How to reserve & register a Business Name with Corporate Affairs Commission (CAC) Nigeria – Issues Resolved

Registering a business name is a crucial step towards establishing your business legally in Nigeria. The Corporate Affairs Commission (CAC) is the regulatory body responsible for the registration of businesses in the country.

In this wikifreelancing guide, you will understand the process of registering a business name with the CAC, ensuring that you have the necessary knowledge and understanding to navigate this important step successfully.

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The Legal Significance of Registering a Business Name

Registering your business name with the CAC carries immense legal significance that should not be taken lightly. Here’s why:

1. Legitimacy and Protection

By registering your business name, you gain legal recognition and protection. This means that your business is distinguishable from others, reducing the risk of name duplication or infringement. Registering safeguards your brand identity and ensures your business operates within the confines of the law.

2. Exclusive Rights and Ownership

Registering your business name provides you with exclusive rights to its usage. This means you have the power to prevent others from using a similar name in the same or related industry, giving you a competitive edge and safeguarding your market presence.

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3. Contracts and Legal Transactions

Registering your business name enables you to enter into contracts and engage in various legal transactions. It builds credibility and trust among partners, suppliers, and customers, as they know they are dealing with a legally recognized entity.

Benefits of registering your business name with the CAC

1. Professionalism and Credibility

Registering your business name demonstrates professionalism and enhances your credibility. It signals to stakeholders that you are committed to operating a legitimate business and fosters trust among potential customers, investors, and partners.

2. Access to Government Contracts and Support

Many government contracts and business opportunities are exclusively available to registered businesses. By registering your business name, you open doors to a wide range of potential contracts, grants, and funding opportunities that can propel your business to new heights.

3. Building a Strong Brand Identity

Registering your business name allows you to establish a strong brand identity. It provides a foundation for brand recognition, enabling you to build trust and loyalty among your target audience. A registered business name gives you the confidence to invest in marketing and promotion, knowing that your brand is legally protected.

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4. Potential for Growth and Expansion

Registering your business name sets the stage for future growth and expansion. As your business flourishes, you can easily scale up, diversify your offerings, or explore new markets. Having a registered business name simplifies legal processes and makes it easier to navigate regulatory requirements.

How to select a suitable Business Name for your business

Selecting the right business name is a critical aspect of the registration process. Here are some key considerations when choosing a suitable business name:

1. Relevance and Descriptiveness: Ensure that your business name accurately reflects the nature of your products, services, or industry.
   A relevant and descriptive name helps potential customers understand what your business is all about.
2. Uniqueness: Conduct thorough research to ensure that the name you choose is not already in use by another registered business.
   This prevents conflicts and legal issues down the line. The CAC provides a platform where you can search for existing business names to check for availability.
3. Memorability and Brandability: Aim for a business name that is easy to remember, pronounce, and spell.
   A catchy and memorable name helps create a strong brand identity and makes it easier for customers to find and remember your business. [ads]

Conducting a Name Availability Search

Before finalizing your business name, it’s essential to conduct a name availability search to ensure it is not already registered by another entity. The CAC provides an online portal where you can perform a search to determine if your chosen name is available.

1. Visit the CAC website and navigate to the Name Reservation/Availability Search section.
2. Enter your desired business name and perform a search.
3. Review the search results to determine if there are any existing businesses with a similar or identical name.
4. If your chosen name is available, you can proceed with the registration process.
   If not, you may need to modify your name or choose an alternative that is unique and available.

Ensuring Compliance with CAC Guidelines

To ensure a smooth and successful business name registration process, it is essential to comply with the guidelines set by the CAC. Here are some key points to consider:

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1. Required Documents: Familiarize yourself with the documents and information required for the registration process. Typically, you will need to provide identification documents, proof of address, and other relevant details as per the CAC’s requirements.
2. Registration Forms: Obtain the necessary registration forms from the CAC website or their office. Fill out the forms accurately and ensure that all required information is provided.
3. Registration Fees: Be aware of the registration fees associated with the business name registration process. The CAC provides a fee schedule that outlines the applicable charges.
4. Submission and Processing: Submit your completed registration forms along with the required documents and payment of fees to the designated CAC office.
   The processing time may vary, but it is advisable to follow up on the status of your application periodically.

