Leading is all about influence. How you present yourself
in a leadership role affects your ability to successfully
leverage authority and motivate others. Do you inspire
people to follow your lead? If not, consider evaluating
your performance and addressing crucial gaps.
Tweaking a few key behaviors can make a huge
difference in how others perceive you. Many people
don’t take this point seriously enough and damage
relationships, reputations and careers in the process. Be
proactive. Here's the deal: Leading can be a rewarding,
yet challenging undertaking. Follow these six tips
to model excellence and gracefully inspire others to
follow your lead:
Related: 8 Questions Business Leaders Should Ask
Themselves Every Day
1. Establish an impeccable standard of
excellence.
Set high expectations at the outset and raise the bar on
any crucial factors. The best way to establish a standard
is by modeling the expected behavior yourself.
Showcase excellence. When your actions have the
potential to affect everyone around you and the bottom
line, don't dabble in mediocrity. Reflecting excellence is
critical to exercising effective leadership. This is ground
zero for establishing influence.
2. Deliver on results promised.
Able leadership requires an ability to deliver results.
Rhetoric has little value if outcomes are what's
essential. Instead of touting wins from past
performances, focus on capturing tangible gains now.
Harness the power of chunking, a process for organizing
tasks and breaking them down into bite-size pieces to
avoid stress and burnout. Remember to follow up and
follow through, too.
Engage experts if necessary to timely and competently
pull projects forward. In the end, only substance and the
final sum will matter. Excuses won’t.
3. Value people and nurture relationships.
Top-notch people skills are vital to sound leadership.
Develop premium listening, communication and decision-
making skill sets. Demonstrate integrity by being open,
honest and fair.
Your transparency will reap clear rewards. If you treat
people well, most will be encouraged to return the favor.
By elevating the importance of people and relationships,
you enhance your ability to relate to others in an
authentic and meaningful way.
Related: Bosses Who Pick on One Employee Ruin
Everyone's Productivity, Study Shows
4. Promote strategic cooperation.
Collaboration is an indispensable component of
leadership as captured in John Donne's line “No man is
an island." This is especially true if you can build high-
performing teams, according to the Harvard Business
Review 's site. Isn’t it fascinating that no matter how
brilliant people are as individuals, they are often far
more effective when working with others?
People often produce higher quality, more efficient work
products when collaborating. Commit to this by actively
embracing opportunities for healthy cooperation. Make
teamwork an attractive aspect of workplace culture.
Less burnout, increased trust among peers and
enhanced interpersonal relationships will result.
5. Resolve conflict quickly and effectively.
Approach conflict proactively, which means the sooner
you resolve things, the better. As a core leadership
competency, conflict resolution is a delicate process that
requires thoughtful intervention. Disagreements naturally
occur. But persistent hostility should not be tolerated.
The bottom line? Conflict gets in the way of everything
else. Thus your ability to quickly and effectively facilitate
resolution will undoubtedly boost your ability to lead.
6. Freely develop and support others.
Professional development is an extraordinary
mechanism for facilitating growth. Demonstrate your
commitment to expanding your reach and your team's
by prioritizing opportunities for enrichment. Allot time
and resources to make the process stress free.
Challenge yourself and your team to overcome
shortcomings at regular intervals throughout the year.
Then acknowledge and reward proactive participation to
build enthusiasm and encourage continued progress.
Saturday, January 31, 2015
6 Key Tips for Leading by Example
5 Ways to Lead by Example at Work
As a leader of your business, you should send the right
message to your employees, business partners,
customers and colleagues. Your staff members and the
people at your workplace are expecting that you will lead
by example.
You may think that your work can speak for itself, but
your professional image and everyday demeanor may
not project the impression that you ultimately want.
Just as you make snap judgments every day about
others, the people you come into contact with make
assumptions about you based on each interaction. Use
these five tips to ensure that your intentions are
reflected by your actions:
Related: 6 Things Effective Leaders Should Do to
Inspire Their Teams
1. Arrive to work early.
If you regularly show up late, your employees might
assume it’s acceptable for them to do the same. In
leadership, it’s important to eliminate the mentality of
“Do as I say, not as I do.” Instead, exemplify the ideals
and characteristics you’d like your employees to
demonstrate when they come to work each day.
If you require members of your staff to arrive at a
specific time, your duty as their leader is to arrive on
time or earlier. The work ethic of your employees can be
heavily influenced by your actions. If they see you hard
at work bright and early every morning, they’re much
more likely to mirror your behavior.
2. Embody your company’s brand.
Is your online image congruent with your personal
brand? Set aside time to regularly update your blog,
website and social-media profiles to be sure they
accurately and positively reflect what your business is
all about. Then make sure you and your employees
continue to deliver on the promise of your company's
brand.
Related: 6 Key Tips for Leading by Example
3. Dress the part.
What you wear is your personalized method of
nonverbally presenting yourself to the world. How you
dress and carry yourself can communicate to others that
you are competent, knowledgeable, conscientious and
powerful, among other things.
To dress the part, make classic wardrobe choices. Invest
in quality clothing, create a consistent personal style and
opt for an appearance that appropriately matches your
business and industry.
4. Share the credit.
An entrepreneur cannot succeed by working solo forever.
Collaboration is the key to success. You will quickly lose
respect with your colleagues and co-workers if you tune
them out and refuse to share the spotlight with them.
When you distribute the credit and shower people with
praise, you’re much more likely to inspire and motivate
them to do their best. Surround yourself with people who
complement your strengths not just the ones who
compliment you.
5. Fine-tune your listening skills.
Entrepreneurs need to listen to learn. Strive to become a
better listener. If you’re tempted to glance at your
smartphone each time it pings or vibrates, turn it off or
leave it in your office. Practice patience and try to not
interrupt when someone is talking. Be attentive, make
eye contact, nod and ask pertinent questions. Insist that
your employees follow your example. After all, courtesy
and good manners never go out of style.
Related: Want to Be a Better Leader? Show Employees
You Care.
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10 Awesome Tips for Being a Better Leader
The good news is that we've compiled this list of
awesome, actionable leadership tips that will have you
running your business...like a boss -- a good one. Some
are relatively basic but are important reminders. Others,
well, perhaps you've never considered before.
Consider these tips when upping your leadership game:
1. Lead by example.
Leaders need to show, not just tell. If you want your
employees to be punctual, make sure you’re there on
time -- or even early. If professionalism is a priority,
make sure you’re dressed for success, and treat
everyone you interact with (both in-person and online)
with courtesy. Set the tone and your employees will
follow it.
Read more: 5 Ways to Lead by Example at Work
2. A little humility goes a long way.
There’s a difference between a leader and a boss. While
both are in charge, a leader shares the spotlight and is
comfortable crediting others. While it might seem
counterintuitive, being humble takes more confidence
than basking in glory. Your employees will appreciate it,
and your clients will, too.
Read more: Turns Out, Humility Offers a Competitive
Advantage
3. Communicate effectively.
Effective communication is imperative, both in the office
and in life. Great leaders make sure they are heard and
understood, but they also know the importance of
listening. Communication is a two-way street, and
making the most of it will have your company zooming
forward instead of pumping the breaks.
Read more: 4 Tips on Managing Your Business
Communications
4. Keep meetings productive.
As the saying goes, time is money. So, of course, you
should want to limit tangents and other time wasters
during meetings. If you trust your team to do their job,
there should be no need for micromanaging, and
meetings can run swiftly.
Read more: The 7 Must-Know Rules of Productive
Meetings
5. Know your limits.
Even the kindest, most caring leader has limits. Set your
boundaries and stick to them. Knowing what you will not
tolerate can save everyone in the office a lot of
frustration, and keeping boundaries clear means there’s
no confusion.
Read more: The SEAL Teams Don’t Accept These 10
Phrases, and Neither Should You
6. Find a mentor.
No man is an island, as they say. The best leaders out
there know when they need help, and they know where
to turn to in order to get it. Nobody can know everything,
so finding someone you trust for advice when things get
tough can make all of the difference.
Read more: 7 Surprising Truths About Mentors
7. Be emotionally aware.
While many people advise keeping emotions separate
from matters of business, business is ultimately about
relationships between people. To make these
relationships last, you need to be emotionally intelligent
-- to be sensitive to different points of view and different
backgrounds. When using your head to do what’s best
for your company, don’t forget to have a heart.
Read more: Dealing With Feelings: How to Be an
Emotionally-Aware Leader
8. Watch out for (and avoid) common
pitfalls of leadership.
