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Nigerian small and medium-sized enterprises (SMEs) have been urged to strengthen their financial management, adopt digital tools and comply with regulatory requirements to take advantage of emerging opportunities in the country’s changing economic environment.
The Managing Director of The SME Mall, Muyiwa Femi-PEARSE, gave the advice while commenting on the Federal Government’s ₦200 billion intervention fund for micro, small and medium-sized enterprises (MSMEs), banking sector reforms and the growing adoption of digital technology.
Femi-PEARSE said access to funding alone would not guarantee business growth, noting that entrepreneurs must establish proper financial records, understand their business operations and develop clear strategies.
He said, “We are at a point where business owners must begin to think beyond daily sales and immediate survival. Access to funding is important, but funding alone does not build a sustainable business. Entrepreneurs must understand their numbers, maintain proper financial records, comply with relevant regulations and have clear business strategies.”
He added that changes in the banking sector and financial regulations required business owners to pay greater attention to documentation, financial discipline and the separation of personal and business finances.
On digital technology, Femi-PEARSE said SMEs needed to incorporate digital tools into their operations to improve customer engagement, manage transactions, monitor inventory and reach a wider market.
He noted that digital transformation went beyond maintaining social media accounts or accepting electronic payments, stressing that technology could help businesses improve efficiency and make informed decisions.
“Digital transformation is not just about having a social media page or accepting transfers. It is about using technology to make business operations more efficient, understand customers better and make informed decisions,” he said.
The business executive also identified poor financial management, inadequate business planning, limited technology adoption and weak operational structures as some of the challenges preventing small businesses from expanding.
He urged entrepreneurs to pay attention to business registration, taxation and other regulatory obligations to avoid difficulties arising from non-compliance.
Femi-PEARSE further called on financial institutions, development organisations and government agencies to ensure that intervention programmes were accessible, transparent and responsive to the needs of small business owners.
He said government support and private sector investment would be important in creating an environment where SMEs could contribute more effectively to job creation, economic development and wealth generation.
The Federal Government’s ₦200 billion MSME intervention fund is among the measures introduced to support small businesses, while ongoing financial sector reforms are expected to reshape the business environment.
Femi-PEARSE urged entrepreneurs to assess their readiness for funding, expansion and business partnerships, adding that stronger internal structures and financial accountability were necessary for long-term growth.
