Small & Medium Enterprises (SMEs) are privately owned businesses that require little to no capital to startup, involve about 1 to 50 members of staff, and operate independently in a local area. According to the Central Bank of Nigeria (CBN), a business is considered an SME if it involves not more than N5m capital or N25m annual turnover.
Small-scale businesses have been found to be one of the main indicators of the global economy both at national and international levels. Over the years, they’ve created billions of jobs across the globe, contributed to countries’ import and export values and created opportunities for private investors and entrepreneurs.
The opportunities attached to starting an SME are endless. Perhaps the best part is that they require little investment and capital, thereby levelling the business ground for all categories of individuals irrespective of their capital. In other words, small-scale businesses are open to all, and they have a high tendency to grow into large conglomerates in Nigeria, Africa or anywhere around the world, with the right strategies and execution.
If you’re an investor or entrepreneur looking to start a small-scale business, here are 63+ lucrative small-scale business ideas to start in Nigeria, Africa or anywhere around the world.
1). Poultry Farming:
The agricultural sector has always been a gold mine for ages. More so, there are a lot of lucrative agricultural opportunities open to people who are not willing to go through the rigours of crop cultivation, one of which is poultry farming.
Poultry farming enjoys a large and steady market in the food processing industry in Nigeria, Africa or anywhere around the world. Hotels, restaurants, local food stores and homes are in constant demand of chicken, turkey, eggs, and other related products. Once you carve a specific market for your SME, you will be able to generate a lot of profits from poultry farming.
2). Rental Services:
The rental services industry is a broad one in Nigeria, comprising car rentals, canopies and chairs for events, as well as houses. Chairs, tables and canopies are the most common rental materials in Nigeria because of the large number of events held in the region.
Starting a rental services business requires modest strategies. It is a business anyone can start in Nigeria, Africa or anywhere around the world, especially if you focus on renting canopies, tables and chairs. However, ensure to set up the business in a major town where parties are regular.
3). Snail Farming:
Snails come in several species which are great for rearing. The traditional method of hand-picking snails for sale has failed to meet the global annual demand, leading to the rise in snail farming. Nigeria alone consumes about 7.5 million kilograms of snails per annum, creating a huge demand for snails
Starting a snail farm is not very tasking in Nigeria, Africa or anywhere around the world. You can start with 100 snails of the right specie. Get a suitable housing unit with the right humidity for them and sufficient feeds. Over time, they’ll rear thousands of eggs and reproduce offspring significantly. Snails hibernate mostly during the day, which means you can combine snail rearing with your regular 9 – 5 job.
4). Sports Viewing Center Business:
The expansion of sports has created a lot of business opportunities for people across the world. Individuals in villages, towns and cities in Africa who do not have direct access to sport channels resort to viewing centres.
All you need to get started in this business is a suitable site, a good structure, chairs and gadgets for showing games. Over time, you’ll get to build a steady number of viewers.
5). Makeup Business:
The beauty industry has advanced over time, so much that makeup is not just another beauty item but now a creative art that forms a major component of several industries. Models, artists, photographers, actors, and more are some of the professionals who use the service of makeup artists regularly.
Similarly, makeup artists are needed on special occasions like weddings and birthday events. An added perk to starting a makeup business is that you can also train people and earn money from makeup training classes too.
6). Laundry Service:
Another lucrative small-scale business in Nigeria, Africa or anywhere around the world that almost anyone can venture into is the laundry business. This is a business that requires little technical skills or business strategies to succeed. You can start the business with just one or two workers, but over time, you could choose to boost your staff strength for greater productivity.
All you need to do is to situate your business in a favourable place in town, especially in areas dominated by office workers who have little or no time to spare for laundry.
7). POS Business:
The POS business is a fast alternative to regular banking. Rather than queuing for long hours at the bank or ATM, people can conduct basic financial transactions at the POS machine, thereby saving time. The success of this business is based on the time effectiveness that it offers.
You could establish a chain of POS stands or shops across several places in town to provide a quick way for people to make withdrawals for a fee on every withdrawal.
8). Hair Dressing Business:
To open a hairdressing salon, you need to be a professional hair stylist or employ the services of one or more stylists. Hair makes an important component of people’s beauty, so they take special efforts to keep it in the best shape possible.
