The population of Abia state is over 6 million. The capital city is Umuahia while the commercial city is Aba, which was the main trading centre in Nigeria during the 19th century. Abia state has a literacy level above the Nigerian average. There are several institutions and organizations that cater for the educational needs of the students in the state. Few of the notable higher institutions includes the University of Agriculture in Umudike, the Abia State University in Uturu and the Institute of Management And Technology (IMT) in Umuahia. The youth literacy rate is above 85% with both male and female involved. This produces a very positive student population in the state, thus generating excellent business opportunities for the education industry in Abia. 90% of its indigenous citizens are entrepreneurs. The state has a general financial status above the Nigerian average. Owing to the positive economic status, the environment is very conducive for industries and businesses. The state has a booming economic status with many citizens in the state involved in various commercial activities that generate considerable income. The state has also been the centre for many successful businessmen in Nigeria. This has resulted in creating a successful business-minded society. Abia state possesses a general mindset of striving to earn a better living in all facets of life. This gives rise to the demand for various business opportunities in the state. With most of the popular Nigerian tribes well represented in the state, the presence of a rich multi-culture is definitely a selling point for Abia. This provides a good platform for business organizations involving food and beverage, local clothing and traditional artifacts. This is in line with the people’s wants and needs for the various goods and services provided. Many of such businesses can nurture and grow till they become successful companies in the future. With the presence of abundant resources ranging from natural to human and the positive mindset of both the people and the state government, the demand for various business opportunities is very high.
Below are well researched top lucrative businesses one can do in Abia state
1. Fashion and Clothing
Designs in general have quality participation in the global economy. Shoe making is a similar market to clothing production. Start-up costs are moderate and are repaid by high profit margins. Levels of skill and support services required are complex and would be beneficial to the local economy. Unfortunately, the footwear market is highly competitive, and products are largely utilitarian. What this means is that while quality handcrafted footwear can be produced, profit is highest from lower-cost methods such as production line work and use of synthetic materials. There is, however, a niche market for custom orthopedic and corrective footwear. This market is steady but unspectacular and is perhaps best seen as a labor of love for one skilled in shoemaking. This type of footwear is expensive to produce, and income may not be sufficient to support a business if it is the sole product.
In clothing production, there are two main ways to enter the market: as a tailor or seamstress, or as a clothing designer. Seamstresses and tailors work to alter clothing to fit customers or repair damaged items. The market is high demand, low competition. Most tailors will not have any formal training, instead learning techniques from an established professional or through trial and error. Skills required are minimal, and start-up costs are low. A sewing machine, needles, and thread are basically all that’s required. Professional tailoring training is available at local institutions such as the Abia State Craft Development Centre for those interested in seeking it. A clothing designer requires more skill and start-up capital, but profit potential is also much higher. Start-up costs and material costs are fairly substantial, but this is outweighed by profit margins. Production can be done independently or through a firm, and it may take several years to become established. Designers with skill can take “copy” jobs, duplicating designer clothing at lower prices than the original, though this carries the risk of a lawsuit. Any designer should be constantly working to improve and expand their skill set. Both tailoring and design businesses are best off targeting an overseas market, as there is little potential for profit from local sales.
1.1. Tailoring and Fashion Design
The ready-to-wear market is currently dominated by artisans who make clothes in their own homes and then display them on a mannequin at the front of their house. This kind of self-employment has become a popular way for men and women to earn a living within the state. There are also a few small factories. With a matching grant from the government and/or a soft loan from a bank, it is possible for a small-scale manufacturer to set up a factory plan. A factory owner would ideally want to create his own factory outlet for the clothes. This can be very lucrative since many people in the state barely wear traditional clothes and so would often purchase western-style clothing for work and leisure.
The creation of a full outfit takes just a few days. Some styles such as traditional menswear or the wrapper and blouse styles can be made in a day. This kind of demand is hard to come by in some other countries where tailors spend weeks or even months creating one outfit. Pattern/garment cutters and tailors are easy to come by, but there is a lack of good fashion designers (who can also create their own patterns) and good finishers. Usually, the skills of pattern cutting and garment construction are taught in separate apprenticeships. Tailors and seamstresses often try to learn both skills so they can make their own outfits in the future. So there is high demand for fashion and pattern teachers. A fashion teacher will earn just under double the wage of an average teacher in Britain.
