By Chinwendu Obienyi

Nigerian start-ups can only borrow funds if their businesses have scaled up and have a proper trust/book-keeping profile.

According to economic experts, a start-up with these features can only get the attention of government, insurance and bankers.

Speaking to Daily Sun on the sidelines of the Africa Creative Market (ACM) conference in Lagos, recently, the Director-General, National Association of Small Scale Industrialists, Ifeanyi Oputa, said most start-ups believe their only problem is funding but 90 per cent of them do not even know how to handle funds.

“So, if you have people who want to get funding, but they don’t know what to do with the funds then handing over money to them is like throwing money down the drain. One of them is most people who are starting a business, don’t even need to borrow money to start a business. They can start from where they are. If they want to find people who would believe in the idea, bring forward funds, pool together money and start and then when it needs to scale, one can then borrow”, Oputa said.

Asked what the FG needs to do to ensure FX is available to businesses, Oputa stated that the government is diverting too much FX to things that do not need FX.

“Government has no business spending money importing petroleum products, we have no business doing so. So there has to be a partnership between the government and the people and so with that partnership and that conversation, we will stop spending money on the wrong things. Instead we can channel FX towards the productive sector”.

Also speaking, the Head, Marketing and Corporate Communication at Ecobank Transnational Inc (ETI), Jide Sipe, noted that for creatives to thrive, it must have both the trust and proper book-keeping profile.

For her part, the President of the Ascend Studios Foundations and Founder of ACM, Dr Inya Lawal, described the Africa Creative Market as a platform that is focused on growing the creative economy while adding that the major aim of this program is to create an ecosystem with capacity building, programs/trainings, access to funding; and exposure to the global creative market.

“The Africa Creative Market 2022 will empower African creatives globally to scale through the establishment of sustainable structures to enhance economic prosperity and support the development of local talent and skill through job creation, co-production, collaboration and co-investment”, Lawal said.

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Source: news