By Omoruyi Edoigiawerie, Esq
Entrepreneurship is a critical driver of economic growth and development in Nigeria, with small and medium enterprises (SMEs) accounting for a significant share of employment and output. New technological realities are also shaping the way business is done in Nigeria, and the way people live and do business.
Today more than a few people are ditching traditional career paths in favour of pursuing their professional dreams. As the Nigerian economy continues to evolve, new trends and innovations are emerging in the entrepreneurship ecosystem.
This week I will explore some of the emerging business trends in the entrepreneurial ecosystem in Nigeria.
*Technology-driven entrepreneurship
With the increasing penetration of technology in Nigeria, more entrepreneurs are leveraging technology to create innovative solutions and business models. There has been a rise in start-ups such as fintech, edutech, healthtech, agritech, and e-commerce.
These businesses have birthed a solid sphere of Digital entrepreneurship/ Today in Nigeria there is a fast-growing array of tech-driven businesses in Nigeria. With the growth of the internet and the increasing penetration of mobile devices, digital entrepreneurship is becoming more accessible to Nigerian entrepreneurs and many start-ups are creating digital platforms that enable businesses to connect with customers, such as e-commerce sites, online marketplaces, and mobile apps.
2. Agribusiness start-ups
Agriculture is a critical sector of the Nigerian economy, accounting for a significant share of employment and output. As the Nigerian population continues to grow, there is a growing demand for food and other agricultural products, creating new opportunities for entrepreneurs in the agribusiness space. Agribusiness entrepreneurship in Nigeria involves creating businesses that are involved in the production, processing, marketing, and distribution of agricultural products. Some agribusiness start-ups in Nigeria include farm-to-table restaurants, food processing companies, and agricultural supply chains.
3. Health and wellness start-ups
Health and wellness entrepreneurship is a growing trend in Nigeria, as entrepreneurs seek to create businesses that focus on improving people’s health and well-being. This includes businesses that offer healthy food options, fitness programs, and wellness coaching.
There are a sizeable number of health and fitness start-ups that continue to thrive in Nigeria.
4. Social entrepreneurship
Social entrepreneurship is gaining ground in Nigeria, as more entrepreneurs are using their businesses to tackle social and environmental challenges while generating profits. This trend is particularly evident in sectors such as education, health, and renewable energy. Social entrepreneurship is a growing movement in Nigeria, with many entrepreneurs seeking to address social and environmental issues in innovative and sustainable ways.
Social entrepreneurship helps create a significant positive impact in society and has become increasingly popular as individuals and organizations seek to address pressing social and environmental issues.
5. Fintech start-ups
Fintech entrepreneurship is another emerging trend in Nigeria that has come to disrupt and stay, as entrepreneurs leverage digital technologies to create innovative financial products and services. With the increasing adoption of mobile payments and other digital payment systems in Nigeria, there is a growing demand for fintech solutions that can facilitate financial transactions more efficiently and securely. Fintech entrepreneurship in Nigeria includes businesses that provide digital payment solutions, peer-to-peer lending platforms, and digital insurance services. The recent monetary policy of the Central Bank of Nigeria and the biting unavailability of cash are renewed motivators for entrepreneurs in the Fintech ecosystem to create products that will help address the gaps and challenges created by this policy.
6. Renewable energy start-ups
Renewable energy entrepreneurship is an emerging trend in Nigeria, as entrepreneurs seek to create businesses that provide renewable energy solutions to households and businesses. With the unreliable power supply in Nigeria, there is a growing demand for renewable energy solutions that can provide clean and reliable energy. Renewable energy entrepreneurship in Nigeria includes businesses that provide solar energy solutions, wind energy solutions, and other renewable energy solutions.
7. Youth-led and inspired entrepreneurship
The youth population in Nigeria is large and growing, and many young people are taking advantage of entrepreneurship as a means of creating employment and contributing to the economy. There has been a rise in youth-led start-ups in areas such as fashion, entertainment, and technology.
8. Sustainability entrepreneurship
More entrepreneurs in Nigeria are focusing on sustainable business practices, as they recognize the importance of environmental and social responsibility. This trend is particularly evident in sectors such as renewable energy, waste management, and sustainable agriculture. This field of entrepreneurship is gaining momentum in Nigeria as entrepreneurs are beginning to recognize the need for sustainable business practices. Nigeria faces several environmental and social challenges such as poverty, waste management as well as education and healthcare deficits, and issues of inequality. In response to these challenges, sustainability entrepreneurs are creating businesses that focus on sustainable solutions to these problems. Sustainability entrepreneurship is an emerging trend in Nigeria, and it has the potential to address some of the country’s most pressing challenges while creating economic opportunities for entrepreneurs
9. Migration/tourism entrepreneurship
Migration and Tourism entrepreneurship is another emerging trend in Nigeria, with the avalanche of Nigerians who are traveling to “japa” or visit, it provides a legitimate inroad for viable business opportunities as entrepreneurs seek to create businesses that cater to the growing demand for this service. This aspect of business provides business opportunities both locally and abroad as there is also a strong concentration of foreign investment and inquisition by foreigners and Nigerians in the diaspora.
10. Real Estate Entrepreneurship
In the past year, there has been a tremendous rise in real estate developments and entrepreneurship in Nigeria and even on a global scale. Today a sizeable number of entrepreneurs play actively in the various sectors of real estate. There is an upsurge in joint venture property developments which helps investors team up with landowners to develop or maximize the use of their real estate assets.
There are different aspects of real estate investments that are actively being utilized by start-ups, they include:
a) Agricultural Real Estate investments: These are lands dedicated solely to agricultural use.
b) Residential Investments: These are properties that people live in they include: apartment buildings, single-family homes, estate developments, and low-cost housing projects.
c) Commercial Properties: Commercial properties are properties used for commercial activities. These include co-working spaces, virtual offices, and public commercial business facilities.
d) Mixed Use Property investments: These are properties that serve multiple purposes. These types of properties can double as commercial and residential properties.
CONCLUSION
These emerging trends come with their novel and not-so-novel opportunities that entrepreneurs can tap into and make profitable gains. These business trends mostly leveraging technology can influence the economy and improve our Gross Domestic product (GDP).
Omoruyi Edoigiawerie is the Founder and Lead Partner at Edoigiawerie & Company LP, a full-service law firm offering bespoke legal services with a focus on start-ups, established businesses, and upscale private clients in Nigeria. The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances. His firm can be reached by email at hello@uyilaw.com
