Category: Small Business and Entreprenuership

Fola Akinmolayan, who prides himself as an internet evangelist, is Founder/Chief Operating Officer of Neo2. Since 2004, Fola has grown his understanding of on-page optimisation, online reputation management and social media with both in-house and agency positions. As CEO of Neo2, he had led the company to partner with Africa’s biggest ICT Company, MTN Nigeria, in launching the my2015 BetterMe app. In this interview with Bukola Aroloye, Fola examines the growth of mobile and ICT in the country, and the challenges of running a business in Nigeria. 

Can you tell us a bit about yourself and your company?

My name is Akinmolayan Abiodun Akinfolarin. I won’t say that I am a geek, but then I have always been very passionate about technology. I started my company way back in 2003 while I was still in the University of Lagos. We started out as a consulting service company, where I was trying to carry out trainings for individuals who were interested in knowing more about technology but most importantly internet-enabled services. Back then, we really didn’t have the kind of platform we have right now. What we had were a bit primitive and not as fragmented the way it is now, so our energies were poured on specific languages, platforms and so on. It was easy to learn and easy to also pass on the knowledge and that’s how we created Neo2, as a technology resource company at that time and we were able to grow it into software development, application development over the years and into digital research and digital concepts and designs.

Let’s look at Nigeria’s digital space, coming from 2000 where we had the Y2K Millennium bug, between that time and now, how would you assess Nigeria’s digital and mobile space?

There’s been a very huge improvement and I think that improvement is primarily out of necessity. If you look at the Nigerian growth rate in terms of internet penetration at that time, it was very low. And then fortunately for us, we had the GSM licences with the likes of MTN coming on board.

From 2007, we saw a very huge spike particularly with the advent of mobile internet services. Nigerians don’t adapt to technology that quickly but out of necessity and when platforms realised that it paid better to stay modernised with technology, knowing that there is also some cost savings with it. That is, business processes are done better, we witnessed a mass migration and we are seeing that trend right now where technology and internet enabled services are seriously on the rise.

Prior to now, we never used to have e-commerce but today e-commerce stores are on the increase. And I’m not talking about the big ones like Jumia and Konga. The trend is that there are small shops setting up niche online stores and they are doing pretty well.  What that tells you is that there is a mind shift here where people are now relying on technology even for fulfilment of services.

Also look at PayPal; I remember way back then, PayPal said that the region was too risky to do businesses and now PayPal saying, “Hey, we want to do business with you guys.” I see a lot of improvement and I think it is purely based on technological investments that we have in the country and most importantly, the necessity to also play at that level.

Did you have any apprehensions about reaching out to a big multinational corporation with your product?

I have always told myself that I knew when Google and Yahoo started and I was already doing IT around that time. However, the place I was in couldn’t enable me to become what I had hoped I was going to become.

Today, when I see how successful these companies are, I don’t find myself being scared because I remember reading up about Google the very first day they started. I also remember then I was trying to learn a particular language and there was this buzz about this new company that just started with some of my friends arguing about whether it was going to be a success or not.

There were a lot of things coming up at that time too and Google was just one of the very many. Seeing them as big companies right now is not scary at all because, for me, I just feel that if they could do it, why not, everybody can do it, if you put your heart to it.

Approaching MTN, I approached them like I was Google, like I was Facebook, like I was Yahoo. The worst case scenario is that they would not buy and you move on to the next person.

My advice to a lot of young people out there who are looking at trying to pitch big companies, they are not monsters, they are human beings like you there and will listen if you have an awesome idea.

Why should the ordinary Nigerian be enthused by access to the internet?

The internet can be likened to the air we breathe, the food we eat. It is the hip culture right now and the language of this century. The internet is absolutely everything in that it is what makes us what we are and what we’ll become. I do not think that in the history of technology that there has been any form of technology as disruptive and persistent as the internet, especially when we consider its alarming growth rate in so short a time.

We have technologies in cars that have been around there since the1940s and have not changed. I was watching the movie, Fast and Furious, and looking at a particular car that was produced around 1940 and they were talking about the pistons and carburettors and its ilk. We still talk about that technology today in relating with cars.

However, the internet is just an amazing part of modern day technology that seems to just stick on and is able to make lives better via its value added extensions. When Nigerians have fast and cheap access to the internet as we are trying to achieve with the BetterMe app, you can imagine how big the internet will become in our lives.

Could you take us through the start-up process and growth trajectory of Neo2?

