How to Register a Company in Nigeria with CAC (2025 Updated Full Guide)

Introduction

Registering a company with Nigeria’s Corporate Affairs Commission (CAC) in 2025 remains the critical first step toward launching any formal enterprise—whether a profit-driven business or a non-profit organization (NGO). Under the guiding framework of the Companies and Allied Matters Act (CAMA) 2020, the CAC has modernized incorporation processes, introducing an AI-enhanced Company Registration Portal (CRP) that streamlines name reservations, pre-registrations, approvals, and issuance of incorporation certificates—all online.

Nigeria’s business environment offers diverse organizational types tailored to different size scales, operational structures, and founders’ nationalities. Whether you’re registering as a Sole Proprietor, Private Limited Company, Public Ltd, Company Limited by Guarantee, Unlimited Company, or setting up an Incorporated Trustee (NGO/association), the CAC handles them all—with unique procedural and legal distinctions for each.

A key complexity lies in the differences between Nigerian citizens and foreigners seeking incorporation. For instance, only incorporated companies—typically Private or Public Limited Companies—can be formed by foreigners in Nigeria. Foreign-owned entities must meet specific share capital thresholds and appoint multiple directors.

The online CRP (Corporate Registration Portal) is central to the process in 2025. It empowers users with real-time AI-supported name availability checks, guidance, and paperless submission—accelerating incorporation to potentially same-day issuance.

In this article, we will:

1. Survey all organization types and incorporation categories recognized by the CAC.
2. Highlight the differences between citizen and foreigner paths, foreign-owned requirements, and capital thresholds.
3. Dive deep into the 2025 CRP step-by-step process—from portal registration, name reservation, filing, to final certificate download.
4. Provide a robust FAQ section—not just brief answers, but fleshed-out explanations of common misconceptions, procedural pitfalls, and strategic tips.
5. Clarify who’s allowed and qualified to handle incorporation—whether individuals, legal practitioners, CAC-accredited professionals, or agents—and the value each brings.

Part 1: Types of Companies and Organizations You Can Register with the CAC in Nigeria

Before registering a company or NGO in Nigeria, you need to understand the legal structure that best fits your purpose. The Corporate Affairs Commission (CAC) classifies entities into business names, companies, and incorporated trustees, each with its own requirements, limitations, and privileges under the Companies and Allied Matters Act (CAMA 2020).

Let’s break down each category as of September 2025:

1. Business Name (Also called “Enterprise” or “Sole Proprietorship”)

Best for: Small businesses, freelancers, artisans, sole traders, and informal startups.

Key characteristics:

• Owned by one person or a partnership(usually not more than 2 people).
• Not a separate legal entityfrom its owner(s).
• Liability is unlimited– the owner is personally responsible for debts.
• Cheapest and easiest to register.
• Cannot issue shares or raise capital from investors.
• Usually used for small-scale businesses like retail, consulting, photography, fashion design, etc.

Examples:

• Emeka’s Car Wash
• Damilola & Co. Ventures

Popular with: Individual Nigerian entrepreneurs.

2. Private Company Limited by Shares (Ltd)

Best for: Startups, SMEs, and companies looking for legal structure and growth potential.

Key characteristics:

• Separate legal entity.
• Shareholders have limited liability(only liable for unpaid shares).
• Can be registered by one or more persons(CAMA 2020 allows single-director companies).
• Cannot publicly offer shares.
• Can raise investment from private investors and VCs.
• Foreigners can register this company type (subject to minimum share capital).

Minimum share capital (2025):

• ₦100,000for Nigerian-owned companies.
• ₦100 millionfor foreign-owned companies (enforced by Nigerian Investment Promotion Commission – NIPC and CAC).

Popular with: Tech startups, family-owned businesses, service providers, agencies.

3. Public Company Limited by Shares (PLC)

Best for: Large corporations, companies seeking to raise capital via the stock exchange.

Key characteristics:

• Can raise funds from the public.
• Must have at least 2 directorsand 50 shareholders.
• Higher regulatory and reporting requirements.
• Can list on the Nigerian Exchange Group (NGX).
• Minimum share capital: ₦2 Million, but certain regulated businesses (e.g. banking, insurance, recruitment, shipping, etc.) may require much higher minimum share capitalas set by their supervising MDAs.