Everyone makes mistakes, but some of them are
avoidable. Being aware of common mistakes, while not
focusing on them to the point that they become self-
fulfilling prophecies, can be the first step toward not
repeating them.
Read more: Avoid These 8 Mistakes as a New Leader
9. Learn from the past.
To once again quote an adage, those who don’t learn
from the past are doomed to repeat it. History, recent
and otherwise, is filled with examples of successful
business models and spectacular business failures.
Think about what the people you admire do well, and
consider what went wrong for those who end their
careers mired in scandal or disgrace. Lessons can be
found everywhere.
Read more: Leadership Lessons From Alexander the
Great
10. Never stop improving.
Great leaders -- indeed, great people -- are constantly
learning and always trying to improve themselves.
There’s always something that you can work on or a
new skill to master. Be sure to keep your mind open to
new ideas and possibilities.
Read more: 7 Traits to Turn Good Managers Into Great
A revolution in finance?
Not much good has come out of the global
financial meltdown but there is this:
Investors who watched Bear Stearns, General
Motors and Merrill Lynch destroy billions of
dollars of shareholder value presumably are
ready to focus on what makes companies
sustainable, or at least try to better
understand risk.
But how? How are institutional or individual
investors to know which companies are built to last,
which are managed to serve their customers, workers
and communities, and which of their boards are
fulfilling their obligation to manage risk?
Those were the questions put today before a day-long
conference called Sustainable Stock Exchanges , held
at UN headquarters in New York and convened by
the UN Global Compact (an alliance of responsible
companies), the PRI (an investor group whose initials
stand for the Principles for Responsible Investment)
and UNCTAD (the UN agency that promotes trade and
development). The focus was on gobal stock
exchanges, and the potential they have to require
public companies to disclose their environmental,
social and governance (ESG) risks. But we also talked
about building the business case for so-called
nonfinancial analysis, and about whether companies
with good environmental, social and governance
practices will deliver superior shareholder returns.
I was privileged to moderate much of the discussion,
and so had the opportunity to hear from stock-
exchange officials, investors and regulators from
Egypt, South Africa, the UK, Brazil, Turkey,
Indonesia, Malaysia and New Zealand. Living and
working in the U.S., it’s easy to forget that the
conversation about sustainability is also unfolding in
far-flung locales that don’t often get datelines on the
business pages.
“My own view is that smart companies and smart
stock exchanges recognize the value of ESG in driving
returns,” said Jane Diplock, a New Zealander who is
chair of the International Organization of Securities
Commissions, known as IOSCO . “What was a whisper
in the 20 th century – don’t invest in guns or tobacco –
has become shout – invest to protect the planet!”
James Gifford, the executive director of PRI, described
the forward-thinking corporations, investors and
exchanges as an “ecosystem” in which each part
contributes to the whole. “Clearly there is a huge
amount of momentum among the investors and the
exchanges,” he said. “The business case (for
integrating environmental, social and governance
risk into investing) has been well established.”
Really? I’m not persuaded that we can make the link
between the financial crisis and the need for
companies to be more responsible, more aligned with
society and better governed. If there is a connection,
it’s probably driven—or at least it should be—by a
greater skepticism among investors, a willingness to
dig deeper into risk and the understanding that
neither size nor short-term performance tell you
what you need to know about a company.
As George Kell, executive director of the Global
Compact, put it: “Short-term, quarterly profit
maximization is not sufficient to build long-term
value.”
Here are a few things I learned at the event:
More than ever, companies and investors say they want to
align themselves with society’s needs. The evidence for
that is that the Global Compact, launched less than a
decade ago with 47 companies, now has 6,000
member companies in 135 countries that promise to
align their strategies around human rights, the
environment, labor practices and anti-corruption
principles. (Some companies actually get kicked out
for non-compliance.) The PRI, which began with
about 20 institutional investors in 2005, now has
about 600 asset managers and their advisors as
members. They promise to incorporate ESG analysis
into their investment decisions and be active as
owners.
But corporate disclosure of relevant ESG information
remains spotty. Only about 15% of the 20,000
companies covered by Bloomberg provide sufficient
data about their ESG practices, according to Paul
Abberley, the chief executive of Aviva Investors , a
UK-based asset manager. “The disclosure of
information can be dramatically improved.” Aviva
proposed at the event that stock exchganges make
“good ESG disclosure a condition of listing.”
Most stock exchanges, however, are reluctant to de-list
companies, around ESG issues or anything else. De-
listing is a measure of last resort, as Huseyin Erkan,
the chairman and CEO of the Istanbul Stock
Exchange, explained. De-listing means investors can’t
get access to their money, and it means the exchange
loses revenues. The Istanbul exchange, rather than
enforcing disclosure requirements (a stick), has set up
an index (a carrot) of companies with good
governance practices. It also has nine city-based stock
indices, which lead cities to compete to provide good
business environments and reliable reporting.
A few exchanges in the developing world are pushing
hard on ESG. Egypt de-listed about 750 most-small
companies from its exchange because they failed to
meet good-governance requirements, leaving about
350 better-governed and better-capitalized firms. “At
the end of the day, you have to do things that are
unpopular,” said Maged Shawky Sourial, chairman of
the exchange. The surviving companies, he said, were
better equipped to come through the 2006 crash of
Gulf markets and the 2008 financial crisis.
Most of the exchanges pushing ESG are in the
developing world, where they are competing for risk-
averse foreign investors. U.S. and Western European
exchanges haven’t played much of a role in this
debate.
My own belief is that, more than rules or listing
requirements, the performance of ESG indexes and
SRI funds that drives what is potentially a revolution
in finance. If they outperform over time, more money
will flow to companies with good ESG practices.
“We’re talking about changing the way we value
business,” says Alyson Warhurst, executive chair of
Maplecroft, a firm that analyzes risk.
The financial crisis, at the least, opens up space for
discussion. Antoine de Salins, who is executive
director of Fonds de Reserve pour lest Retraites, a big
French pension fund, said: “It is clear to me that we
investors are obliged to revisit all the classical,
analytical tools we were using in the past to shape
our investment policies.”
After the event, I chatted with Jean-Nicolas Caprasse
of RiskMetrics Group , a fast-growing advisory firm
that seems to be trying to corner the market on risk
analysis. They’ve acquired Institutional Shareholder
Services, Innovest and, most recently, KLD Analytics
—all pioneers of ESG analysis. Caprasse said that
investors, in the wake of the crisis, are ready to ask a
question that should provoke fresh ways of thinking
about business:
AirAsia captain left seat before jet lost control
FG urged to strengthen operations in financial sector
Congos to battle for last 4 place
From Waste to Wealth – How to build a profitable business out of Africa’s huge waste market
What exactly is waste?
Waste is anything that people do not value anymore and would
love to throw away. Waste is the empty box that contained the new
television set you just got or the paper bag you used to carry the
stuff you bought at the supermarket. These things are now waste
because you have no further need for them and would like to
dispose them. However, as you will soon find out in this article,
waste isn’t entirely useless because there are people and
businesses who’ll pay to have them.
Waste will remain a part of our lives for as long as we exist. While
some people may produce more waste than others, everybody
produces it every day as leftover food, dirty water or garbage.
We shall only be considering the solid forms of waste in this article
because they appear to be more reusable than liquid waste. The
most common types of solid waste in Africa are: domestic waste
(garbage and rubbish produced by individuals and households),
commercial waste (solid waste coming from business places such
as stores, markets, office buildings, restaurants, shops, bars, etc.),
and industrial waste (produced by factories and processing plants.
Other forms of waste are agricultural waste, hazardous waste,
health care waste and electronic waste. (photo credit:
loyaltylab.com)
Why is the volume of waste generated in Africa
increasing?
According to recent estimates , the average African individual
generates half a kilogram of waste every day while businesses can
produce up to two kilograms of waste every single day! However,
the amount of waste generated on the continent is estimated to
grow very fast over the coming years. The reasons for this are as
follows:
1. A fast growing population –
Since waste is a product of human existence, it follows that the
more humans we have on the continent, the more waste that is
produced. Africa has one of the fastest growing populations in the
world with an annual population growth rate of nearly 3 per cent
over the last 20 years. With the world’s highest birth rate, its
current population of nearly one billion people is predicted to more
than double in 40 years to 2.3 billion, accounting for nearly half of
projected global growth over that period. For this growth to be
sustainable in a world that has become obsessed with
environmental friendliness, intensive waste management is bound
to play a huge role in Africa’s future.
