Many researchers and policy makers in industrialized countries of the world emphasized entrepreneurship development as the way to a sustained good standard of living of the nationals. The article point out that entrepreneurship development in Nigeria is very slow despite all the numerous programme and schemes that have been designed by different government at different times. Descriptive survey research method was used in this study whereby data collected from both primary and secondary sources were analyzed using percentages and mean scores, while the hypothesis were tested with Chi square. The result indicated that apart from the known problems of inadequate capital and lack of competent and skilled management, there are other challenges that hinder entrepreneurial activities in the economy. The Nigerian business environment is facing a lot of problems as a result of epileptic power supply, violent clashes of militant groups, kidnapping, looting, arson, and so on. The study concludes among others that with the introduction of business incubators into the system, proper handling of political and social economic problems, privatization and commercialization of power sector and provision of alternative source of power supply, entrepreneurship development has a lot of prospects in the country.