Four Ways to Start Oil and Gas Business in Tanzania If you Have Small Capital

The oil and gas industry in Tanzania opens up lucrative opportunities for small and large players who want to exploit opportunities or be entrepreneurs in the sector. The sad reality is that most of us think and know that kind of business only big business people can do in this sector.

But all you need is authentic information on how to get started in this line of business. So if you are considering starting a business in the industry but have a limited budget, here are five ways to break into the business.

1.Join forces with friends and colleagues

Join up with a few of your friends or colleagues who can support your idea is one of the best options for raising capital to start your project.

The sad reality is that we (Africans) don’t like to join forces and pull up resources to start a new venture. But If we want to reach great heights, we must find a way to work together to expand and contribute to our country and our continent through this sector.

2.Reach out to investors with a bankable business plan

You will have to get private investors to back you to get it started. Thousands of people have done it.

Investors know energy is an essential commodity in a growing country like Tanzania that has rapid population growth.

So there are people who can consume your products. They also know there is money to be made in the petroleum sector.
You can raise funds to start your oil and gas business with a proper business plan and contacts.

3.Look into small Scale oil and gas business ideas.
While opportunities in the industry might sound capital intensive, there are lucrative small-scale investment opportunities in the oil and gas industry.

No matter the size of your pocket, if you look critically, you will still discover small-scale business opportunities you can pursue. There are numerous lucrative opportunities in the petroleum sector, ranging from starting LPGas retail shop and setting up a lubricating shop to creating a small-scale fuel station. There are also opportunities to provide consultancy and support major oil and gas companies in the country.

4.Save Capital to invest.

At almost any income level, you save capital. By spending less than you earn and investing the rest, you end up saving millions of shillings over time. 

Alex James, a former bank employee, proved this well. When he reached out to me for advice on setting up a small-scale fuel station in a small village in the Mwanza region, he saved cash and put all of his savings into the oil and gas industry by starting a small fuel station with two pumps.

 But if you don’t invest, save some cash. You will not have anything left over to invest.

So, what are you waiting for?

  Start today by taking  even the smallest actions towards your ideas. A little things matter. Small actions today can lead to big results tomorrow.

I am your partner, facilitator, motivator, and advisor. Reach out to me via +255(0)655376543 or Hussein.boffu@tanzaniapetroleum.com