It is a known fact that the Igbo tribe of Southeastern Nigeria are one of the industrious group of people in Africa today. Their undaunted spirit, courage, resilience and high business acumen have made them the bedrock of economic activity especially at the small and medium scale enterprises level in Nigeria. They are known to manufacture shoes, automobile spare parts, electrical/electronic gadgets, building materials etc. They have been labeled “industrious”, “the Chinese of the African race”, “black Jews” and many more.
Success stories rooted in humble beginnings provide the best inspiration for young entrepreneurs. They show that anything is possible, and that a person with pure resilience, a keen eye for both observing & taking advantage of opportunities, and a disciplined approach to managing their finances can achieve whatever they set out for.
This is the success story of Frank Nneji Uzoawuotu, the founder and CEO of the ABC (Associated Bus Company) Transport Company, one of the largest road transportation companies in West Africa. ABC Transport Plc commenced operation in road passenger transportation on February 13, 1993 as an off-shoot of Rapido Ventures with a view to running a modern road transportation system in Nigeria.
Frank Nneji Uzoawuotu, a native of Imo State, southeastern Nigeria was born in Kaduna on the 30th of April, 1960, to a retired Soldier and retired nurse. After finishing his primary and secondary school education, he proceeded to study Biological sciences at the University of Nsukka, which was a pre-requisite to study Medicine (his mother’s dream for him) at the time, but later switched to Zoology, and eventually graduated in the year 1982.
While Frank Nneji was still in his early years in the university, he would take past questions of courses being taught from the records office of his university, repackage them, and sell them for a fee to his co-students. Within a year of running his college business in 1980 which was his second college year, he was able to raise 500 Naira (about $400 at the time) which he decided to invest into another venture.
His next trial at entrepreneurship was to purchase a student rebate ticket sold by the Nigerian Airways at the time took a trip to Italy and bought fashion items ranging from T-Shirts to belts, jeans, and fashion items for resale in Nigeria. He ran his fashion and education business together while still a student and was able to graduate with a reasonable sum to venture into a larger scale business.
Upon graduating from the university at age 23, Frank decided not to take up any employment but went full-on into the business world. Using income he had saved up from his time as a student and an additional 750 Naira given as allowance by the compulsory youth service scheme, he founded a company named Rapido, rented an apartment, and started the supplies of educational materials especially white boards.
His business eventually broke even when he was awarded a contract to supply a large volume of white boards to the Federal University of Technology (FUTO). This he achieved, by employing his friends to help him execute the contract in order to keep costs low. Since funding was low, Frank Nneji would source the cash required to execute his projects from some of his friends, after which they’d share the proceeds from the contract equally.
Frank regularly experienced discomfort while traveling interstate during his early business trips. He was irked by the fact that most buses always had an overload of passengers, and their staffs, especially the drivers and bus conductors, were utterly rude.
At one point when he was travelling from the Eastern part of Nigeria to Lagos, besides the fact that he was tightly squeezed in the bus with a woman who carried a baby in pure discomfort, the bus made too many stops to carry passengers. What occupied Frank’s thoughts while in the bus, wasn’t just the fact that they were making too many discomforting stops, but that the mother and especially her baby had to suffer the same fate as everyone else.
This event got him thinking about how the road transportation sector was badly managed and how existing bus companies and business savvy individuals could take advantage of the problems and grow a compelling business out of it. Frank remembered his days in the university as the first campus director of the student union, and how he used to make money by conveying students to various events in his personal car for a fee.
With a glaring opportunity and a strong will, Frank Nneji prepared a comprehensive business plan in 1991 and approached a bank for a loan. The bank cleared with him and provided a credit facility of 1.5 million Naira ($33,000), which he used to lease five ‘Hiace’ buses to start up his business, which he named The Associated Bus Company (ABC). At the early stage of his startup, he employed his younger brother Jude, whom was a trained pharmacist, to begin work with his company immediately after his youth service.
ABC Transport today is a multi-million dollar business holding one of the top spots for road transportation in Nigeria and employing well over 1,200 people. The transport company is the first of its kind to be listed on the Nigerian Stock Exchange (NSE), and has subsidiaries ranging from ABEX services to City Transit (hospitality for travellers), along with a 50% stake in Transit Support Services, a trading company engaged in the importation, sales of vehicles spares, installation of motor vehicle speed governing devices, and the assembly of heavy duty trucks.
With its exceptional services including air conditioned buses with toilet facilities and their “Coach West Africa”, which takes their business all across West Africa, Frank Nneji has built a conglomerate that has become a de facto thought for a lot of people using the road to commute around Nigeria and West Africa. The success of the company also drew the attention of equity investors, with Capital Alliance Private Equity (CAPE) acquiring a 30% stake in it as at 2004.
Success only comes to those who are prepared and ready to take on the next big opportunity, people who see solutions where others see problems and disappointments, and people who are always willing to try something new no matter what it holds
Frank Nneji’s business journey has built up to be a remarkable success story anyone can learn from, and has shown that your background, no matter how poor or rich, does not determine your future. Only your resilience and the will to act can take you from where you currently are to the next destination.
John F Fowler is a business consultant, entrepreneur and youth entrepreneurship development trainer. He has produced books on various SME business start-ups. For business advice contact him on [email protected] , www.startabusiness.com.ng, whatsapp +234 802 325 4577.
Monday May 22, 2017.
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