WHAT TO DO AS A NEW BUSINESS OWNER
Starting a new business is exciting, but it can also be overwhelming, especially in a country like Nigeria, where the business landscape can shift overnight. One moment you are planning your inventory, and the next morning a new policy drops that forces you to restructure your entire strategy. Add rising costs of living, the constant need to drive sales, and the pressure of managing operations, and it becomes clear that running a business in Nigeria is not for the faint-hearted.
Whether you are a first-time founder or expanding into a new niche, understanding the right steps from the beginning can make your entrepreneurial journey more seamless. This article highlights the essential things every business owner must pay attention to, no matter the stage of growth of their business.
- REFINE YOUR IDEA
If you are thinking about starting a business in Nigeria, you must begin with a strong business idea that solves a real problem. The challenge lies in turning an idea, which is a solution to the problem you have noticed, into a product or service.
Start by asking yourself a few important questions:
• What problem am I solving?
• Can my business efficiently solve this problem?
It is important to understand your reason for starting the business. Your reason could be tied to a personal goal or a marketplace need. When your reason is centered on meeting a need in the market, your business will naturally have greater potential for growth. Understanding your “why” helps you determine how to structure the business and who you are creating value for.
- WRITE A BUSINESS PLAN
Every successful business starts with clarity. Many entrepreneurs begin a business simply because they want to earn more money, which is understandable, but financial motivation alone is not enough to sustain long-term growth. You must understand the vision and mission behind your work.
Reflect on these questions:
• What is the purpose of your business?
• Who are you selling to?
• What are your end goals?
• How will you finance your startup costs?
You do not need perfect answers immediately, but these questions help you think practically about what it takes to launch and sustain a business.
A well-written business plan outlines where your business is headed, how you will tackle challenges, and the resources you will need. Strong market research is the foundation. It helps you understand customer demographics, needs, preferences, and behavior, as well as your competitors and the entire industry. You can begin with simple tools like Google Trends and social media analytics.
Knowing your target customers is equally important. Understand what problems they face, how your product solves those problems, and how much they are willing to spend. Also, take time to study your competitors. Observe how they price, market, and serve customers. These insights will help you improve your own approach.
- ASSESS YOUR FINANCES
Starting a business comes with a price tag, so you’ll need to figure out how you’ll cover those costs. Will you use personal savings, or will you need to borrow money? If you plan to resign from your current job, do you have enough savings to support yourself until the business becomes profitable?
Identify your startup costs and plan realistically.
- DETERMINE YOUR LEGAL BUSINESS STRUCTURE
Your business structure affects your taxes, daily operations, and personal liability. Common options in Nigeria include:
- Sole proprietorship: Ideal for solo founders who want full control. It is easy to start, but personal liability is high.
- Partnership: A business partnership means two or more people share ownership and personal liability. This can be a good option if you have a business partner with complementary skills but be sure you’re comfortable sharing responsibility for debts and decisions.
- Corporation: Corporations are a separate legal entity from their owners. When you form a corporation, the company can own property, pay taxes, enter into contracts, and assume liability. Corporations are suitable for businesses aiming for long-term expansion or funding.
- LLC: A limited liability company (LLC) offers liability protection with flexible tax benefits.
Choose the structure that aligns with your current needs and long-term plans. If unsure, speak with a business or legal advisor.
5. REGISTER WITH THE GOVERNMENT
To legally operate your business in Nigeria, you must register with the appropriate authorities. This is a core step for compliance, credibility, and growth.
Legal and regulatory compliance
- Business registration: Register your business with the Corporate Affairs Commission (CAC).
• Tax compliance: Obtain a Tax Identification Number (TIN) from the Federal Inland Revenue Service (FIRS). Register for Value Added Tax (VAT) and Pay As You Earn (PAYE) if you have employees.
• Industry licenses: Get required permits such as NAFDAC registration for food products, a money lender’s license, or the NSCDC, the Nigeria Security and Civil Defense Corps license, for security businesses.