Abia State has a moderate climate, which is not too hot or too cold. However, the rains become really heavy during certain periods of the year. This makes tailoring and fashion designing a profitable venture. Tailoring clients can be bountiful all year long, but they often need their clothes at short notice and so require a speedy service.
2. Shoe Making
With the ASEPA and environment protection unit proposing a ban on nylon bags and polythene bags, the demand for leather slippers is set to increase. To cater for this, the shoe manufacturer can take the opportunity to expand and produce leather slippers for this specific target consumer.
In addition, there are many different kinds of shoes that cater to different types of consumers. One can start by producing fashion shoes and sell them to the upper and middle-class income earners. Or even cater to the cheaper range consumer by producing sandals and slippers. The likelihood for success in this business is very high.
Shoe making is a very lucrative business because the markup for a pair of shoes can be very high if the manufacturer does the right kind of marketing and promotion for the product. And the cost of direct production for a pair of shoes is not very high if the right kind of skills and technique is adapted. At the end of the day, shoes are something that everybody needs, thus it symbolizes a recession-proof product.
In this section, the discussion centers on shoe making and poverty alleviation and wealth creation seeking entrepreneurs as well as retirees. Shoe making is a venture that is often overlooked by many people. The reason behind this is that they usually have a general misconception that to be a shoe manufacturer, one has to have a hi-tech factory with a lot of heavy machinery. This is not true. Shoes are, without a doubt, one of the most important fashion and clothing accessories. Everybody needs shoes, it’s just a matter of finding the right ‘pair’. Shoes can also be considered as a fashion item, as many people wear them to complement their outfit.
3. Jewelry Making
Custom jewelry design is great for the artist, as it still has a variety of forms and mediums, but the work is for the customer and not the artist. A jewelry maker can meet with a customer to discuss design ideas and price, and then create the piece at home or in the shop and give it to the customer at a later date. This work can be repeated and can sustain a good revenue for the jewelry maker.
Another potential a jewelry maker has is to create bead and wire jewelry. This medium is growing in popularity and can be very profitable for the entrepreneur. Earrings, necklaces, and bracelets are simple and inexpensive to make and can be sold at craft shows, online, or to retail stores at a great price above cost. This type of jewelry can be custom or production-based, with the latter being repeat designs that are sold in quantity. These types of jewelry making mentioned can help create funds for a jewelry maker to start a jewelry business. That is designing and creating custom jewelry for customers’ wants and needs. With the business starting with little capital, it can grow into a large or small business.
There are vast opportunities in Abia state for jewelry makers. Surprisingly, it is one of the most lucrative businesses for a jewelry maker that requires little or minimal capital to start. A jewelry maker is a person who has knowledge of various forms and has a good understanding of jewelry. This is simply because a jewelry maker has a variety of mediums in which to showcase their talent. A well-trained jewelry maker has the ability to mold intricate pieces from silver or gold. This art is reserved for only those whose work is truly exemplary, as the materials are quite expensive and customers desire top quality for the price. Simulation is done by wax carving, where a rough model of the piece is carved and then cast in metal.
The art of making jewelry has come to stay in Nigeria. The jewelry maker’s artwork involves creating and assembling designs and other materials into a wearable piece of art. This is generally done to meet certain personal needs, such as style, uniqueness, or creative expression. Jewelry has been around for thousands of years. In the early part of the 20th century, much of today’s wire, beads, and findings work could be done at home, rather than in a factory setting. These are the types of opportunities most knowledgeable jewelry makers dream of.
