How to Register Your Company with CAC in Nigeria
Starting a business in Nigeria is quite overwhelming and as such, some processes are necessary to be kept in place. In order to function with near-zero technicality hassle, one of the essential things to do as a businessman or a company owner is to register your company in Nigeria. More so, With CAC.
What are the benefits of registering your company in Nigeria? Who or what is CAC? How can you register your company in Nigeria? Your questions will be answered below, stay with me.
CAC is an acronym for Corporate Affairs Commission. The Corporate Affairs Commission (CAC) of Nigeria was established in 1990 vide Companies and Allied Matters Act No. 1 (CAMA) 1990 as amended, now on Act cap C20 Laws of the Federation of Nigeria. Its establishment, structure, and funding are now governed by the Companies and Allied Matters Act 2020. It is an autonomous body charged with the responsibility to regulate the formation and management of companies in Nigeria.
Benefits of Registering Your Company With CAC In Nigeria.
- With a certificate from CAC, you can open a corporate bank account.
- When you register a company in Nigeria, you can apply for loans and grants.
- It places your company in a good structure
- Your company name legitimately belongs to you
- You have access to interns from NYSC once your business is registered
- Customers are rest assured of a traceable account that they pay into.
- Everyone sees your business/company as a legit one.
- Breeds opportunities
- Investors look at the branding of a company before showing interest, if you register your company, you are well-positioned for investors.
- Improves the reputation that your business might already have.
- When you die, so long as your business structure is set and you have registered your company, your company business can continue.
How to Register Your Company With CAC
A business can be registered in two forms:
1. Registering with a Business Name
This name is registered by a sole proprietor with a maximum limit of two people. The liabilities of the company rely on you – the owner of the company.
2. Registering and a Limited Liability Company
Before now, registering a company as a Limited Liability Company (LLC) is usually done for a company/business with two directors and a secretary. However, a new development has allowed one person to be able to register as an LLC. The liabilities of the company are carried by the company.
So back to the point, how to register a company with CAC. By and large, there are two ways to do this:
1. Register with CAC E-Portal
As long as you understand the requirements and process of registering online, doing this with the CAC e-portal is easy. The initiative has made registering a company in Nigeria a near easy-peasy-squeezy experience. Such that you can reserve your company name so it doesn’t get picked by another. The name would be reserved for 60 days while you continue your registration process.
Below are the steps involved:
- Log on to CAC portal – services.cac.gov.ng
- Sign up with CAC (or log in if you already have an account with them)
- Type in your preferred name to see if it hasn’t been picked yet. If it hasn’t, reserve the name and if it has, make another choice of name. Approval will be sent in an hour or a day.
- Fill and follow through with the other procedures as directed. Input the columns with the necessary information.
- Pay filing and Stamp duty fees.
- An electronic Certificate of Registration and Certified Extract of Registration information will be sent to you.
If the process is well-executed and all conditions are met, the CAC will register the business and issue the certificate and other registration documents electronically. A query will be sent if the application is not rightly and properly filled.
However, the whole process may need a CAC agent or a legal practitioner. You’ll see in the procedure where it is needed.
2. Register with the help of Mediahooch
Mediahooch is a branding and marketing hub that is interested and willing to help your brand. If you are someone like me that doesn’t like stress, then your sure bet is having Mediahooch handle it for you.
Conclusion
With all of this said, your business is better protected when registered with CAC. I have a feeling this is not the first time you are seeing this. If it is, then, you are on the right path.
You could also check the 6 Things to Consider Before Starting a Business
