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IN THIS ISSUE

• How Nigerians In Diaspora Can Register Businesses In Nigeria

DEEPTHINK

How Nigerians In Diaspora Can Register Businesses In Nigeria

Nigerians living abroad are not just sending money home anymore – they’re also registering and building businesses, creating jobs, and establishing legacies that can weather any economic downturn.

Thanks to the easing of the business registration process, Nigerians in the diaspora can now register their businesses in Nigeria without needing to fly back to Lagos or Abuja.

In this article, we will guide you through the steps to successfully register your business in Nigeria from abroad.

Step-by-Step Guide to Registering Your Business from Abroad

You might be wondering, “Can Nigerians abroad register a business in Nigeria?” The short answer is yes! The Nigerian government actively encourages diaspora investments through various policies and simplified registration processes.

While you can register your business yourself via the CAC registration portal, you may also choose to work with a proxy, such as a lawyer or a business registration expert, to help you navigate the registration process, save time and assist with quickly addressing any issues that night arise from your registration process.

Now, let’s go through the steps for registering your business in Nigeria as a Nigerian living abroad:

Step 1: Choose Your Business Structure

The business structure you select will determine your liability, tax obligations, and growth potential. You can register your business in Nigeria in one of the following ways:

• Business Name Registration: Best for solo entrepreneurs, consultants, and small service providers, with costs ranging from ₦15,000 to ₦20,000.

• Company Registration (Private Limited Company): Suitable for business ventures planning to scale, tech startups, trading companies, etc., with registration costs between ₦35,000 and ₦50,000.

• Company Registration (Limited Liability Company): Best for professional service providers and partnerships. It requires a minimum capital of ₦500,000 for registration, with costs between ₦50,000 and ₦70,000.

Step 2: Reserve Your Business Name

This marks the official start of your business journey. First, visit the CAC Online Portal and create an account using your email and phone number.

Next, check the availability of your desired business name. Ensure that the names you choose are not too similar to existing businesses, do not contain restricted words like “Bank,” “Insurance,” or “Federal,” and are memorable and brandable. Also, consider reserving names that are available as domain names if you plan to create an online presence for your business.

Submit three alternative names in order of preference and pay the name reservation fee of ₦500. You should receive approval for the reserved names within 24-48 hours.

Step 3: Prepare Your Incorporation Documents

The next step is to prepare the necessary documents for incorporating your business.

Here’s what you need:

• Form CAC 1.1 (Memorandum and Articles of Association): This form can be downloaded or filled out directly from the CAC website. Include your company details, objectives, and share structure, along with the required signatures.

• Form CAC 7 (Particulars of Directors): In this form, provide the personal details of all directors of your business. You can be a sole director, as permitted by the CAC. Include passport photographs and certified copies of identification for each director.

• Form CAC 2 (Statement of Nominal Capital): Enter your company’s authorised share capital and share distribution among the founders.

Step 4: Secure A Local Address

Every Nigerian company is required to have a local address. As a Nigerian living abroad, you have several options:

• Business Centre: Many offer mail forwarding services and typically charge between ₦50,000 and ₦150,000 annually.

• Family/Friend’s Address: This option can be free of charge.

• Virtual Office Services: These services provide a professional business address and a receptionist to handle calls and customer inquiries, costing between ₦100,000 and ₦500,000 annually, depending on the service and your needs.

Step 5: Submit Your Registration

Once you have completed all the steps above, it is time to upload all required documents (scanned copies), fill out the necessary online forms, and pay the registration fees, then you can submit your application.

The review process can take between 24 to 48 hours, though it may take longer in some cases.

Action Steps

Registering a business in Nigeria as a Nigerian living abroad can help you successfully establish your business in Nigeria, position your business to legally take advantage of opportunities for success and contribute to the growth of the country.

Most investors and entrepreneurs either choose to embark on the process themselves or get an expert to do so depending on their needs.

We offer help with everything you need to register your business in Nigeria. Our business registration services help you establish a presence in Nigeria quickly and efficiently. We guide you through the process, ensuring you comply with necessary regulations and obtain required licenses and permits.

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