work.
But in today’s business world, developing sound business ideas with capital is just the price of entry into the playing field. But surviving, thriving, innovating, excelling and leading in this new competitive world will require us to build on our sound business ideas. It requires one to apply sound business principles and practices. It requires us to benchmark against world-class excellence in our choosing business interest. These are on a higher plane or dimension. It may require us to tap from our human genius and bits of intelligence. It may require a new mindset, a new business skill-set, a new toolset or even in some instance new set of habits.
Going forward, a problem point is timing. In business, it is very important. Many factors will determine if a business will succeed, and one of the biggest ones seems to be timing. A sound business idea that appears before the market is ready for it can fizzle out despite its huge potential. Imagine a piece of technology that people aren’t ready for like Google Glass. Another wrong idea is intensifying the marketing of your unique brand of an umbrella during the dry season. Both ideas, though viable and with great potential, get squashed. Similarly, an idea that comes too late, once people had got their fill or moved into another season or trend will fail to have some impact. Timing the launch of your business in that sweet spot is crucial to success. Next on the business problem points is that circumstances can change. One constant in the business cycle is change. One should understand that business environments never remain static. New technologies are always been developed, trends come and go and economies fluctuate between times of frugality and fear. The truth is sometimes, the circumstances in which your business emerges might be different from the circumstances you faced a few months into your business existence. On the personal level, I have learned that successful businesses are not those that took an idea, adopted it, and then kept it static for a long time. They are the very ones that took an idea and allowed it to change and develop as new circumstances emerged. Great business ideas are flexible ideas and allow entrepreneurs to develop them over time as circumstances changes. On a final note, if you have a great business idea and you are passionate about starting your own business; don't let any of these problem points dissuade you. You may doubt your ability to do so, but I want you to know of my deep conviction that you can start your enterprise today. You have the potential within you. And when you run your business, you become the creative force of your life. You become more responsible, more accountable and create a new world you will live.
We started with the pain of an entrepreneur. We have also explored the fundamental problem responsible for the pain. Now, let us set the context for the solution in a way called solution points. The overriding purpose of this book is to give you wide business ideas and a road map that will lead you from such pain and frustration to true success, fulfilment, relevance, significance and contribution in today’s new business environment. The solutions lie in taking a foothold on universal and obvious business principles and practices. It may involve benchmarking against world-class standards in business processes. The first solution point of a prospective entrepreneur is to develop a good business idea. A sound business idea is an economic opportunity that is attainable and can provide him with a desirable value. The importance of a sound business idea cannot be overemphasized today. A prospective entrepreneur who is well-grounded in the concept of a good business opportunity will be able to save time, money and effort. When developing a business idea, timing is very important and one should pick an idea that fits into one’s passions, goals, strengths, resources, and tolerance for risk.
Proceed to evaluate the idea thoroughly like an investor in an objective and analytical way. Ensure you get feedback by finding people who know the market, the business model, the competitors and predecessors; people who have been there, done that and can help you understand what works and what doesn’t in the real world and your peculiar environment. Also, I will suggest a blue ocean strategy or a radical shift in your organization and thinking from red to blue oceans. In business, a blue ocean strategy is a business strategy to find and invest in an uncontested, growing markets called blue oceans and avoid overdeveloped, saturated markets called ‘’red oceans’’. When you invest in a blue ocean opportunity, you will gain a blue ocean effect; it means more success, fewer risks and an increased business profit. In a business sense, blue ocean challenges companies to push the boundaries of their industries and offer consumers something of immense value. Imagine standing apart from the competition. Imagine achieving rapid, profitable growth and imagine creating increased value at a lower cost. Everybody will want this idea. You might even think this is the ultimate solution point. It sounds so good. The solution point of the issue of finance lies in us. You might be thinking that financial struggles we see around us and that derail us from starting our business or expanding the ones we have started are beyond rescue, but what if I tell you that there is great hope in turning this around. What if that hope lies in you. To digress, let us take a quote from Albert Einstein who said, ‘’the significant problems we face cannot be solved at the same level of thinking we were at when we created them.’’ Hence, we should leave our old financial habits if we are to turn things around.
We should own our financial limits and generate the necessary capital we need for our business. Take time to take a view at 60-90 days of all your spending and a picture of your financial priorities will emerge. You can find an accountability partner who can ask you real questions. You can also explore your creative talents by setting minor achievable goals. You determine the most urgent problems you need to solve and make a plan to tackle it. Also, reject all debt and think long term and with effective financial management, you will raise the necessary funds. Continuing on the solution points, I think most of our problem points require us to change our thinking. In other words, we should make a paradigm shift; mind-set, skillset, habits, etc. One thing I have learned in life is that if one wants to make minor, incremental changes and improvement, we should work on our practices, behaviour or attitude but if we want to make a significant, quantifiable improvement, then we work on paradigms. To explain further, a paradigm is a perception, assumption, a theory, a frame of reference or lens through which we view the world. Take the case of poor and inadequate business skills for example. The essence of developing the right business skills cannot be overemphasized.