4. Company Limited by Guarantee (Ltd/Gte)

Best for: Non-profit organizations that need legal standing but do not want to register as a trust.

Key characteristics:

• Formed for promotion of charity, education, religion, sport, or other non-commercial goals.
• No shareholders or share capital.
• Members guarantee to contribute a fixed amount in the event of winding up.
• Requires Attorney General approvalbefore final incorporation.
• Cannot distribute profits to members.

Popular with: Think tanks, schools, NGOs, social ventures.

5. Unlimited Company

Best for: Highly confidential private companies or holding companies.

Key characteristics:

• No limit to members’ liability.
• Suitable for organizations that want minimal public disclosure.
• Rarely used in Nigeria due to risk profile.

6. Incorporated Trustees (NGO/Association Registration)

Best for: Churches, mosques, foundations, alumni associations, social clubs, and NGOs.

Key characteristics:

• Used to form non-governmental organizations.
• Registered as Incorporated Trusteesunder Part F of CAMA 2020.
• Must have a board of trustees(minimum of two persons).

Requires:

1. Trustee resolution
2. Constitution
3. Newspaper publication (2 national dailies)
4. CAC screening and approval (Subject to CAC’s)

Popular with: NGOs, community organizations, faith-based institutions.

7. Limited Liability Partnership (LLP) – NEW UNDER CAMA 2020

Best for: Professionals who want a flexible business structure with limited liability.

Key characteristics:

• Hybrid of company and partnership.
• Members (partners) have limited liability.
• Must be registered with CAC.
• Useful for law firms, accounting firms, engineering consortia.

Popular with: Professionals in law, consulting, and engineering.

8. Limited Partnership (LP)

Best for: Joint ventures, investment partnerships.

Key characteristics:

At least one general partner (with unlimited liability) and one limited partner (with limited liability).

Not a separate legal entity like a company.

Not suitable for foreign-owned operations.

Choosing the Right Type: What to Consider

Here’s how to determine which structure fits your situation:

Part 2: Company Incorporation for Citizens vs. Foreigners in Nigeria (Deep Dive)

Nigeria is a top destination for business in West Africa, and the Corporate Affairs Commission (CAC) provides pathways for both citizens and foreigners to legally establish companies. But while the registration process is centralized, the requirements, restrictions, and compliance expectations differ significantly between Nigerian citizens and foreign nationals.

Let’s break it all down clearly.

1. Nigerian Citizens Incorporating a Company

Eligibility:
Any Nigerian adult (18+) with a valid form of identification—National ID (NIN), Voter’s card, Driver’s license, or International Passport—can register a business or company in Nigeria.

Popular choices:

• Business Name (for sole traders and small businesses)
• Private Limited Company (Ltd)
• Incorporated Trustees (for NGOs)
• LLPs and LPs (newer structures under CAMA 2020)

Key requirements:

• Personal ID (e.g., NIN)
• At least one director or proprietor (can be the same person)
• Physical business address (can be home address)
• Means of contact (phone, email)
• CAC registration portal account (individual or via an agent)

No minimum capital threshold for citizen-owned companies, except where required by specific industries (e.g., ₦50 million for microfinance banks, ₦100 million for insurance brokers).

Benefits:

• Simpler compliance.
• Fewer regulatory layers.
• Less scrutiny on source of funds.

Note: Even Nigerian citizens in the diaspora can register businesses, as long as they have valid Nigerian ID and address.

2. Foreigners Incorporating a Company in Nigeria

Nigeria does not allow foreigners to register a Business Name or operate under informal structures. Foreign investors must incorporate a limited liability company—either a Private or Public company—through the CAC.

Legal Framework:

• Companies and Allied Matters Act (CAMA 2020)
• Nigerian Investment Promotion Commission Act (NIPC Act)
• Immigration Act (for Expatriate Quotas)

Key Differences and Requirements for Foreigners

Mandatory Steps for Foreign-Owned Companies (2025)

1. Register with CAC (₦100 million minimum share capital)
   Using the Corporate Registration Portal (see Part 3), you incorporate the business.
2. Apply for Business Permit via NIPC
   This permits the company to legally operate as a foreign-owned entity in Nigeria.
3. Obtain an Investment Certificate from NIPC
   Required for access to incentives and to remit profits.
4. Apply for Expatriate Quota at Nigeria Immigration Service (NIS)
   If the business intends to employ foreigners (including the founder).
5. Register with the Federal Inland Revenue Service (FIRS)
   For Tax Identification Number (TIN), VAT, and other obligations.
6. Open a Corporate Bank Account
   Requires CAC documents, business permit, and TIN.

