Are you an aspiring entrepreneur looking to start a business in Nigeria but not sure where to begin?
Do you have free 500k lying in the bank and are looking for what to do with it?
There are several businesses you can start with 500k in Nigeria but your options are limited. Sorry to say this but its the truth.
In this article, I will give you 25 easy businesses you can start with 500k in Nigeria.
These businesses are easy to break into, and you are guaranteed to make a lot of profit.
But before we dive in we have to get one things straight. 500k in Nigeria is no longer a lot of money.
A couple of years ago you would have used this same amount of money for whatever business you intend to venture into but today, this is not so.
For one the price of rent has skyrocketed. A year ago you would have gotten a shop for 300k in Nigeria, but today, this is not so.
Lets say you get a shop for N250k you’ll be left with 250k and that’s not going to go far in this economy where the price of petrol is N617 a liter.
Maybe you have a shop. If that is your case then you have far better options than somebody who will have to pay for rent from the 500k.
But then whether you have a shop or not, the business ideas listed here can be comfortably done with 500k in Nigeria today.
So let’s dive into it.
25 Easy Businesses to Start With 500k in Nigeria
1. POS Business
The POS business is the number one business on this list.
In 2022, the Federal Government of Nigeria brought out a cashless policy which brought confusing and desperation among the people.
But while there was a lot of confusion back then there was one business that was booming: the POS business.
Because cash was scarce, people began to look for any available means they could get money. The POS merchants were there to serve this need.
I can remember one day I went to withdraw N5000, and the merchant said he was going to charge me N1500 for this transaction.
That’s how profitable it can be in this business sometimes.
The good thing about starting a POS business is that all you require is
- a chair and umbrella.
- A good location where you will place these items,
- Your POS Terminal, and of course
With these things in hand, you are good to go.
You can easily make N5k to N10k a day in your POS business.
Check out this article on how to start a POS business in Nigeria.
2. Vegetable Farming
Vegetable farming can be a profitable business to start with 500k in Nigeria if done correctly.
But to embark on this business, you need to already have a parcel of land.
Nigeria has a large market for vegetables, and there is a high demand for fresh produce.
During the dry seasons, there’s a shortage of most edible vegetables in the market.
This shortage often leads to a hike in prices.
With proper planning, management, and marketing, vegetable farming is highly lucrative.
It is important to research the best crops to grow in your area, as well as the most profitable markets to sell them in.
3. Poultry Farming
Poultry farming is a great business to start in Nigeria with 500k for several reasons.
Firstly, Nigerians love chicken. If you’re Nigerian, I bet you love chicken. This love is underlined by the amount of fried chicken showcased in several locations.
Secondly, poultry farming is a low-cost business to start.
This makes it accessible to many people.
With 500k, you can start a small-scale poultry farm and gradually expand it over time.
Thirdly, poultry farming has the potential to generate a steady income stream.
People kill chickens every day and sundays are like bazaars.
With proper planning and management, it is possible to make a profit within a few months of starting the business.
4. Snail Farming
If you’ve been a follower of my blog, you’ll know that I always talk about snail farming when it comes to businesses.
The reason is that snail farming is an underrated business.
Apart from loving chicken, Nigerians love meat, anything that’ll make us feel good. Snails have a knack to do that.
Snail farming requires minimal investment capital, so it’s accessible.
You can start your snail farm in the backyard or on a small piece of land.
Snails are easy to care for and require little maintenance, making it a low-stress business to manage.
This business has a high-profit potential.
The last time I bought a kilogram of frozen snails, it went for N20,000.
5. Fish Farming
Fish farming, also known as aquaculture, is a profitable business that you can start with 500k in Nigeria.
Well, if you’re in Nigeria you already know that Sundays are for fish barbecues. Most people take their partners out just to buy them fish.
Fish farming is a low-cost business to start.
With 200k, you can buy up to 1000 fingerlings of fish that could generate a profit by 100%.
There are different types of fish farming systems, such as:
- Recirculating, and
- Greenhouse systems.
The choice of system depends on the available resources and the type of fish to be farmed.
Fish farming requires a suitable location, such as a pond or tank, and a reliable source of water.
The fish can be fed a variety of foods, such as commercial fish feed or locally available feed, and the fish are easy to care for and require little maintenance.
6. Pig Farming
A lot of people run away from pig farming because of the dirt and everything. But you don’t have to handle the pig yourself; you can pay somebody to do that for you.
Everywhere you go in southeastern Nigeria, you’ll find open barbecues of pork meat.
Those pork are gotten from somewhere.
With 500k you can start a small scale pig farm.All you will need is a suitable location, such as a pigsty or pen, and a reliable source of feed and water.