The hair styling business can be a highly lucrative small-scale business opportunity depending on where it is set up. You can also train apprentices, and recommend and sell attachments, wigs and hair care materials to clients.
9). Barbing Salon Business:
Like hair styling, barbing equally requires expertise. Before you open a barbing salon, be sure to have acquired the basic skill or have hired barbers who are highly skilled.
Similarly, you can make extra income by selling hair products to your clients and training people in your salon.
10). Ice Block Production:
Ice blocks are the only option for cooling foods and drinks in most parts of Africa where there is erratic power supply. More so, they are cheap and easy to use. Hence, the ice block production business enjoys a steady market in Nigeria and other parts of Africa.
To start ice block production, you need to invest in the equipment, a factory site, some members of staff and a delivery vehicle.
11). Catering Services:
A business opportunity that comes with the event management business is catering. Although catering is a broad business of its own in Africa, it enjoys great patronage from events such as wedding, seminars, funerals and more.
Catering requires some capital but it thrives mainly on your ability to cook great meals and build a wide network. Start with the socialites in your circle. You could also take your brand to the digital space to widen your reach.
12). Pure Water (Sachet Water) Production Business:
Pure water is not just another commodity in most parts of Africa; it is an essential part of the people’s day-to-day activities. Whether you sell in sachets or in bottles, you’re bound to find a steady market in your community.
You would also need the services of delivery personnel to deliver to retail shops, restaurants, food vendors, and much more to boost your chances of success in the market.
13). Photography Business:
Photography is a fun and lucrative small-scale business available to anyone in Nigeria, Africa or anywhere around the world. It requires little startup capital, and you can even start creative photography with your mobile phone.
However, for quality output, you have to invest in a great camera, a computer for editing and a few other gadgets. In addition to covering events, you could also generate a lot of income by selling your images to popular websites like iStock Photo and Etsy.
14). Social Media Marketing Business:
Starting a social media marketing business costs a little more than the regular requirements for being on social media: your gadgets and strong internet connectivity. With the basics in place, you can then decide on which web platform you want to use. Bear in mind that the type of products or services in question affects the platform of choice.
You can also create engaging ads to boost your reach and to help you get the right clientele for your business in Nigeria, Africa or anywhere around the world.
15). Copywriting Business:
Over time, the copywriting business has grown significantly, as brands, businesses and individuals continue to realize the importance of great copies for their businesses. Individual copywriters and copywriting firms are in hot demands to write great convincing ad copy for small and large businesses, speeches for politicians, email copy for companies, and more.
Starting a copywriting business requires a good level of copywriting skills, which can be learned on trusted learning sites such as Coursera and Udemy.
16). Road Transport Business:
As of 2019, the road transport sector in Nigeria grossed over $5 billion, thanks to the massive intra and inter-state movement.
Starting a road transport business to cater to people’s daily activities is a highly lucrative business in Nigeria, Africa or anywhere around the world. The scope of your business depends on your capital level. Whether you decide to go inter-state or focus on intra-state movement, the road transport business is a highly lucrative one.
Blogging is another fun activity anyone can turn into an active business that generates a lot of income. It involves creating content interesting enough to engage the attention and interest of the public.
Although blogging requires commitment and efforts, it’s a business you can combine with your regular 9 – 5 job and still make a lot of income, depending on the traffic generated.
18). Ice Cream Production Business:
Ice cream remains one of the most widely consumed snacks and confectioneries. Across Nigeria, adults and children alike consumed over N10 billion worth of ice cream in 2018. Over the past few decades, a lot of ice cream flavours have been introduced to increase the number of varieties available for people to select from.
With a steady distribution system, you can make a lot of profits from the ice cream production business in Nigeria and other parts of Africa.
19). Tiger Nut Drink Production:
The tiger nut drink is a natural drink made from tiger nuts. It is a common drink in Nigeria and West Africa that is rich in nutrients. It improves digestion, boosts the immunes system and keeps the heart healthy, among many other benefits.
With so much nutritional value, the tiger nuts drink is a commodity that enjoys a large market in Nigeria, Africa and many places around the world. It is often sold and distributed on the streets but you could build a successful business around it and distribute it to eateries, local food stores and supermarkets.