4. Food and Beverage
Abia State is blessed with men and women who love celebration and relaxation, in the church, mosque, marriage ceremonies, burials, traditional festivals, etc. Even in the township and villages, everyone indulges in food and drinks. Food and drink selling business is one of the most lucrative businesses in Abia State. This is because of the ever ready market, provided people must eat and drink each day. It could also interest you that Abia State is one of the highest consumers of alcoholic and non-alcoholic drinks in the country. Restaurant, food stalls, beer parlours, etc. are the most popular ones. A restaurant or food stall is one of the most effective ways to get oneself employed. Its capital intensiveness is flexible and the business is lucrative. Most homeowners in major towns of Abia State have more than just a dining room with their families due to the increasingly busy schedule of trying to make ends meet. This has necessitated increased patronage of various food and drink joints as a place for family relaxation and eating out. It is not difficult to notice a restaurant with its dining filled to its capacity, with customers waiting to be seated, either because it’s serving good food or it’s providing a pleasant atmosphere. The reverse is the case with busy bachelors and spinsters who, after the day’s work, hang out in beer parlours and food joints before heading home, as they too find it more convenient to eat out.
5. Restaurant or Food Stall
A student leaving Nigeria for study abroad that is skilled in the preparation of Nigerian dishes should always have it in mind to prepare some of these dishes for fellow Africans and others, around exam periods as the demand is always there, and events such as Nigerian Independence Day in the month of October. You can make some good money off that. This is a business with a never-ending market. It is recession-proof, no matter the time that passes, people will always need to eat. With a small loan, you could start the first Nigerian Suya Stand in Aba or the first Boli stand in Umuahia. These are sorts of small barbecues which are made by local self-employed men to generate income. You could give these men work and have them supply your business.
In Nigeria, and indeed in Abia State, if your preparation of small chops, moi-moi, moi-moi that is cooked in leaves, Barbeque fish, chicken, etc. is good, then you are in business. You don’t even need to set up a shop or a bar. With a skill like that, you can attend burial ceremonies, weddings, birthdays, etc. and make some real good money. There is a story told of a woman who cooked a pot of soup and got a contract to supply 10 pots of the same soup every weekend for one whole year. The contracts are there, if you can cook. This business could start off with regular home appliances or could start big from the start, but for the fact that there isn’t a loan or credit scheme at the best of times, this business can easily be achieved. You have to be skilled in the preparation of Nigerian dishes and small food.
6. Fruit Juice Production
Marketing strategy for fruit juice is very important. And you have to make it work right from the very beginning. Start off with small trials and expand as the product catches on. The product is best marketed in restaurants and school canteens. In order to market at school canteens, you have to send samples to the person in charge of canteen food in the education department. If you get the contract to supply, you have to ensure that it goes well with timely supply delivers the students a chance to try different flavors. The fruit juice can also be marketed at supermarkets, and there’s where small-scale bottling comes into place. Always look out for new markets, for example, petrol station shops. It’s a slow-moving market, but dealing with the right people and pricing can have a big outcome. This product is also a good export product, mainly to other countries in Southeast Asia. Always have a health certificate on the product if you intend to export.
A common drink in Nigeria, fruit juice can be said to be taken at any time of the day. It is cheaper to produce and can be marketed anywhere. Unlike the carbonated drinks, fruit juice is natural and healthful. The fact that it is caffeine-free, preservative-free, and has low sodium content makes it a better alternative to carbonated drinks. People now realize the health hazards caused by carbonated drinks and are turning to fruit juice. This has created a new group of consumers and a growing demand for fresh natural fruit juice. With the right equipment and proper sanitation, this product can be produced in the most humble environments, even at home.
7. Bakery
To set up a bakery, you need to know the market conditions of the industry. You need to know if the industry is in the expansion or mature life cycle, or has high fixed or variable costs. Having this knowledge will make setting up the business far easier, and you will know what type of competition you will be facing. Next, you will need to come up with a business plan and decide where the bakery will be located, the various types of bread you will be baking, and the amount of labor you will employ. You will then need to decide whether the bakery will be a sole trader, partnership, company, or corporation. After doing this, you should acquire the necessary finance to start up the business. When doing this, you should calculate the fixed and variable costs and revenue to estimate the breakeven point, and decide whether the bakery will be short or long term, and a small or large-scale operation.
The bakery industry is a very successful business in Nigeria. Bread is a staple food in Nigeria. Most people eat bread with tea, soft drinks, or Akara in the morning. Tasty bread can also be a fashionable and convenient snack eaten with butter, jam, peanut butter, or other spreads, and it is easily storable. The demand for bread is constantly rising at a fast rate. Bread is eaten by the poor, average, and rich consumers. People in all types of areas, whether it be urban or rural, eat bread, making the target market for selling bread very wide. This is why the bread industry in Nigeria is highly competitive but lucrative.