If you find somewhere close to a river. Even better because pig farming consumes a lot of water.
Pigs can be fed a variety of foods, such as commercial pig feed or locally available feed.
Pigs are also easy to care for and require little maintenance.
7. Rabbit Farming
According to the Food and Agriculture Organization of the United Nations (FAO), an estimated 1.2 billion rabbits are slaughtered annually for meat.
Rabbit or bush meat is a delicacy in many parts of the world, including Nigeria.
This business can be likened to livestock farming, but instead of rearing goal and ram, youll be raising rabbit or Grasscutter.
The rabbits are easy to care for and require little maintenance.
Youll have to build them a cage so they don’t run away or get eaten by your neighbors. This should cost around 100k.
If you hahve no idea where to buy rabbits, then go to Google and search for “How to buy rabbits near me”
They mostly feed on peels, vegetables, fruits, leaves, carrots, cabbage, etc.
Their waste can also be used as fertilizer.
The rabbit farming industry in Nigeria is still growing, and there is a significant market for rabbit products both locally and internationally.
8. Affiliate Marketing
Affiliate marketing is a business where you refer a seller to a buyer and get a commission.
This is similar to what happens when an agent brings a tenant to a landlord.
One thing about affiliate marketing is that you can do it from the comfort of your home.
First, get yourself a computer – a laptop – then invest in a good phone.
After that, the next thing is to get yourself an affiliate marketing course.
This is like a guideline that’ll show you what to do and what not to do.
The great thing about affiliate marketing is that after investing in a laptop, phone, and course, you won’t have to spend any more money.
When you’ve learned everything in the course, you’ll then join a platform where you’ll get access to different products from different people.
The course will show you how to offer it to the right people who need it for you to make your commission.
Commissions in affiliate marketing can range from as low as N1k to as high as N1 million for one product.
9. Plantain Farming
Plantain farming is something a lot of people fail to think about, but you can make a lot of money doing this business.
Plantain is a staple food in Nigeria and is used in various dishes such as plantain chips, plantain bread, plantain soup, and plantain casserole.
To start a plantain farm, it is important to select a suitable site with well-drained soil and adequate sunlight.
You can find land in your village or lease one from somebody in town.
Having your land is always better.
Plantain requires regular watering and fertilization.
It is important to manage pests and diseases to ensure a healthy crop.
Harvesting of plantain can begin after 9-12 months, and the yield can be sold to local markets or processed into other products.
10. Palm Oil Production
Palm oil is the most widely produced, consumed, and traded vegetable oil in the world.
Nigerians use palm oil for everything.
From margarine to lipstick, biscuits to candles, and chocolate to laundry detergent.
It is also extensively used as a biofuel and as animal feed.
According to Our World in Data, global palm oil production has increased rapidly over the past 50 years, from 2 million tonnes in 1970 to 71 million tonnes in 2018
So if you’re looking for a business to tap into, I recommend this.
There are three areas of the palm oil business.
- Owning a palm oil mill
- Buying and selling palm oil from villagers
- Selling palm to companies for export.
500k will enable you to tap into two areas of this business which is to buy from villagers and to sell to companies.
But one thing: you have to be ready to get dirty.
Whether you’re buying the oil from small-time producers or you have a mill of your own.
Check out our guide on the Step-by-Step Guide to Starting a Successful Palm Oil Business in Nigeria
11. Restaurant Business
Most people do not eat at home when they go to work in Nigeria. They get to eat when they return home at night.
This is a gap you can tap into in the country.
The restaurant business involves the preparation and serving of food and drinks to customers in a dining establishment.
You can make yours unique by serving only breakfasts or by preparing fast foods for lunch.
To be successful in this business, all you have to do is to look at successful restaurants around you.
Whayt are they doing? What can you offer to make everything better for customers?
With 500k in Nigeria you can setup a thriving restaurant business that is profitable.
Forget about renting a shop with this amount of money instead you can start by serving food from a buka or food truck.
As you begin to make money money and establish yourself, then you could find a permanent location.
Here is a guide on how to start a fast-food business in Nigeria
12. Boxers Business
Now, this is a form of e-commerce business you can start in Nigeria.
But instead of buying any other thing, your main business will be on male underwear.
To start this type of business, you have to get down and do some investigation where you’ll buy boxers for a good price.
Here’s my recommendation: Finelib.com.
Now, you don’t need to have a shop for this.
You can market these boxers with social media ads or if you have the energy, you can hawk them yourself.
But to make the most money in this business, find a way to bargain for a good price, then sell the boxers you get to the people who sell boxers on the street.
13.Mini Provision Store
500k can start a mini-provision store business that can yield substantial profits over time.
