When it comes to doing business in Nigeria, some cities are better than others. Considering factors like security, purchasing power, accessibility etc. For instance, there are several businesses in Lagos. This is due to the large population and purchasing power in the state.
Outside Lagos, there are several other commercial cities in Nigeria. So, as a businessman, you need to know the best states to do business before setting up anything. This will increase your chances of success in any commercial activity you are engaging in.
Top 7 Best Cities To Do Business In Nigeria
Aba is obviously one of the best cities to do business in Nigeria. The city is located in Abia state and it is a major trade center in Nigeria. As a matter of fact, people travel different part of the country just to do business in Aba.
Aba has several markets where they produce shoes, beer, mineral water, soap, pharmaceutical, textiles etc.
Advantages of doing business in Aba
There are several benefits of doing business in Aba, some of them are;
- The cost of living is relatively low
- Also, the city provides a large market for most business niches and people come from different part of the country to do business there. In other words, people will always patronize your business in the city of Aba.
However, one of the reasons why people don’t like doing business in Aba is that it is not as beautiful and interesting as most other cities. In other words, most people believe that the city is too local without any posh ambiance like Port Harcourt and Abuja.
Onitsha is another interesting commercial city in Nigeria. It is located in Anambra state, you obviously don’t need a soothsayer to know that it is one of the most popular cities in the east.
It is a commercial city and 95 percent of activities in Onitsha is trading. People come from different part of the country including far north just to do business in Onitsha.
If you can get a good place in Onitsha, it is definitely a fertile business location in the country. Although the competition is very intense as there are several traders trading the same products. But with consistency and smartness, you will be outstanding.
The benefits of setting up a business in Onitsha are;
- Traders in Onitsha trade with consumers and retailers from different states in the country. Therefore, the market is large enough to exploit.
- The cost of living in Onitsha is relatively low compared to other cites.
Lagos is obviously one of the best cities to do business in Nigeria. The city is arguably the best place to start your business journey especially if you do importation.
Furthermore, it tops the list of most developed cities in the country and houses most of the commercial activities in Nigeria. Also, it is a perfect location to start a business in Information and Technology, this is because it is the hub for the niche.
Benefits of doing business in Lagos
- The city of Lagos is densely populated, thus the customer base of most business niche is large
- Riots, violence, and other ethnics and cultural conflicts are not common in Lagos. This is due to the fact that it is a home for everybody.
Challenges of doing business in Lagos
As fertile and juicy doing business in Lagos is, the city also has its own challenges. Some of the challenges you are likely to face when engaged in commercial activities in Lagos are;
- Cost of housing, rent offices, and accommodation is very high
- The noise in Lagos is second to none, so it is definitely not for people who don’t like noise.
- When you are not smart, there are chances that you will fall into the hands of fraudsters especially if you are new in the city.
- The traffic congestion in Lagos is second to none. As a matter of fact, you will always live your home two hours ahead of every business meeting otherwise you may miss it.
Kano is arguably the biggest and one of the best cities to do business in Nigeria. For those who are passionate about doing Agricultural related business Kano is a perfect location for you.
For those who want to trade leather, rice, tomatoes, and groundnut, Kano is for you. Some of the benefits of doing business in Kano are;
- They have a vast area for agriculture especially if you are interested in doing Agrobased business.
- Also, Kano is the center of commerce and trade activities.
However, some of the challenges business owners face in Kano are;
- The people living in Kano are more prone to a cough and catarrh due to the dry weather.
- Furthermore, the city is more prone to violence and riots fuelled by cultural, ethnic and religious conflicts.
Port Harcourt is one of the most industrialized cities in Nigeria. It is the capital of Rivers State and one of the best cities to do business in Nigeria.
Benefits of doing business in Port Harcourt
- The dwellers of Port Harcourt city have purchasing power
- It is a perfect city to start a business in the oil and gas sector.
- Also, it is a nice and beautiful place to live in. More importantly, it is not as populated as Lagos.
The only challenge of doing business in Port Harcourt is the fact that the cost of living is very high.
Abuja is another top city to do business in Nigeria, especially if you are a contractor hustling for government contracts. With the right contacts, you can make it very well as a businessman in Abuja. As a matter of fact, money is not the problem of people living in Abuja.
However, the cost of living is really very high in Abuja from accommodation, renting of office/shop is not funny.
Enugu is another amazing place to do business in Nigeria. Popularly known as coal city, it is an industrially rich area.
So, if you are interested in doing steel and cement business, vegetable oil, food processing, motor vehicle assemblage, Enugu is a perfect location for you.
This is the list of top 7 best cities to do business in Nigeria. Was this article helpful? Kindly share with friends on social media.