Documents for Registering of Business Name in Nigeria on CAC

When it comes to gathering the necessary documents and information for business name registration, there are a few key items you need to prepare.

These include personal identification documents, the proposed business name and its significance, as well as the business address and contact details.

1. Personal Identification Documents: To register a business name, you will typically need to provide personal identification documents.
   This may include your valid government-issued identification card, such as a driver’s license or passport. These documents serve to verify your identity as the owner of the business.
2. Proposed Business Name and its Significance: Choosing a suitable business name is an important step in the registration process. You will be required to provide the category and nature of your business. Consider the significance and potential branding opportunities associated with the chosen name.
3. Business Address and Contact Details: Provide the official address of your business, including the street name, building number, city, and postal code.
   This address will serve as the registered address of your business. Additionally, ensure that you provide accurate contact details, such as phone numbers and email addresses.
   These details will be used for official correspondence and communication related to your business.
4. Others: If your business has a website, you can also provide it or any other documents that will increase your chances of getting approved by the corporate affairs commission. [ads]

By gathering these required documents and information in advance, you will be well-prepared for the business name registration process. Remember, accuracy and completeness are crucial to ensure a smooth and successful registration.

CAC Business Name Registration Fees

The Corporate Affairs Commission (CAC) imposes certain fees and charges for business name registration. These fees may vary depending on the type of business structure and the services you require.

CAC Applicable Fees and Charges

CAC Fees for Business Name Reservation

The fee to reserve your Business name on the Corporate Affairs Commission is N500. However, the payment channel may charge about N160 naira. This means that the total amount of reserving your Business name is about N669.00.

CAC Fees for Business Name Reservation

After reserving your business name and having it approved by the CAC, you can proceed to register the business. The business registration fee is N10,000.00. Again, the payment channel will add their service charge, which is about N200.00.

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Available Payment Methods and Channels

The CAC provides various payment methods and channels to facilitate the registration fee payment process. The most popular channel is using Remita, which allows you to pay with your card, bank transfer, and others.

The Process of Registering Your Business Name

The first step of registering your business is doing a CAC business name search to ensure that your business name is available and not used by another.

The next step is reserving your business name. And when it’s approved after about 2 working days, you can start the registration proper.

The business name registration will be evaluated by CAC and could be approved or queried. Once it’s approved, you can go ahead to download the CAC Certificate.

Steps to reserve your business name

1. Reserve a Business Name: Select Business Classification and Specify Type

2. Insert two of your proposed business names

3. Select Reason and Nature of Business

4. Preview and make payment

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How to Register Your Business In Nigeria

I entered wrong Email During Registration on CAC, How do I resolve it?

If you entered a wrong email address during the registration process, don’t worry, there are steps you can take to resolve this issue. Here’s what you can do:

1. Contact customer support: Reach out to the CAC customer support team. Explain the situation and provide them with the correct email address. They should be able to assist you in updating your email information.
2. Provide necessary verification: In some cases, the customer support team may ask for additional verification to confirm your identity and ownership of the account. Be prepared to provide any necessary documents or information they may require.
3. Follow their instructions: Once you have contacted customer support, carefully follow their instructions on how to update your email address. They may provide you with specific steps or a form to fill out.

Remember to stay patient throughout this process, as it may take some time to resolve. Rest assured, the customer support team is there to help you rectify the situation and regain access to your account.

From Inactive Status to Active – Renew Your Business Registration with CAC

Is your business or company currently inactive with the Corporate Affairs Commission (CAC)? Are you facing challenges due to delayed annual returns and late filings?

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The confusing thing is you your business status may continue to display “inactive” even after you pay up your annual rate. I don’t want you to fret a second. Here’re the simple steps to reactivate your
Company Registration Status on CAC.

1. Calculate the Number of Years in Default

Is your company registration up to date with the annual tax or any other payment? Determine the number of years your company has failed to pay annual returns up until the present.

