Young entrepreneurs must develop a clear business idea and purpose before pursuing external funding, according to Dr. Godwin Ehigiamusoe, founder of Lift Above Poverty Organisation Microfinance Bank. Speaking in Benin on a panel titled 'From Ideas to Enterprise', Ehigiamusoe urged aspiring business owners to recognise that society's most pressing challenges often contain genuine entrepreneurial opportunities. He encouraged young Nigerians to look beyond current difficulties and identify possibilities for enterprise development rather than accepting obstacles as permanent barriers.
Ehigiamusoe warned against starting businesses with borrowed money, saying that loans at early stages can undermine a new venture's survival. While external funding is important for business growth, he stressed that it should not be the starting point for an inexperienced entrepreneur. Instead, he advised business owners to invest their own money first, no matter the amount, to demonstrate commitment to their ideas and convince potential backers of both their character and business viability. He pointed to LAPO's own beginning, when he contributed N300 to support three women engaged in small-scale economic activities.
The microfinance pioneer, reflecting on lessons from his book 'Twelve Commandments for Business Owners: A Guide to Business Success', identified self-knowledge as another critical requirement for entrepreneurial success. He urged young people to understand their own abilities, natural disposition and interests before choosing a business, rather than simply pursuing ventures that appear profitable or popular. Ehigiamusoe also challenged young entrepreneurs to view the difficulties confronting their generation as opportunities to develop resilience, suggesting that adversity could prepare them for greater responsibilities.
For new business owners in Nigeria, this means lenders and investors will expect entrepreneurs to demonstrate personal commitment and understanding of their own capabilities before accessing capital for expansion.