20). Hibiscus Drink Production:
Like the tiger nuts drink, the hibiscus drink, popularly known as zobo in most parts of West Africa, is a common drink that enjoys a great consumption rate amongst children and adults. Preferred chilled, zobo is made from dried Roselle plant flowers. It is sugar-free and prevents serious health complications such heart diseases, stroke, and more.
21). Scrap Metal Collection Business:
Collecting scrap metal can be a stressful activity, but the high profitability involved makes up for all the efforts required. And you don’t have to pick the metals yourself. You can hire people to do them. What you have to do is equip them with the right tools and make a commission-based payment system to pay each worker based on the number and quality of materials they can collect each day or week.
22). Fashion Boutique Business:
The fashion boutique business is a signature business in most West African towns and cities. Notwithstanding, there is always an opportunity for new investors to make their mark in the industry. You can do this by setting up your business in the heart of town and sticking to trendy fashion items.
You could also use social media platforms to widen your reach to people who are distant from your physical store.
23). Sports Betting Business:
The massive expansion of the sports industry has created a lot of business opportunities for millions of people worldwide. One such perk is that sports lovers can now get rewarded for their passion through sports betting.
Similarly, opening a sports betting shop or a stream of bet shops around town can be a lucrative small-scale business with a lot of promise. Although it comes with a few risks, it enjoys an endless market in Nigeria, Africa and many other places around the world.
24). Beer Parlour Business:
After a typical workday in most parts of Africa, many people like to unwind at small beer parlours with a few bottles of beer and edibles such as assorted meats, suya, and other related local foods.
Starting this small-scale business requires some capital for basics such as rent, a suitable structure, a refrigerator, a sound system, and much more.
25). Frozen Foods Business:
The frozen foods business constitutes one of the most patronized businesses in the food processing industry. Frozen foods in hot demand in Nigeria include fish, meat, chicken, turkey and vegetables. Any entrepreneur can start this business in Nigeria, Africa and many other places around the world
Patronage is the soul of the frozen foods business, because of the low shelf life. Hence, ensure to situate your frozen food business is a busy and densely populated area.
26). Egg Distribution Business:
Eggs are nutritious food supplements often recommended for children as a great source of protein. However, the market for egg distribution goes far beyond kids. Eggs are considered the less-expensive alternatives to major portentous food supplements such as meat and fish. Hence, starting an egg distribution business can be a good one that has a steady market.
Similarly, you can deliver to hotels and eateries as well as producers of snacks such as egg rolls.
27). Logistics And Delivery Business:
Many businesses and brands now sell their products in the digital space as a way of expanding their reach. What this implies is that they always require the services of delivery personnel to convey their products to their customers as swiftly as possible.
Bridging the gap between brands and their customers is a great business opportunity that not only generates a lot of benefits but also aids economic growth.
28). Dropshipping Business:
One of the business opportunities that creates room for logistics and delivery businesses is the dropshipping business. Dropshipping is a system of marketing in which the drop shipper creates a third-party link between buyers and sellers.
In other words, to start dropshipping, you don’t have to buy or stock goods. All you need to do is create a platform where buyers can order goods of their interest, and you process the orders with the buyer and see to their delivery.
29). Mini-Importation Business:
Mini importation is an online-based business which involves importing and selling goods in one’s country of residence. Imported goods are believed to be quality products and they often garner more patronage than locally-sourced goods.
Although there are general misconceptions about mini importation, it is safe and involves minimal risks with good profits if you do everything right like identifying a foreign online store with quality products and not importing banned goods or without a license.
30). Pastries Production Business:
Pastries make up an important component of people’s daily meals. Common examples of pastries are pies, croissants, muffins, cannoli, chin chin, doughnuts, and tarts, among many others. They are consumed as desserts, as small chops at parties and events, as well as on other random occasions.
To get started, it is important to acquire the skills needed or employ the service of professional bakers in your business. And you can start this business in Nigeria, Africa and many other places around the world.
31). Bread Bakery Business:
The bread bakery business in Nigeria is a highly lucrative and saturated business. Despite the competition already present in the market, bread production still has a lot of opportunities for new investors and entrepreneurs.
First off, you need to start by producing great tasty bread that will keep customers coming back for more. Then put a great distribution strategy in place. It is always advisable to start from a busy environment.
