More Nigerians now drop out of university to start businesses of PoS & Online stores–Report
A recent survey and investigation has shown a steady rise in the number of Nigerian students dropping out of universities and higher institutions due to various reasons.
This is not minding the fact that the federal government has floated students loan which is supposed to cushion the effects of high school fees and upkeep allowances of the Nigerian students.
Thus faced with prolonged degree timelines and uncertain job prospects, many young Nigerians now see greater value in hands-on learning, early revenue generation and direct connections with investors.
From technology incubators on campus to social-media marketplaces that demand little capital, the barriers to launching a venture have never been lower.
Below are 7 factors behind the surge in student-founders, and what this shift means for education and the economy.
The reasons some of them are giving include:
1. Unpredictable academic calendars
Frequent strikes and administrative delays extend degree programmes by months or even years. By starting a business, students avoid the frustration of interrupted sessions and instead channel their energy into building revenue-generating activities from day one.
2. High cost of tuition and living expenses
Escalating fees require many undergraduates to balance part-time jobs with studies. Entrepreneurship offers a way to earn more than a campus salary, covering both school costs and personal expenses while gaining practical experience.
3. Access to startup ecosystems
University incubators, hackathons and innovation hubs provide mentorship, co-working space and seed funding. These resources lower the entry barrier and give student founders a structured pathway from idea to market without waiting for graduation.
Why more Nigerians are dropping out of university to start businesses
4. Demand for practical skills
Employers increasingly value real-world problem-solving over theoretical knowledge. Building a business equips students with financial management, marketing and leadership skills that are often absent from traditional curricula.
5. Social-media marketplaces and e-commerce
Platforms such as Instagram, Jumia and Paystack enable quick product launches and payment processing with minimal investment. Student entrepreneurs can validate business ideas within weeks, attracting customers and refining offerings in real time.
6. Early investor and grant opportunities
Venture-capital firms, development agencies and angel networks actively scout campuses for promising founders. Seed grants, pitch competitions and pre-accelerator programmes encourage undergraduates to drop out early to focus full time on scaling ventures.’
7. Cultural shift toward entrepreneurship
Success stories of young Nigerian founders have inspired peers to pursue similar paths. As societal prestige shifts from formal degrees to business achievements, more students feel empowered to take calculated risks in pursuit of financial independence.
This growing movement challenges universities to adapt by integrating entrepreneurship into curricula and offering flexible degree pathways that accommodate student-founders without forcing them to choose between education and enterprise.
