This is a borderline short for me on Tekedia. I was thinking it was too simplistic and maybe just deserved direct to LinkedIn, but, here we are!

I had recently contributed online to a post by a recruiter, Inez Willeboordse holistically serving the African Market. The issue pertained to start-ups.

This caused me to divert to considering the thought processes individual investors go through when considering where, and with who, and what, to invest with.

Clearly there are obvious things, such as whether they intend to be an active or passive investor, and if active, how the prospect sits within their own expertise.

I then began to think about a program called ‘Dragons Den’ which is a global franchise with different versions running in different countries. The one I seem to get to see most regularly is the UK based one.

One theme that seems to surface again and again, is when ‘Dragons’ find there has been investors that got in earlier and more ‘cheaply’.

I’m copying a fairly ‘calm’ episode here, but there have been previous episodes where Dragons have used the word ‘insulted’ to describe situations where ‘early investors’ have got ‘more for less’, or so it may seem.

The reality is however that investment is consummate with reward/ROI timetable and risk.

It isn’t reasonable to compare the risk taken by ‘wing and a prayer’ angel investors, with ones that are later supplied with some level of data around revenue and market traction.

Peter Jones: You’ve already given these guys 15% for 75k (pounds)!

Entrepreneurs: That was at the very first stages… we have significantly de-risked it since.

Albeit that the Dragons Den program is to some extent similar to things like X Factor and The Apprentice, (50% reality but 50% theatre) but at the end of the day, investors are still playing with their own money.

But we all know there is a difference between seed/pre-seed, angel, series A series B and other types of investors.

It is important that investors understand the stage of development a business opportunity is at, regardless of whether on or off camera. They should not try to compare themselves with investors that entered during different ’rounds’, with different data, and less convincing data to support the case for investment.

The illustration by Kunal Shah says it all. Just substitute ‘Nike Shoes’ with ‘Investment’

Mr. Obinna Iyegbu has been actively winning the love and support of the public through his philanthropic acts recently; shutting up his critics asking him that  he ought to have used the money he lavished and squandered in his mother’s burial to engage in a venture that will benefit the general  public the most.

It made the news at first that he gave a million Naira each to a huge number of youths in his village to support their businesses and hustles.  He also built and dedicated a church, a mansion of a building for his community. He also picked an interest in a boy hawking sachet water but was gracious enough to share money out of the little he had to prisoners in transit. 

The last news trending of Obi Cubana’s philanthropy is the building of the “Afor Oba Road” linking the city center to his village. 

Recall that Mr. Obinna Iyegbu, the founder and chief executive officer of the Cubana Group, a conglomerate that engages in entertainment and hospitality business and also real estate and hotels became the subject of public discuss for the whole of second quarter of 2021 after he hosted the burial of his later mother. Since then, he has been both the subject of praise and admiration and also the subject of criticism and investigation.

He has been and is still being investigated for financial fraud and money laundering by the men of the Economic and Financial Crimes Commission (EFCC), he is still a subject of an ongoing investigation for drug trafficking and running of a drug empire by the men of the National Drug Law Enforcement Agency (NDLEA). 

The last time I thoroughly checked, numerous federal cum state government’s agencies and commissions in Nigeria were earnestly yearning for a holistic review toward ensuring that the respective prime essence of establishing them are duly actualized.

Such lapses, if not adequately addressed, are liable to bedevil the anticipated manifestation of the genuine transformation agenda of any administration at the helm of affairs in the country.

Before commenting on the above topic, it’s imperative to present a background analysis of the essence and functions of government agencies established in various jurisdictions in any country across the world.

A government agency or commission is a permanent or temporary arm, which is often peculiar to a democratic setting, that’s responsible for the administration and oversight of specific functions.

In any country across the globe, there are quite a number of government agencies set up for different unique purposes. A given government agency is usually distinct both from a department or ministry, and other kinds of public structures established by the government.

The functions of a government agency are mainly executive in character since different forms of agencies or commissions are most commonly constituted for an advisory role.

It’s noteworthy that, a government agency may be set up by either a federal government or state government within a federal system. The term is not commonly used for a body or an organization established by the powers of a local government otherwise known as the ‘third-tier government’.

Agencies can be set up via legislation or by executive immunity. Moreover, the autonomy, independence and accountability of government agencies also vary based on the ground or principle on which they were constituted.

Similarly, a regulatory agency is a governmental body whose establishment is solely approved by a legislature to implement and thereafter enforce specific laws.

A regulatory agency or commission has quasi-legislative, executive and judicial functions, in the sense that while exercising its obligatory functions, it can in some occasions act like a legislature, an executive arm, or a judicial body, as the case may be.

For instance, a regulatory agency can set up a special court via the government’s approval. In such a case, it can exercise the statutory functions of the judiciary with the aid of the judicial custodians employed by the establishment. This is why a regulatory agency is expected to, in all circumstances, be made up of individuals that have no trace of any criminal record or questionable background.

If you own or run a business venture, you probably know it is subject to a cornucopia of laws. Undoubtedly, your business is subject to laws that govern social and economic matters including income taxation, payroll taxation, occupational health, as well as environmental, safety, real estate, employment, and criminal laws, coupled with other laws that are specifically related to your particular industry.

With the help of regulatory agencies, the government could handle or oversee the aforementioned civic responsibility. Regulatory agencies exercise two basic roles namely, implementation of laws and enforcement of laws.

Regulations are the means by which a regulatory agency implements laws enacted by the legislature of the country or province in question, as the case may be. Thus, regulations can be described as formal rules based upon the laws of the affected country/state that govern specific social and economic activities.

Regarding implementation of laws, regulatory agencies use a specific procedure to create and implement regulations. The federal process, for instance, abides by a procedure comprising advance notice, proposed regulation, public comments, review of comments, as well as final regulation.

It’s worth noting that an agency that is about to commence drafting new regulations would publish advance notice of its proposed rulemaking in the Federal Register.

The proposed regulations are published and the public would be therein invited to comment. Thereafter, the agency is expected to review the public comments and may or may not make any changes in this regard.

Consequently, the completed regulation is published in the Federal Register and will eventually be added to the Code of Federal Regulation, which is essentially a list of all extant federal

regulations broken up into titles and chapters. Finally, the regulation is implemented or made effective, and enforcement commences immediately.

Regulatory enforcement, which is often abused in a country like Nigeria, is another rudimentary role exercised by regulatory agencies. Agencies have a responsibility to monitor businesses or individuals to ensure they are complying with regulations.

Though agencies vary on how they perform their respective enforcement responsibilities, generally they abide by investigation, decision, and appeal. If an agency has reason to believe that a certain business or an individual has violated its regulations, the agency is meant to commence an investigation without much ado.