25+ Lucrative Automobile Business Ideas In Nigeria Or Africa

With well over 12 million registered cars plying Nigerian roads, the automobile industry in Nigeria is a hub for business activities for all types of people. According to the National Bureau of Statistics (NBS), the automobile sector has witnessed a steady growth of 0.78% from 2018 to date, with a vehicle per population ratio of 0.06.

In simple terms, the continuous industrialization of Nigeria and the consequent expanding economy continues to create more business opportunities for individuals, SMEs and large corporations. Similarly, there are innovative ideas for new and prospective investors in the automobile market to delve into and generate a lot of profits within a short time.

If you’re looking to invest in the automobile industry in Nigeria, Africa or anywhere around the world, here are 25+ lucrative automobile business ideas you can start.

1). Car Dealership Business:

Although the car dealership business is a capital-intensive one, it is an automobile business idea with great potential in Nigeria. Car ownership is an essential metric of social classes in Nigeria. Besides this, automobiles are significant drivers of people’s daily activities. Making almost everyone to want to get one for themselves.

Starting a car dealership business puts you in the middle of an existing large market. If you have a trusted import channel for quality new and fairly used cars, you stand a good chance of making large profits in Nigeria, Africa or anywhere around the world.

2). Auto Repair Business:

Automobiles are regularly in need of checks, maintenance services and complete repair, and this makes auto repair a significant service in the automobile industry. Depending on factors like maintenance culture, frequency of use, road conditions, and much more, vehicles require repairs from time to time.

To start an auto repair shop, you need to employ the services of other trained experts with substantial years of experience. Siting your workshop in an easy spot in town gives you an advantage, and you can equally use the internet to make your business known to people in neighbouring areas in Nigeria, Africa or anywhere around the world.

3). Shuttle Business:

The automobile industry includes some low-cost business ideas, one of which is the shuttle business. Individuals who cannot afford the high-capital automobile businesses can start with the shuttle business in Nigeria, Africa or anywhere around the world.

For example; With a single cab, you can start a shuttle business in a small community, campus environment or airport. Although there is still the need for registrations and tickets, the shuttle business enjoys a steady market, as people move from place to place every day!

4). Car Wash Business:

The car wash business is another inexpensive automobile business with good profits. With things in place like a good location, steady water supply and the basic washing tools, you can start a car wash business with small capital in Nigeria, Africa or anywhere around the world.

Entrepreneurs with high capital can invest in cleaning devices that get the job done more efficiently. They can as well add elements of entertainment like a small barbecue centre, a sports viewing centre or a beer parlour in the premises.

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5). Car Rental Business:

Car rentals in Nigeria and Africa at large do not compare with Europe, but the business holds a lot of promise notwithstanding. In most parts of Africa, people rent cars for special occasions such as weddings and other ceremonies.

Similarly, music groups, artists and video directors also rent cars for music videos. With good networking, you can always make your business the favourite when people need to rent cars.

Starting a car rental business as a sole automobile business is viable on its own but it is often recommended to combine it with car dealership.

6. Car Painting Business:

Car painting is a basic automobile service. Painting is an essential part of car purchase and ownership because it allows car owners to personalize their car’s visual appeal to their taste. Meanwhile, professional car painting requires a deep knowledge of cars and the most suitable paint materials to use on them.

To make the most of the car painting business, site your business in an industrial town and network with others in the automobile industry, including car dealers, mechanics, panel beaters, and so on in Nigeria, Africa or anywhere around the world.

7). Auto Spare Parts Retail Business:

Retailing automobile spare parts have proven over time to be a life-changing venture if operated at a substantial scale. Car owners always need to replace one damaged car part or another, making the market very consistent.

As long as you can offer quality products, mechanics and car owners will make up your clientele in Nigeria, Africa or anywhere around the world.

