Cooperative societies key to unlocking nano business potential – administrator
By Oluwatope Lawanson
A cooperative administrator, Dr Olusegun Dada, says cooperative societies play a critical role in providing finance, training and market access to empower small-scale entrepreneurs and drive economic growth and job creation.
Dada said this at the Lagos State Cooperative College Second Convocation Lecture, on Monday in Agege.
The event had the theme: “Cooperative Management: The Development and Transformation of Nano Enterprises in Lagos State”.
He emphasised the importance of cooperative societies in driving the growth of nano enterprises.
The administrator urged governments to transform and empower nano businesses which, he said, formed a larger part of the informal sector of the economy.
Dada said that the cooperative societies held the key to unlocking the potential of millions of small-scale entrepreneurs across the country.
According to him, nano businesses are small-scale enterprises that often employ one or two people in the informal sector.
“Nano businesses are owned by people who call themselves survivors.
“In fact, most people go into nano businesses because they just want to survive,” he said.
Dada, also a Cooperative and Business Development Consultant, said that nano businesses faced specific challenges, including limited finance, poor skills, economic vulnerability, and market access difficulties.
He said that cooperative societies could play a crucial role in addressing the challenges by providing access to resources and capacity building.
“Cooperative societies can help to build financial strength through sustainable loan schemes, revolving loans and savings synonymous with investment.
“Cooperative societies can also provide market access, collective branding and advocacy, which can help nano businesses to grow and develop,” Dada said.
He said that there were approximately 38.4 million informal businesses in Nigeria, with 85.55 per cent of them being nano.
According to him, this translates to about 32.9 million nano businesses in the country.
He, however, said that only four per cent of the nano businesses belonged to cooperative societies.
Dada urged state governments to recognise the importance of nano businesses and cooperative societies in driving economic growth and development.
“Government should empower nano businesses by providing access to finance, training and market access through cooperative societies.
“This can help to address the challenges facing these enterprises and promote economic growth,” he said.
The Provost of the college, Mr Akorede Ojomu, said that the convocation ceremony was a celebration of hard work, dedication, and perseverance.
According to him, it is a testament to the potential and talents of students of the college.
Mr Raji Oyebowale, Chairman, Governing Council of the college, said that cooperative education was a catalyst to inclusive economic development, social progress and institutional strengthening.
He thanked Lagos State Gov. Babajide Sanwo-Olu for support for the college and for driving a mission to build a world-class cooperative education institution in Africa. NAN
