In an effort to deepen the benefits of its reform initiatives, the Corporate Affairs Commission (CAC) has reduced the cost of Registration of Business Names from N10,000 to N5,000 after the Name Reservation of N500, with effect from the 1st October to 31st December 2018.
Disclosing this in a statement, the CAC stated that the reduction in cost of business name registration is a business incentive strategy aimed at encouraging micro, small and medium enterprises to formalise their operations.
“The Business Incentive Strategy is aimed at creating a window for Micro, Small and Medium Enterprises (MSMEs) to formalize their businesses, which will enable them own corporate account with Banks, have access to Loans, grants and other government interventions.
“Members of the public are enjoined to take advantage of this window, to register their Business Names at the reduced cost of N5,000 after the Name Reservation of N500”, the statement reads.
The Corporate Affairs Commission (CAC) was established by the Companies and Allied Matters Act, which was promulgated in 1990 to regulate the formation and management of companies in Nigeria.
The establishment of the CAC as an autonomous body, was as a result of the perceived inefficiency and ineffectiveness of the erstwhile Company Registry, a department within the Federal Ministry of Commerce and Tourism which was then responsible for the registration and administration of the repealed Companies Act of 1968.
The functions of the commission as set out in section 7 of the Companies and Allied Matters Act, include the following:
To administer the Act, including the regulation and supervision of the formation, incorporation, management and winding up of companies.
To establish and maintain companies registry and offices in all the states of the Federation suitably and adequately equipped to discharge its functions under the Act or any law in respect of which it is charged with responsibility.
Arrange and conduct an investigation into the affairs of any company where the interests of the shareholders and the public so demand.
To undertake such other activities as are necessary or expedient for giving full effect to the provisions of the Act.
The Commission also registers Business Names, and Incorporated Trustees as well as provides a wide range of ancillary services.