Skills such as technical and managerial skills can make the difference between the successful and profitable enterprise a nd the unsuccessful enterprise. It is very important in this modern era of globalization and tight competition. To improve on your business skills, one needs to develop his vocabulary, read business-related material, watch business-oriented programs and by consistent practice. In a more specific sense, various business skills to learn and master include delegation skills, negotiation skills, strategic planning skills, leadership skills, and team-building skills. Others important ones include analytical skills, sales and marketing skills, general management skills, cash flow, and time management skills. Honestly, one needs to translate his passion into practical business endeavours. Another problem point I emphasize earlier on is that on paper analysis does not always translate to real life and that circumstances may change. Yes, that is true but every situation is unique and different in some ways. But in another sense, challenges and problems are very similar. The key does not lie in the circumstance; rather it lies in the space between those circumstances and our chosen response to it. We have freedom of choice. It is our basic human gift from birth. You may do a cost-benefit analysis of the problem and decide to do something entirely different. If we use sound business principles, we will also achieve our goal and objectives in both the short and long term.
On a final note, as a nation, we should believe that our entrepreneurship problems can be solved, our challenges can be defeated and our goals can be met. Already, Nigeria is rated to be a developing market by the world bank. It has been acknowledged as a regional influence on the African continent, a middle power in International affairs, an emerging global powerhouse nation. It is also a fellow of the MINT group of countries, which are commonly seen as the globe’s next ‘’BRIC-like’’ economies, registered among the ‘’Next Eleven’’ economies and set to become among the biggest in the world, a member of commonwealth of nations, the African Union, OPEC member and united nations. Also, by being proactive and responsive to the need of the people and by initiating sound and support entrepreneurship programs, we will not just have created a financial future for our people but we will be building on a solid foundation for a more prosperous nation and our country will become a model of entrepreneurship practice among many nations.
KNOWLEDGE IS POWER! HOW TO SPOT A SMALL BUSINESS THAT IS GUARANTEED TO BE SUCCESSFUL
How does a small company become very successful? What are the early signs of success in business? What do successful businesses all have in common? Despite the negative news of small business closing or moving, thousands of small business start-up succeed. A good percentage of those companies have learned what it really takes to survive the early start-up years and become successful enterprises. After studying a lot of these companies, I discovered that the successful ones share some common traits. Scalability: The key to having a business that will be successful and generate a lot of profit lies in the word ‘scalability’. It is the ability to expand operations over time. To understand more, it is the ability to take it, start small and grow it to serve a lot of people or to serve a whole continent.
The key question, ‘Is the business you are doing now has the potential to grow into every country in West Africa? Not every business has this quality. The ones that do are the ones that can really earn you a lot of profit. It will start generating much profit even before it becomes so big. There is a formula of an exponential increase due to business expansion. Check it out! 1 raise to power one is one…raise it to power 2 is still one. Even if you raise to the power of 50 is still one. However, here is where the magic start happening. It starts with power 2. 2 raised to power 1 is 2. 2 raised to the power of 2 is 4. If you raise to the power of 3, it becomes 6. It keeps expanding from two, three, etc. This law also operates in business. If you have a shop serving just your area, your profits will never increase exponentially but when you open another shop somewhere else, and another one and more, then, your profits skyrocket through the roof. Have you understood? The reason the CEO of ‘God is Good Motors’ is rich is that he has more than one bus (an exponential increase).
If your business does not allow an opportunity for scaling up, you are not building a business rather you are chasing an opportunity to make little income and run out of customers. Now, you ask yourself if your business can be scaled. If it is not and you hope to make a lot from it, then it won’t work. The Power of being Expensive Next, you are going to discover one little tip that can double your profit easily. Honestly, it goes against everything you have ever learned about business. In school, you were taught that ‘The lower the price, the higher the demand’. The problem with charging low fees is you attract difficult people.
These clients who are charged low prices are a pain in the ass, sometimes they will call at night, make crazy demands and practically all over you begging you make sure their money doesn’t waste because it’s their last card’’. As one got better at his game, he should increase his fee. The demand for your services can drop but you earn more. Let me show you something. Let’s assume you sell an online course for N7000. How many sales do you think you will need to earn 1 million naira? 143! One hundred and forty-three. Now, if I increase the price to N50,000. All I need this time to hit 1 million naira is to sell only 20. Will the demand be low? Yes, but it will be way easier than selling 143 pieces for N7000 each. When you increase your fee, you noticed something happen. You started to repeal some certain kind of people who couldn’t afford what you are charging. You know what? The ones that pay don’t worry about money. All they were interested in was a result. You will start attracting people who were already making money but wanted to just double it. To them, the fee wasn’t the problem, their interest is getting expertise.
So let’s talk about it further. What are you selling? But then, have a range of products. There are people that want cheap stuff, there are also people that want luxury. This the reason you have one plane but two sections – Economy class and first class. And people still fill them up. People even desire expensive more than cheap things. Do you know everyone wants to wear designers? Everyone wants to be VIP. The question lies on who you want to attract to your business. But I will suggest you should have an upper product for your business. If you have a barbershop, why not have a regular side with just barbing services and a VIP section with free
wine, manicure and free hair dying. You will be surprised people would pay double the price of th e regular fee in order to get in on the VIP section.
This is one of the surest w ays to increase your profits in business.