8). Fueling Station Business:

Until there is massive adoption of electric cars, petroleum will remain the major motor fuel in use across Nigeria, Africa and everywhere else around the world. Hence, the oil and gas industry continues to enjoy continuous regular patronage.

Starting a fueling station requires high capital and a lot of registration for government approval, but is a lucrative automobile business idea in the long run in Nigeria, Africa or anywhere around the world.

9). Auto Electrical Works Business:

Automobiles comprise several components, which require the expertise of different engineers during repair and maintenance services. Electrical works, for example, are best undertaken by electrical engineers, commonly known as ‘rewire’ in most parts of Nigeria.

Individuals who are trained in the electrical engineering field can start an auto electrical works business, strictly for electrical repairs and generate a lot of income from it. They can open a full-scale business of their own and also network with auto mechanics for constant patronage in Nigeria, Africa or anywhere around the world.

10). Driving School Business:

The driving school business never runs out of a market because people are always in need of driving skills for either personal development or as a requirement for their jobs. As a result, they are always in search of professional trainers who can teach them how to drive with the minimal risks possible.

If you’re a veteran driver, you can open a driving school. However, you also need to enlist the services of other professional trainers and get as many training cars as possible in Nigeria, Africa or anywhere around the world.

11). Car Tracking Installation Services:

While some modern cars come with installed tracking devices, others require the services of a professional engineer. The installation of car trackers as a security measure has saved lots of car owners from losing their cars, and it is gaining wide acceptance in Nigeria, Africa or anywhere around the world.

Since car tracker installation is not a service required, again and again, it is important to expand your business reach to people who might not be otherwise aware of your services. Create enough digital presence and create targeted ads for car owners.

12). Interstate Travel Agency:

Every passing day, people travel from one state to another as they go about their daily business. This creates a ready market for the interstate travel business. It is another automobile business that enjoys continuous patronage.

Starting an interstate travel agency requires some capital. You need to invest in vehicles, depending on how large-scale you intend to go. Register your business with the right bodies and get insurance.

13). Uber or Bolt Business:

The Uber or Bolt business is available to every trained driver with a driver’s license in Nigeria, Africa or anywhere around the world. Joining the business requires little capital. All you need to get started is a registered car. The best part about joining the Uber business is that you don’t need to find your passengers yourself. The system links you with riders close to you, and if you don’t own a car, the platform links you to car owners.

14). Waste Disposal Services:

Waste disposal is an essential exercise for proper health and hygiene maintenance. You can start a private waste disposal service and work in collaboration with the waste management agency in your state in Nigeria, Africa or anywhere around the world.

With a government contract in place, your business services are in steady demand. Hence, you don’t have to worry about finding a market for yourself. Nonetheless, starting a waste disposal business requires lots of capital because you need to procure the right waste disposal vehicles, sufficient staff strength, and basic hygiene resources.

15). Auto-beating Service:

Auto-beating or panel-beating services are in regular demand in most parts of Nigeria, Africa or anywhere around the world. These are services used to correct dents and other vehicle body damage caused by accidents.

The automobile industry has expanded significantly and professionals in the field are now taking their services to the internet to boost their reach. You can create a website for your panel-beating services and boost your presence on social media platforms to create awareness.

16). Car Battery Retail Business:

Retailing car batteries is one of the most viable automobile businesses that can be practised anywhere in Nigeria and Africa. With little to average capital, you can start a vehicle retail shop and make a lot of profits from the enterprise.

Locate your business in an environment with very few competitors and buy only quality and durable batteries. With a good distribution channel, you will generate a lot of revenue in Nigeria, Africa or anywhere around the world.

17). Tyre Retail And Vulcanizing Services:

Retailing vehicle tyres are a great way to make money in the automobile business. Tyres are essential components of vehicles and have to be in good condition for cars to operate properly and to avoid risks of accidents. Hence, vehicle owners always need to replace their worn-out tyres.

Tyres are available in different sizes depending on the vehicles in question in Nigeria, Africa or anywhere around the world.