At Neo2, we’ve been silent for years, really. This would be our first serious engagement with the traditional media even though we’ve been in this business for years and have been enabling services also for years. We’ve always tended to shy away if not for the magnitude of this project, we probably won’t be having this interview.

Looking at how we started and where we are right now, we’ve not really done bad for ourselves. We are well positioned through our sister companies in our desire to take over and create a platform for technology, particularly consumer technology in 2015.

We have other platforms such as Digital Passion, as well as an IT-focused radio show and all sorts of ways by which we hope that to create a platform where companies like MTN and the likes might want to launch a product or partner with us to render some key services. It is very important to create platforms and for us, that’s the position we are trying to take going forward.

Do you see yourself leapfrogging the competition as a result of this partnership with MTN?

Yes, we can. MTN is a very big brand and when you work with them, it is a lot of work. A lot of work in the sense that meeting expectations, deliverables and all of that. Often times we find ourselves getting more resources. Working with a very big brand like MTN provides valuable learning opportunities to leverage on and help to position our brand for more clients.

What are your thoughts on the technology start up in Africa and what would be the key differentiator in the market?

I think that the African tech start up scene should be focused on creating technology solutions that are situated for the African market, localised apps, localised content. I think it will go a long way in adoption and rendering tangible services and solutions.

What advice do you have for young people who have similar ideas like yours?

These are the three ingredients to being successful anywhere, not just in Nigeria. First you must be hardworking. Second, be good at what you do. You don’t have to be good at so many things, learn one good thing, and be good at something. And lastly, humility is also important; be humble to learn and listen. These are virtues that you can’t get it wrong following them. If they don’t listen to you now, they will listen to you at some point.

Nigerians are making  millions  from cashew export yearly. DANIEL ESSIET reports that the commodity has high economic and nutritional value.  

For the few Nigerians  who  export  cashew,  the business  has been of instant success. Driven by the rise in demand  from  China, India and other fast-growing economies, the global cashew  boom has generated  profits at most  trading houses.Together,  some  cashew  exporters  are worth millions  of  dollars in annual revenue. One  of them  is  the  Chief Executive, Universal  Quest Nigeria, Mr Sotonye Anga, one of many of the quiet giants in  commodities business, who  export  cashew nuts. He has been a success story in the business but this is not without its challenges.   For instance,he faces challenges from companies such as  Olam that   command great  influence in commodities marketing globally. This notwithstanding, Anga said there are more opportunities to make money   in  cashew  exports with the reported  sharp rise in imported raw cashew nut prices from East Africa. This is encouraging buyers to look for greener pastures in other countries.

With  the  government  and the  private  sector  campaigning  to  farmers  to increase local  cultivation , cashew exports could  be inching closer to a new peak of 400,000 tonnes.

Anga said  there  are  high  profits from cashew, buoyed by high demand.

And with world price  rising and expected to remain steady, he  said  life is changing for Nigerians  who  are  ready  to invest in  cashew export.It requires  an investment  of  N1.5 million  but  the  returns ranges from 10 to 30 percent per transaction.

He  said  Nigerians  can end their drudgery if they take to cashew exports. The demand for the crop is high locally and internationally, and this will hopefully continue to rise.

According  to him, exporters can get  enough  supply  because   cashew  can   grow  very well in more  than 24 states  of the federation.Maintaining  high quality cashew nuts, he  said, is very critical  to an exporter, and as  such,  he  believes  in partnering with producers  with  good  cashew plantations,best production processing, and marketing practices. This,he  added,  is  central to ensuring that cashew businesses will develop into highly profitable ventures.Cashew is currently exported to India and Vietnam where it is processed and then either consumed in those countries or shipped to the US or to Europe for further processing and packaging. Currently, the  crop enjoys considerable patronage around the world.

His  company  ships cashew   to several European countries. To this end, he  works   with local farmers, to improve the quality of the cashew nuts by sharing new farming methods, planting techniques, pre- and post-harvest handling methods and many other skills.

This  is  because  local farmers  need  to produce high quality cashew nuts, which in turn give them the financial gains needed to lift them out of poverty.

Going into cashew business, is not an easy task for a new beginner  because of   lot of things .The major consideration   is the amount  of  capital one  is  willing to invest . If  there is enough capital, one  can export himself. It is also good   for one to buy and supply export companies in Lagos and major  shipping  towns .

For  him and  others,  a beginner needs  to  undergo  some form  of training or  mentorship   to enable one understand cashew business / terms and how  many  cashew nuts are sold per tonne.

