You must have heard of billionaires like Mark Zuckerberg (28), Sean Parker (31yrs), Chase Coleman (36). They have changed the world we live in and have inspired loads of youngsters the world over. But do you know there are kids, yes kids, worth millions of dollars out there running businesses of their own? According to this?website?the owner of the popular teen site whateverlife.com was just 14 when she started it. Today she gets over 250,000 page visits everyday and earns her revenue from google ads. She was even reported to have turned off a $1.5m ?bid to buy her company which has her mother on its payroll. Interestingly she isn’t the only one who made it big at a very young age as the list?portrays.
Sadly, that can not be said of Nigerians. Most kids who are millionaires (even in Naira) mostly make it via inheritance. Nigerians kids are quite creative too and given the opportunity can also manage companies of their own. But opportunities?even when available are often limited by funding and encouragement from parents and guardians. Funding being a general problem with start ups in Nigeria can be excused but what about support and encouragement from loved ones and most of all the Government. Whilst parental support can be gotten these days, government hardly make it encouraging. According to the Company and Allied Matters Act?(CAMA)?Clause 20 Sub section 1A, which is the law that governs how companies are run in Nigeria, children under the age of 18 are not permitted to form their own companies without two other persons. This archaic and discouraging law means children under the age of 18 with special abilities that can translate to start ups are bound to the whips and caprice of their parents or guardian or any other persons that can alter the direction of the company. Good as the intentions may be, it hardly plays well in a 21st century that is yearning for new and creative ideas of making money. The government, which has repeatedly promised youth empowerment should look beyond just doling out funds and making public pronouncements. They can promote laws which can help to spur up entrepreneurial spirit.
In the US for example, there is the?Emancipation of Minor Law?which gives young entrepreneurs under the age of 18 a chance to own companies without the influence of parents or guardians or people older than them. Whilst emancipation of minors in some countries include total dislink from the parents care and welfare, it can be limited in Nigeria to allow minors have the powers to start their own businesses. This ensures the impetus, passions and determination that is associated with self motivated ideas is devoid of infiltration and undue control. It also gives them financial independence which is critical to their ability to control their operations. For example, several children who are frequent bloggers have the ability to attract frequent visitors which in turn is a potential for ad revenue. However, the ad revenue cannot be paid to them as they are just too young to open and maintain bank accounts let alone own companies who can. There are obvious risk associated with this law but don’t seem assailable. Even though the benefits are far outweigh the risk, it is unlikely this will happen anytime soon. As such don’t expect to see a self made millionaire under 18 in Nigeria.
This article originally appeared on this blog on March 28 2012. It has been updated to highlight the relevant clause in CAMA as well as change the heading.
