How to Start a Lottery Business in Nigeria
Starting a Lottery Business, Now the question is what is a lottery business – A lottery business is a type of gambling which at the end winners are chosen by drawing of lots from among those who have paid money to participate.
How to Start a Lottery Business in Nigeria
Lotteries are forbidden by some governments while others approve it to the extent of organizing a national state lottery. The most common regulation is the forbid dance of sales to minors, and vendors must be licensed to sell lottery tickets.
Lotteries were common in the U.S and some other countries in the 19th century. In the 20th century, most forms of gambling including lotteries were illegal in many countries. This remained till after the Second World War.
In the 1960s lotteries began to re-appear throughout the world as a means of the government to raise revenue without raising taxes .There are many forms in which lottery comes, the price can be fixed amount of cash or goods. In this format there is risk to the organizer if inadequate tickets are sold.
A popular form of this is the draw where the organizers promise that the price will be 50% of the revenue. Of recent, lotteries allow purchasers to select the number of lottery, leading in the possibility of multiple winners.
Lottery business in Nigeria is guided by the lottery laws and the National lottery commission Nigeria guides its activities. Starting a lottery business is always very challenging, it start this, you need to huge capital investment creative thinking and technical assistance. Before you set up your business, you need to study the federal and state laws in your country.
In this article, I will show you how to start an outstanding lottery business in Nigeria and its requirements.
What you need to start up a lottery business
- Funding
- Insurance cover
- Certificate of incorporation
- Operational license
- Employment agreement
- Business plan
- Non-disclosure agreement
- Business license
- Technology
How to start up a lottery business
- Feasibility studies
- Raise enough funds
- Register your business
- Licensing
- Get a physical office
- Payment platforms
- Lottery software
- Set up rules and regulations
- Mobile application
- Promote your business
1. FEASIBILITY STUDIES
It is best if you make your own personal research. The result of your study will enable you to have an overview of what it takes to start up your lottery business plan. This will help you settle on a healthy choice. Such choices include; style and type of lottery you should own.
2. RAISE ENOUGH FUNDS
It is very important to have enough capitals; else you will be shutting down your company sooner or later. You must have enough capital because in lottery business most customers win money that is beyond their wildest imagination.
The money must be there to offer to them because the moment you begin to give stories to your customers, they will begin to doubt the transparency of the business and when these happen, you will lose your customers and the business success might be slowed or the business shut down.
3. REGISTER YOUR BUSINESS
This is important to develop your business into a new brand. It could be stressful for private companies because Nigeria has its own lottery as a nation and these private lottery owners are mostly seen as rivals. It is important to register your business as it helps to promote trust amongst your customers towards your business and makes your business look legitimate.
4. LICENSING
After your business must have been registered, and you have made all your payments, you will be certified as a business entity through the issuance of a license. It will be your prove that your business is legal, and you can operate your lottery business freely in Nigeria. These licenses are usually renewed else your membership will denounce. Some licenses are renewed once in two years, once in five years and so on.
5. GET A PHYSICAL OFFICE
This is necessary because it will serve as point of service to customers. You can also have lots of outlets if you can afford it so that geographical location won’t hinder your business. Just like that of license you need a physical house so that your customers will believe your business is legitimate.
6. PAYMENT PLATFORMS
This is necessary so that your customers can cash in on their winnings. It is necessary to minimize the use of cash as it puts your staffs and customers in danger of being attacked. There are lots of good payments which are done online which could make the running of your business smooth.
7. LOTTERY SOFTWARE
Running on lottery software is the modern way to operate your business, except you want to operate old. To promote your business, you have to have online shops with this; users play their games at the comfort of their homes and your business will no longer be limited due to geographical location.
8. STEP UP RULES AND REGULATION
It is important to set up rules and regulations so that your business will not look like a haphazard business. With this, your business will be characterized as a transparent business.
9. MOBILE APPLICATION
To promote your business, you need to have a mobile application because mobile applications are more optimized than websites, but they are not substitute to a good website.
10. PROMOTE YOUR BUSINESS
It is very necessary to promote your business so that it will not fold up. In order to do this, you have to make adverts online, on the radio television and so on. You can also give discounts to the lottery account of customers each time they refer a friend. To promote your business, you can sponsor events, by this you are informing people of your lottery business and increasing the patronizers.
In conclusion, if you really want to start up an outstanding lottery business you have to follow the steps listed above, with this you can predict the things that can either make or destroy your business.
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