Generally, 2.13 bags make a tonne. 30 tonnes make a truck / long trailer.One needs to know  how  cashew nuts  is  graded or scaled. The standard and  quality  required  by  foreign buyers and  how  it should be  packaged.

Anga said  the  cashew trading and export, still has more room for investors. He  said  exporters can also make  money from cashew apples, which could be processed into fruit juice, which is being wasted annually because the focus was on the nuts alone. He said: “The wastage is just too much. We are talking about 90 per cent of our cashew apples. The cashew shell liquid that is used for a lot of industrial applications is wasted because we do not use it. This is one industry that we need to explore which has not been tapped.”

Instead of being shipped abroad in their raw form, some Nigerians  roast cashew nuts and sell on the streets.

Chief  Executive, Centre for Trade and Export Development, Mr Titi Olukayode said his company    is   ready  to train more Nigerians  get  involved  in cashew export.

According  to him, the company  holds  training sessions to expose  would-be exporters  to   international buyers.

Meanwhile, cashew is not the only produce  that his  compnay supports.

The  company  offers   integrated support   to new and existing  exporters interested in sesame, cocoa, soybeans and other non oil exports.

Startups on campuses  are on the rise as students flock to entrepreneurial pursuits, Busola Adesunloye reports.

Olatunde Samson was a  busy bee while on campus   of Olabisi Onabanjo  University, Ogun State. He  observed  there were so many students without knowledge of computer usage. He started running  private lessons and was making  money to sustain  himself. He was into many things until he graduated and went to run his  company, Business Impact Limited.

As an entrepreneur, he wished  he had the opportunity to take part in any incubator programme  in school that help students and alumni launch their business ideas.

The  mentorship and guidance he  got then to launch his business idea was mostly from outside the  campus.  His entrepreneurial education came from textbooks. Having a mentor could have helped him avoid the common pitfalls of entrepreneurship. He made lots of mistakes himself. But those mistakes have proven to be valuable learning experiences. He now owns many  businesses.For  Samson,  there are thousands of students across the country who can build and run sustainable businesses, all while staying in school. He wants students to start businesses while they’re in school, a real business. Overall, a growing interest in entrepreneurship is a nationwide phenomenon. Whether it’s securing a car, offering mobile  barbing service or hair making,  college students are exploring  every business opportunity on  campuses.  It’s not surprising then that there are a lot  of  pocket and  portfolio business run by university students.

With the current rate of unemployment, it is only wise that  youths start looking inwards to harness their various abilities to make their lives better. One of them is  Adetutu Aiyewunmi, a 400-level Economics student and fashion designer in AdekunleAjasin University Akungba Ondo State who  started sewing even before she got to school. “Ive been sewing before school but not really for business, I was just sewing for myself and my sisters”.

She said that she had to bring the business habit to school to help minister to her needs. She said: “My father is retired and I don’t want to depend on him too much, I need to start taking up my responsibility”. When asked what the business environment looks like on campus, this is what she offered: “business environment is good, if you can market yourself well, you will have more customers, but less pay and mostly, I do adjustments more and that brings in little income. At the same time, I have to be careful about the number of clothes I sew so that my studies will not be  affected”.

Adetutu hopes to intensify publicity on the business as she targets at least 40 per cent of the population  in the school  before she graduates. Currently, she works in her room which she shares with two other ladies.

Opeyemi, a 300-level student of Botany in UNILAG   runs  an outfit  organising events on  campus.

He was with an entertainment company that organised  pageantry outside Lagos. He said: “When I got to school, I looked at UNILAG and said I could use my experience to start a personal business”. He said he started with N150,000, raised by him and  friends to organise a fresher’s award.  “We just wanted to be known, it was not about the money. Currently , people will just give me a call about something they want to do, so it is lucratve but time consuming,”he said.

Opeyemi describes himself as a business mogul, who has love for fun and passion for entertainment and the business affords him the platform to take care of himself in school, and prospects of making a name for himself in the entertainment business.

Samuel Adeise, a 300-level Maketing student of Redeemers University, owns a clothing line called Invashion which he started in 2013. He said: “ The capital for fashion is very high unlike any other business. I had to source for funds from my family to start the business and even at that, the funds were not enough for a standard clothing line”.

He  does not accept jobs that  clash with lecture time. Although the profit which he puts in is between N5000and N10000 per outfit,this  does not cover his tuition but can take care of his upkeep. He also spoke about competition in school, saying that a lot of people also are now  into fashion business. “I try my best  to make sure that the products speak for themselves and just last week it got an award for best dress original in school,”he said. Samuel said he has a passion for fashion because it makes him a  complete person. So, he wants to make a career out of the effort.

