How To Start A Successful Transportation Business In Nigeria

How To Start A Successful Transportation Business In Nigeria

Transportation Business In Nigeria

Transportation right from time has been a business that is very lucrative to do. This is because people need to move from one place to another for different reasons. If you are someone that wishes to start a transportation business in Nigeria, then you should go ahead to read this article as I have put together relevant tips that would help you understand how to start a successful transport business in Nigeria.

In order to properly understand these tips, it is important we understand the simple concept of transportation.

What is transportation?

Transportation is simply the movement of a matter (anything that has weight or occupies space) from one location to another. There are various means of transportation today which include:

  1. Road
  2. Air
  3. Rail
  4. Water etc.

What is a transportation business?

A transportation business therefore is simply the movement of a matter from one location to another for the purpose of making profit from it. We are mostly concerned here with the Road means of transportation because it is very lucrative as well as easier to start and available for citizens to go into it unlike transportation by air.

What are the various transportation businesses we have in Nigeria?

The type of transportation business you might want to do in Nigeria might vary. Here are the most popular transportation businesses that are easy to start in Nigeria:

  1. Okada business (motor cycle)
  2. Keke napep business (tri cycle)
  3. Commercial buses (mini bus or luxurious bus)
  4. Taxi
  5. Way bill business

Here are tips on how you can start a successful transport business in Nigeria:

  1. Figure out the type of transport business you want to start
  2. Chose routes that has so much demand
  3. Get yourself your auto mobile
  4. Decide if you want to drive it yourself or someone would drive it for you
  5. Plan out how you wish to first recover your capital in case you made a hire purchase
  6. Take action

How To Start A Successful Transportation Business In Nigeria


The first thing you should do when trying to start a transportation business is figuring out the kind of transport business you want to do. You do not have to be greedy at this stage by trying to move into a different transportation business different from what you can drive on a norm because of the high demand or the profit.

What I simply mean is that a person, who can drive a car or a bus, should not make plans to learn to drive an okada when one does not even have one simply because of the gain in it. The simple truth about this is that all transport business are very lucrative depending on how radical you are about it. However if you cannot drive an auto mobile, you should make plans to learn the one of your choice.

The type of transportation business you choose to start will determine your capital as well as your daily returns.


Another thing you should take into consideration if you want to make so much money from transportation business is choosing routes that are high on demand. This is because it is very difficult for you not to have sufficient customers even on a bad day when it does not seem like customers are available.

Again, there are prices transport business people pay some regulatory body for example, the NURTW are paid in order to run a commercial bus service. You should also consider making profit even after paying these bills. There is something of high prevalence in Nigeria, the fact that it grieves a lot of transporters to pay such money to these regulatory body which makes them stick to locations that that are not really demand and they might barely make up to 1,500 naira daily. This is not really good especially if you are going to be getting your vehicle on hire purchase. You might not be able to make profit for yourself after meeting the demands of the hire purchase.


The next step to take after you must have decided on a good location is getting an auto mobile for yourself to start work with. You might decide to get a vehicle on hire purchase or buy a new one. This sole depends on how much capital you have available to start this business.

Another thing that must be done after the vehicle has been purchased is registering the vehicle and getting the necessary document that would enable one go into the business without hindrance. There are also road transport workers that you should belong to. Some of them are:

  1. National union of road transport workers (NURTW)
  2. Road transport employers association of Nigeria  (RTEAN)
  3. National association of government approved freight forwarders (NAGAFF)
  4. Nigeria Association of Road transport owners (NARTO)


At the stage you are going to have to decide on if you want to drive the auto mobile yourself or if you want it to be driven for you by someone else. It is best for you to drive the auto mobile yourself if you do not want to be short changed or cheated. However, if you have a well-paying job, you can give it to a trust worthy person that would help you drive you while bringing reasonable returns.

Another thing to note here is that you need to be a professional driver or you make sure the person you want to give the job out to is a professional driver. This could be ascertained by getting a legal driver’s license.


One mistake people fail to make is trying to recover their capital after they have gone into a business. It is important that you plan on how to recover your capital especially if you have made a hire purchase. It should be noted that until you have recovered your capital, you have not started making profit in such business.

A regular commercial automobile business could take uo to 10 months or a full year to recover the capital. If you are on hire purchase, you should work very hard to meet up with your weekly or daily returns.

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