I know you want to register your business yourself because you feel you can’t afford a lawyer or you just like the DIY thing. I’m all for reducing costs and all, especially as a small business. So, let’s get right into it, shall we?
In January 2021, the Corporate Affairs Commission introduced a new pre-incorporation site and a few others. For this article, I’ll focus on www.pre.cac.gov.ng,
which is the site for all registrations of brand new businesses.
If you wish to register a business name, you have two basic options. You could do so by yourself, no technical skills are required or you could consult a lawyer. I’m not saying consult a lawyer just because I’m one, but because there are lots of legal stuff you need to know before you do so.
The law guiding businesses in Nigeria has changed and it keeps changing, even lawyers have to consult the laws more frequently now than ever before. So, make sure you ask some questions before you do so.
Anyway, since this piece is basically for people who want to do it themselves, or for others; let’s get right into it, shall we? Below are the major steps:
- A NAME FOR YOUR BUSINESS
- A PRELIMINARY SEARCH
- APPLY FOR RESERVATION OF NAME:
- PROCEED TO REGISTER
- RESOLVE QUERIES/DOWNLOAD CERTIFICATE
A NAME FOR YOUR BUSINESS:
Get a name for the business and be clear as to the nature of business. I have a full article on how to choose a name for your business. You should read it to avoid the simple pitfalls of choosing the wrong name.
Basically, a name should be simple to spell and easy to understand. It should be able to somewhat suggest what you do, especially if your clients/services are not too sophisticated. Compose a nature of business of not more than 2 lines as CAC favours simple ones. If you need help on how to do these, see this article here. (Insert link on here)
A PRELIMINARY SEARCH:
This is not a compulsory step, however, to save yourself from having to pay the availability fee over and over, it will be in your best interest to do this. The CAC also has a new site for its corporate registry where you can check to see if names similar to your choice already exist and also to guide you on how to couch yours to be different from the others, so you can be sure that CAC will approve the name.
The site for searching names is www.search.cac.gov.ng. Insert the name you have chosen and click on both business name and company to get a more accurate reading. The data you see there may be somewhat confusing and CAC may still disapprove your availability application. To understand the site better and increase your chances of getting CAC to approve your name, check out my article on understanding and interpreting CAC search here (insert link).
APPLY FOR RESERVATION OF NAME:
This is a paid service on the CAC registration site, www.pre.cac.gov.ng. Follow these simple steps
a. On the dashboard, click on name reservation.
b. Choose the classification, specific type of business from the drop-down menu.
c. If you have a business partner(s), then choose “business name – partnership.”
d. Type your chosen name(s), starting with the more preferred one.
e. Reason for availability will be new incorporation.
f. Select the nature of business category and nature of business that best describes yours.
g. Pay for the service and wait for their response via your registered email address.
PROCEED TO REGISTER:
Congratulations, your name reservation was successful. Click on the start registration button and continue with the details. For the nature of business, CAC prefers you write it as prose and not numbered. A simple one/two sentences are best. Ensure you write the proprietor’s name exactly as it is on the means of ID. Upload the signature, passport photograph, and the means of ID of the proprietors(s).
RESOLVE QUERIES/ DOWNLOAD CERTIFICATE:
I’m 85% sure that if you followed the steps outlined here, you had no queries, all you have to do is relax and wait for the certificate. The registration could take between 1-14 days, depending on the workload at CAC. The timeline isn’t something we can control.
When the registration is complete, download your business name registration and start or continue your business.
This is a simple step-by-step on how to register a business name in Nigeria. For any inquiries, information, assistance on registration, or resolving queries, please reach out to the author on ckalu@counselaws.com or comment on this post.