26/07/2022
HOW TO REGISTER BUSINESS NAME YOURSELF WITHOUT THE HELP OF A LAWYER
Unlike before when registration of business name in Nigeria required a lot of stress and documentation with the attendant time waisting, the process has now been simplified as both lawyers and non lawyers can now register a business name online within 24 hours depending on availability of good internent connection.
Section 814 of the Companies and Allied Matters Act 2019 makes it mandatory for every individual, firm or Corporation having a place of business in Nigeria
and carrying on business under a business name to register in the
manner provided under Part E of the Act. So as an investor or entrepreneur, registering your business is one of the essential requirements for starting a business in Nigeria.
Registering your business name gives your business a legal recorgnition as a certificate of registration of the Business Name is issued upon registration and that name becomes a corporate name, this makes your business to enjoy a corporate recognition and distinctiveness, in that no other name that is identical with or similar to the already registered name will be subsequently registered by the Corporate Affairs Commission. Also a registered business name takes priority over an unregistered similar name, which in effect renders the unregistered name unrecognizable in law. Registration will boost investor's confidence in doing business with you. On the other hand, for an entrepreneur to make the business eligible for specific benefits either from an investor or government, it has to be registered with the Corporate Affairs Commission.
The aim of this article is to show you a step by step guide on how to register a business name in Nigeria with the Corporate Affairs Commission (CAC).
How to Register a Business Name in Nigeria
Below are the required steps to take in registering a business name in Nigeria:
1. Choose a business name.
2. Submit your chosen business name to the CAC for name reservation.
3. When the name is approved, you have the grace of 60 days within which you can register it.
4. Prepare your documents for upload and pay the prescribed filling fees.
5. If there is no query on your documents, your registration may be approved on the same day you upload your documents.
5. The final step is to download your registration certificate and other incorporation documents.
6. You will need the documents & certificate to open your corperate account.
Detail explanation of the steps:
Step 1: Choose a Business Name
At times choosing a business name may be quite difficult sometimes. You may also need to identify your business name with a brand name. It is advisable that you pick a name that is relevant to your business.
A business name must not end with "Ltd" otherwise it becomes a limited liability company and not a business name.
With the help of Google search or other search engines, you can do a quick search online in respect of the names you choose and have up to three alternative names, this is to ensure you have at least chosen the names that are not in use to the best of your knowledge.
In order to generates short, catchy names with a state of the art language model, you can also use a platform like Namelix, a digital tool to help with finding a name that fits your business.
Step 2: Submit Your Chosen Business Name to CAC for name reservationwithout adding "Ltd" at the end of the name.
Before the curent reform and upgrade, business name reservation at the CAC took days before it came back with a result. Today, it only takes less than 24 hours if you submit your request let say arround 8 am and it costs just NGN500.
Step 3: Register Your Business Name
Now that everything is done online without any paper work or physical submission of documents, all you need to do after your name is approved, is to proceed to CAC online registration portal, enter your information and upload your necessary documents. This is where you will enter your business objective, personal and business addresses, email and phone number.
Step 4: Pay For Filing Fee
After step 3, you will procced to payment with remita either with your ATM card or bank.
How Much Does it Cost to Register a Business Name in Nigeria? Just #10, 000plus remita service charge.
NOTE: every big thing starts small. You can register a business name now and upgrade it to a limited liability company later when you have the means.
Femi Peter Joseph Esq. is an Abuja based Litigation lawyer and business compliance consultant. He is also an accredited agent of the Corporate Affairs Commission.
To learn more contact Femjoe & Associates, [email protected] 08068936225 or 08111291555