How To Register Your Business In Nigeria

Register your business, even if you feel that your business is too small. Contrary to popular belief, registering your business here in Nigeria isn’t cumbersome or complicated. It’s not technical nor will you be given codes to solve.Corporate Affairs Commission (CAC) is an agency here in Nigeria where you can go and register your business. I always urge entrepreneurs and business owners to register their business cause it comes with wonderful benefits.

Before paying the Corporate Affairs Commission a visit, you’ve to determine the type of business to register. Are you going to register just the business name or a company that’s limited by shares? Before you register your business, consider the type of registration to go for. Below are categories of business registration.

• Business Name Registration
• Private Limited Company (LTD)
• Public Limited Company (PLC)

There are so many other categories, but the above is the most popular and commonly used by prospective entrepreneurs. Now you’ll be wondering, what are the benefits that comes from registering a business? Why should you register your business?

REASONS WHY YOU MUST REGISTER YOUR BUSINESS

• ESTABLISHING BANK ACCOUNT – Before you can open a bank account for your business here in Nigeria, your business must first be registered. Registering your business gives you the privilege to have a business bank account, instead of giving your personal account to customers which is very unprofessional.

• GETTING LOANS – When you register your business, you’ll look serious especially when seeking for a loan from an investor or the bank. Presenting your business registration certificate is prove that you’re a certified business and not an illegitimate venture.

• CUSTOMER ASSURANCE – Nobody might want to do business with a business that’s not really recognized as a business. One of the reasons why you must register your business is because of the impression it will create on potential customers.

• ENHANCE BRAND IMAGE – Your brand is not really a brand if it has not been registered as a business. Big companies like Google, Dangote, Apple etc are registered businesses.

• LEGAL LIABILITY PROTECTION – When you register your business, it becomes a separate entity which means, you can’t be sued as a person. If there’s any defaults that arises in the cause of business operations, only the business can be sued. For example, if you had taken a loan from the bank in the name of the business, the bank will not cease any of your property because you’re not the business. They can only cease the business’s assets.

• BUSINESS TRIPS – If you register your business, it will makes going on business trips easier. As a business, acquiring visa to other countries will become easy cause every nook and cranny of the world are looking for potential investors to come in and help the economy.

There are countless benefits to derive from registering your business. It can’t be overemphasize.

STEPS TO REGISTER YOUR BUSINESS

1. CHOICE OF NAME/NAME SEARCH

Before you began this step, you must have first discover the name your business will answer. Go for a name that can be branded and at the same time, memorable. If that has been taken care of, then visit Corporate Affairs office nearest in your state.

You’ll be required to purchase and fillAvailability Form (AC1) which isn’t up to N500. Fill in all the appropriate spaces like your name,address and the name your business intend to answer. If the form looks confusing, contact one of their staff to help you out. They will be glad to.

This stage is where they check if your business name is available or not. That’s why I advice going for abstract or unique business names. Popular phrases are hardly available. Make sure your form is photocopied before submitting cause that’s what will be used to find your original form when you return. You’ll be told to come back in three (3) days time to know if your business name is available or not.

2. REGISTER YOUR BUSINESS

After three days of filling the Availability Form, go back to the agency to find out if the proposed business name is available. If it’s not, you’ll have to repeat the above process. However, if the business name is available, then go ahead and register it immediately. As of the time of writing this article, registering a business name cost N20,000. This price is not ultimatum, it can change. For a limited corporation, the price is higher.

3. TAKE FORM TO HIGH COURT

Take your form to the federal or state high court for attestation. When you reach the premises, ask for where attestation can be made. It’s very important you do this yourself so that you won’t be overcharged. Once you have the attestation letter. Head back to the Corporate Affairs Commission and submit. This process is easy as you will be guided on the steps to take by their personnel.

3. CERTIFICATE OF REGISTRATION

After you have registered your business, the finally step is getting your business name certificate of registration. This should be ready after a week or more. It will be delivered to your doorpost if your business registration is a limited corporation.

For more information on how to register your business, visit Corporate Affairs Commission Official Website.