Investing in mama put vendors could generate as much as ₦1.8 billion a year through a structured daily investment model, according to music executive and entrepreneur Ubi Franklin.
Franklin shared the idea during an appearance on the Built The Hard Way podcast hosted by Cyril Okoi.
He was asked which sectors he would recommend to aspiring entrepreneurs.
Ubi Franklin’s Investment Idea
Franklin warned people against entering the entertainment industry. He described it as one of the most volatile sectors to invest in.
He then turned his attention to Nigeria’s unbanked sector. This includes many small-scale traders and food vendors who operate outside the formal financial system.
“The money in the unbanked is a lot,” he said.
Franklin said mama put vendors could be part of a profitable investment model.
He suggested giving 100 vendors ₦50,000 each to fund their daily cooking. The vendors would use the money to buy ingredients and prepare food for customers.
According to his model, the vendors would repay the ₦50,000 capital from their daily sales. The investor would then receive a return from each vendor.
How the ₦1.8 Billion Is Made
Franklin based his idea on the amount of money vendors can make from their daily sales.
He said a vendor could spend about ₦30,000 on ingredients. He claimed the vendor could then make more than 250 per cent of that amount in returns.
“Do you know how much they make every day? Let’s say they use 30k to cook food; those people make more than 250% of that,” he said.
Franklin then explained how the figures could grow when the model is expanded.
If an investor received ₦50,000 daily from each of 100 vendors, the total would be ₦5 million per day.
Over 365 days, that would amount to ₦1.825 billion. Franklin rounded the figure to ₦1.8 billion.
“Calculate 50k daily times 365 days,” he said. “Let’s say you invested in 100, that’s 1.8 billion.”
The Opportunity in the Unbanked Sector
Franklin’s argument highlights the size of Nigeria’s informal economy.
Millions of traders and small businesses operate daily without easy access to formal financing. He believes this creates an opportunity for structured investment.
His proposal is similar to a micro-lending model. Investors provide working capital, while traders use the money to run their businesses.
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