8. Catering Services
In catering service, the caterer provides dishes and drinks and other services to clients, who usually elect specific options to provide them to their guests. As the Abian culture usually wants to celebrate some great events such as their daughter/son’s birthday, wedding day, or moving into a new house, catering service can be a good business for them. But, the difference between this business and the three previous ideas is that this business still has a broader opportunity to develop into a bigger business and it can elevate the economic life of a beginner compared to the three previous ideas. Most caterers are associated with restaurants/ballrooms in providing an alternative space for the event. There are two main types of catering: on-site and off-site. Often, caterers will do both, although it is more common that they will specialize in one or the other. On-site catering is where the caterer prepares the food and drink at the event and is more suitable if the caterer has their own facilities. Off-site caterers will prepare the food and drink in their own kitchen and then transport it to the event location in a ready-to-serve state. This business is relatively low-cost to start up with. The essential equipment will include serving equipment such as serving spoons and platters, and transportable cooking equipment such as a BBQ and/or hot plates. The caterer also needs to have skills such as knowledge of the type of food to be served and estimating how much food will need to be prepared. In predicting the situation in the future, if the caterer is talented enough and there will be more events and these side jobs are very profitable, the caterer can make a catering company. With this, it can be said that catering services are very suitable to be run by those beginners who want to make a lucrative business from the food and beverage sector mentioned previously.
9. Retail and Trading
Selling household items such as plastic buckets, mugs, containers, plates, etc. is also a very profitable business in rural areas. The itinerant traders selling door to door with such household items mostly obtain these items from factory outlets and sell them for double the price. This business is very simple and would need only 1 day to purchase goods and sell them immediately. There are no fixed costs here and everything is profit minus the transportation costs.
Beauty and personal care products are more for the female gender, hence it would be wise for females to go into this business. Selling a woman’s product to a woman would be much easier to convince and make sales. This product also gives a return of 100% for each product and has high turnover. This business too does not need a shop at the start, but could be done from home. One could start off with products for the skin like Dove, Vaseline, and facial products and slowly add more products (e.g. hair products, sanitary products, etc.).
Mobile phone accessories sell very fast and the beauty of this business is that one gets about 100% returns on each product. Just like the mini supermarket, one doesn’t need huge investments, but should try to keep the kiosk in front of a house or along a major footpath or even share a shop with a friend to share the costs. This business too requires wit and calculative strategies to make high profits.
Mini supermarket business in this part of the world is very lucrative. People are always in need of something and often they would need to visit a mini market to get that stuff. One doesn’t need to rent a shop for a mini supermarket but could dedicate a section of his house or use a shed or canopy. The major costs for a mini supermarket are the cost of goods and kerosene for the lantern. One also needs to be very calculative and cunning in order to sell and make high profits.
10. Mini Supermarket or Grocery Store
Household expenses have a lot of importance. If money is to be spent on food, it is obvious that people will buy food that is cheap but not compromising on quality. People will buy non-branded products and generic foods for cost saving. Middle-class working people and people living in high-density urban areas will tend to get groceries from a nearby store for convenience. The above trends show a clear indication that starting a mini grocery store can be a profitable venture with the right location and by targeting the right consumer segment.
A mini grocery store in a good location is a profitable venture. Small business economists are optimistic about more new small businesses getting started. 400,000 of such businesses are anticipated to be started each year. 85% of food and beverage revenue in retail comes from supermarkets, which is around $563.2 billion, and the figure is growing. Hiring and operating staff in a small store also reduces financial risk. The owner only has to hire minimal staff, and all the work can be done with fewer employees. The store could add higher margin goods to stock later on. Supermarkets account for 55.5% of the retail market, with an annual growth rate of only 1.6%, which is a big decline from previous years. However, this still means that people are spending more money on food, and this trend can change in favor of small stores if large stores raise prices to pass on rising costs.