2. Rapid economic development and urbanization –
More waste is generated in cities and towns than in rural villages.
Recent studies show that the higher the rate of economic
development and urbanization, the greater the volume of waste
produced. Africa is home to some of the fastest growing
economies in the world and the number of people moving to the
cities is growing at a staggering rate. It is estimated that up to 500
million Africans will live in the continent’s cities by 2030.
With its current rate of urbanization at 38 percent, Africa is now
more urbanized than India (30 percent) and nearly as urbanized as
China (45 percent). Currently, 52 African cities have a population
of more than one million people. By 2016, the number of cities with
more than one million people will reach 65. This outcome will
definitely lead to an explosion in the volume of waste generated on
the continent.
3. Rising levels of disposable income -
As the continent’s economy continues to prosper and more
Africans find better-paying jobs in the cities, most people will earn
more money with a little extra to spend. They will spend on, and
consume, more goods and services which lead to higher volumes
of waste. This is exactly the same principle that led to the
explosion of waste produced in China. Due to Chinese
consumption, the country currently produces more than 70 percent
of the 270 million tonnes of waste generated in the whole of East
Asia! As Africa’s consumption expands, so will the size of the
waste we produce.
Success tips for aspiring Snail farmers…
Success tips for aspiring Snail farmers…
As a Smallstarter, your primary goal should be to take advantage
of the seasonality of this market in order to gain premium prices
for your snails. Target the high-end customers (hotels, restaurants
and households) who can afford to pay a premium for a steady
supply of the product.
If you supply all year round, you are likely to earn lesser during the
rainy seasons (when supply is in abundance) and more in the dry
seasons (when the product is scarce). You could buy cheaply from
the villages and other remote areas while the supply is up during
the rainy season and maintain a healthy stock of large snails that
you can unleash on your customers when supply falls in the dry
season.
But to achieve this, there is a very important condition. The size
of your snails must be large and 'intimidating' enough to
command a premium (high) price. For this to happen, you must
start your snail farm with the right species (the Giant African
type) and ensure that you apply proper breeding, stocking and
feeding practices to achieve the huge sizes that will make you a
highly sought after supplier. If your snails are bred well, they
should start to reach market size from six to twelve months,
although some farmers like to leave theirs for much longer.
(photo credit: msn.com)
Presently, more than 90 percent of the snails supplied to our
local markets are picked from the forests. While this has been the
traditional supply source, our growing population and rising rural to
urban migration rates make it unsustainable. An artificial
intervention like snail farming is the only way to satisfy the
growing demand. And as long as a huge chunk of the market
depends on snails captured in the wild, nobody can assure a
steady and consistent supply of large snails like a farmer who
breeds snails in his/her backyard!
Market Opportunities for Snail Farming in Africa
Market Opportunities for Snail Farming in Africa
Most of the snails supplied to the African market are gathered
from bushes and forests during the rainy season (usually between
April and September). Because snails are very dormant during the
dry season, they become increasingly scarce during this period
and the market is starved of adequate supply until the next wet
season. This makes the supply of snails very seasonal in many
parts of Africa where they serve as food. As a consequence, snails
can fetch much higher prices during the dry season (December to
March) when supply often does not keep up with demand.
Snails may go on break during the dry seasons but the human
appetite for its taste always remains, and continues to grow
throughout the year. And to think that several festivities take place
during the dry season (Christmas et al), makes this a first choice
agribusiness.
Due to steadily growing demand from customers, hotels and
restaurants are always in need of snail delicacies on their menus.
And given the significant upside to the profits that can be made, it
makes a lot of sense to take maximum advantage of this market
when the supply of snails is significantly short.
There is also growing demand in Europe for giant African snails.
Apart from their great taste, many people abroad like to keep them
as pets and keepsakes due to their sheer size (I was surprised
too!). But never mind, you are likely to be very busy satisfying the
local demand to bother about exports. However, it’s still good to
know that such foreign market opportunities exist for this small
business. If you're interested in exports, you could read up the
How to export to the USA and Europe section of our Dried and
Smoked fish export article.
10 Annoying Habits Guys Develop After You Become Their Girlfriend
1.UNTIDINESS
unlike before they tidy their rooms whenever you are coming
by once they get a girlfriend, just really let
themselves go. They stop shaving or shave
less often. They don’t exercise anymore.
They stop keeping their apartment clean.
Those kinds of things can really make galz
feel like he thinks I’m one of the bros. I’m
not. We are having sex. Shave your face if
you’re not growing a beard. Hit the gym
twice a week. Clean the sink and toilet. Make
me feel like you want to keep impressing
me.
2.
GROSSY... he becomes so open minded that you get to
experience all his odd doings like lieing being rude, garrulous,
all of a sudden hes no more the cool dude u used to know...
cos he stopped pretending
3.
ANTI-SOCIAL... they no more send you those enomorous texts
anymore unless its your birthday or its Newyear, some guys
even stop paging their Girlfriends unlike before his message
was what you usually wake up to, but when you fall for him he
starts adoring other girls socially..
4..
THEY CARE LESS... HE IGNORES
YOU
I’m not talking about ignoring
serious things – it’s the little #things
that can be so annoying! If you’re
talking about your friends and he has
drifted off into a #world of football
and computer games, it can quickly
get frustrating. This is one of the
most annoying habits you wish your
#boyfriend didn’t have ,he stopped returning calls, those
questions like "have you eaten?' how was ur day' stopped
coming across cos you've start being a burden plus this time
arround he would be the one to carry the expenses..lol guilty
of this though
5
FEELING BOSSY: he would want to start treating you lyka
wifie, like wanting you to always do his laundry, cook his
meals, sweep his apartment even having sex..
6
FLIRTING... he starts noticing other girls like hes done with
you and the most annoying part is he's not hidding it from
you....some might even keep their status as.
7.
LESS NOTICING : Now that they have a girlfriend they spend
much time with gadgets, ps3 and their smartphones, They
stopped noticing your New hair do, your new dress, your
beautifull skin. which annoys ladies so badly, cos you did it to
impress him and he dint even notice Girls be like Bleep this
poo am i dating a bat lolzzz
8.
THEY START LOSING THEIR TEMPER
unlike when he's still chasing you there is notting you can do
to annoy him,,,,,, gone would be those days
9.
STARTS GETTING CLOSE TO FRIENDS THUS BELIEVING IN
RIDICULOUS SHITS LIKE 'TREAT A GIRL BAD AND SHE
WOULD START LOVING YOU MORE, they stop giving you the
real them, instead they start looking for tips and hints on how
to keep their girl
10.
the last but not the least they start being JEALOUS before you
become his girl he has less reason to be, but after you
becomes his' he starts monitoring your movements,
calls,messages
3 Reasons why you should seriously consider
3 Reasons why you should seriously consider
rabbit farming
The success stories of these rabbit farmers prove the huge and
largely untapped potential of the rabbit farming business in Africa.
In this section, I’ll reveal three major reasons why you should
seriously consider the rabbit farming business opportunity. Here
they are:
#1 There is a huge market opportunity for rabbits
The growing rate of heart disease and related ailments has
increased awareness of the harmful effects of cholesterol in
our diets. More people are now going for ‘white’ meat which
contains low amounts of cholesterol. Unlike ‘red
meats’ (especially beef and pork), white meats like ostrich ,
poultry , fish and rabbit meat contain less fats and cholesterols
and have higher health benefits. (photo credit:
thesaucysoutherner.com)
Apart from fish, rabbit meat has the highest amount of protein
and contains the lowest fat than all other types of meat. It
contains less calories and Sodium than other meats but
contains more calcium and phosphorus (which is very good).
As a result of these properties, rabbit meat has become the
‘super meat’ for people looking to eat healthy meats and live a
healthier lifestyle. Rabbit meat is also very widely accepted. Unlike
snails and pork , there are hardly any religious or cultural taboos
about consuming rabbit meat.
More than 700 million rabbits are slaughtered worldwide every
year, producing about 1 million metric tons of rabbit meat. The
world's leader in rabbit meat production is China, representing
over 30% of total global production. Rabbit meat is popular in
countries such as Italy, Spain, France and China. These countries
consume the most rabbit per person (about 8kg per person) and
are the best export markets for rabbit meat.
Rabbits produce high quality skins that are used to make fur
garments (like clothing, hats and boots), and to cover bicycle
seats, etc. Another significant use of rabbits is in cosmetic,
medical and pharmaceutical research laboratories. Rabbits are
also purchased by people who want to keep them as pets.
