7 Secrets You Didn’t Know. Now revealed!!!
Dayo Adetiloye said this concerning business registration: “When your business is registered, you become recognized by the Federal government of Nigeria and stand to enjoy privileges available for registered businesses. It offers you a comfortable platform to build unique brand of your choice.”
I could not agree more.
The regulatory body that is in charge of implementing this, in line with the provisions of the Company and Allied Matters Act (CAMA) is the Corporate Affairs Commission (CAC).
A registered business puts you ahead of your competitors whose businesses are not registered when it comes to seeking for and grabbing opportunities. Every business thrives with access to opportunities and maximization of such opportunities. However, we set ourselves up for opportunities. Not the other way round.
There is something called Competitive Advantage. It is the advantage a business has over its competitors. It could be in size, location, technological advancement, etc.
It is the advantage:
- Coca-Cola has over Pepsi.
- Peak Milk over Dano Milk.
- HP over DELL.
- CloseUp over Pepsodent.
- DSTV over TSTV etc.
For small businesses, one advantage you can have over people in the same line of business as yours is to LEGALLY REGISTER YOUR BUSINESS with CAC.
The 7 Secrets about Business Registration
Registering your business affords you the chance to:
- Apply for grants (government and non-governmental), loans and empowerment programmes.
- Source for funds from potential investors. No investor will take your business seriously if it is not duly registered. People only put their money in something they trust and understand.
- Open a corporate bank account to track your income and expenses properly. Using your personal account for business transactions is not right. You need to create a business account for transaction purposes. This will help every business owner know how much is coming into the business and how much is going out (cashflows). One of the requirements for creating a corporate account in Nigeria is the business’ certificate of incorporation.
- A registered business gives clients great confidence that they are dealing with a reputable organization. It creates a platform for potential customers to trust you especially if you carry out business deals using social media (Facebbok, Instagram, Twitter, WhatsApp etc). Let’s say a customer wants to pay for goods through bank transfer, once that persons sees your account details bearing the name of your business, it will skyrocket their confidence levels.
- Bid and enter contracts with government agencies, NGOs, private companies etc.
- A registered business can get interns from NYSC.
- Registering your business is the first step to getting your business structured. Without registering your business, you are running a glorified hobby.
CATEGORIES OF BUSINESS REGISTRATION
- Business name registration (Sole Proprietorship and Partnership businesses).
- Limited Liability Companies.
- Incorporated Trustees (Churches, NGOs, Associations, Clubs, etc)
STEPS TO REGISTERING YOUR BUSINESS IN NIGERIA
Step 1 – Name Search and Name Reservation: The first step is to decide on what name to use to register your business. The process is done online. You will apply to CAC and suggest two alternate names for your business. The CAC will conduct a search in its database to ensure that the name is not already in use or there is no similar name already in use. If CAC approves the name, then it will reserve the name for you for a 60-dayday period. During this period, it is expected that you will complete the registration process for your business.
Step 2 – Purchase and complete application for registration form: As with Step 1 above, this can also be completed online. Information and relevant documents concerning the business and its owner(s) will be submitted at this stage.
Step 3 – Payment of CAC Filing fees: The payment of the fees is done online. Once the payment has been approved, you may then submit the forms online, the CAC will review the documentation and if all is in order, the CAC will then notify the registrant that the application has been approved and that the Certificate is ready for download.
Everything is done online from start to finish. The entire process normally takes 1-2 weeks, depending on the workload of the CAC and other factors. The certificate is delivered to you right on your mobile device. CAC no longer issue hardcopy in order fasten the process.
HOW MUCH IS THE SERVICE?
Business Name – N18,000
Limited Liability Company – N50,000
Incorporated Trustees – N120,000
Note: The service covers the entire process.
What If I Don’t Register My Business Name?
Here’s what can happen if you don’t register your business name. Let’s say you want to use the name ‘Theresa’s Kiddies Place’ and there is already a business named Theresa’s Kiddies Place.
- The similar names can cause confusion with customers, vendors, and the public. For example, if there is a lawsuit against that business, the public might think it is your business.
- If Theresa’s Kiddies Place has trademarked her business name, she could sue your business for trademark violation since she used the name first.
It is often tempting to postpone or think that business registration can wait or is not really important. The truth is, you may be building something that could become very big and popular in the future. However, if you do not do something as basic as registering your business, all your hard work could easily be wasted, or worse, taken over by someone else.
For those that have been saying “ONE DAY, I WILL REGISTER MY BUSINESS.”.
30 days, 60 days, 1 year, 5 years have passed and still, you are yet to do it.
It’s time to take ACTION!!! You have been planning to register your business. However, it has not passed the planning stage. It is procrastination in disguise.
I am here to help your brand expand and grow. Why miss out on opportunities a registered business opens up when you can grab them with both hands?
My name is Tamaraemomoemi Duama.
I teach and help business owners register their businesses on CAC platform. I carry this out daily using all available platforms with the desire to help you (the business owner) place your business in the spotlight.
TAKE THAT DECISION TO REGISTER YOUR BUSINESS TODAY
CALL | TEXT | WHATSAPP +2349024547225