How To Register Your Business Name in Nigeria- Step By Step.
Business name registration in Nigeria is a smart choice for a new entrepreneur for a variety of reasons. Anyone can decide one day to start operating as a business.
All that person has to do is provide a product or service to another person that produces a profit to be “in business.”
While registering a business with the state or local government isnR17;t necessarily required to complete business transactions.
It is believed that in Africa, up to 70 percent of people who regard themselves as ‘entrepreneursR17; do not own a registered business.
How can Anyone say they own a business when it doesn’t really and legally exist?
It’s just plain ignorance for some of these people; they don’t know or understand the importance of getting a business registered. Those who aren’t ignorant choose to avoid Registration’s upfront cost when they start their business.
If you have been running an unregistered business for some time, this article will give you mindful reasons to get your business registered with CAC.
However, if you plan to start a business soon, the reasons in this article will prevent you from missing out on the benefits of a legally registered business.
but first, let’s break some things down
Business registration is simply getting your business in its unique name and ownership, registered with the company, and listed in the register of Corporate Affairs Commission, a master record of all registered companies.
Having understood what business registration is all about, let’s quickly move on.
Benefits of Registering Your Business With CAC
Below are the key reasons you need to register your brand name on the Corporate Affairs commission and receive their Certificate with you.
- Your Business is Secured
- Registering your business helps you to secure your business name before someone else takes it. Once you have successfully registered the name of your business with CAC, no other person can lawfully use that same name to carry on a business because you have already and lawfully occupied the name, making you in charge.
- The name is reserved for you and only you alone I think that’s a good reason for you to start thinking about getting your business registered with the corporate affairs commission.
- Access To Corporate Account
- Did you know you will only be able to open a corporate account with your business name only if it is legally registered?
- I hope you already know the importance of having a current corporate account for your business. It makes people feel more relaxed dealing with you.
- Authenticity Of Your Business
- When you get your business registered, it imbibes in you, high level of seriousness and makes your brand more authentic. It makes you feel more responsible and work harder towards establishing your brand and at the same time achieving your goals.
- Your Business Liability is Secured
- Another important factor of having a company registration in Nigeria<span data-preserver-spaces=”true”> with your brand is that it protects you from personal liability; this is arguably the biggest reason why many people register their businesses.
- Without legal rights and protection from limited liability, you could lose your business and personal property if something goes wrong such as your customer sues you to court for heavy damages.
- Investment Is Guaranteed
- It is easier to get Bank credit investment from investors for Banks when your company is legally registered in Nigeria.
- There are two categories of loans which include Personal and Business Loans.
- They are different, and one cannot be used to represent the other. As a result, most banks will gladly lend you money to buy a new car or house, but none will give you money to fund a business that isn’t registered.
- To qualify for a business loan, the first thing and non-negotiable requirement are to get your business registered.
- EFCC Harassment Is Avoided
- I believe nobody would like to be harassed or have to answer any Investigative questions from EFCC.
- So another big benefit of having a business registered is that it saves you from Harassment and embarrassments.
No force will arrest you may be on the road or in your house, claiming or calling you an internet fraudster, all because you work online as a blogger, Internet Marketer, Freelancer, Entrepreneur, etc.
So once you have your brand registered and secure your ID, it will stop forces from placing a huge task on you to pay a big amount of money.
How To Register A Business Name in Nigeria
To do a business registration in Nigeria, the first important thing to do before proceeding with a business name registration is to gather the requirements or documents to b used for the Registration.
The Registration of Business Name requirements are minimal and involve names and identification of the business partners or proprietors, where more than one person is to register the business name.
The requirements may also include a partnership deed where necessary. The procedure for registering a business name in Nigeria or registering a business enterprise in Nigeria with the Corporate Affairs Commission (CAC) includes few steps, which must be adhered strictly to in getting the desired results. These steps include:
- First, an applicant should apply for an availability check and reservation of the proposed business name through the CAC Portal.
- Applicant should now fill all necessary columns rightly in the Statutory Form (FORM BN1) and submit it appropriately. After the successful filling of the form, the applicant is to proceed with the necessary fees.
- Subsequently, the applicant must print Business Name FORM BN and sign and date the form’s required aspects.
Applicant must now submit or upload the duly completed statutory form together with two-sized passport photographs.
Below are the documents to be uploaded:
- Availability Printout (It is the same as the Approval Note).
- Statutory Form (FORM BN 1)
- Proficiency Certificate (where applicable)
- Means of identification
- Payment Receipt.
Once you have successfully Registered your business brand, the following documents will be issued to you by the CAC Agency.
- Original Certificate of Registration of the business name
- CTC of the Application for the Registration of the business name
Meanwhile, a business name of more than one proprietor may choose to file a partnership deed with CAC after completing the registration process.
How to Check if a Company is Registered With CAC
If you have intentions of doing business or working together with a company and you wish to find out of the company is legally registered or not.
To avoid the risk of doing business with an unregistered company, you need to check if a company is registered. Without checking it like this, there is no other way you could know this fact.
Doing business with fake companies has caused many people to lose their money.
You should not fall victim to a scam because you have come to the right place to find out if a company is registered in Nigeria.
Step 1: Log on to the Corporate Affairs Commission website at http://services.cac.gov.ng/ and choose the “Public Search” service.
Step2: You will find yourself on the search page where you will have to input the company’s name in the search engine with this heading: “Search Record by Name.”
Step 3: Below the search engine is a square box you will need to check to verify that you are human and not a robot.
Step4: After verifying that you are not a robot, click on “Search” to check if the company is registered.
The search will display results showing the company’s details and CAC registered status if it is registered,
the name of the company, the RC number, the company’s address, and the registration date will be included in the result.
The result will return empty if the company is not registered. If the company is still undergoing Registration, the result will return without an RC number and address.