#2 Rabbit farming is lucrative because rabbits multiply very fast
A single doe (female rabbit) can give birth to (litter) up to 40 kits
(baby rabbits) in a single year. This means you can start with two
mature breeding rabbits (one male, one female) and end up with
over 40 rabbits in less than 12 months. That’s because rabbits
can breed throughout the year and it takes just about a month
(30-33 days) for a pregnant doe to produce baby rabbits.
Photo credit: pocketpause.com
After they are born, rabbits grow very fast and can reach maturity
and market size in less than 6 months. One of the reasons for this
fast growth rate is that rabbits are efficient converters of the food
they eat. Compared to other livestock animals (poultry, cattle, pigs
etc), rabbits convert up to 20 percent of the proteins they eat into
body weight. That’s higher than any other animal!
A mature rabbit ready for market can sell for up to $22 (depending
on the location and customer). However, the cost of raising a
rabbit comes to about $1 per month. According to Moses Mutua
(CEO of Rabbit Republic), the resources and cost incurred on
raising one cow is equivalent to what you’d use to raise 40
rabbits. As a result, rabbits offer a higher profit potential than
cattle and other livestock.
And because rabbits mature quickly and multiply very fast, they
offer one of the best opportunities to quickly recover your costs
and investment in a short period of time.
#3 Easy to start, cheap to operate and maintain
Rabbits don’t need any elaborate preparation or huge
capital to start up. You can start with two rabbits
(male and female) using a basic cage made of wood
and chicken wire. Unlike chickens, cattle and pigs,
rabbits are not noisy animals. They are very clean
animals and don’t easily get attacked by diseases.
Above all, rabbits don’t require a lot of space like
other livestock; it’s the ideal animal to raise in your
backyard or any place with little space. (photo
credit: backyard-rabbits.com)
Raising rabbits is not labour-intensive like cattle and
poultry. Rabbits are easy to feed and often don’t need
a lot of attention. As a result, a rabbit farming
business can be run on a part time basis. Some
kitchen waste, grass, plant leaves etc. are favorite
foods of rabbits. In fact, a single rabbit needs just
about 120 grams of food daily. You can feed it in the
morning before you go to work and then in the evening when you
return.
The lucrative potentials of solar power in Africa…
The lucrative potentials of solar power in Africa…
As huge as Patrick’s accomplishments with solar power may
sound, we have barely scratched the surface of what is possible
with solar energy in Africa. Of all the other alternative and
renewable sources of energy available for Africa’s future – wind,
sun and water – the sun (solar power) is the most abundant and
free! Do you know that Africa receives the longest supply of bright
sunlight than any other part of the world? Roughly 75 percent of
Africa sits on the earth’s equator and gets an average of 325 days
of sunlight every year! Solar power is one of Africa’s most
abundant but underexploited resources!
Despite its huge solar potential and the capacity to generate
electricity that could satisfy the continent’s power needs, about
less than 20 percent of Africans have access to electricity. The
proportion is less than 5 percent in many of the continent’s rural
areas. To give you a chilling perspective, all the 48 countries in
sub-Saharan Africa (with a combined population of about 750
million) generates roughly as much electricity as Spain (a country
with less than 50 million people)!
A fast-growing population, economic growth and the popularity of
mobile phones (used by both rich and poor) across the continent is
accelerating demand for electricity in Africa. The efforts by
governments to get more people on the power grid can barely cope
with the exploding demand. Some rural areas are just too remote
that it could take another decade to get them on the electricity grid.
With rising fuel costs and a growing concern about climate change
(and a need to use cleaner, greener and renewable energy), the
profile of solar power is gaining momentum across the world!
(photo credit: greenpeace.org)
With the price of solar panels and equipment falling across the
world, solar power is finally coming within reach of Africa’s poor
and not-so-poor people. Seeing the possibility of using solar power
as the fastest way to bring electricity to the remotest parts of our
continent, several governments, local and international NGOs, and
a handful of private companies are jumping on the solar wagon.
We estimate that solar energy will become a trillion-dollar market
in the coming decades!
In our article: 3+ Guaranteed Ways to Find Profitable Business
Ideas in Africa, we identified fixing a problem as the Number 1 way
of finding a great business idea. Our continent is ‘blessed’ with lots
of problems. These problems are ‘blessings’ because they contain
loads of money for entrepreneurs who can solve and unlock them.
Just as Patrick Ngowi built a multi-million dollar business out of
fixing his country’s nagging electricity problems, anyone can fix an
African problem with solutions that may already exist in other
parts of the world.
All of the entrepreneurs featured in the Get Inspired! section of
smallstarter.com did exactly the same thing! They looked out for
problems and needs in their environment and found ways to fix and
satisfy them. You too can do the same!
Faustina Sakyi – The Ghanaian Cassava farmer who turned her world around Written by smallst
GHANA –
Faustina was born into a poor family that had to live
off the land by farming cassava tubers which were
primarily used as food. Now in her 40s, she has built
an incredible business from cassava which she
processes into gari – a very popular staple in West
Africa. Her product is sold within and beyond the
borders of Ghana, including Mali, Niger and Nigeria.
In her drive to make a different and brighter future for her kids, this
mother of three set out to organize fellow women in her
community who were unemployed and needed a sustainable
source of income. With over 30 women recruited on her team and
a bank loan of 3,400 Ghana Cedis ($1,700), Faustina started her
rural cassava processing business.
She used the loan capital to support these women to plant cassava
on their land, while she bought the harvested cassava tubers from
them. This ‘everybody wins’ model allowed Faustina to have a
steady and loyal supply of cassava which she processed into gari
while the women farmers earned a decent living for themselves.
Faustina's account of her humble beginnings and astounding
success as a Cassava and Gari producer (credit: IFAD.org )
Using modern cassava processing equipment she purchased with
the loan and cheap labour within her rural community, Faustina’s
business produces nearly 20 tonnes of gari every week. The
produced gari is packaged in 150 kilogram bags and sold at 90
Cedis ($50) per bag.
With a business that earns her nearly $100,000 every year,
Faustina has fulfilled her dream of financial independence and can
afford fees for the private school her children attend.
The quality of her products has won her several local and
international awards and certifications that make her a highly
sought after cassava farmer and producer. She currently uses her
amazing story and experience to inspire hundreds of rural women
who can benefit from the enormous potentials of cassava
production.
She currently sits on the steering committee of the Root and Tuber
Improvement and Marketing program funded by the International
Fund for Agricultural Development. Faustina still aspires to
become the biggest and best Cassava processor in the whole of
Ghana.
Are you one of those who think your gender, educational or social
background is a reasonable excuse not to start your own
business? We hop Faustina’s incredible story has jolted your
reality.
Is there a common product in your environment, like cassava, that
can repackaged or innovated around? What are you doing about it?
Eric Muthomi – The Kenyan lawyer who built a successful business from a simple ‘banana idea’
KENYA -
Africans consume up to 40 percent of bananas
produced in the world every year. Like maize, rice
and wheat, bananas are one of the most important
and widely eaten food staples in East Africa. Kenya,
Uganda, Tanzania, Rwanda and Burundi are among
the world’s largest producers and people in these
countries eat up to 400 kilograms of bananas every
year – the highest consumption rate in the world!
Despite this huge demand and market, many
smallholder banana farmers in Kenya do not make
enough money from their harvests due to poor
storage, wastage and exploitative middlemen. In just
three years, Eric Muthomi, a 27-year old law graduate
has built a successful business from solving the
banana problem in Meru, his Kenyan hometown.
This article tells the inspiring story of this young man
and his brilliant idea which has won several awards
and placed him on the 2013 Forbes List of Best Young
African Entrepreneurs.
The 'banana availability' problem...
In our previous article, 3+ guaranteed ways to find profitable
business ideas in Africa, we identified problem solving as one of
the easiest ways to find lucrative business ideas on our continent.
If you can solve a serious problem that affects people in their
work, business or daily lives, there is a high chance that you will
make money. This is exactly what Eric Muthomi is doing by
solving the ‘banana availability problem’ in his native Kenya.
Due to the huge demand for bananas and its strategic importance
in food security, there are over 400,000 smallholder banana
farmers in Kenya. More than 60 percent of these farmers (who are
mostly in remote rural areas) earn a full income from selling raw
bananas (both ripe and unripe) on the local markets. However, due
to the production cycles of the crop, there is an excess supply of
bananas to the markets during harvest time. As a result of this
oversupply, many farmers make very little money from their
banana harvests and are routinely exploited by middlemen who
take advantage of the low market prices.
