Every registered business in Nigeria starts at the Corporate Affairs Commission (CAC). The confusing part for most first-time founders isn't the paperwork — it's figuring out which structure actually fits what they're building.
Business name or limited company?
A registered business name is simple and inexpensive, and suits a sole proprietorship or small partnership where the owner and the business aren't legally separate. A limited liability company (Ltd) costs more to set up and maintain, but separates personal and business liability, and is generally required if you plan to raise investment, bid for contracts, or bring on shareholders.
What CAC typically requires
- A proposed business or company name, reserved and approved by CAC
- Details of the owner(s), director(s), and shareholder(s), with valid identification
- A registered business address
- For a limited company: a Memorandum and Articles of Association setting out share allocation and governance
Where founders usually go wrong
The most common issues we see aren't rejected applications — they're structural problems that surface later: share allocations agreed verbally but never documented, a company registered in one person's name when it was meant to be a partnership, or no clear agreement on what happens if a co-founder leaves.
Getting the structure right at registration is far simpler than restructuring an existing company later.
When to bring in a lawyer
A straightforward business name registration is often manageable without legal help. Once shareholders, investment, or multiple founders are involved, it's worth having a lawyer review the company structure and shareholder agreement before registration is finalised — not after a disagreement arises.
Get help registering your business