By Ngozi Nwoke

Starting a business with one million naira may seem daunting, but with careful planning and strategic investment, entrepreneurs can maximise opportunities and earn return on their investments.

Iyaomolere

According to Mr Ayodele Iyaomolere, a renowned webmaster, brand, and marketing strategist, choosing the right business model and leveraging digital tools, can help entrepreneurs succeed in the choices they make.

Young entrepreneurs are advised to put an eye on modern techniques of doing things, especially as most businesses now thrive on digital tools for sales and contact with customers.

He highlights five profitable businesses that one can start with the sum of one million naira. These include mini importation, food processing and delivery, cleaning services, perfume and fragrance, poultry or fish farming, among others.

Mini importation

For an entrepreneur based in a developing country like Nigeria, mini importation involves sourcing products from countries like China, Turkey, or the UK and selling them locally. With N1 million, an entrepreneur can start by importing niche products like fashion accessories, beauty products, phone accessories or any of the wide range of products that are made from Asian countries.

To succeed in this trade, the entrepreneur needs to carry out a thorough market survey or research on profitable products with high demand in Nigeria, identify reliable manufacturers or trade partners, create a strong online presence, and provide excellent customer service to buyers.

The initial investment breakdown for a mini importation business includes N300,000 for initial inventory, N200,000 for marketing and advertising, N150,000 for logistics and shipping, N50,000 for miscellaneous expenses, N300,000 for working capital.

Food processing and delivery

Food processing and delivery is a lucrative business, especially in urban areas where there are a lot of middle and high income earners. With N1 million, an entrepreneur can start by processing and distributing packaged food items like dried fish, chin-chin, plantain chips, fresh fruits, vegetables, and several other consumables well packaged and delivered at the right places and time.

To succeed in this business, an entrepreneur needs to develop unique and attractive products, invest in quality packaging and branding, build a strong distribution network, and provide excellent customer service. The initial investment breakdown for a food processing and delivery business includes N250,000 for equipment and ingredients, N150,000 for packaging and branding, N200,000 for marketing and advertising, N150,000 for logistics and distribution, and N250,000 for working capital.

Other profitable businesses that can be started with one million naira include cleaning services, perfume and fragrance, as well as poultry or fish farming.

These businesses require careful planning, strategic investment, and a focus on high-demand industries.

Cleaning services

Cleaning services are in high demand, especially in urban areas. With N1 million, an entrepreneur can start by offering home, office, and post-construction cleaning services.  To succeed, entrepreneurs need to build a team of skilled and reliable cleaners, invest in basic cleaning equipment and supplies, develop a strong marketing strategy to reach potential customers at corporate and personal levels, as well as provide excellent customer service to build trust and loyalty.

The initial investment breakdown for a cleaning service business includes N150,000 for equipment and supplies, N200,000 for marketing and advertising, N300,000 for staffing and training, N50,000 for miscellaneous expenses such as insurance, and N300,000 for working capital.

Perfume and fragrance sales

Another profitable business that can be started with one million naira is the perfume and fragrance sales. Selling perfumes, body sprays, and diffusers is a high-margin business, and a discerning entrepreneur can start by sourcing quality fragrances from manufacturers, dealers or by making customised blends for customers.

To succeed in this business, an entrepreneur needs to develop a unique and appealing product line, build a strong brand identity through packaging and marketing, provide excellent customer service to build trust and loyalty, and leverage social media and online platforms to reach potential customers. The initial investment breakdown for a perfume and fragrance business includes N300,000 for initial inventory, N200,000 for marketing and advertising, N150,000 for packaging and branding, N50,000 for miscellaneous expenses such as storage, and N300,000 for working capital.

Poultry or fish farming

Agribusiness is a great investment, and with N1 million, entrepreneurs can start a small-scale poultry or fish farm.  To succeed as a poultry or fish farmer, an entrepreneur needs to develop a solid business plan and budget, invest in quality feed and equipment, build a strong distribution network to reach bulk buyers like hotels and restaurants, and provide excellent customer service to build trust and loyalty.

The initial investment breakdown for a poultry or fish farming business includes N400,000 for equipment and feed, N150,000 for marketing and advertising, N50,000 for miscellaneous expenses such as veterinary care, and N400,000 for working capital.

In addition to starting a profitable business, entrepreneurs need to build a strong brand identity to stand out, connect with their target audience, and establish long-term credibility.

According to Iyaomolere, building a strong brand identity requires defining a brand’s purpose and values, conducting market research to understand the target audience’s needs and preferences, identifying the business’s unique strengths and weaknesses, and developing a clear mission statement that defines the purpose and guides brand decisions.

By following these strategies, entrepreneurs can create a compelling brand identity that fosters trust and loyalty with their target audience. Starting a business with N1 million requires careful planning, strategic investment, and a focus on high-demand industries.  By choosing the right business model and leveraging digital tools, entrepreneurs can maximise returns and build a strong brand identity. With the right mindset and strategies, entrepreneurs can succeed in today’s competitive business landscape.

Above all, bearing in mind that the economic situation in the country is not entirely investor friendly as a result of the cost of doing business, entrepreneurs will do well to carry out careful study of the businesses they wish to go into. They must carefully identify areas where extra care must be taken in order to avoid their business from collapsing abruptly.

Seeking advice from those who know better can help. Maintaining financial discipline is also important. Entrepreneurs must avoid wasteful spending from their working capital.

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