32). Gym And Fitness Instruction:
Starting fitness training is an open opportunity for any fitness enthusiast anywhere in the world. The best part is that you can start this business without a gym. You could go digital right from your room. Create instructional videos and upload them on your YouTube and social media channels. Best part is you can start this in Nigeria, Africa and many other places around the world.
33). Daycare Business:
The daycare business is one that helps nursing mothers to take care of their kids while they focus on their day jobs or other businesses. Starting a daycare business does not require many resources. With a few caregivers in place and a suitable place like an apartment, you can grow your daycare business into a reputable centre in Nigeria, Africa and many other places around the world.
For legal purposes, however, it is important to get an operational permit for your daycare business.
34). Insecticides Production Business:
If you want to start a business in a densely populated town in Nigeria or other parts of Western Africa, you could consider the insecticides production and distribution business.
The insecticide production industry evolves rapidly, thanks to the continuous introduction of new materials into the market. You can generate a lot of income by producing safe and effective insecticides and distributing them through the right channels.
35). Sweets And Candy Production Business:
Producing sweets and candies is another opportunity in the confectionary industry that small-scale entrepreneurs can venture into. Sweets, chocolates and chewing gum are some of the most commonly consumed confectionaries in Nigeria, Africa and many other places around the world. There is a market for this business among kids and adults.
After getting the proper licensing for your business, target supermarkets, small shops and mini-marts as well as school marts to establish a market for yourself.
36). Soap Making Business:
Soap-making is a vocational skill that can make any roadside entrepreneur money. This is because soap is an essential part of our daily domestic activities, and it enjoys a steady market all year round. To make the most of this business, you need a steady supply and distribution system.
The prime distribution targets are supermarkets and local stalls as well as main markets. Similarly, you could create a direct retail system of marketers who can sell the products on a commission-based system.
37). Affiliate Marketing:
Affiliate marketing describes the act of indirectly selling products for a brand to earn a commission on every sale. This is a modern system of marketing that works mainly with internet users, social media influencers and bloggers. The affiliate marketer is expected to advertise the products and leave links for the public to click and potentially make their purchases.
The number of sales or actual conversions generated determines the marketer’s earnings. To get started, you need a popular platform that regularly drives traffic and you can start this in Nigeria, Africa and many other places around the world.
38). Mobile Phone Repair Services:
To start a mobile phone repair service, you need to have first undergone special training on the repairs of mobile phones. In most parts of Nigeria and West Africa, this is mostly done through an apprenticeship system.
Notwithstanding, to earn and retain clients, it is necessary to get sufficient professional training before venturing into this business. You could equally recommend and sell phone accessories to maximize your profits.
For most people, blogging is a hobby; but this is a hobby you can turn into a lucrative small-scale business and generate a lot of income from in Nigeria, Africa and many other places around the world. Blogging requires little startup capital but demands a lot of commitment. With just a smart mobile phone, you could start blogging and later procure advanced gadgets to make the work easier.
The success of blogging as a small scale business relies on your ability to create content around engaging topics to captivate the attention of web users.
40). Car Wash Business:
Gone are the days when the car wash business was considered a last resort for unemployed people. It is now a lucrative business and a lot of entrepreneurs are taking advantage of the opportunities in it.
With the aid of machines and other tools, the car wash business has become easy and more effective. For starters, you need a good location and some staff. You also need to put a steady water supply system in place as well as a good drainage system.
41). Building Block Production Business:
Producing and distributing building blocks is a construction business that never runs out of demand. Across the world, blocks are commonly used for basic construction. In Africa and West Africa, especially, most of the apartments and buildings are constructed using cement blocks.
This creates a significant source of income for investors and job opportunities for manual labourers as well as bricklayers. It is important to use the best materials for building blocks so as to earn the customers’ trust. You should also site your factory at a busy place in town.
42). Interior Decoration Business:
Interior decoration is a lucrative small-scale business idea related to event management. Event managers often require the services of interior decorators to create amazing designs to suit the event in question.
Moreover, individuals and companies now prefer creative designs in their homes or offices to get them in the right mood for work or just purely for decorative purposes. Also, you can start this business in Nigeria, Africa and many other places around the world.
43). Building Materials Business:
Thanks to the growing infrastructural development in both private and public sectors in Nigeria, building materials are now high in demand in most parts of the country as well as Africa at large.