Harvested Bananas ready for sale in a local Kenyan
market (photo credit:
eastafricanhighlandbananas.org)
Because raw bananas have a short shelf life (can rot easily), they
have to be properly stored or processed if they must last long. Due
to a lack of storage and processing facilities, bad roads and poor
access to markets, about half of the bananas harvested in Kenya
every year get rotten, are wasted and never get sold. As a result,
many Kenyan farmers suffer serious losses after all the money,
time and effort invested in farming bananas during the year.
Bananas are not available all year round; they become very cheap
during harvest time and expensive in the dry season. This is
dangerous for a crop that is used to avoid famine and serves as a
food buffer in times of scarcity between cereal harvests. In
addition to this problem, thousands of farmers remain poor as a
result of waste and poor yields from their banana harvests.
Eric Muthomi’s solution to the rescue…
Eric is a 27-year old graduate of law from the Catholic
University of East Africa. From an early age, he had made up
his mind to start his own business after school. He first noticed
the problems most banana farmers were facing in Meru, his
hometown in Central Kenya and one of the largest banana
producing regions in the country. He decided to start up a
company that would buy raw bananas from local farmers at
guaranteed prices, process them into banana flour and package
them for sale in the market. This is the idea that formed his
company, Stawi Foods.
Stawi Foods(stawi means ‘prosperity’ in Swahili), has improved
the lives of thousands of banana farmers by providing them
with sure income. It has also helped to increase the shelf life of
bananas which would have rot and wasted if they are not sold
soon after harvest. The banana flour, which is made from
processed green bananas, is gluten free, nutritious and can be
used to make baby food, porridge, mashed food, baked foods and
soups. This versatile branded product which is sold as ‘Stawi
Natural Banana Flour’ is distributed in several major supermarkets
across Kenya.
Eric Muthomi’s idea now allows smallholder banana farmers in
Kenya to earn 30 percent more on their bananas than they would
have made if they sold it in the local markets. In addition, selling
their banana harvests to a guaranteed buyer (Stawi Foods),
protects them from the low and fluctuating prices of banana in
times of harvest and scarcity. This is helping many young people
to remain gainfully employed as banana farmers.
At the moment, this young company (which only started business
in 2011), works with more than 100 groups of farmers in Meru
which supply the raw bananas used for making Stawi Banana
flour. The raw bananas are processed using both manual labour
and processing equipment by a team of full-time employees and
casual workers. As his Stawi Banana Flour gains popularity across
Kenya and the East Africa region, Eric Muthomi expects to partner
with more farmer groups across the country to get the raw
materials (green bananas) it needs to produce more flour to meet
the growing demand.
Although ‘Stawi Natural Banana Flour’ is only
available in 400 gram packs, the company plans to
introduce one and five kilogram packs very soon.
Since he put this amazing idea to action in 2011, Eric Muthomi has
attracted a lot of local and international attention. In the same year
he started Stawi Foods, Eric won the top prize in the 2011 Nature
Challenge Africa competition sponsored by the Worldwide Fund for
Nature (WWF) Kenya in partnership with NETFUND which
encourages businesses on sustainable use of natural resources in
Africa. In 2012, he won a business plan competition organized by
Kenya’s Ministry of Industrialization which looks out for innovative
business ideas every year. Eric beat over 3,000 other contestants
who own young and startup manufacturing businesses to become
the 2012 winner.
In the same year (2012), Eric Muthomi won another award for his
brilliant business idea in the Chase Bank Enablis ILO Business
Launch Pad Competition in the Agribusiness Agro-processing
category. This award rewards the most exciting and promising
business plan among Kenyan entrepreneurs. He was also listed by
Forbes Magazine as one of Africa’s Best Young Entrepreneurs.
With all this attention, Eric believes it will not be long before he
penetrates the East African regional market which will act as his
stepping stone into international markets like Europe and North
America.
3 Things we should learn from Eric Muthomi’s
success...
Our goal for sharing the success stories of African entrepreneurs
is to inspire you and also show you what is possible. However, on
the road to success, there are often hard lessons, tough choices
and rough challenges. Eric Muthomi’s experience on this road is
rich with lessons that will inspire you to take action on that
business dream of yours. Read and learn…
#1 - There will never be a ‘perfect time’ to start your own business
Eric Muthomi has caught the world’s attention because he
decided to take action on his dream even though he had a
reason to postpone it or wait for the ‘right’ time. When he
started his business, Stawi Foods, he was only 25 years old
and fresh out of university. He didn’t even have any money to
start a business so he borrowed from his family. In a previous
article, we explored 10 interesting ways to raise the capital you
need to start a business. You should check it out!
Apart from the challenge of getting start up capital for his
business, Eric had to scale through the long and tiring licensing
requirements and approvals that are compulsory for ‘food
processing’ and ‘manufacturing’ companies in Kenya (a similar
experience across many African countries). In addition to all
these, he also faced the problem of inadequate and expensive
power supply that seriously affects manufacturing businesses
in many parts of Africa. In the face of all these excuses
(problems), Eric is now the CEO of a successful business that
is changing lives in his country. If you keep waiting for the
‘perfect time’ to start your business in Africa, that time may
never come. You can either keep making excuses or start doing
something with what little you already have! (photo credit:
beyondblessedblog.com)
#2 – Inspire yourself with the problems around you.
One of the things that stand out from Eric Muthomi’s story is
the simplicity of his business idea. He didn’t invent it; it’s a
problem that has always existed for centuries. Smallholder banana
farmers in his country have always suffered from wastage, low
prices from middlemen and poor access to good markets. By
thinking of a way to solve these nagging problems, Eric stumbled
on an idea that is today a lucrative and successful business.
Many of us spend too much time complaining and whining about
the many problems that surround us here in Africa. We are blinded
by all the complaining that we often do not see the huge goldmines
that lie in solving these problems. Eric’s story shows that if you
take the time to think of creative solutions to existing problems
around you, it’s very likely that you will stumble on an interesting
business idea. The lesson here is simple: don’t let problems
frustrate you, use them to inspire yourself!
#3 - Make money and help people at the same time
Eric Muthomi says “ I am happy when farmers come up to me and
thank me for getting them a market for their product. It is such a
satisfying feeling.”
While the goal of starting a business is usually to make money,
touching lives and affecting people positively can be a rewarding
experience which money cannot buy. The great thing about using
‘problem solving’ as the basis for your business idea is that it
removes pain, frustration and/or suffering that already exists in
people’s lives. In the case of Eric’s business, it allowed thousands
of poor rural farmers to remain in business while earning more
money from their banana harvests. His business is creating jobs
for Kenyans and will help to earn foreign exchange for his country
when he starts exporting his ‘Stawi Natural Banana Flour’ product.
It’s always a ‘win-win’ situation when you have a business idea
that can make money and help people at the same time!
Key Lessons to learn from the success of AgriProtein
Key Lessons to learn from the success of
AgriProtein
We love to share success stories on Smallstarter but what’s most
important for you, the reader, is to learn and apply the key lessons
that led to success in all the stories. We have identified three key
lessons from AgriProtein’s journey to success and we hope you
learn something from them. Here they are:
1. Always think long term
Many entrepreneurs rarely take the time to digest and polish a
business idea to make viable for the long term. David Drew and his
partners at AgriProtein first had the idea for maggot-based animal
feed in 2004. However, to solidify their business idea, they knew it
had to be backed up by sufficient scientific and business evidence
to make it investible.
To achieve this, they partnered with the University of Stellenbosch,
South Africa and sponsored Masters and PhD level students to
provide cutting edge research in the innovative field of nutrient
recycling and animal nutrition under the guidance of the University.
After five years of parallel academic and manufacturing research,
AgriProtein was finally ready to launch its business plan on an
industrial and commercial scale. Today, its long term thinking has
paid off and the company is on track to great and astounding
success.
2. Work with the right partners
Working with the right partners can bring a lot of value to a new
business. The right partners can provide access to capital,
customers, promotion and even important market data.
AgriProtein’s partnership with the University of Stellenbosch, South
Africa helped to provide the critical research, analysis and
credibility that has helped the company.
AgriProtein also enjoys a strategic partnership with the Bill &
Melinda Gates Foundation and has received financial assistance
from the Foundation to support its work.
3. Green business ideas can be profitable too
The threat of climate change and its adverse effects on the
environment has made green business ideas very attractive to
investors, governments, NGOs and even consumers. Any business
idea that promotes recycling of waste, protecting the environment
or harnessing natural and renewable energy sources has a high
likelihood of success in today’s world.