“Government and other corporate institutions should make it a priority  to  encourage young, creative business minds especially as we seek to diversify the nation’s economy,”he added.

 

Winifred Okeke is the president of the women’s wing of the Nigeria Association of Medium and Small Enterprise (NASME) in Enugu State. In this Interview with Yetunde Oladeinde, she talks about life empowering people with small businesses, running a thriving water company, tapping from the potential the ongoing projects, challenges of an entrepreneur, among others

If you ask Winifred Okeke what makes life exciting, she quickly tells you that it is the opportunity to give small scale entrepreneurs a new lease of life.

Apart from the individual assistance she renders to some, she is also part of a number of networks which help to provide the support system needed.

“The private sector needs to be strong and ready to make the business environment more conducive for small business owners,” she says.

“I went into water business and it was a turning point in my life. It is called OWN table water and the name came from the acronym of my names. Initially, I found that the business was highly competitive because the men dominated the business in the area. However, I was not discouraged, it actually made me put in energy and I had the passion to make a difference. I broke into their midst and this was not new to me because I always like to challenge the men right from school. We started from sachet and graduated to bottle and the business is thriving in Enugu State,” she recalls, with a ring of excitement in her voice.

What was she doing before this? She deadpans: “I was a full time banker for thirty years and I retired as a senior manager with the African Continental Bank. I did banking with the Institute of Bankers in London. In those days, they did not have banking in the universities in Nigeria and I had a very fulfilling career.”

Expatiating, she says: “Afterwards Enugu State government gave me an appointment as the Managing Director and I started what they called ESWEMA, it is the equivalent of the LAWMA that you have in Lagos under the Enugu State Management Authority.”

You also want to know if she pioneered the project and she says at the risk of sounding immodest, “The programme was going on with a different name and I was enlisted. However, they were not able to fulfil the objectives and that was the point that I came in. I had powers unlike those who worked before who were general managers, and I was a managing director directly under the governor. That was during the tenure of Chimaroke, and I got to do so many things without the usual protocol and rigmarole of the civil service.”

As for the secret of her success, she says: “First, I would say that the awareness I had was very useful, then there was also commitment as well as the involvement of the people. I succeeded in getting the people involved, unlike what obtained in the past. It was exciting getting them to understand the importance of sanitation and I enjoyed immeasurable cooperation from the citizens even though I am not from the state; I am from Anambra State.”

So what are some of the transformations that occurred during her tenure? you ask. “I made away with all the dumps in the state, maybe I should say all the major dumps. I cleared every major dump before I left. Just before I came in, it was horrible; but we brought a new orientation and I was forthright. The greatest strategy is to that I refused to pay them until the work was done.”

This took her to the next phase of her life and she set up a water company.

She adds: “Apart from getting rid of the waste, we also tapped into the potential available in making wealth from waste. A number of people were empowered this way and their lives were transformed in the process. We got other states like Cross River to come into the project, but somehow we didn’t go as far as I wanted. We were about combining the whole project when I left.”

So what were some of the challenges Okeke encountered? “Some people were not happy with what we were doing. There were other challenges like funding, especially with the vehicles that should be used. The dumps that I cleared made me really happy. Each time I passed those streets, I got excited. There were a number of awards and recognitions. I got one of the biggest awards from the army and I am a life member of a male group.”

Happily, she takes you into her world and some of the opportunities highlighted for the womenfolk. “What we are doing at the moment is to train those who would train others. We are also training young girls in skill acquisition, this includes area like fashion and it is a way of empowering the young ones to discover the opportunities and potential that would transform their lives.”

Okeke goes on to tell you that she was also the secretary of the general wing before the women’s wing came into existence. “Some of the other projects that we have done also have to do with enhancement of skills for members, networking and collaboration with local and international organisations for growth and development. The general group is about twelve years while the women’s wing is just about three years. As women, we have been trying our best but the problem, however, is that we do not have the wherewithal to be on the same level with the men. You need a lot of funds to do all the things required. We are also building our permanent office and that project is gulping a lot of the resources at the moment.”

Asked about the changes that she hopes to make, Okeke replies this way: “There are a number of projects in the pipeline and our desire is to turn around the fortunes of members significantly. NASME is an arm of the presidency and it is in different parts of the federation. Some chapters are as old as twenty years but I joined the organisation about five years ago.”