With the establishment of new businesses and companies as well as the construction of domestic residences, starting the building materials business is a smart move that requires basic foundational knowledge. By implication, anyone with some capital can start and grow this business in Nigeria, Africa and many other places around the world.
44). Beauty Salon Business:
Opening a beauty salon in any major town is one way to build a growing small business in Nigeria, Africa and many other places around the world. Beauty sells because people will go to great lengths to look their best both on unique occasions and on a daily basis.
Hence, with good staff strength, quality services and branding, you can generate a steady clientele. The best part is, the beauty salon business never runs out of clients!
45). Ushering Services:
Another small-scale business with lots of opportunities in Nigeria is the ushering business. You don’t necessarily need to be an usher to start this business. You could start an agency that assembles the most professional and good-looking ushers and use them for events you’re contracted to handle.
This business thrives on networking. So, it is important to network with event managers, socialites and other key stakeholders in the sector.
46). Event Planning Business:
To a large extent, the success of an event depends on the organiser. Hence, people are willing to contract their event planning out and are highly sensitive about this.
Anyone with strong organizational skills and the ability to manage the activities of others can venture into event management. For all-around success, it is advisable to build a network of trusted professionals, including sound engineers, photographers, ushers, and more.
47). Graphic Design Business:
Graphic design involves the creation of visual designs for adverts, information, marketing and other purposes. Both physical and digital businesses require graphic design at some point. However, the popularisation of online marketing has increased the need for graphic designers.
As a graphic designer, you could create daily strategic designs as brand social media content and generate steady income as a result. You could also create logos, infographics, ads, and much more. The opportunities are endless and you can start this in Nigeria, Africa and many other places around the world.
48). Bead-Making Business:
Beads are considered private fashion elements but they drive a large market in Africa. In most African countries, they are seen as statements of femininity and female beauty. Hence, most African women love to sport beads.
Making beads require patience and skills but it is a highly profitable and perhaps underrated small-scale business that almost anyone can delve into.
49). Phone Accessories Business:
While most phone technicians combine phone repair with selling phone accessories, retailing phone accessories alone is a highly lucrative small-scale business on its own.
As phones and related gadgets have become a significant part of people’s daily activities, they have to keep it in good shape and protected always. Hence, protective accessories such as screen guards and phone covers as well as other accessories such as headphones, batteries, and much more are constantly in high demand.
50). Fish Farming Business:
Fish farming is rated highly among all agro-related businesses. Most agropreneurs prefer fish farming to other agricultural activities because it involves less stress and cam generate a lot of profits if managed properly.
The best part is that you can start fish farming on a small scale in Nigeria, Africa and many other places around the world, with minimal effort, and grow it into a large fish hub over time.
51). Plantain Chips Production Business:
Snacks and small chops make up the daily diet of most students as well as other categories of individuals across the globe because they are quick-grab items that alleviate hunger or can be eaten as appetizers.
Among other snack items, plantain chips are one of the most commonly consumed across Nigeria. They are sold in traffic, at supermarkets, restaurants, school mini-marts and more. To carve a market for yourself, brand your plantain chips and deliver regularly to specific places where they are in hot demand.
52). Web Design Business:
As businesses and brands in Africa, especially Nigeria, continue to move to the digital space, people are regularly in need of the services of prolific web designers.
A website is a personal space for a business, company, organization, brand or individual. To start the web design business, it is essential to undergo initial and continuous training.
53). Mobile Foods Business:
In most major cities in Nigeria, where a higher percentage of the population comprises working-class people and entrepreneurs, people rarely have the luxury of time to cook their own meals or visit restaurants.
Hence, they prefer to have quick meals delivered to them at their workplaces or homes. Starting a mobile food business with a focus on the working-class populace is a great way to build consistent income in Nigeria, Africa and many other places around the world. You should brand your business right and build it quicker through social media presence.
54). Fashion Design Business:
The fashion design industry has evolved rapidly over the years. Individuals now prefer fashion styles that speak volumes of their personality, profession or mood as the case may be.
Based on this, the fashion design business is not just a lucrative business but one that requires versatility. You could start a small-scale fashion design business with just one or two members of staff and later widen your reach as your clientele expands.
55). Supermarket Business:
Every town and city in Nigeria is dotted with large supermarkets as well as malls that provide members of the public with commodities ranging from basic food items to simple fashion accessories.
