How to Register a Business in Nigeria: CAC Step-by-Step Guide 2026

Every serious business in Nigeria should be registered with the Corporate Affairs Commission (CAC) — Nigeria's official body for business registration. A registered business is legally recognised, can open a corporate bank account, bid for contracts, issue invoices, and access formal financing.

The good news: since 2020, CAC registration has been fully digitised through the Company Registration Portal (CRP). You no longer need to visit a CAC office or use an agent for most registration types.

This guide walks you through the full process for the two most common registration types: Business Name and Private Limited Liability Company (Ltd).

Which Business Structure Should You Choose?

Before you register, you need to decide on your structure.

Business Name (Sole Proprietorship or Partnership)

Simplest and cheapest to register (₦10,000–₦25,000)
Owned and operated by one person or a partnership
No separate legal identity — you and the business are legally the same entity
Cannot issue shares or bring in equity investors
Best for: freelancers, small traders, sole consultants, market traders going legitimate

Private Limited Liability Company (Ltd)

More complex and more expensive (₦35,000–₦100,000+ depending on share capital)
Separate legal entity — the company is distinct from its owners
Owners (shareholders) have limited liability — personal assets are protected from business debts
Can have 1–50 shareholders
Can bring in equity investors and issue shares
Required for many government contracts, partnerships with multinationals, and formal bank lending
Best for: startups, businesses planning to scale, those seeking investment

Most Nigerian entrepreneurs starting out should choose a Business Name first and upgrade to a Limited Liability Company when the business grows. However, if you plan to raise investment or bid for corporate/government contracts immediately, go straight to a Private Limited Company.

Part 1: Registering a Business Name

Step 1: Create an Account on the CAC Portal

Visit cac.gov.ng and click on Company Registration Portal (CRP). Create an account with your email address and phone number. You'll receive an OTP for verification.

Step 2: Name Availability Search

Before filing, search for your proposed business name to ensure it is available.

Go to Search → Name Availability Search
Enter your proposed name
CAC will show whether the name is available or taken

Naming rules:

Cannot be identical or confusingly similar to an existing registered name
Cannot include words like "Government," "National," "Federal," or "State" without permission
Cannot be misleading about the nature of the business

Tip: Search multiple name options — have 2–3 alternatives ready in case your first choice is taken.

Step 3: Complete the Registration Form

Select Register a Business Name and fill in:

Business name and any acronym/abbreviation
Nature of business (what your business does)
Address of principal place of business
Proprietor details (full name, address, BVN, date of birth)
If a partnership: details of all partners

Step 4: Upload Required Documents

Passport photograph of the proprietor
Valid ID (NIN, international passport, or driver's licence)
Proof of address (utility bill or bank statement)

Step 5: Pay the Registration Fee

Fees are paid online through the CAC portal. Business Name registration currently costs approximately ₦10,000 for a sole proprietorship.

Step 6: Receive Your Certificate

After submission and fee payment, CAC processes the application. Processing time: typically 5–10 business days for Business Names, though it can take longer. You receive a digital Certificate of Registration and your Business Registration Number (BRN).

Part 2: Registering a Private Limited Company (Ltd)

Step 1: Pre-Registration Requirements

You will need:

Company name (proposed — must pass availability search)
Minimum 1 director (maximum 50 shareholders)
Minimum share capital: No minimum currently set by CAC (removed in 2020), but banks typically want at least ₦100,000–₦1,000,000 to open a corporate account
Registered address in Nigeria (can be your home address to start)
MEMART (Memorandum and Articles of Association) — standard template is available on the CAC portal

Step 2: Name Availability Search

Same as Business Name — search on the CRP portal. For a Limited Company, you can also reserve a name for 60 days while you prepare your documents.

Step 3: Complete the CAC 1.1 Form

The CAC 1.1 is the primary incorporation form. On the CRP portal:

Select Incorporate a Company
Fill in company details: name, nature of business, registered address, share capital structure
Enter details of all directors and shareholders (name, address, email, phone, BVN)
Specify shares held by each shareholder

Step 4: Prepare MEMART

The Memorandum and Articles of Association (MEMART) governs how the company operates. The CRP portal has a standard template you can use — for most small businesses, the standard template is sufficient.

If your business has specific governance requirements (e.g., you're raising investor money), consult a lawyer to draft custom articles.

Step 5: Pay Registration Fees

Fees vary based on share capital:

Share capital up to ₦1,000,000: approximately ₦35,000
Share capital ₦1,000,001 to ₦500,000,000: sliding scale fee
Stamp duty also applies

Fees are paid online through the CAC portal via Remita.

Step 6: Receive Certificate of Incorporation

After submission, CAC reviews and issues:

Certificate of Incorporation (with your CAC Registration Number — RC number)
Status Report (formerly known as Form C02 and C07)
Certified True Copy of MEMART

Keep physical and digital copies of all documents.

After Registration: Essential Next Steps

1. Open a Corporate Bank Account

Your RC number and CAC documents are required to open a corporate account at any Nigerian bank. A corporate account is essential for professional invoicing, receiving transfers, and separating business and personal finances.

2. Register for Tax (TIN)

Every registered business in Nigeria must have a Tax Identification Number (TIN) from FIRS. This is now often automatically assigned when you register with CAC, but verify and obtain your TIN through firs.gov.ng.

3. Register for VAT (if applicable)

If your annual turnover exceeds ₦25 million, you must register for VAT and charge 7.5% VAT on applicable goods and services. Registration is through FIRS.

4. Business Premises Permit (Lagos)

If you operate a physical business in Lagos, you need a Business Premises Permit from the Lagos Internal Revenue Service (LIRS). Other states have equivalent requirements.

Using an Agent vs DIY

DIY (recommended for most people): The CAC portal is designed for self-service. Most Nigerians can complete Business Name registration without assistance. For a Private Limited Company, the portal is slightly more complex but still manageable.

Using an agent (a.k.a. accredited CAC agents): These are lawyers or registration professionals authorised by CAC. Useful if:

You have complex shareholding or governance requirements
You need custom MEMART
You prefer not to navigate the portal yourself

Agent fees: Typically ₦30,000–₦150,000 above the government fees, depending on the service. Avoid agents who charge significantly above this range.

Common Mistakes to Avoid

Registering a name without searching first: If your name is taken, your application will be rejected and you may lose time.
Using a home address but expecting client mail there: Your registered address is public — if you'd prefer privacy, use a virtual office address service.
Not keeping your documents: CAC registration documents are required for bank accounts, contracts, tender submissions. Store certified copies safely.
Confusing Business Name with Limited Company: They are very different legally. If you need liability protection or investor funding, a Business Name is not sufficient.

Sources & References

Corporate Affairs Commission (CAC) — cac.gov.ng (official business registration portal and guidelines)
Federal Inland Revenue Service (FIRS) — firs.gov.ng (TIN registration and VAT registration for Nigerian businesses)
Companies and Allied Matters Act (CAMA) 2020 — via cac.gov.ng (current legal framework for Nigerian company registration)
Lagos Internal Revenue Service (LIRS) — lirs.gov.ng (business premises permit and Lagos state taxes)