How To Start Food Business In Nigeria

 Food Business In Nigeria.

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The food business is highly lucrative. It grows fast and there is also a minimal risk. Even if you didn’t go to business school, you can start up your own food business with the right information, you are guaranteed to succeed.


One of the factors that ensure food businesses are successful is that people must eat. Food on the go, take-outs, outings, parties, etc, doesn’t matter how, where, or when, the food industry rakes in cash!


Becoming your CEO is tempting, and perhaps unavoidable if you don’t necessarily like the lifestyle of a nine to fiver. If you choose to become your CEO by going into the food business, this article is going to highlight step by step, How to start a food business in Nigeria. 


Types Of Food Business In Nigeria.

 Food Business In Nigeria.

There are numerous types of food business you could venture into, they usually vary as per location, demographic, and personal choice.


Below are some of the available food businesses to start in Nigeria.





 Food Business In Nigeria.

The raw food business is at the top of the food chain in the food industry. All other branches of the food industry get their products directly from you. 

To begin this business, you need an excellent understanding of raw food, a connection with multiple farmers, and a warehouse.

To begin this business, you would require the following:

  1. A work permit.
  2. Recognition by the CAC.
  3. NAFDAC number(if you would bag your produce)
  4. A minimum of N5M.
  5. A warehouse.


Customers should include:

  1. All other food industry sectors.
  2. Families.
  3. Dropshippers.
  4. Online resellers.



 Food Business In Nigeria.

Restaurants differ. A proper restaurant is usually second home to influential people, a home for popping the question or ostentatious dates. As a result, the food is always top-notch with five-star chefs handling the cooking, perfect interior and exterior, and impeccable servings. To begin this business you would require:

  1. A business permit. 
  2. Good location.
  3. Spacious environment.
  4. A niche.
  5. Employees.
  6. About two to five million excluding rent.


Customers should include

  1. Phone in delivery.
  2. Masses.
  3. Food lovers.



 Food Business In Nigeria.

In the Nigerian market, a Canteen otherwise known as a Buka is no stranger in the food game. In a typical Buka, one gets to enjoy the same taste of homemade food at affordable prices with a realistic environment. These types of food homes are usually characterized by large cookings behind the main restaurant and a comfortable interior with multiple tables, chillers, large fans, and of course happy customers. How to start a food canteen in Nigeria? To begin this kind of business, you would require.


  1. A business permit.
  2. A spacious interior
  3. Good location.
  4. Local chefs capable of bringing homemade food in large quantities.
  5. Employees.
  6. Five hundred thousand at a minimum and 2million at a maximum including rent.


Customers should include:

  1. Home food lovers.
  2. Workers.
  3. Students.
  4. Phone in delivery.
  5. Famished masses.



With the outbreak of the Coronavirus in 2020, the need for mobile food skyrocketed. Mobile food is simply a phone in an order and food delivery within minutes. This food business can be done from home, cooking in your kitchen, and delivering either through your car or through the help of a logistics company. To begin, you would need the following.


  1. Knowledge of various meals.
  2. A business plan.
  3. Serious marketing and promotion.
  4. Branded Delivery equipment 
  5. About fifty thousand naira to a hundred and fifty thousand naira to start up.


Customers should include:

  1. Companies.
  2. Workplaces .
  3. Individuals 
  4. Couples.
  5. Famished masses.



Food trucks are all the rage this season. One can hardly move from one junction to the other without coming across the food trucks parked in strategic corners of the Nigerian cities. Food trucks come in all shapes and sizes. To begin this business you would require:

  1. Knowledge of the preparation of various meals.
  2. Strategic locations.
  3. A business plan.
  4. One or more food trucks.
  5. A family Jeep can also be converted into a bus.
  6. Branded equipment.
  7. Two hundred to three hundred and fifty thousand naira for start-up excluding a truck.
  8. Employees.


Customers should include:

  1. Students.
  2. Passersby.
  3. Motorists.
  4. Famished masses.



Everyone loves Barbeque. Grilled chicken or fish could be said to be the pro max of fried chicken. A ten minute drive through or a thirty-minute stroll through various Nigerian cities will see over six barbeque stands in different junctions. Barbeque is just as lucrative as other food businesses. To begin, you would require:

  1. Good location.
  2. Knowledge of barbeque.
  3. Grill.
  4. Mini construction work.
  5. A deep freezer.
  6. Gas cooker.
  7. Employees
  8. A hundred to two hundred thousand naira for startup including all equipment.


