The reasons behind the failure of Small and Medium-sized Enterprises (SMEs) in Nigeria.

Insufficient sustainability initiatives and a lack of ethical values have been pinpointed as significant causes of small and medium-sized businesses (SMEs) failures in Nigeria.

Despite the challenges posed by a tough economic climate, limited capital, and inadequate management, professionals assert that poor sustainability programs are contributing to the downfall of these enterprises.

These experts argue that sustainability entails implementing strategies, actions, and initiatives that aim to preserve and enhance the value of businesses.

These discussions took place during the inaugural annual conference of the Young Directors Forum, a branch of the Institute of Directors (IoD) in Nigeria, held in Lagos. The event’s theme was centered on the importance of sustainability reporting in building a viable and enduring business.

During the event, participants had the chance to delve into the topics of sustainability reporting and corporate governance strategies, focusing on how these concepts can be implemented to ensure the long-term survival of businesses.

Akin Ogunbiyi, the group chairman of Mutual Benefits Assurance Plc and chairman of the event, emphasized the importance of entrepreneurs prioritizing the creation of sustainable growth and prosperity for their businesses.

He highlighted that sustainability means preserving our society’s ability to thrive and progress without depleting the natural resources necessary for a healthy planet.

Speaking on the topic of sustainability in business, Omobolanle Victor-Laniyan, Head of Group Sustainability at Access Bank, emphasized the importance of responsibility and ethical thinking within government, individuals, and businesses.

Drawing on her experience as a sustainability expert in various sectors, Omobolanle explained that sustainability involves meeting present needs without compromising the environment for future generations.

She stressed that making profits should not be the sole focus, but rather, businesses should strive to act ethically and ensure that their actions do not have negative consequences in the future.

“A business should have a long-term perspective. This requires sacrificing some immediate profits in order to exist and succeed in the long run. Although sustainability may appear challenging in the short-term, organizations should plan for the future,” she advised the young entrepreneurs in attendance at the forum.