Prohibited and Restricted Sectors for Foreign Investors

While Nigeria is generally open to foreign investment, Section 17 of the NIPC Act restricts foreigners from investing in:

• Arms and ammunition production
• Narcotic drugs and psychotropic substances
• Military and paramilitary wear
• Security and surveillance services(unless licensed)

Other sectors—like oil & gas, telecommunications, fintech, mining—require special licenses and local participation under Nigerian Content laws.

Common Mistakes by Foreign Investors

• Trying to register a Business Nameinstead of a company.
• Underestimating the complexity of post-incorporation compliance.
• Skipping the Business Permit and NIPC registration, which leads to frozen bank accounts.
• Not including a Nigerian director, which can raise red flags in some sectors.
• Failing to budget for legal advisory, translation of documents, and certification of foreign documents(e.g., by a Nigerian embassy).

Strategic Tips for Foreign-Owned Startups

• Hire a local CAC-accredited consultantor lawyer—critical for speed and compliance.
• Structure your company with long-term compliance in mind.
• Use Nigeria’s startup incentives—especially via the NIPC—for tax breaks.
• Plan ahead for the Expatriate Quota timeline, which can take weeks or months.
• Maintain full documentation and capital importation recordsto avoid problems with profit repatriation.

Summary

Part 3: Step-by-Step Guide to Registering a Company Using the CAC Portal (2025)

As of 2025, the Corporate Affairs Commission (CAC) of Nigeria has fully digitized the incorporation process via its Company Registration Portal (CRP) at https://crp.cac.gov.ng. This portal supports name reservation, pre-incorporation filings, document uploads, payment, and certificate issuance, all online.

In this section, you’ll get a detailed, step-by-step guide to register a company, NGO, or business entity in Nigeria—either as a Nigerian citizen or a foreigner.

What You’ll Need Before You Start

Regardless of your company type, make sure you have the following ready:

1. Proposed company name(Have 2 options, in case one is unavailable)
2. Valid ID for all directors/trustees(NIN, International Passport, etc.)
3. Email addresses and phone numbersof directors/shareholders/trustees
4. Company address(can be residential for small businesses)
5. Nature of business(Select from CAC classification list)
6. Objects of the company(for NGOs and Ltd/Gte companies)
7. Share capital details(amount, and breakdown by shareholders)
8. Means of payment(Debit card or online banking)

Step-by-Step CAC Registration Process (CRP)

Step 1: Create an Account on the CAC Portal

• Go to https://icrp.cac.gov.ng
• Click “Create Account”and register as an Individual or Accredited Agent
• Fill in:
• Name
• Nationality
• Email address
• Phone number
• Choose password

Foreigners must use a Nigerian address and may need a local legal representative to register the account initially.

Step 2: Reserve a Company Name

• After login, go to “Name Reservation”
• Enter your preferred company nameand alternative name
• Choose the company type (e.g., LTD, Business Name, NGO, LLP)
• Select the nature of businessfrom the drop-down menu
• Pay the ₦500 name reservation fee
• Get an instant name approval or denial

If approved, you get a Name Availability Code valid for 60 days.

Step 3: Start Pre-Incorporation Application

• Click “New Registration” → “Pre-Incorporation”
• Enter the Name Availability Code
• Fill in:

1. Company details(address, email, phone)
2. Director information(name, ID, contact)
3. Shareholding structure
4. Objects clause(explain what the business will do)

• Upload:

1. Passport photographs of directors/shareholders
2. Valid means of identification
3. Signature specimens
4. Other applicable documents (see below)

Required Documents (Depending on Company Type)

Step 4: Pay Filing Fees

• Pay via Remita or card:

Business Name: ~₦10,000

Ltd: ~₦18,500–and above (depending on share capital)

NGO: ~₦35,000

You’ll receive payment receipt and tracking number

Step 5: Download and Sign Documents

• Generate and download incorporation documents
• Print and signthem physically or digitally
• Upload signed documents back to the portal

Step 6: Await Approval

The CAC now uses automated workflows

Processing takes:

• 24–72 hoursfor Business Names
• 3–5 working daysfor Limited Companies
• 7–14 working daysfor NGOs (due to newspaper publication review)

Step 7: Download Certificate and Documents

Once approved, You’ll get access to:

1. Certificate of Incorporation
2. Status Report
3. MEMART(Memorandum and Articles of Association)
4. TIN(Auto-generated and linked with FIRS)

Your company is now live and legally recognized!

