Company registration in Nigeria is the gateway to legal business operations, investor confidence, and market credibility. Whether you’re a startup founder, a foreign investor, or a freelancer transitioning into a formal enterprise, understanding the step-by-step process of company registration is crucial. This article provides everything you need to know—from choosing the right structure to post-incorporation compliance.
| Adebayo Oluwole & Associates is one of the leading accredited agents in Nigeria. Contact us for your pre and post registration services. WhatsApp 08155554892 |
Why Register a Company in Nigeria?
Registering your company with the Corporate Affairs Commission (CAC) offers the following benefits:
Legal Recognition: Your company becomes a legal entity, separate from its owners.
Access to Business Opportunities: Only registered entities can bid for contracts, apply for loans, and engage in partnerships with government or large corporations.
Protection of Business Name: No other business can legally operate using your registered name.
Tax Registration & Compliance: Registration is the first step to obtaining a Tax Identification Number (TIN).
Investor Confidence: Investors are more willing to invest in registered companies.
Types of Companies You Can Register in Nigeria
Understanding the available structures helps you choose the one best suited to your business goals:
- Private Company Limited by Shares (LTD)
This is the most common type of company in Nigeria. It requires at least one director and a minimum share capital of N100,000 (higher for specialized businesses).
- Public Company Limited by Shares (PLC)
Ideal for large corporations that intend to raise capital from the public or list on the stock exchange.
- Company Limited by Guarantee
This structure is usually used by NGOs, charities, and non-profit organizations. Profits are reinvested rather than distributed.
- Unlimited Company
Rarely used, it involves unlimited liability for members and is suitable for highly specialized or secretive businesses.
Requirements for Company Registration in Nigeria
The CAC mandates certain criteria to be met before a company can be registered:
Proposed company name(s)
Minimum of one director and one shareholder
Valid means of identification (National ID, passport, etc.)
Company address
Share capital and shareholding structure
Nature of business (Objects of the company)
Memorandum and Articles of Association (MEMART)
Step-by-Step Process for Company Registration in Nigeria
Step 1: Name Reservation
Conduct a public search and reserve a unique company name using the CAC portal. Ensure it doesn’t resemble existing entities or contain restricted words.
Step 2: Preparation of Incorporation Documents
Required documents include:
Form CAC 1.1
MEMART
ID cards of directors and shareholders
Signature of directors and shareholders
Information on shareholding and company structure
Step 3: Filing with CAC
Submit all documents online via the CAC registration portal. A registration fee is payable based on the company’s share capital.
Step 4: Certificate Issuance
Once approved, the CAC issues:
Certificate of Incorporation
Status Report
Form CAC 1.1
These documents confirm your company’s legal existence.
Minimum Share Capital Requirements in Nigeria
Some businesses are required to register with a minimum share capital higher than N100,000. Examples include:
Travel Agency: N30 million
Security Company: N10 million
Ensure you meet these thresholds before proceeding with registration.
Cost of Company Registration in Nigeria (2025)
The cost varies depending on the following:
Type of company (LTD, PLC, NGO)
Professional service fees
Stamp duties and CAC filing fees
Share capital size
On average, registration costs range from N50,000 to N100,000 for standard LTDs, depending on complexity and share capital.
Post-Incorporation Obligations
Registering your company is only the beginning. You must also:
- Obtain a Tax Identification Number (TIN)
Required to open a corporate bank account and for tax compliance.
- Open a Corporate Bank Account
Use your CAC certificate and TIN to open a business account in the company’s name.
- Register with FIRS & State Tax Authorities
This ensures compliance with VAT, PAYE, and other relevant taxes.
- File Annual Returns
All companies must file annual returns with the CAC to remain in good standing.
Foreigners and Expatriates: Company Registration Guidelines
Foreigners are allowed to register and own 100% of a company in Nigeria. However, they must:
Meet the N100 million Naira minimum share capital for certain sectors.
Register with the Nigerian Investment Promotion Commission (NIPC)
Obtain a Business Permit and Expatriate Quota
Engaging a local consultant ensures compliance with all immigration and investment laws.
Common Mistakes to Avoid During Company Registration
Choosing a name without a proper public search
Inadequate share capital for regulated industries
Omitting important company objects in MEMART
Using unqualified agents or unverified platforms
Ignoring post-registration compliance requirements
Why Use a CAC-Accredited Agent?
A CAC-accredited agent ensures your company is properly registered, saves time, and helps you avoid errors that could delay approval or lead to rejections. Their services often include name search, documentation, tax registration, and advisory.
How Long Does Company Registration Take?
Typically, it takes between 3 to 10 working days if all documents are in order. Delays may occur if names are rejected, documents are incomplete, or additional regulatory approvals are needed.
Final Thoughts
Company registration in Nigeria is the first major step toward establishing a credible and scalable business. From choosing the right company structure to meeting regulatory obligations, the process must be handled with accuracy and foresight. Whether you’re a local entrepreneur or a foreign investor, getting it right from the start gives you a strong legal and operational foundation.
For seamless registration with expert support, consider working with an experienced CAC-licensed consultant.
Need Help Registering Your Company?
Call us at CACregistration.com to get started. We’ll handle everything—from name reservation to certificate delivery—so you can focus on growing your business.
Adebayo Oluwole is a seasoned chartered accountant and a member of Chartered Institute of Taxation of Nigeria with over twenty years of experience. His expertise cuts across accounting, auditing and taxation. He has helped hundreds of individuals translate their dreams into reality by offering them pre and post registration services. His focus is to help SMEs grow in the marketplace.