Re: Business failure among small-scale entrepreneurs

~snip~

You forgot to mention that harsh government policies can make a small business go under. A typical example which I remember clearly is Gokada. Gokada is a tech startup based in Lagos, Nigeria. The startup launched as a ride hailing company in 2017. And in 2020 the Government of Lagos State in Nigeria stopped the Gokada from working citing insecurity. A claim which made no sense. Even though, the company has now diversified into Logistics and Food Delivery, their ride hailing plan was the best because the company came with a very good initiative, where you can track their bikes to know where they are and where they are going. They are well registered. You can even track the bike from your phone, but the government cancelled it without a good explanation.

Government policies is one of the great challenges small scale business owner are facing. Most times in Nigeria policies made does not favour young entrepreneural. This make the big entrepreneural boom when coming keep failing in their business trails.

I had to quote this because the business in question found a way to thrive despite a government policy that almost crippled it in total. Entrepreneurs are suppose to be creative enough, so as to find ways of sustaining their businesses when policies or a case of pandemic strikes suddenly. The difference we need to acknowledge is that small businesses have only a fraction of capital in their chest while large scale businesses have huge or fractions more than small businesses. Also, the risk these big businesses bear is more.
It is advisable for small businesses to find the easiest and most creative ways to keep thriving amidst government policies by thinking ahead of the pack or by not limiting the possibilities of expanding or improvising to standout.