Optional (Post-Incorporation Steps)

After incorporation, you may need to:

• Open a corporate bank account– most banks now require:
  1. CAC Certificate
  2. TIN
  3. Resolution of directors
  4. Means of ID
• Register with FIRSfor VAT, PAYE, and other tax obligations.
• Apply for NIPC certification and expatriate quota(foreigners only)
• File annual returns(mandatory to avoid penalties)
• File for licensesbased on industry (e.g., NAFDAC, NCC, EFCC SCUML, etc.)

Tips to Avoid Mistakes

• Don’t use names containing “National”, “Government”, “Nigeria” without special approval.
• Double-check spelling, emails, and NINs—errors can delay your approval.
• Don’t skip uploading signature pages—it’s one of the top reasons for rejection.
• For NGOs, don’t proceed without a constitutionand meeting minutes.
• Always download and save every receipt, code, and approval.

Support Options

If you get stuck, you can:

• Use the CAC Helpdesk Chatinside the CRP
• Call CAC support: +234 (0) 818 229 9011
• Visit the nearest CAC office(in case of complicated issues)
• Hire an experienced CAC-accredited agent or lawyerto fast-track your process

Summary Checklist

Part 4: Frequently Asked Questions About CAC Registration (With Detailed Answers)

When it comes to registering a business or NGO with the Corporate Affairs Commission (CAC) in Nigeria, many people—Nigerians and foreigners alike—run into confusion due to conflicting information, outdated advice, or sheer complexity. Below are real, detailed answers to the most commonly asked questions about CAC registration in 2025.

❓1. Can I register a business without a lawyer or agent?

Yes, but it depends on your capacity.
The CAC has made it possible for individuals to register a business directly on the Company Registration Portal (CRP) without the help of a lawyer or CAC-accredited agent. Many people successfully register Business Names and even Private Limited Companies on their own.

However, if you’re registering:

• A foreign-owned company
• An NGO (Incorporated Trustees)
• A Company Limited by Guarantee
• Or you’re unsure about structuring share capital and directorships

…then it’s strongly advisable to use a professional corporate legal consultancy like ICA – Ibe Chido & Associates. Mistakes in these areas can lead to rejections, delays, or legal exposure later.

❓2. Is the process 100% online now?

Yes—for most applications.
As of 2025, 100% of pre-incorporation steps are digital via https://crp.cac.gov.ng. This includes:

• Account creation
• Name reservation
• Company details entry
• Document upload
• Payment
• Certificate download

However:

For NGOs, physical documents may still be required at some CAC offices post-approval.

If your submission is flagged for issues, you may need to visit the CAC physically for verification.

Foreigners may need to engage local agents for ID validation or legal representation.

❓3. How long does registration take in 2025?

Here are average timelines:

The CAC has improved automation, but delays can still happen due to:

• Signature mismatches
• Missing documents
• Conflicting director information
• Constitution errors (for NGOs)
• Use of restricted words in the name

❓4. Can foreigners register a Business Name in Nigeria?

No.
Foreigners cannot register a Business Name (e.g., “Bashir’s Tailoring Enterprise”). This is restricted to Nigerian citizens or residents.

Foreign investors are only allowed to register:

• Private Limited Companies (LTD)
• Public Limited Companies (PLC)

…and they must comply with:

• Minimum ₦100 million share capital
• NIPC registration
• Business Permit
• Expatriate quota (if applicable)

…if you want to register your company in Nigeria as a foreigner without or before being physically present in Nigeria, get in touch with ICA – Ibe Chido and Associates – They are one of the leading corporate law firms in Nigeria

❓5. What is the difference between Business Name and Company?