Like AgriProtein, Smallstarter has featured several other African
entrepreneurs who have achieved remarkable success with green
businesses. Lorna Rutto , who’s saving Kenya’s forests by
recycling plastic waste into lumber and Patrick Ngowi who is
leading the solar energy revolution to reduce fossil fuel pollution
are just two examples of the possibilities of green business ideas.
Here Are 5 Powerful Things A Business Plan Will Do For You and Your Business
business is not a hobby or playful adventure. As an important
venture that requires an investment of time, effort and money,
entrepreneurs just have to take business planning very seriously.
One thing is clear: planning is a habit of ALL successful businesses
that still exist today!
#1 A Business Plan is a Strong Commitment
“It pays to plan ahead. It wasn't raining when Noah
built the ark.”
- Peter F Drucker -
According to data from the Panel Study of Entrepreneurial
Dynamics, which involved a survey of more than 800 people in the
process of starting businesses, writing a plan greatly increases the
chances that a person would actually go into business.
Entrepreneurs who have the discipline to prepare a business plan
are two and a half times more likely to get into business.
That's powerful!
Writing a business plan helps you to focus and fight
procrastination. Investing time and effort in researching your target
market, analyzing your competitors and estimating profit figures is
bound to increase your interest in bringing your business idea to
life.
A business plan has the power to positively affect your mindset.
When an idea is left undeveloped, it starts to lose significance. As
you gather information about your business, you start to develop a
strong level of confidence and ‘can-do’ spirit around your business
idea. You will experience less fear and see more possibilities in
your idea.
Whether you plan to start a business from scratch or want to
expand an already established business, a plan will keep you
interested, focused, committed and determined to take action.
#2 A Business Plan Helps To Develop Your Idea
“Planning is bringing the future into the present so
that you can do something about it now.”
- Alan Lakein -
When you first have an idea, it exists as a cloud of thought in your
mind. The problem with thoughts is if you don't write them down,
you may forget or never remember them entirely. So you decide to
write down your brilliant business idea on a piece of paper (or in
MSWord on your laptop). Yes, finally, it can never be lost or
forgotten!
The problem is, what you have written is just an idea, and it's not
the same thing as a real life business. To become a real business,
certain actions and investments of time, effort and money must
happen to transform your beautiful idea into a successful
business.
How will you start? How much will you need and who will you get it
from? What kind of customers will you target? Who is your
competition and what will you do protect your business from
them? Are there any licenses, permits or government approvals
you need before you start? Who will be responsible for what?
All of these are important questions that must be answered in
order to transform your idea into a real business.
A business plan allows you to see your business from the top and
understand how all the elements will fit into one another. The most
important thing that every plan does is to bring your attention to
gaps and holes you may have missed because they didn't seem
very apparent in the beginning. In fact, business plans often bring
up interesting and creative alternatives that could make your
original idea much better and powerful.
#3 A Business Plan Makes You Prepared And More
Likely To Succeed
“To be prepared is half the victory.”
- Miguel de Cervantes Saavedra -
I just love Toyota because it's definitely one the most successful
car brands in the world. Year after year, it continues to release the
most beautiful and reliable 'driving machines' my eyes have ever
seen!
Like most car manufacturers, Toyota invests a lot of time, effort
and money in the early stages of developing every new car model.
A couple of years before the new model is released, Toyota's
engineers and specialists brainstorm tirelessly on different aspects
of the new car model, especially in the areas of comfort, safety,
speed, control and beauty.
Why doesn't Toyota just go ahead and build the car? After all, it
has a top team of highly talented and experienced designers,
engineers and technicians. With all its talent and experience, why
does Toyota still spend all that time, effort and money in planning?
Toyota is serious about planning because it knows planning is
always required for success. It knows planning is critical to build
cars that people will love and be happy to buy. It invests in
planning at the early stages because it knows that’s the best way
to build something that will beat the competition. And guess what,
it always works!
Toyota is always prepared; that's why it always succeeds!
Abraham Lincoln, one of the greatest presidents of America that
ever lived, once said: “Give me six hours to chop down a tree and I
will spend the first four sharpening the axe”
What does this tell you about planning? Unless you plan to waste
time and suffer the emotional trauma of mistakes, investing in
planning usually leads to better preparedness, fewer surprises and
a higher likelihood for success.
#4 A Business Plan Keeps You and Your Business
Accountable
“Proper planning prevents poor performance.”
- Charlie Batch -
You are very likely to be the biggest risk to your business. Yes,
you! Because you're answerable to no one in your business,
there's usually that temptation to take the business for granted.
It's your idea and your business. Everybody answers to you
because you're the boss almighty. But who do you answer to?
Unlike your employees who can be fired, there's no punishment
and nothing to hold you accountable if you procrastinate, backslide
or fail to meet targets and deadlines.
A business plan allows you to set goals and track your progress
and levels of achievement over time. Without this accountability,
your business will always be subject to guesses and impulsive
actions and will definitely perform below its best potentials.
People who set Specific , Measurable and Time-bound (SMT)
targets for themselves usually perform much better than others. If
I plan to lose 5 kilograms (11 pounds) of weight in one week, that's
an SMT target.
If I start on Sunday and by Wednesday, I notice I've lost only one
kilogram, I would be moved to increase my efforts because I know
it would be impossible to achieve my target if I continued at my
current pace. Because I know my target is time-bound (1 week),
there will be more urgency in my attitude to meet this target. And
when I meet my targets, I make progress; which is exactly the
result I want!
A business plan is the only way I know for entrepreneurs and
businesses to hold themselves accountable using Specific,
Measurable and Time-bound targets. It's the best way to eliminate
procrastination, reduce the fear of failure and inspire yourself to
take quick and bold actions that will make your dream business
come true!
#5 A Business Plan Increases Your Chances of
Raising Capital
“Good fortune is what happens when opportunity
meets with planning.”
- Thomas Edison -
Nobody can read your mind. This includes potential business
partners, bank loan officers, investors and other people who can
provide the capital you need to start or expand your business. How
can you bring out that brilliant business idea from your mind and
present it to these people in a way that convinces them to invest in
and support your business?
Well, there’s an easy option. Why don’t you just open your mouth
and tell them the whole story. Hahaha! Most people who try this
will surely end up confused and stammering.
Why put yourself through this trouble when you can have a
business plan do all the talking for you?
A plan is the most effective way to communicate your business
idea to other people in a clear, complete and convincing manner.
It's no longer that odd idea you had in your head. It's now on
paper. It's concrete proof to anyone who sees it! Partners,
investors and bankers are more likely to take you seriously if you
have a well-written and professional business plan.
Banks and investors actually take business plans very seriously.
Why? Because the information it provides helps them to properly
measure the risk of investing in your business. Banks and
investors take calculated risks; they're not gamblers. It's highly
unlikely that they will give you their money and hope that your
business is successful and turns a profit.
Anybody who's interested in your business idea wants to see that
you have taken the time to do a proper and detailed planning. They
want to see your Profit Forecasts. They are interested in your
Competitive Analysis and the quality of experience you have to
successfully run the business. The more information they have, the
more convincing your business dream becomes to them.
Whether you're applying for a bank loan, looking for a partner or
venture capitalist to invest in your business, applying for a
government loan or grant, or entering for a fundraising
competition, you stand a better chance of winning and raising the
capital you need if you have a well-written and professional looking
business plan.
Want To Start Your Own Furniture Business? Here Are Four Success Tips!
Want To Start Your Own Furniture Business? Here
Are Four Success Tips!
You may have always had an eye for the furniture business or
maybe you have been inspired by this article and would like to start
or invest in a furniture business. Afterall, if these amazing
entrepreneurs from Nigeria and Uganda could pull it off in the
business, you too can surely give it a go. Here are a couple of tips
you should have in mind as you consider this promising business
idea.
#1 - Skill Is Not A Mandatory Requirement!
Did you notice something common in the experiences of the
successful entrepreneurs we shared with you earlier in this
article? Yes, you’re right; none of them are skilled craftsmen or
artisans in the furniture business. When they started, they knew
nothing about joining pieces of wood together or the technical
details of carpentry, finishing and furniture making. How come?
How is it possible that these amazing entrepreneurs were able
to build successful furniture-making businesses without having
any technical skill in furniture making?