Mini supermarket or grocery store is one of the most lucrative retailing businesses in Nigeria. Mostly all packed foods are basically manufactured based on demand. Foods are essential for living, hence it is obvious that demand will increase. People nowadays don’t want to waste time bargaining for meals and vegetables, and they prefer to go to a supermarket. There is a huge number of people that belong to the working class, including many women. These people don’t have much time to shop for various items. In a mini supermarket, there is everything that we need. People can find those things under one roof, so they are willing to spend a little more money for the convenience.
11. Mobile Phone Accessories
Mobile phone is an idea that has engulfed Abia to the point that the state is now being referred to as “small China” due to its role in the importation of mobile phones and accessories into the country. Now, buying and selling mobile phone accessories is very common and lucrative in Abia State. Mobile phone accessories like batteries, Bluetooth devices, hands-free kits, chargers, and covers are very important items for communication and thus have a lot of demand. Since customers generally keep buying these items when they purchase a new mobile phone and also consume them in the routine course of their mobile life. One of the best business ideas for small and medium-scale prospective entrepreneurs is to indulge in the mobile phone accessories business. With a capital of about 15,000 Naira, you can comfortably start with a small homemade local shop in a very busy area of Aba, e.g. Cemetery Market, St. Michael’s Road, Faulks Road, Ohanku, and run very good sales in a week to even declare some profits. One thing unique about these mobile phone accessories is that there are some of them which are universal. Universal in the sense that they can be used across all brands of mobile phones. Examples include charging pins and earpieces. If you start a mobile phone accessories business, it’s important that you should have at least one of these universal items. Then you should always have a stock of accessories for the latest mobile phones. The stock should be very well assorted, consisting of all the accessories of a specific mobile phone. When a customer comes inquiring about an accessory for, say, Nokia 3230, you will naturally get confused and disorganized if you haven’t made an assortment of the accessories for the said Nokia 3230. Then this will lead to a loss of customer on your part. Believe it or not, one of the biggest procurements of mobile phone accessories is through direct purchase from the importers. I will show you how. Are you surprised? Okay, let’s go.
12. Beauty and Personal Care Products
A large percentage of the women and a considerable number of men in Abia State make regular use of beauty and personal care products to enhance their looks and maintain good personal hygiene. The demand for these products is further fueled by the fact that the competitive and fast-paced lifestyle in Abia State’s urban areas has afforded various special occasions and functions for which people need to look their best. The input costs for this business are relatively low, and the basic equipment which is needed for making beauty and personal care products is the equipment that a person would have in their kitchen. This ‘scale-down’ industry is ideal for start-ups and has shown considerable potential in the Abia State context. This business provides a far more healthy, hygienic and environmental alternative for the personal care and healthcare industry. The herbal products, cosmetics and toiletries which are prevalent in the market are often of questionable quality, ingredients and manufacturing methods. Our beauty and personal care industry may help to lift the low morale of local health and aged-care patients by providing quality personal care products, and also may provide temporary work and volunteer opportunities for the disadvantaged in these areas.
13. Household Items
Women are the most potential target market for household items, but as a distributor, it is recommended to advertise to the public without considering the sex or age of the person. This business has a very good prospect and steady profit.
Actually, this business has potential when it is scaled up. Household items have a very stable market because everyone needs them. Being a distributor is more promising than being a supplier. To be a distributor, you need to have a credible brand and good product packaging and quality, because retailers always prefer to sell the best products with good profits. In order to become a distributor, you should have strong capital. It can be simple if you start with a small business first and develop it into a bigger one. The allocation of household items is usually located in specialist areas. You can place trial products in supermarkets or grocery stores near your area. This business can be marketed through TV commercials, brochures, and other methods.
Strong demand creates a huge market, and household items are no exception. You can fulfill these needs by supplying household items. The household items that can be considered are daily used items such as plastic buckets, plastic baskets, brooms, dustpans, mops, sponges, garbage cans, insect repellent, plastic gloves for dishwashing, cloths for cleaning, rubber bands, clothespins, and many others. It is good to choose unique items to differentiate yourself from other suppliers. You can also sell Le Sucre items, which are more expensive. This kind of business is really promising because you will never run out of customers and you can tap into the amazing household item market. In the early stages, you might want to cooperate with a supplier company, or you can look for household item exhibitions if you want to have direct suppliers from manufacturers.
