Lessons from the Okada ban

Today is Valentine! Sending loads of Love and Light your way!πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“πŸ’“

Today, we are sharing Lessons from the Okada Ban and same will run for the next couple of weeks. Not to worry! We will conclude our Investing Right series in due course, we’ve got you.

Due Diligence: The Journey of a Business Man

A.K.A. Lessons from the Okada Ban🏍🚡

Entrepreneurs and StartUp Founders, let’s goπŸƒ on a journey, there are lessons to be learnt. Remember the Okada ban in Lagos State, of course you remember, after all, it happened few days ago.

 Let me shock you on this journey. Okada had in fact been banned as far back as year 2018. Yes! I am not drunk!

So, in year 2018 the Lagos State Government passed a law titled Lagos State Transport Sector Reform Law, 2018. Section 46 thereof prohibits the operations of Motorcycles i.e. Okada of 200cc engine capacity on major highways within Lagos State. (of course with some exceptions)

The subsistence of this Law notwithstanding, Bike Hailing Companies commenced operations in Lagos State and other parts of the Country. A lot of resources were expended, I’m sure some of these Companies applied for Loan and/or Overdraft Facilities from several Commercial Banks, while some had access to funds and grants.

These Facilities accrue interest no doubt; I trust they are even secured Facilities i.e. the Commercial Banks would have obtained a security/collateral/property of value. Human Resources were also contracted; Structures were put in place amongst other capital draining steps taken by some of these Bike Hailing Companies. Now, the Bikes have been banned!
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This brings me to Lesson No. 1, πŸ’₯before financing a project or business of any kind, please brief a lawyer to carry out Due Diligence i.e. Professional Investigation. Due Diligence is a big task and requires absolute care, knowledge, expertise and skills peculiar to a Lawyer. You know what to do, right? Simply send a WhatsApp message to 08150949947.
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Every Business and/or Project has set of Laws, Regulations, Bye Laws, Traditions that governs it, while at the same time there are also Regulatory Bodies to be wary of. Imagine, starting a Bakery Business or financing one, without factoring the requisite approval of its Regulatory Body.

Next Week on the Mini-Law-Series, we will bring you Lesson No. 2.

Let’s do better! Let’s make smart decisions!!

Oluwatosin Ajose Popoola Esq.,

For: The Online Law Clinic

#oluwatosinajosepopoola #okadaban #businessowners #entrepreneurs #duediligence #lessons

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