Company Registration in Nigeria (CAC): Requirements LLC
Limited Liability Company Registration in Nigeria (CAC): Requirements, Process, Cost & Complete Guide (2026). Starting a business in Nigeria without proper legal structure is one of the fastest ways to limit growth. If you’re serious about building a credible, scalable, and investment-ready business, registering a limited liability company (LTD) is the right move. In Nigeria, company registration is handled by the Corporate Affairs Commission (CAC), the body responsible for incorporating and regulating businesses. This guide breaks down everything you need to know, including requirements, process, costs, and strategic insights, so you can register your company the right way. What is a limited liability company (LTD)? A limited liability company is a legal business structure where the company is treated as a separate entity from its owners. This means: Your personal assets are protected The company can enter contracts in its own name You can own shares and bring in investors The business continues even if ownership changes This is why most serious businesses, especially those planning to scale, choose this structure. Why Register a Limited Company in Nigeria? Before diving into requirements, it’s important to understand the strategic advantages. 1. Legal Protection Your liability is limited to your investment. Personal assets are shielded from business risks. 2. Business Credibility Clients, partners, and investors trust registered companies more than informal businesses. 3. Access to Funding Banks, investors, and grant organizations require a registered company. 4. Corporate Bank Account You cannot open a full corporate account without CAC registration. 5. Scalability You can issue shares, onboard partners, and expand operations seamlessly. CAC REQUIREMENTS FOR LIMITED LIABILITY COMPANY To register your company, you must provide the following: Company Name Proposed name (e.g., Wisdom Egba Ltd) Alternative name Must be unique and approved by CAC Must end with “Limited” or “Ltd” Business Details Nature of business Business objectives (used in MEMART) Registered office address in Nigeria Share Capital Minimum: ₦100,000 Recommended: ₦1M – ₦5M for credibility Determines ownership structure Directors (Minimum of 1) Each director must provide: Full name Residential address Date of birth Occupation Valid ID (NIN, Passport, Driver’s License, or Voter’s Card) Email and phone number Shareholders (Minimum of 1) Can be same as director Must define percentage ownership Company Secretary (Optional but Recommended) Helps with compliance and governance Required Documents Means of identification Passport photographs Signature specimen Contact details CAC Documents Prepared Name Reservation (RUN) Form CAC 1.1 Memorandum & Articles of Association (MEMART) Statement of Share Capital Director Consent STEP-BY-STEP PROCESS OF CAC REGISTRATION Here’s how the registration works from start to finish: Step 1: Name Reservation Submit your proposed name to CAC for approval. Timeline: 1 day Step 2: Documentation Preparation Prepare all required documents, including MEMART and company details. Step 3: Submission to CAC All documents are submitted through the CAC portal. Step 4: Approval & Incorporation Once approved, CAC issues: Certificate of Incorporation Status Report Timeline: 3 – 7 working days Step 5: Post-Registration Setup (120,000 Obtain Tax Identification Number (TIN) Open corporate bank account Set up business operations COST OF REGISTERING A LIMITED COMPANY IN NIGERIA Costs vary depending on share capital and professional fees. Government Fees (Typical Range) Stamp Duty: Based on share capital Name Reservation: ₦1500 Professional Fees ₦65,000 – ₦150,000+ depending on service provider Total Estimated Cost ₦65,000 – ₦155,000+ (standard companies); this fee increase depending on share capital SPECIAL CASE: FOREIGN PARTICIPATION If your company includes foreign investors: Key Requirements Minimum share capital: ₦100,000,000 Foreigners can own 100% Estimated Cost CAC + Stamp Duty alone can exceed ₦1.2M Total setup: ₦1.5M – ₦3.5M+ this is for foriegners ⚠️ COMMON MISTAKES TO AVOID ❌ Choosing the Wrong Business Structure Many start with a business name and later need to upgrade. ❌ Poorly Written Business Objectives This can limit future expansion. ❌ Using Too Low Share Capital It affects credibility and investor perception. ❌ Incorrect Director Information Leads to delays or rejection. STRATEGIC INSIGHT: HOW TO STRUCTURE YOUR COMPANY RIGHT If you’re building a serious business: Use a clear, scalable company name Include multiple business activities in your objectives Structure shareholding for future investors Plan for compliance from day one This is not just registration; it’s business architecture. Registering a limited liability company is not just a legal step; it’s a strategic move toward growth, credibility, and long-term success. If you’re serious about building a structured, scalable business, this is where you start. 📞 Contact Us: +2348060935229 (Call & WhatsApp) 📧 Email: info@wisdomegba.com
