Street smart Nigerians won’t make this investment mistakes

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Street smart Nigerians won’t make this investment mistakes

Look around you today, you will see numerous investments scheme advertised by friends on social media, in our religious centres etc but how trust worthy can most of these investments opportunities be? The idea of testing the water with both feet when it comes to investment could ends one’s life when investment didn’t bring an expected result.

There is every need to identify genuine investment, identity those mistakes that could make your money go down the drain and if possible avoid them and here are a list we have compiled :

Going in blind:


Just like we stated earlier on, there are some mouth watering investment deals that we see today that are irresistible; most corporate bodies have resorted to making their deals looks way beyond what is obtainable in the past, this alone makes Nigerians fall too cheaply for them with out carrying out due diligence.

Over the years we have seen a lot of Nigerians invested just because their friends ask them to do so not knowing that the so called friend is just after his or her referral commission

Before investing in any business you must and should understand the model on how they operate. How they make their return on investment should be well explained to you.


Everyone are just too hurry to make that money, pay bills and move on. We are just too quick, we want to invest in a business that promises fast returns rather than focusing on how safe is our investment.

Naturally speaking investment that promise huge and quicker returns over a short period of time will in no doubt have a hidden agenda and won’t last for long. In all we do as far as investment is concerned we should exercise patient and invest more time on studying every aspect of the business.

Seeking quick means to get rich:

A lot of Nigerians have lost great deals and funds in investment that present its self as an avenue to get out of the circles of poverty within a short period of time. Any business or investment model that promises 24 hours get rich scheme is likely a fraud.

Returns on investment takes time and it is a gradual process of growing your investment fund overtime.

Deposit money bank and other financial institutions extend loans to their customers with interest that are below 25%,they in turn give out dividend to their shareholders and those who kept deposit with them.

In a nut shell any investment that promises you over 30% returns on investment will hardly be genuine.

You Invest with unregistered/unlicensed companies

We have seen hundreds of firm that sprang out from nowhere with no registered business name with claims that they could help double your funds. Any unregistered business or any financial business that is not yet recognised by the Central bank of Nigeria (CBN) and most especially by the Nigeria Deposit Insurance Corporation (NDIC) should be seen as a possible and faster way to lost your money.

Before investing your funds, find out if they are registered with the Nigeria Deposit Insurance Corporation (NDIC) because this is the organisation that is task to ensure that customers deposit are insured against lost. If the business fails what they do is to sell their asset and use same to repay depositor their money.

When you invest with a financial institution that is recommended and recognised by Nigeria Deposit Insurance Corporation (NDIC) you have no worry, just go and sleep

Living beyond your means:

as an investor or a business owner you shouldn’t live beyond what you earn monthly, if you do then you are calling for bankruptcy.
expensive lifestyle beyond your business income will make you run into debt or will leave you in serious debt

Not having an emergency fund:

Set aside some money for unplanned event. Some call it emergency funds which is money kept for unexpected issues that might arise as you run your business.

Disregarding the market

Before investing its proper we watch the market trends, we watch the previous market trends before making any decision. Never you disregard the market..

To make solid gain in the market you have to be up to date with the current situation on ground ; as you invest also get clues to the market rather sleeping and waiting for returns

Failure to prepare

No matter how self confidence you are always have a contingency plan; should incase anything goes wrong you always have a plan B to come out of the mess quickly and recover although Nobody prays for her or his investment and money to flop.


In everything there is time and season and same thing goes for investment. Like we have said before, you have to watch the market trends and when you are sure it’s time to invest please invest rather than allowing fear to overwhelm you.

Going in too deep and too early

Don’t go into water that is too deeper than you. Knowing you capacity and level on how you can handle risk when it comes to investment is necessary.
In a nutshell don’t do pass yourself.

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