LESSONS LEARNT FROM RUNNING A BUSINESS.

I got into the ridesharing business last year with the hopes of growing it into a small transport line. I have had this idea for the longest time and this is my second attempt at it. I first started with a motorcycle in 2018 which I gave to a supposed trusted acquaintance to run with decent conditions that would benefit both of us. Unfortunately, I learnt the hard way that trust isn't one of the strongest variables in business and people are very capricious when it comes to money. Plus, the business isn't as easy as most of us would want to think. Things didn't work out and I sold the motorcycle when the rider's shenanigans became unbearable.

I took another shot at the transport business last year when I started ridesharing. I had learnt from my previous experience and decided to run my business myself this time, and it was more than I bargained for when I took on the initiative. I spent a lot of money learning the ins and outs of the business. Most of my initial profit and capital went into paying fines and other expenses. In less than 12 months I have paid close to $1000 in fines, and that's just the tip of the iceberg.

Also, in regards to navigation and route, I learnt that being in the right place at the right time is a huge determinant of one's profitability in the ridesharing business. Miscalculating or plying certain routes can ruin your earning potential in a day and also make you lose money. There have been days when I returned home with less than what I left with just because I drove to the wrong side of town.

Speaking of stress, my mental health has been tested to its limits. I cannot quantify the amount of emotional and physical stress one has to undergo on a daily basis driving in the city of Lagos, which makes a lot of sense why most transporters (especially in this part of the world) are into drugs and one of the reasons I have to stop soon.

The other major huddle is the cost of doing business. My vehicle isn't the best for the business because of its high fuel consumption (it is a V6 engine). Also, the cost of maintaining the vehicle, considering the bad roads, coupled with the high commission and tax rate, has always ensured that my books are in red despite the high earning rate. So in a good month, I can earn as much as 400,000 naira and more than half of that goes into covering business costs.

I used to think that these challenges were unique to me until I had discussions with other riders who shared their experience. It so happens that business isn't as profitable as one might think but many continue because of the constant cash flow. One of the perks of my line of business is that I always have money (no matter how small) which neutralizes the stress of doing business.

My major takeaway from this whole experience in the rideshare industry would have to be choosing a business with a low cost of operation and few external variables. Ridesharing has a high operational cost and many external variables that determine one's productivity/profitability. In order to make the most out of the business one must limit their working hours and maximize their earning potential which is extremely difficult.

My time in the ridesharing space is soon coming to an end. It is time to move on to other pursuits, however, I will make this transition gradually. As much as I do need to change my line of business I understand it is a major source of my income. I will continue with my business until I spot another opportunity.