❓6. Do I need to register with FIRS after CAC registration?

Yes.
Upon registration, CAC automatically generates a Tax Identification Number (TIN) for the company. However, this doesn’t mean you’re fully registered with the FIRS.

You’ll still need to:

• Go to the nearest FIRS office or portal
• Activate VAT registration
• Register for PAYE(if you have staff)
• Submit annual tax returns

This is essential to avoid penalties and to operate legally.

❓7. What are common reasons CAC applications get rejected?

• Incorrect or incomplete documentation
• Name conflict(too similar to an existing name)
• Use of restricted wordslike “National”, “Government”, “Cooperative”, etc.
• Mismatched signatureson forms
• Incorrect share capital allocation
• Missing objects clause(for NGOs and LTD/GTEs)
• Failing to upload newspaper publicationfor Incorporated Trustees

Tip: Always double-check before submission and use preview functions where available.

❓8. What’s the difference between Limited by Shares and Limited by Guarantee?

❓9. Is there a renewal fee after registration?

Not for the certificate itself, but you must:

File Annual Returns with CAC:

• Business Names: ₦2,000+
• Limited Companies: ₦5,000+
• NGOs: ₦10,000+
• Comply with FIRS tax filings
• Maintain your operational licenseswhere applicable

Failure to do this leads to penalties and can deactivate your company status.

❓10. Can I change my business name or directors later?

Yes.
You can make post-incorporation changes such as:

• Changing company name
• Adding/removing directors
• Increasing share capital
• Altering business address
• Upgrading from Business Name to LTD

These require:

• Formal resolutions
• Supporting documents
• Filing with CAC (via portal)

❓11. Is newspaper publication still required for NGOs?

Yes.
To register an Incorporated Trustee, you must:

• Publish notice of registration in two national dailies
• Include proposed name, trustees, and purpose
• Upload copies during application

This process helps ensure public transparency and objection opportunities.

❓12. Can a Nigerian abroad register a business in Nigeria?

Yes.
You can register from anywhere in the world if you:

• Have a valid Nigerian ID (NIN or Passport)
• Provide a Nigerian business address
• Have access to Nigerian phone and email
• Use the CRP portal for 100% online filing

Many Nigerians in the diaspora set up remote companies, especially for digital services and eCommerce.

Bonus: Smart Tips for a Smooth CAC Registration

• Use simple, unique names—avoid generic or government-like phrases.
• Prepare all documents before starting the portal process.
• Don’t rush—take time to read CAC’s classification guidebefore picking your company type.
• Always download and saveevery document after submission.

File your annual returns in the first year—even if no business is done.

Part 5: Misconceptions About CAC Registration (Debunked) + Who Can Handle It for You

While the CAC registration process has become more transparent and accessible than ever, many people—especially new entrepreneurs and foreign investors—still fall victim to outdated myths, half-truths, and poor advice.

In this final section, we’ll tackle common misconceptions about registering a business with the Corporate Affairs Commission in Nigeria and explain who is qualified to handle your company incorporation, especially when things get complex.

Common Misconceptions About CAC Registration (Debunked)

❌ Misconception 1: “I must hire a lawyer to register a business.”

The truth:
You don’t need a lawyer to register a Business Name or even a Private Limited Company—especially if you’re familiar with the CAC portal. The process is built for self-service, and many Nigerians and SMEs successfully complete it themselves.

However, you should hire a lawyer or accredited agent if:

• You’re registering an NGO, Ltd by Guarantee, or foreign-owned company
• You need help drafting constitutions or MEMART
• You have complex share structuresor investment partners
• You want to avoid rejection due to mistakes

Think of lawyers as optional for ease—not mandatory.

❌ Misconception 2: “A Business Name gives me the same legal protection as a company.”

The truth:
Registering a Business Name is useful, but it does not make your business a legal entity separate from you. You’re personally liable for debts, contracts, and lawsuits.

If you’re building a startup, seeking investment, or working with partners, a Private Limited Company is almost always the better option.

❌ Misconception 3: “All company types are the same—it’s just paperwork.”

The truth:
Your company structure defines your rights, responsibilities, taxes, liabilities, and even funding options.

For example:

• An NGO can’t raise venture capital.
• A Business Name can’t onboard co-founders as shareholders.
• A Ltd by Guarantee can’t make profits.