Well, you shouldn’t be surprised. It’s not always our job as
entrepreneurs to make stuff. Instead, we ‘organize the making
of stuff.’ Why do you need to make the furniture yourself when
you can hire experienced and talented craftsmen who are well
versed in the art of furniture making? Many of these guys can
produce very beautiful and durable furniture but often lack the
exposure to sell their work for a good price. That’s where you, the
entrepreneur, come in. You identify the needs of the market and
use your hired craftsmen to produce the furniture that the market
wants. (photo credit: meanderingsinthread.com)
Don’t get me wrong, skill is always important. You, the
entrepreneur, may not need skill to start this business, but you
need a lot of skilled labour to produce the kind of quality and
beautiful furniture that customers will want to pay for. The better
skilled your workers, furniture makers and craftsmen are, the better
your products will be!
#2 - Start Small But Dream Big
Starting small is our most favourite advice on smallstarter.com.
Ibukun started her multi-million dollar furniture business in Nigeria
by hiring machines she couldn’t afford to own. She didn’t even
have an equipped workshop when she started the business!
Today, she runs one of Africa’s largest indigenous furniture
businesses.
The furniture business is one of those few flexible types that you
can start on a small scale. Starting small allows you to take action
while you learn the business and grow. Waiting until you have all
the capital to buy all the equipment you need and hire all the
talented craftsmen you want is a futile strategy. Waiting to ‘start
big’ is one of the common excuses we covered in our popular
article – Sad But True; 5 Reasons You May Never Start A Business
In Your Lifetime .
#3 - Find A Unique Spot In The Market And Fill It!
It’s very likely that you will not be the first furniture business in
your area. You need to find something extra that will make you
stand out from the other furniture businesses out there. Like
Awaka, the successful Ugandan furniture business that builds only
custom-made furniture, you have to find a niche for yourself.
Focus on building a brand that will be remembered for quality,
beauty, convenience and eye-catching designs.
Don’t forget that any business that is easy to start usually attracts
a lot of competitors in due course. Finding a niche for yourself will
protect you from the copycats who will definitely flood the market
when they find out there’s money to be made. As long as your
products stay unique and you keep your customers loyal, success
will definitely be yours.
Photo credit: meanderingsinthread.com
#4 - Local Or Imported Furniture? Which Is Best?
Should you start a business in local or imported furniture? Is local
furniture more preferable to imported varieties, or vice versa? The
simple answer is: it depends . It depends on the taste, preferences
and demand of the people in your market. Some consumers (like
hotels, offices and rich people) prefer foreign furniture for reasons
of brand appeal or because they ‘perceive’ the locally produced
items as poor quality. Some other people cannot afford imported
furniture because they can be very expensive.
Whichever type of furniture (local or imported) you decide to deal in
should be based on the needs and demand of the customers you
plan to target. Some buyers are more concerned about beauty,
quality and durability, and will pay high prices to get furniture that
meets these requirements. Some other buyers are highly
influenced by cost and their choices are limited to the price of the
furniture. They will love to have beautiful and high quality furniture
only if it can fit into their budget. The bottom line is: you need to
know what your target customer wants and then you give it to
them!
In all of this, you should not forget that some African countries
(like Nigeria) forbid imported furniture. The only option in such
markets is to use the available resources to make furniture that
suits the different types of customers in the market.
Why Is The Furniture Business Booming In Africa?
Why Is The Furniture Business Booming In Africa?
The furniture business is not just booming in Nigeria and Uganda;
it’s booming across Africa. As is my usual practice on
smallstarter.com, let’s look at four strong factors responsible for
the huge growth in the furniture business on our continent. Here
they are…
#1 - Africa’s Real Estate Boom Is Rubbing Off On The Furniture
Business.
From Lagos in West Africa to Nairobi in East Africa, it is very
difficult to not notice the vast amount of construction work in
many of Africa’s cities and towns. Residential estates and
complexes, office buildings, guest house lodgings, three and five-
star hotels, new schools and campuses are rising up everywhere.
The demand for all kinds of accommodation is rising very fast on
the continent and there is a growing investment in real estate to
satisfy this demand.
As more people move into new homes and open new business
offices, furniture will be required. When new schools are built,
desks and chairs will be needed. New hotels will often require
tastefully designed beds, wardrobes and several other fixtures and
fittings. I guess you see the connection here; higher demand for
home and office accommodation is leading to a high demand for
furniture pieces!
Nobody builds, buys or rents an apartment in order to live in an
empty space. What is a home or office without furniture? It’s too
difficult to imagine! Just remember this simple rule: Wherever the
real estate business grows, the furniture business grows, and vice
versa. Wherever people are looking for accommodation, they will
soon be looking for furniture too!
#2 – The Growth Of Africa’s Cities Favours The Furniture
Business
Cities and other urban areas are the major source of demand
for furniture products around the world. The demand for
furniture is much higher in the urban than in rural areas. How
come? Because there are more offices, modern
accommodation, hotels and schools in the cities and these are
the biggest buyers and users of furniture.
As a result of sustained migration from the rural areas, more
than 40 percent of Africa’s one billion people now live in urban
areas (cities and towns). At the current rate of growth, more
than 500 million Africans will live in cities by 2030. As the
population of Africa’s cities and towns increases, this will
naturally increase the demand for real estate; residential
accommodation, office space, hotels and schools.
At the moment, just a little over 50 African cities have a
population equal to or more than one million people. At the
current rate of migration, the number of cities in Africa with
over one million people is expected to reach 65 by the year
2030. Because more people are flocking to cities and towns in
search of jobs and a better life, they are helping to increase the
demand for accommodation. Don’t forget, when the demand
for accommodation rises, the demand for furniture is never far
behind. (photo credit: awaka.ug)
#3 - Fast Growing Economies And Rising Income Levels
While the global economy is predicted to grow by 2 to 3 percent
between 2011 and 2020, Africa is expected to grow by nearly 6
percent, making it one of the world’s fastest-growing regions.
This positive trend will usher nearly 300 million Africans into the
middle class and will lead to huge spending on real estate and
construction for housing and office accommodation. Of course,
whenever and wherever there is an investment in a real estate
or construction project, there is always an opportunity for
furniture businesses.
Africans in this economic ‘middle class’ are usually urban dwellers
who hold salaried jobs or own and operate a small business. Many
of them are young, educated, and more aware of modern
consumer tastes and trends in furniture and interior decoration.
This segment of consumers are willing to spend more on furniture
and fittings that suit their higher tastes.
#4 – Favourable Government Policies In Some African Countries
For many years, imported furniture from North America and Europe
dominated African markets and made it very difficult for local
furniture businesses to thrive. This is still the case in many
countries on the continent. However, in countries like Nigeria,,
imported furniture has been banned since 2004. This has allowed
several local furniture companies to grow and become very
successful. A classic example of such a success is the Sokoa
Chair Centre, a partnership between a major French furniture
maker and a local Nigerian company.
In Kenya, the Public Procurement Oversight Authority (PPOA) has
released regulations that restrict government offices and public
entities from buying imported furniture. All government spending
on furniture will now go to local Kenyan furniture businesses. This
is huge because the government is arguably the biggest spender in
Kenya and local furniture businesses will get a huge boost from
this initiative.
Banning imported furniture is a good way for African governments
to develop and support local furniture businesses. As more
countries on the continent impose bans on imported furniture,
smart entrepreneurs can seize such opportunities to tap into a very
lucrative market.
Friday, January 30, 2015
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10 Business Opportunities in Africa That Will Create More Millionaires in 2015
‘The best place to find gold is to look where it has
been found before.’ The opportunities in this article
have created some of the biggest successes Africa has
ever seen. If you want to increase your chances of
building a successful business in 2015, these
opportunities could make your dream come true.
Let’s meet them…
1. Media and Entertainment
Africa’s film industry has become a global and cultural
phenomenon that enjoys a huge following within and outside the
continent.
The industry serves an audience that’s hungry for African stories
of love, drama, intrigue, comedy, redemption, action and more. It’s
no surprise that Africa’s film industry is currently the third largest
in the world behind Hollywood and India’s “Bollywood”.
' 30 Days in Atlanta ' is a Nigerian romantic comedy film that
was released in late 2014. Africa releases hundreds of films every
year but this one has totally changed the game. Just seven weeks
after its release, ’ 30 Days in Atlanta ’ grossed over $500,000 !
It’s the largest revenues ever made by a single African movie! This
is great news for the continent and a sign of more high-grossing
blockbusters to come!
It’s not just the Africa’s film industry that’s on the rise. African
music has become hot cakes too! From Nigeria to South Africa,
there’s a wave of raw and promising music talents that is
sweeping across the continent. 2015 will surely be an interesting
year for Africa’s entertainment industry!