To start a small-scale supermarket, you need a favourable spot in a busy area and you also have to network with wholesale suppliers for the best prices.
56). Shoe Production Business:
Although there is existing competition between locally-made shoes and imported ones, a lot of people still prefer the former. In recent times, local shoe producers have received massive patronage, having established their position in the local market.
Notwithstanding, the shoe production industry still has a lot of room for new expert shoemakers. To boost your market reach, supply to boutiques, fashion stalls, and much more, and create a digital gallery where you can display your shoes. You could also take on apprentices.
57). Okrika Business:
Okrika refers to fairly used clothing items often imported and sold in local markets. Quality grade 1 Okrika clothes are patronized in most parts of Nigeria because they are considered durable and relatively cheaper than their brand-new or readymade counterparts.
Okrika items are distributed in bales. If you want to start trading them, you need to network with good distributors and wholesalers who can provide the best quality at favourable prices.
58). Car Repair Business:
The auto repair business is one of the opportunities that come with the continuous influx of cars in Nigeria, Africa and many other places around the world. From auto dealers to transport workers on the highways, every sector of the car distribution and use system requires the services of car repairers and technicians.
Auto repair requires extensive training and continuous retraining to stay in sync with the latest car models, parts and their respective specifications.
59). Toothpaste Production Business:
The toothpaste market in Nigeria, Africa and many other places around the world is saturated, but great quality products will always stand out. To start toothpaste production, you need to decide on the target or the intended user: children, adults or smokers. With such factors in consideration, you get to know where to direct upgrade marketing efforts.
You also need to get the necessary operating permits and licences, and, thereafter, engage in marketing and distribution.
60). Record Label Business:
In contrast with the last two decades, the music and entertainment industry in Nigeria has grown rapidly and gained global recognition. One of the factors that contribute to the growth is the presence of record labels.
Record labels are brands that undertake the management of singers and entertainers on a contract basis to boost their respective careers and give them national and international recognition. Starting a record label business requires significant funding but it is a business with great returns if you have the right artiste. And you can start this business in Nigeria, Africa and many other places around the world.
61). Plumbing Business:
The modernization of most parts of Nigeria and Africa as a whole has, over time, resulted in the construction of modern structures with borehole facilities that require pipes and an internal water drainage system.
Such facilities require the services of plumbers for maintenance and repair services. In addition to starting a business that renders plumbing services, you could equally sell plumbing materials to maximize your profits in Nigeria, Africa and many other places around the world.
62). Waste Collection Business:
Waste recycling is one of the top global efforts at maintaining a healthy and safe planet. To maximize the available limited resources, one of the global goals is to collect and recycle waste materials from domestic and industrial areas.
In Nigeria, starting a waste collection business is relatively easy. All you have to do is to get a good site for packaging and storing collected wastes and equip a handful of manual workers to scout the towns for selected waste materials.
63) Network Marketing Business:
Network marketing describes the pyramidal system of selling products for a company or brand and getting commissions for sales made and for inviting others to sell through your downline.
In other words, the higher the sales made by everyone in your downline, the greater your commission rate. The most appealing part of network marketing is that you don’t need any capital to start. All you have to do is network with a reputable company, get their goods and sell, and invite others to sell too!
64). Generator Sales Business:
In response to the problem of inadequate power supply in Nigeria, most businesses and individuals use power-generating sets. This creates a big opportunity for people in the generator sales and distribution sector.
To get started as a retailer of generators, you need to get a secure site, preferably a large shop in town, and network with trusted wholesale distributors.
65). Recharge Card Business:
If you’re not sure which small-scale business is most suitable for you or you’ve not found a favourite that matches a very small budget, you might as well consider the recharge card business.
Although most people use digital methods to recharge their phones, there are a lot of phone users who prefer the physical paper card. You can register with a telecommunications company to print your cards yourself or buy directly from the companies.
To Sum It Up
Small-scale businesses contribute significantly to local and global economies. They keep billions of people worldwide employed and create part-time opportunities for many others. While some small-scale businesses do not require a physical location, many do. If you want to start a small-scale business in Nigeria, Africa and many other places around the world, you can choose from any of the 63+ small-scale business ideas discussed in this article and get started today!
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