The moving images have almost replaced the conventional still photographs with people opting for films of social gatherings, religious, political and marriage functions, etc. The technological advancement has brought the video close to people, which has led to the tremendous growth of videography studios centres even in small towns and villages. The project cost is NGN 925,000 and the estimated annual revenue is NGN 31,200,000.

Production Process, Capacity and Technology

The operating process involves simple steps. However, much depends upon the skill and acumen of the person handling the camera. Equipment; Video Recording Equipment is bought and put in place. Trained and specialized cameramen take the positions of manning this equipment. It is not easily quantifiable as this depends on a number of factors including the quality of the recordings being given out, the charges, etc.

Capital Investment Requirements (CBN Exchange rate – $1 to NGN 380) as of 7th of May, 2021)

Capital Item  Qty  Price Per One NGN Amount (NGN) Amount (USD)
VHS/SVHS Video camera 1 200,000 200,000 526
Lighting  2 30,000 60,000 158
External Microphone 2 50,000 100,000 263
Computer 1 150,000 150,000 395
Computer Software 1 50,000 50,000 132
Labelling Machine 1 120,000 120,000 316
Camera Accessories 1 80,000 80,000 211
CD burning and recording deck 1 15000 15,000 40
Other Equipment 1 150,000 150,000 395
Total Cost 925,000 2434


1. Production costs assume 312 days per year with a daily capacity of 2 video coverage.

2. Depreciation (fixed asset write off) assumes a 4-year life of assets written off at 25% per year for all assets.

3. Direct costs include materials, supplies and all other costs incurred to produce the product.

4. A production month is 26 workdays.

5. Currencies used are Nigerian Naira and US Dollars.


Production and Operation Costs

Direct Materials, Supplies and costs

Cost Item

Unit Cost NGN Qty/ Day Pdn Cost/Day NGN Pdn Cost/Mth NGN Pdn Cost/Year NGN Pdn Cost/Year USD
Direct Costs:
Video CDs 100 2 200 5,200 62,400 164
Rechargeable Batteries 2500 0.5 1250 5,000 60,000 158
Sub-Total 122,400 322


General costs (Overheads) 

Cost Per Month NGN Cost PerYear NGN Cost PerYear USD
Utilities 2,000 24,000 63.2
Selling and Distribution 30,000 360,000 947.4
Rent 4,000 48,000 126
Depreciation  10,000 120,000 316
Miscellaneous Expenses 8500 102,000 268
Sub-Total 654,000 1721
Total Operating Costs 776,400 2,043


Project Product Costs and Price Structure 

Item Qty/Day Oty/Yr Unit Price TR/YR NGN Total Revenue(USD)
Videos, Films, Movies etc 2 624 50,000 31,200,000 82,105


Profitability Analysis Table

Profitability Item  Revenue Per Year NGN Per Year

Revenue Per Year USD

Revenue 31,200,000 82,105
Less Prod & Operating Cost 776,400 2,043
Profit 30,423,600 80,062


The use of electronic media has created a favourable climate for the filming of all programmes and events among all sections of people in society. This can be done to generate higher incomes even in rural areas. Advertising is needed for this project to quickly pick up demand.

Suppliers of Equipment

The equipment is available on the markets or some can be gotten from online stores.

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