Now, multiply this figure by the applicable amount for each year, which includes the annual filing fee and the penalty for late filing. For businesses, it’s ₦3000 for annual filing and ₦3000 for default, while companies are at ₦5000 for both.

2. Prepare Duly Completed Annual Return Forms

Ensure that you have a duly completed annual return form for each year in default. These forms should be signed by a director and/or secretary of the company or proprietor in the case of a business name. If they are not around, any other director could sign sign for them.

3. Create a Statement of Affairs

Prepare a comprehensive statement of affairs for each defaulting year, showcasing your company’s assets and liabilities. This essential document, usually prepared by an accountant or an accounting firm, is a vital accompaniment to your annual filing submissions. With this statement, CAC would easily decide your case in your favor.

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4. Make Necessary Payments using CAC’s CPR Portal

Make timely payments for each defaulting year using CAC’s CPR portal. The payment platform, Remita, charges a nominal fee for each transaction. Your payment should include the annual filing fee and penalty, totaling 10,000 Naira for each year. The Remita charges for this is about ₦200.

5. Submit Receipts and Statements

I recommend forwarding all receipts of payment and copies of the statement of affairs for each year to CAC via email. The Commission will diligently review your company’s status and the information provided, issuing an acknowledgment letter upon receipt of your payment. If they don’t respond within 48hrs, kindly shoot another email.

6. Request for a Change of Company’s Status

Naturally, the Corporate Affairs Commission should change your company’s status from inactive to active after the submission of your receipts and statements.

However, I recommend sending them another email to request for it. With the acknowledgement of payment in hand, write to CAC via email, requesting a change of your company’s status from inactive to active. In just 24 hours, witness the transformation as your company’s new active status reflects it.

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I have paid for CAC name reservation but it is still showing “not submitted” What do I do?

It’s unfortunate to hear that you’ve been facing some bugs and errors recently. Many users have reported similar issues lately, so you’re definitely not alone.

Here are steps you may want to take:

1. Try logging in with an incognito browser to rule out issues related to cached data or browser settings.
2. Then, wait for 24-48 hours. From my experience, these glitches are, sometimes, temporary, and waiting a day or two before checking it again might resolve the problem.
3. If the issue persists, I strongly recommend you reach out to CAC’s customer support. They need to be aware of the problem and can provide assistance in resolving it.

But before you do that, it’s crucial to document your payments, including payment receipts, transaction IDs, and any other relevant information in case they require them. This documentation will be valuable when communicating with CAC support.

Lastly, you have to also check if your payment bounced so you can try again next time (especially when you’ve a stronger internet network). I hope this helps. Best of luck! 🙂 Kindly subscribe to be in the loop.

I didn’t Get an email from the CAC Website – Business name registration issues

Didn’t get an email from CAC even when they said they sent you an email to vfy your account? Lately, we’ve been hearing your stories, and a common plot twist has been catching you off guard. You’re trying to get that business of yours officially registered on CAC’s website, and everything seems smooth sailing until the email confirmation step. That’s when things start to get a little, well, complicated.

CAC website said they sent you an email to verify your account, but you didn’t get any email, you’re not alone in this. What are the solutions to fix his problem?

What to do if you don’t get CAC’s email to activate your account

1. CAC Support:

• Give a shout-out to CAC’s customer support team! Send them an email at [CAC Customer Support Email] and tell them about your email confirmation blues. Sure, they might take their sweet time responding, but many have reported that they came through in the end.

2. A Little Help from Our Friends:

• If patience isn’t your strong suit, consider the buddy system. There are folks and agents who know the CAC ropes inside out. They can help you navigate the registration process and might even expedite things for you. Just keep in mind, they might ask for a little something in return (around ₦25,000 and up). [ads]

3. Patience and Persistence:

• While you’re waiting for the email to make an appearance, stay vigilant! Keep an eye on your inbox and maybe even check that sneaky spam folder. Sometimes, it just takes a few more tries.

I hope this helps, and best of luck in resolving the issue with your email address!

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