• Data protection: Comply with the Nigeria Data Protection Regulation (NDPR).
• Intellectual property: Protect your brand by trademarking your business name and logo.
• SCUML certificate: Special Control Unit Against Money Laundering (SCUML). Required for businesses that handle large cash transactions.
Ethical and responsible practices
- Work with responsible suppliers.
• Protect customer privacy through clear data policies.
• Create and display a company code of conduct.
Maintaining compliance
Seek professional guidance from legal and compliance consultants like Havivah Trust Consult to help you stay aligned with regulations.
6. BUILD YOUR TEAM
Unless you’re planning to be your only employee, you’ll need to employ people, and you can start by defining roles, responsibilities, and expected outcomes.
A strong team helps your business grow faster. Clarify how your team will collaborate, communicate, and manage tasks, whether physically or remotely.
7. BRAND YOURSELF AND START MARKETING
Before launching your product or service, build a strong brand and audience. Consistent branding makes you recognizable while effective marketing builds trust.
Important branding steps:
- Logo and visual branding: Create a corporate logo that makes your business easy to identify, and use it consistently across all platforms. Apply the same color scheme to your website, social media, and marketing materials to establish a recognizable personality.
- Company website: Build your reputation online with a professional site. Many customers research businesses before buying, and a website serves as proof that your company exists. It’s also a hub to interact with current and potential customers.
- Social media: Use social platforms to spread the word, offer promotions, and connect with your audience. The best social media platforms depend on where your target customers spend their time.
- Stay persistent: Create a marketing plan that extends beyond launch. Brand awareness takes time, and consistent outreach helps you grow your customer base as much as offering a great product or service.
- Listen online and stay on top of (marketing) trends. While you don’t have to be chronically online as a business owner, it’s important to be there and listen to the chatter on trends, both in marketing and other industries. This will help you be aware of things happening around you and how they could affect your business, allowing you to plan and mitigate their impact.
- Invest in marketing. More than just spending on marketing, it’s important to do it right. Invest in marketing based on data insights. Focus on channels that bring the best results. For example, if you know where your customers are coming from or what they’re buying the most, it can inform your decision to spend some money on that sales channel to bring in more look-alike customers.
Once your branding is set, start marketing through content creation, social media marketing, email marketing, and paid ads. Email marketing remains one of the most cost-effective tools, especially for small businesses in Nigeria.
8. GROW YOUR BUSINESS
Your launch and first sales are only the beginning of your journey as an entrepreneur. To remain competitive and profitable, you need to keep finding ways to grow. Growth takes time and effort, but you’ll usually get out of your business what you put into it. • Use business tools and technology to simplify tasks and save time.
- Use business tools and technology to simplify tasks and save time.
- Pay more attention to the data. It’s no longer time to run a business on speculations and guesses because that’s one great way to waste time and money. This is where data comes in. Tracking data for your business helps you make better business decisions and measure business growth. Otherwise, you’re going to be running on vibes.
- Manage your cash. Managing cash for a business is often a tricky situation, but it is now more crucial than ever, especially if you want to record any business profits at the end of the year. Plan how to spend your cash, especially on things like inventory, resources, and operations. Separate business money from your money. For example, stocking inventory that won’t sell out as fast can be detrimental to the financial health of your business. This is another reason why you need to study your business’s data for better decisions.
- Improve your customer service. Customers are the lifeline of your business, and it’s important to keep them coming back because it costs more to acquire a new customer than to remarket to a previous customer and make more sales from them. One of your key strategies should be improving your customer service and making sure customers get the best experience from you.
In a world where everything seems harder and business owners face growing pressure, partnering with a management consulting firm can make your journey smoother.
Havivah Trust Consult supports entrepreneurs with expert guidance in strategy, compliance, operations, and business development.
Need clarity or support for your business growth? Please send us an email today. Let us help you build a business that thrives no matter the terrain.
More Posts
Is Your Business Audit-Ready for 2026?
Why Young Businesses Should Start Building for the Future
Smart Tax Planning for Nigerian Businesses in 2026