18). Tow Vehicle Business:

Tow vehicles are large vehicles used to move other vehicles, which are most probably faulty, to the point where they can be repaired. The tow vehicle business is lucrative but only after you’ve built a large clientele for yourself.

19). Vehicle Registration Business:

Although vehicle registration is conducted and overseen by the government, you can work in collaboration with the government agency in charge to open a vehicle registration outlet in a place somewhat distant from the government agency.

With proper licensing in place, you will gradually grow your clientele and earn lots of profits from this automobile business. Asides this, you can also help people with their vehicle registrations and renewals in Nigeria, Africa or anywhere around the world.

20). Truck Business:

Large vehicles have a special place in the automobile industry in Nigeria. Trucks are used for conveying heavy-duty materials such as large furniture, building materials, food produce and so on across a long distance.

Certain businesses rely on trucks for moving their products across to their distributors or the market. Starting a truck business puts you in the middle of these activities, and on track to generate a lot of revenues in Nigeria, Africa or anywhere around the world.

21). Car Import Business:

If you are already looking into the import business, the automobile sector is a good option. The rapid rate at which people buy cars in Nigeria and other African countries provides enough justification for the profitability of this business.

You can import and sell to car dealers, and distributors or sell directly to buyers. Whichever way, you’re bound to make a lot of money from importing cars through legit means.

22). Vehicle Blog Or Vlog Business:

Blogging is an underrated business in the automobile industry. You can write car reviews about different cars and brands. People are always on the lookout for the features, costs, positives and whatnots about cars before making their decisions.

As an automobile blogger or vlogger, you get to provide members of the public with viable information about cars, as well as your personal opinions. Over time, you can potentially build large followers and massive engagements in Nigeria, Africa or anywhere around the world.

23). Auto Waste Collection Business:

There are tons of scrap metal and other automobile materials lying useless on public dumps, gutters and along the streets in most parts of Nigeria. You can turn these wastes into wealth by starting an auto-waste collection business in Nigeria, Africa or anywhere around the world.

Starting a scrap collection business requires some capital and effort. All you need are a scrap storage site, adequate manpower and basic materials for collecting and storing waste.

24). Courier Services:

If you’re in the transport sector of the automobile industry, combining courier services could be a great way to make extra cash. On the other hand, an interested entrepreneur can also start a courier business i Nigeria, Africa or anywhere around the world.

People always need courier services to transport packages to other people across long distances. You can build a reliable and fast courier service using dispatch riders, drivers and trustworthy delivery personnel in Nigeria, Africa or anywhere around the world.

25). Car Upholstery Production:

Producing car upholstery is a merger of both the automobile and furniture industries. Upholsteries are soft paddings placed on automobile chairs to provide comfort and aid drivers’ vision. They could also serve as decorative items, and this is why most people change their car upholstery regularly.

You can advertise your products and installation services via the internet to help you reach the right audience in Nigeria, Africa or anywhere around the world.

26). Auto Oil Replacement:

Automobile engines require special oil for proper operations. It is recommended that car owners change their engine oils every three months or 5,000 miles. This could be much sooner than three months, depending on use. Hence, the oil retail and replacement business enjoye all-year-round patronage.

To make the best of this business, situate your business close to an auto repair shop where you can always get in touch with car owners and mechanics. It also helps to create social media presence for your oil replacement business.

To Sum It Up

The opportunities in the automobile industry are endless. Depending on available capital, you’ll always find a great automobile business idea to start. For most ideas, you don’t need to be an engineer or auto mechanic to get started because you can always learn on the job. If you’re looking to start an automobile business in Nigeria, Africa or anywhere around the world, you can choose from any of the 25+ lucrative automobile business ideas listed in this article.

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What are your thoughts on these 25+ lucrative automobile business ideas you can start anywhere in Nigeria or anywhere else in Africa? Let me know by leaving a comment below.