One reason is that the demand for provisions is always on the rise, owing to the country’s increasing population.
Another reason is that a mini-provision or grocery store requires relatively low overhead costs.
You can buy a container with your 500k and look for a good location to place it.
A good 6×6 container can be gotten for N120k in Nigeria.
The rest of the money can then be used to stock your shop with the necessary items that people most require.
Learn more on How to Start a Provision Store Business in Nigeria
14. Snack Vending Machines
Snack vending machines are a great business opportunity for entrepreneurs with 500k.
Unlike other businesses that require expensive equipment, inventory, and rental space, a snack vending machine business can be started with minimal overhead costs.
The main things to buy in this business are your:
- Show glasses
- Cooking ware and
- Ingredients for making snacks.
With a tool such as ChatGPT, there’s no end to the number of snacks you can make.
Snack vending machines can generate a steady stream of passive income.
Once a vending machine is installed, it can operate 24/7, generating sales even when you are not present.
Make sure it’s situated in a safe place.
15. Online Clothing Store
Starting an online clothing store in Nigeria with 400k can be a promising venture due to the country’s growing e-commerce market.
Many people are now buying things with their phones from the comfort of their homes.
With a population of over 200 million people, many of whom are young and fashion-conscious, there’s a substantial customer base to tap into.
Since your business is online, there is no need to pay for rent.
All you have to do is to set up an ecommerce shop. You can watch this video on YouTube to know how to do that.
But I highly recommend you invest in an e-commerce course. You can get that for 30k.
Doing so will save you the stress and time you’ll spend looking for information yourself.
16. Shawarma Store
A shawarma store is a type of business that specializes in selling shawarma.
If you’re Nigerian, then I guess you already know what I mean.
But if not, shawarma is a popular Middle Eastern dish made of meat (usually chicken, beef, or lamb), vegetables, and spices, wrapped in pita bread or a wrap.
A profitable shawarma store can be launched with 500k.
And to add some flavor to your business, you can also work with logistic companies to offer home delivery of your product.
However, starting a successful shawarma store requires more than just a good idea and a little bit of capital.
You have to be willing to adapt and learn.
Not everybody is going to like the Shawarma you make, and some customers can be rude.
But you can easily deal with this if you learn how to communicate with people better.
17. Buy and Sell on Facebook Marketplace
Starting a buy-and-sell business on Facebook Marketplace is a great opportunity.
I know because I’ve done it myself.
With as little as 500k, you can start a buy-and-sell business on Facebook Marketplace that can yield substantial profits over time.
All you have to do is join several Facebook groups where buying and selling take place.
The most items to buy are:
- Furniture, like beds
The good thing about this business is that you do not have to pay for rent or spend the whole income at once.
Just sit down and look at something people are engaging with. Then buy it and list it for sale again.
You can easily be making 5k and 10k daily from this business from the comfort of your home.
Over the years, Facebook has become a hub for many people in Nigeria.
With over 33 million active users in Nigeria, Facebook provides a large and diverse market for entrepreneurs to tap into.
18. Quail Farming
Quail farming is a great business to start with 500k in Nigeria because it is way cheaper than running a chicken poultry.
Quail meat and eggs are considered to be a delicacy in many parts of the world, including Nigeria. Quails are small birds and farming them can be done in a relatively small space.
It is a profitable business because quails can grow pretty fast.
They have a high reproduction rate, aand knowledge of fashion trends.
This business is highly competitive. Success requires talent, hard work, and a strong business sense.
It is also highly profitable.
19. Cleaning Business
One big reason why a cleaning business is a great business to start with 500k in Nigeria is that it’s easy to get into.
A cleaning business can be started today if you want.
The main thing to have in this business is cleaning equipment like:
- Mops, and of course,
You’ll also have to hire a couple of people, but this should be done when you get a job.
The best method to get customers that I’ve found in this business is by running Facebook ads.
With an ad spend of N2k a day, you can get a contract that’ll keep you working for the next two or three months nonstop.
20. SEO Consultancy
Starting an SEO consultancy with 500 thousand Naira is a smart and promising choice.
In today’s digital landscape, businesses are increasingly reliant on their online presence to succeed.
This is where your SEO expertise comes in.
First, you have to learn what SEO is and how it is done.
This could take you 6 months, but these 6 months are enough to change your life.
Check out this article to see how much SEO specialists are earning monthly in Nigeria.
Your initial investment can cover aspects such as:
- Setting up a professional website
- Marketing your services, and
- Acquiring necessary tools.
As your consultancy gains traction and secures clients, the returns can be substantial, enabling you to reinvest in advanced SEO tools, hire a talented team, and expand your service offerings.
21. Egg Supply Business
With N150,000, you can buy as much as 100 crates of eggs.