2. Food & Agribusiness
The opportunities in Africa’s food and agribusiness space remain
huge and will not go out of fashion anytime soon. With over one
billion people to feed, Africa’s food and agribusiness market is a
multi-billion dollar opportunity for entrepreneurs who know where
to look.
Food production is still a huge and breathtaking opportunity.
Grains, milk and all sorts of raw and semi-processed agro
products are still imported into Africa even though the continent
has an enormous capacity to produce these. Entrepreneurs who
can produce food products locally could reap very huge rewards.
The opportunities in food and agribusiness cover several different
products across the value chain. In 2015, I expect that several
African entrepreneurs will make a fortune in this industry. The
possibilities are endless and largely unexplored.
Interested? Check out some of the exciting opportunities in Africa’s
food and agribusiness space on our Agribusiness and Food Page .
3. Retail
Africa’s retail market is a multi-billion dollar business
opportunity. In addition to its over 1 billion population,
more Africans are buying stuff due to their growing
economies, rising middle class and rapid
urbanization.
Africa’s retail market is going through a monumental
shift. Retail is gradually moving away from informal
trading in open markets to organized retail in
shopping malls and online stores. Africa’s
homegrown supermarket chains like Shoprite, Game,
Woolworths and Nakumatt are entering more
countries and are spreading fast across the continent.
(photo credit: bdlive.co.za)
The growth in Africa’s online retail market is more breathtaking.
Jumia , one of Africa’s fastest growing online retail businesses, is
now worth more than $500 million . With a presence in several
African countries including Egypt, Cote D’Ivoire and Nigeria, Jumia
is now regarded as the “Amazon of Africa.”
Despite the boom in online retail in Africa, this segment currently
makes up less than 5 percent of the continent’s entire retail
market. There’s still a lot of room in this space to serve the African
market and a lot of money will be made in the process.
Seizing Africa’s Retail Opportunities (PDF) is a detailed report that
takes an interesting look at the opportunities in Africa’s retail
industry. According to the report, Rwanda, Nigeria, Namibia,
Tanzania and Gabon currently provide the biggest retail
opportunities in Africa.
4. Fashion & Beauty
Africa’s fashion and beauty market is developing at an impressive
rate. The continent’s overwhelmingly young population provides a
ready market for trendy fashion. All kinds of apparel, including
locally-made fabrics and imported designer labels have become
hot-selling products across Africa’s rapidly expanding urban
areas.
Africa has hundreds of rising stars who are building successful
businesses in the fashion and beauty industry. I’ll share a few
interesting examples with you.
Suzie Wokabi is one of Africa’s leading entrepreneurs breaking into
the beauty and personal care market, a sector that is dominated by
international giants like Unilever, Procter & Gamble, L’Oréal and
Mary Kay. Suzie Beauty , the cosmetic business she started
about 7 years ago in Kenya, has become hugely successful.
Kunmi Otitoju is another inspiring entrepreneur who has built a
successful business with her luxury label, Minku . Her young
business makes high-quality leather bags designed with Aso-oke
fabric, a hand-loomed cloth woven by Nigeria’s Yoruba people.
Her unique designs have become a major hit in high end stores in
Nigeria. (photo credit: minku.com)
The list of promising African entrepreneurs who are building
successful businesses in the fashion industry is quite impressive.
This would be an interesting industry to watch in 2015.
5. Real Estate
The demand for both residential and commercial real
estate continues to grow across Africa. However,
there is still a huge accommodation shortage.
In countries like Nigeria, for example, over 16 million
new houses need to be built to solve Nigeria’s serious
housing problem. The estimated cost of providing
these homes stands at a whopping $350 billion!
The opportunities in Africa’s real estate market include
investing in land and real estate (properties) to take
advantage of fast rising property prices. There is also
lucrative potential in developing middle and low-
income housing and office space for sale, lease or rent. (photo
credit: mnn.com)
If you’d like to take a closer look at the opportunities in the African
real estate market, you should check out this article: The Hottest
Property Market in the World - How to Invest and Make Money in
Real Estate in Africa.
6. Internet & Tech
Africa’s Internet & Tech space will be a joy to watch in 2015. Tech
hubs and incubators are springing up across the continent from
Accra (Ghana) to Lagos (Nigeria), Jo’burg (South Africa) and
Nairobi (Kenya). These hubs have become Africa’s “Silicon Valley”
and continue to produce the best tech innovators and
entrepreneurs Africa has ever seen.
Last year, the acquisition of Saya , a mobile messaging phone app
developed by two young entrepreneurs from Ghana, made the
headlines. This simple app for feature phones, which was created
in 2011, started to replace SMS texting and became an instant hit
in West Africa and even in faraway India!
Saya is just one of several success stories in Africa’s internet and
tech industry. African entrepreneurs are using the internet and
technology to solve problems and challenges on the continent.
From taxi services to mobile payment systems and motorbike
delivery services, African tech startups are buzzing with creativity
and promise.
If you’d like to see more interesting stuff on African tech startups,
check out this CNN article: 10 African startups that rocked 2014 .
7. The Green Revolution
Around the world, the appetite for green and eco-friendly
products and services is growing quite rapidly. Due to the
threats of climate change, any solution that preserves the
natural environment, reduces waste and pollution, and
promotes reuse and recycling have become huge business
opportunities.
Several African entrepreneurs and startups are already riding
the wave of this opportunity and are becoming hugely
successful.
In Ethiopia, Bethlehem Alemu’s Solerebels has become the
world’s first truly eco-friendly footwear brand. This hugely
successful business makes footwear from recycled waste material
and sells its footwear products to customers in North America,
Europe and as far as Japan.
There’s also Thato Kgatlhanye (pictured), founder of Repurpose
Schoolbags which makes eco-friendly bags from up-cycled plastic
shopping bags. And there’s also Patrick Ngowi , the Tanzanian
entrepreneur who has built a multi-million dollar business from
solar power. Biogas production from organic waste is also another
growing opportunity in Africa. (photo credit:
africancelebs.com)
The Green Revolution will definitely be an interesting space to
watch in 2015!
8. Building and Construction Supplies
Africa is going through a construction boom, an opportunity that
will certainly create a lot of wealth for entrepreneurs on the
continent.
It’s no surprise that Africa’s richest man, Aliko Dangote, is heavily
invested in the cement business. Cement is one of the most
important materials for building and construction work – houses,
buildings, roads, bridges etc. Africa used to spend billions of
dollars to import cement. But not anymore. Dangote and other
cement producers like Lafarge are spreading fast across the
continent.
Cement is just one example of several building and construction
supplies that are growing in demand across Africa. The demand
for steel is another multi-billion dollar business opportunity that’s
probably bigger than cement. Timber (wood), roofing materials,
glass, paints, plumbing and electrical supplies are other products
that are enjoying a high demand due to the construction boom
that’s happening across the continent.
If you’d like to read more about the opportunities in this industry,
check out this article: Building and Construction materials – 9 Hot
selling products that can make you money in Africa.
9. Financial services
Like in other developing regions of the world, the banking,
payment systems and overall financial services industry in
Africa is one of the least developed in the world.
More than 50 percent of Africans still don’t have access to
formal financial services and a huge number of transactions
are still done in cash.
Africa presents a unique opportunity to make money in its
financial services market. Entrepreneurs who can provide
simple, easy and convenient solutions will be well rewarded.
One interesting startup to watch in this space in 2015 is Nigeria’s
SimplePay. This platform, which provides payment solutions to
online merchants in Nigeria has already attracted over $300,000 in
investments and plans to raise up to $10 million this year. If all
goes well, SimplePay could become the PayPal of Nigeria, and
could make its young founder a millionaire! (photo credit:
biztechafrica.com)
10. Investment
With slow economic growth in North America and Europe, more
investment is pouring into fast emerging regions like Africa. In
search for higher returns, more investors are now looking to invest
in Africa. Whether you plan to funnel funds into Africa’s stock
markets or invest directly in African startups, the potential for high
reward has never looked better.
Towards the end of last year, a Nigerian billionaire investor, Tony
Elumelu , committed to invest $100 million in African startups and
entrepreneurs over the next 10 years. This is just one of several
ambitious investment initiatives that will create tremendous
opportunities and wealth for entrepreneurs who can exploit them.
One interesting trend I’ve noticed is the growing number of venture
capital firms and startup funding platforms that are dedicated to
the African investment market. More of these platforms will open
shop in 2015. There’s never been a better time to invest in Africa’s
future!