Customers should include:

  1. Motorists.
  2. Passersby.
  3. Barbeque lovers
  4. Phone in delivery.



Shawarma spots are similar to barbeque stands in locations and profits. To open a Shawarma spot, you would require:

  1. Good location.
  2. Know-how.
  3. Shawarma grill. 
  4. Mini construction.
  5. About a hundred and fifty thousand naira for start-up (including grill and constructions)

Customers should include:


  1. Drivers.
  2. Passers-by.
  3. Shawarma lovers.
  4. Phone in delivery.



How To Start Food Business In Nigeria.

Event catering is one of the largest sectors in the Nigerian food industry. This kind of food business is contract-based, has minimum risk, high work levels, and even higher profit. To dabble into this sector, and run the kind of business effectively, one needs to attend catering and hospitality school. 

Below are the basic requirements needed to begin this business:


  1. A course in Event management.
  2. A business permit
  3. Equipment (large pots and pans, industrial size gas, large gas cookers, cutleries, plates, diners, tumblers, etc)
  4. A workplace/ storage room.
  5. Employees
  6. Two to five million nairas for a startup.


Customers should include:

  1. Services at Parties such as weddings, birthdays, etc
  2. Services at Meetings.
  3. Services at Retreats 



How To Start Food Business In Nigeria.

THE TECHNICAL KNOW-HOW: To begin a food business, in Nigeria of any kind, either food business from home, food business supply, raw food business you need to know how to cook. The taste of a brand is what will keep your customers coming back for more.



How To Start Food Business In Nigeria.

Although almost everyone can run a food business without going to business school, facts remain that if you fail to plan, you automatically plan to fail. Although failure might not be plain, without a good business plan, the business might not expand and it could also crash. You could draft on yourself or with the help of a business expert.



How To Start Food Business In Nigeria.

A good location is Paramount to the success of all successful food businesses except the mobile food vendor whose marketplace is largely online and via marketing. 

In choosing a location, you need to consider your target market. The target market of a canteen/Buka will be largely different from the target market of a restaurant. The space needed for a Shawarma spot will also be different from the space needed for a buka. 



How To Start Food Business In Nigeria.

Count your costs before venturing into a business. The capital required for each type of food business is largely different. There is a food business to fit all pockets either you are serving intercontinental dishes or selling local soups in liters.



The qualification of the employees of a food business differ. It largely depends on the niche of the businesses.  A barbeque stand will require someone skilled at Manning a grill and a restaurant will require a chef capable of making five-star dishes.



A business is only as successful as its marketing plan. Branding matters a lot in the food industry as many people are selling the same products, yours need to stand out. A good marketing and promotion technique should always figure out a way to ensure your brand is at the top and remains there.


FAQs On How To Start Food Business In Nigeria.

  • How much does it cost to start a food business in Nigeria? It costs about N20,000 to N5M to start a food business in Nigeria; there are levels.
  • Which food business is the most lucrative? Raw food business supply and canteen/Buka are highly lucrative food businesses to start in Nigeria.
  • How can I start a food business in Nigeria? You can start a food business in Nigeria by simply reading through this article.
  • Is rice a profitable food business? Either raw or cooked, rice is indeed a very good business to begin in Nigeria.
  • How can I make money with food? You can make money with food by simply selling it. Set up your brand and sell!
  • Is fast food business profitable? With a society that thrives on junk and pictures in ostentatious restaurants, fast food business is indeed profitable.
  • What business should I invest in 2021? You can invest in raw food supply or mobile food. Either way, food is a very lucrative business.
  • Which is the best rice in Nigeria? Basmati rice is one of the finest rice in Nigeria. It is clean, Stone free and pure.
  • Is selling rice a good business? Yes, either cooked or raw rice, selling rice is lucrative. You could sell in bags or units.
  • How much is a bag of rice? A bag of rice is sold between N27,000 to N30,000 in Nigeria depending on your location.


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