Choosing the wrong type can limit your growth or expose you to legal risks. Always match your company structure to your business goals.

❌ Misconception 4: “CAC registration is enough—I can now operate freely.”

The truth:
While CAC registration gives you legal status, it’s only the beginning of compliance.

Post-registration, you must:

• Register for TIN and VATwith FIRS
• File Annual Returnswith CAC
• Obtain sector licenses(e.g., NAFDAC, NCC, NITDA, SCUML, etc.)
• Comply with labour lawsif hiring staff
• Open and maintain a corporate bank account

Failure to complete these steps can lead to penalties, suspension, or business shutdown.

❌ Misconception 5: “Foreigners can register just like Nigerians.”

The truth:
Foreigners cannot register Business Names or operate informally in Nigeria. They must:

• Incorporate a company with ₦100 million minimum share capital
• Register with NIPC
• Apply for a Business Permit
• Request an Expatriate Quota(if hiring foreigners)

Also, they typically need to appoint a Nigerian director or representative to fulfill regulatory requirements and ease bank operations.

❌ Misconception 6: “I don’t need to file Annual Returns unless I’m making money.”

The truth:
Every registered business—whether active or dormant—is legally required to file Annual Returns with CAC. Failing to do so leads to:

• Fines
• Loss of good standing
• Possible de-registration

Even if you made ₦0 profit, returns must still be filed to show that the business is compliant.

❌ Misconception 7: “Changing my business info later is free.”

The truth:
Post-registration changes (like name change, address update, adding directors, or increasing share capital) all require official filings, supporting documents, and fees.

Trying to operate with outdated or unofficial records can result in:

• Bank account blocks
• FIRS penalties
• Legal consequences

Keep your records updated through post-incorporation services on the CAC portal.

Who Can Handle Company Incorporation in Nigeria?

While self-registration is possible, many individuals and organizations choose to work with professionals to avoid mistakes and speed things up.

Here’s who can help—and when they’re worth engaging:

1. CAC-Accredited Agents

Who they are:
Professionals certified by the CAC to process registration on behalf of clients. They may be lawyers, accountants, or trained consultants.

Good for:

• Business Name and LTD registrations
• Fast-tracking applications
• Handling bulk or repeat incorporations

How to find them:
Check the CAC website or use reputable business registration platforms.

2. Legal Practitioners (Lawyers)

Who they are:
Qualified legal professionals like ICA – Ibe Chido and Associates, who offer broader services—company structuring, contract drafting, regulatory compliance, dispute resolution.

Good for:

• Complex incorporations (e.g., Ltd/Gte, NGOs)
• Foreign-owned companies
• Drafting constitutions and MEMART
• Structuring shareholder agreements
• Managing intellectual property protection

Why hire them:
They help you register correctly and strategically, not just legally.

3. Business Registration Platforms

Examples:

• ICA
• Sidebrief
• DIYLaw
• Regville
• LawPadi
• StartWeb
• CAC-accredited portals

Good for:

• Entrepreneurs who want fast, guided setup
• Bundled services like TIN, bank account setup, or trademark registration
• Diaspora Nigerians who need remote setup

Note: Ensure they are accredited and transparent with pricing.

4. Accountants & Tax Consultants

Good for:

• Registering companies with proper share structuring
• Ensuring tax compliance (TIN, VAT, PAYE)
• Post-incorporation reporting

These professionals are especially useful if you’re setting up a company that will hire staff, seek investment, or export/import products.

Who Should Do It Themselves?

You can go DIY if:

• You’re registering a simple Business Nameor basic LTD
• You understand the CRP portal and have all your documents ready
• You’re comfortable with digital forms and government websites

But for anything more complex—or if you’re unsure—it’s smarter to bring in a pro.

Conclusion: Your Next Steps

Now that you understand:

• The types of companies and NGOs you can register with CAC
• The differences between citizen and foreign registration
• The step-by-step guide using the CAC portal
• The detailed FAQs and strategic tips
• The common myths and who can help you

…you’re ready to successfully incorporate your business or organization in Nigeria—the right way.

Whether you’re a local entrepreneur, a startup founder, or a foreign investor, getting your incorporation right is step one to building something serious and sustainable in Nigeria.