Not every business is profitable. Nigerians share their worst business failures—from fish farming to trucking. Learn what went wrong and how to avoid their mistakes.
Nigerians are some of the most industrious people on the planet. Every day, someone is trying a new hustle, looking for the next big thing, hoping to hammer. But for every success story, there are 10 others that ended in premium tears.
Maybe it was the fish farm that wiped out your savings. The boutique business that never took off. The trucking venture that swallowed millions. Many people have learned the hard way that not every “sure investment” is worth it.
A few days ago, someone on Twitter asked:
👉 “What’s that business that was a total waste of your money and you will never do again?”
The responses? Brutal. Today, we’ll look at some of the worst business ideas Nigerians have sworn to stay away from:
P.S.: If you made it this far, don’t just leave without clicking on all the links. We spend time curating these articles for you; honestly, it’d be tragic if you missed out. (Also, our CTR needs to go up, so do the right thing. 😎)
8 Businesses Nigerians Regret Investing In
1. Fish Farming: The Silent Money Pit
What went wrong?
Fish farming looks like easy money. Buy fingerlings, feed them, and in a few months—boom, profits. Except it’s never that simple.
👉🏾 Samuel invested over ₦1 million, only to recover ₦170k.
👉🏾 Omolola started with 20,000 fingerlings and lost almost 16,000 before harvest.
The problems?
- Mismanagement—many left their farms in the hands of workers who had no real incentive to succeed.
- High mortality rates—fish are fragile; one mistake with water quality, feeding, or disease control and you’re looking at mass deaths.
- Selling issues—by the time harvest came, many farmers had to sell at a loss just to recoup something.
Lesson:
- ✅ If you’re not ready to be hands-on ( (or hire someone who truly knows what they’re doing), don’t do it.
- ✅ Work with experienced farmers before investing big.
- ✅ Have a guaranteed market before you stock up.
2. Okada Higher Purchase: The Fast Road to Frustration
Some people think they can buy motorcycles (okadas), give them to riders on a higher-purchase agreement, and just sit back while the money rolls in.
King David tried it. For some reason, he was left speechless.
Why does this business fail?
- Riders disappear with the bikes.
- They refuse to pay back the agreed amount.
- The police and task force impound bikes at random, and getting them back is a nightmare.
- Some okadas break down quickly, leading to constant repairs that eat up profits.
Lesson:
- ✅ Only give bikes to trusted riders with proper tracking.
- ✅ Be involved in monitoring payments and managing the riders
- ✅ Factor in losses—some bikes will never be recovered.
3. Longrich & MLM: The Dream That Never Comes True
MLMs (Multi-Level Marketing schemes) sell you the dream of making passive income, but most people just end up with piles of unsold products.
👉🏾 Rian got into Longrich, spent heavily, and got nothing in return.
Why does MLM usually fail?
- The real money is made by recruiting new people, not selling the products.
- You end up stocking products that nobody wants or can’t afford.
- It’s incredibly difficult to build a sustainable income—most people quit after losing money.
Lesson:
✅ If a business model relies on you bringing in more people rather than selling a good product, run.
✅ Only invest in businesses with clear, proven demand.
4. Bag Importation: When What You Order vs. What You Get Are Opposites
Firecracker thought importing bags would be a smart move—order quality products, sell them at a profit, and build a business.
Then reality hit.
- The bags that arrived were nothing like the pictures.
- The quality was so bad that she had to refund customers.
- She ended up losing money instead of making it.
Lesson:
- ✅ Always verify suppliers before ordering.
- ✅ Start small—test with samples before going all in.
- ✅ Factor in all costs (shipping, duties, storage) before pricing.
5. Crop Farming: The “Millions” That Never Came
Michael borrowed ₦500k, leased land, and planted maize, expecting big returns.
Six months later? He made ₦20k.
- Weather conditions and pests can wipe out crops.
- Labor costs add up quickly.
- Middlemen often dictate prices, leaving farmers with little profit.
- Government support for farmers is weak, and storage/transportation costs eat into earnings.
Lesson:
- ✅ Farming is not quick money—understand the risks before investing.
- ✅ Have a solid storage & distribution plan to avoid forced sales.
- ✅ Only go in if you have experience or a reliable expert on your team.
6. Dispatch Business: The Riders Will Show You Pepper
Etim thought running a dispatch business would be easy. Buy a few bikes, hire riders, and watch the business grow.
Instead, his riders nearly gave him high blood pressure.
The problems?
- Riders constantly called in sick or disappeared.
- Customers complained about poor service.
- The bikes broke down frequently.
- Police extortion and bad roads increased operating costs.
Lesson:
- ✅ If you can’t manage logistics daily, don’t enter this business.
- ✅ Vet riders carefully—hire only those with a good track record.
- ✅ Expect losses—factor in bike damage and unpaid salaries.
7. Trucking Business: Where ₦80 Million Vanishes
Dr. Stan put ₦80 million into a trucking business. He lost it all.
Why?
- Truck drivers steal fuel or overcharge on expenses.
- Police and road officials demand bribes at every stop.
- Bad roads damage trucks faster than expected.
- Mechanics are expensive and unreliable.
Lesson:
- ✅ Hire only experienced, trusted drivers.
- ✅ Use tracking systems to monitor fuel usage.
- ✅ Keep a large reserve fund—trucking is capital-intensive.
8. Block Industry: Profits That Get Swallowed by Transport Costs
Man_Delta thought making and selling blocks was a great idea.
Then he realized:
- Without a delivery truck, transport costs kill your profits.
- Blocks are heavy—each trip costs a fortune.
- Customers negotiate aggressively, leaving little room for profit.
He was selling 1,000 blocks for ₦300k, but by the time he paid transport costs, he barely made ₦25k.
Lesson:
- ✅ If you’re selling heavy goods, own a delivery truck.
- ✅ Calculate transport costs before setting prices.
- ✅ Location matters—be close to your biggest buyers.
All block businesses seem to have bad luck. Another user, Ify, set up an ice-block business- investing over half a million, only to take home ₦1000
Money is one of the hardest things to make…
Yet, somehow, it’s one of the easiest things to lose.
Spending money is way too easy, and it disappears faster than you think if you’re not tracking it.
But here’s the good news: there are free tools that can help you take control of your finances without much stress.
👉🏾 Check out the best free expense tracker apps here:
See Where Your Money Goes
The 3 Big Reasons Why Businesses Fail in Nigeria
Most of these businesses failed not because they were bad ideas but because:
1️⃣ Poor research – People went in with high expectations but didn’t fully understand the risks.
2️⃣ Mismanagement – Many relied on workers or business partners who didn’t care about success.
3️⃣ Hidden costs – From logistics to government policies, these businesses had expenses nobody saw coming.
Thinking of starting a business? Ask yourself:
- ✅ Do I fully understand the risks?
- ✅ Can I afford to lose this money?
- ✅ Am I actively involved, or just hoping it works?
What’s your “never again” business? Hit reply and share—I’d love to hear your story.
— Dami 🚀