Now, before buying these eggs, you have to make sure you already have a place to keep them while selling them.
The success of an egg supply business depends on various factors, such as:
- Market demand
- Competition, and
- Business strategy.
It’s important to have a reliable source of eggs and a means of transportation for distribution.
Overall, starting an egg supply business with 500k can be done.
You can store the eggs in your house for starters. Or you can pick up directly from your supplier for distribution.
The best way to sell your eggs when you get them is by going to shops around your area and meeting face to face with your customers.
This way, you’re not only selling your eggs, you’re also building relationships with people.
22. Okrika Business
Starting an Okrika business in Nigeria is a good business opportunity, especially now that the price of everything in the market keeps going up.
Many people are choosing to opt for used items instead of new ones.
You can start a profitable Okrika business in Nigeria with N60,000 Naira.
However, if the intention is to start the business with a bale of clothes, normally 100kg, then you should budget N100,000 Naira to N300,000.
However, it’s important to note that the success of an Okrika business will depend on various factors, such as:
- Your location
- The type of clothes you sell
- The quality, and
- The price of your merchandise.
There are several areas of the Okrika business you can tap into.
It’s either you sell sweaters or you sell sports attire.
But sweaters can be seasonal so I wouldn’t recommend that.
If you’re somebody who is more open-minded, you can go for pants and bras for women.
There’s a lot of money to be made in this business, and the good thing is that it is highly underrated.
23. Candle Business
Candles are popular items that can cater to a wide range of customers.
Most people who buy candles seek ambiance, relaxation, and gifting options.
To begin your candle business, start by sourcing cost-effective yet quality materials such as:
- Fragrances, and
- Basic packaging.
When creating your candle, it’s important that you have a signature scent or a unique selling point to differentiate your candles from others in the market.
Handcrafted and locally-made products often carry a special appeal, so focus on the craftsmanship of your candles.
For selling, you can start through local markets, or even directly to friends and family.
Social media can also be a powerful tool to showcase your products and build a loyal customer base.
Invest time in creating visually appealing posts, sharing behind-the-scenes content, and interacting with potential customers.
24. Perfume Business
Perfumes are highly sought-after products for personal use and gifting, making them a lucrative market to tap into.
There are two ways you can venture into the perfume business with 500, 000 Naira
The first is by buying from wholesalers who have mastered the art of buying exotic perfumes and selling in tiny bottles.
You can buy this perfume in batches of 15 or 20 for N500 a bottle.
Then you resell to your customers for N1000.
This is a simple business that can make you a lot of money fast.
The second way to go into this business is by making the perfume yourself, but this can be intensive.
With a tool like ChatGPT, you can learn how to make perfumes yourself.
Here’s how you can make the most of your investment:
- Begin by sourcing high-quality fragrance oils, alcohol, and packaging materials to create appealing scents.
- Experiment with a variety of fragrance combinations to develop a range of scents that cater to different tastes.
Before launching, ensure that you thoroughly test your perfumes to ensure their quality and longevity.
The best way to market your perfume if you take the first route is by word of mouth.
You sell to people around you, and they’ll be happy to buy, I promise.
The second way will require you to run Facebook ads.
This will help you get customers who will be willing to buy from you and sell to others.
You can also visit your local markets.
With dedication and a well-thought-out strategy, starting a perfume business in Nigeria with 400k Naira can be a fulfilling and profitable endeavor.
25. Bed Sheet Business
Launching a bed sheet business in Nigeria with an investment of 400k Naira is a promising venture.
You can sell one bed sheet at N1000 or N2000 profit.
Bed sheets are essential household items, and the consistent demand for quality bedding presents a profitable opportunity.
By focusing on material selection, comfort, and appealing designs, you can create a range of bed sheets that cater to various preferences and bed sizes.
The good thing about the bed sheet business is you don’t have to import it.
You can source good cotton materials in the market, then get a good tailor to sew them, and voila, you’re in business.
To sell your bed sheets, run advertisements on social media platforms.
Or you can visit the market and sell to shop owners.
Always make sure to offer them deals they cannot refuse, and you’ll be counting money.
Embarking on a business journey with 500k in Nigeria might present its challenges, but with the right mindset and strategic approach, there are ample opportunities.
The value of 500k has changed over time, and while it might not stretch as far as it once did, the determination and creativity of an aspiring entrepreneur can still leverage it effectively.
If you have a burning desire to venture into the world of entrepreneurship, don’t be discouraged by financial limitations.
Research, plan, and seize the opportunity that resonates with your passion and strengths.
Whether it’s starting a small-scale agricultural venture, tapping into the digital space, or exploring a niche market, the time to begin is now.