Updated: Aug 24, 2020
A business venture gets rolling from idea conception stage to implementation. To a large extent, money is a great factor to ensure the business keeps running overtime in Nigeria.
In Nigeria, finance is a very crucial determinant of seeing a business succeed even though skills in management, favorable market conditions which are known as "luck" to some individuals are needed to scale a business.
From raising funds from personal savings, family and friends, grants, angel investor, venture capital, bank loans as advised by most business classes, the average Nigerian business person seem to prefer going the way of starting small and hoping for business growth as different sources of finance have its own peculiarities such as high-interest bank loans to micro-financing facilities unless one is fortunate to have access to willing and wealthy family members for financing a business.
In recent times, there has been an uprising in micro-lending organizations offering low-interest loans for personal or business purposes with the aggregation of mobile applications that supports easy lending options in Nigeria.
Accessing finance through venture capital or angel investing is gradually a growing norm as there are now more tech-enabled ventures in Nigeria. For instance in Agriculture, some organizations offer customers the opportunity to invest in farmers in return for interest on capital over a period of time.
Financing of business in Nigeria goes beyond just having great ideas but a network of financing options is now available compared to what was obtainable in previous years.