Title: Assessing The Effects Of Startup Business Potential And Entrepreneurship Development In Nigeria
Authors: OFILI, Peter.N
Volume: 10
Issue: 5
Pages: 61-68
Publication Date: 2026/05/28
Abstract:
This study analysed the effect of startup business potential and entrepreneurship development in Nigeria. Relevant literature on the subject matter was reviewed and anchored on the objectives of the study. The research adopted a survey research design, where data were collected using a structured questionnaire supplemented by interviews. Data generated from the field were presented using simple percentage while hypotheses were tested with the Pearson Product Moment Correlation (PPMC) statistical tool for clear analysis and interpretation. Findings revealed that infrastructural challenges have a significant impact on the growth of startup businesses in Nigeria, as unreliable electricity, poor road networks, and weak telecommunications systems hinder efficiency and expansion. The study further established that access to financing significantly affects the growth of startups, as limited financial resources constrain innovation, marketing, and talent acquisition, while adequate funding facilitates competitiveness and sustainability. Additionally, regulatory policies and government support were found to significantly influence the growth of startups, with favourable policies and tax incentives creating an enabling environment, while unfavourable regulations impede entrepreneurial activities. Based on these findings, the study recommends that government and private sector actors should invest heavily in improving infrastructure to provide a conducive environment for startups to thrive, financial institutions and government agencies should create accessible and affordable funding options for startups through venture capital, angel investments, and low-interest loans, and that the government should adopt startup-friendly regulatory frameworks that simplify business registration, reduce bureaucratic bottlenecks, and provide tax reliefs to encourage innovation and entrepreneurial growth in Nigeria.