Small businesses in the P2P economy
Attending a major Food Fair recently, what was really striking was the sheer diversity of products and produce on offer. Equally gratifying was the fact that many of the participating vendors had taken the transformative step of creating a business out of a hobby or side hustle.
It has also become increasingly clear that the traditional retail value chain is undergoing a fundamental change due to the growing power and scale of the peer-to peer (P2P) economy in which small business owners are directly connecting with end buyers or consumers without the use of intermediaries.
This is being made possible through social media marketing especially on Facebook and Instagram and cashless payments using mobile phones. At the heart of this new marketing is interaction, experience and word-of-mouth testimonials.
Nevertheless, while P2P interactions are exciting, there will come a time for such businesses to come out of the shadows and formalize their operations. This means getting the business registered under a business name or as a limited liability company.
In previous posts on our platform, www.startuphubng.com/blog, we have explained what you need to do to get your business registered at the Corporate Affairs Commission (CAC). There is never a better time to act than now!