. WHY YOU NEED TO REGISTER YOUR ORGANIZATION WITH CORPORATE AFFAIRS COMMISSION (CAC)
INTRODUCTION:
Normally, the first thing to do when you want to start a business in Nigeria is to register your business name with the Corporate Affairs Commission (CAC). This will help you discover if the name you have in mind is still available and not registered by someone else.
Sometimes, most business owners build brands only to find out that someone else has the legal right to their ‘business name’. I believe this is not a pleasant experience when you consider the pain of building a brand.
Some people fail to register their business due to ignorance while some see it as a way to evade tax. You should know that the benefits of registering your business far outweigh any perceived disadvantage.
WHY YOU NEED TO REGISTER YOUR YOUR ORGANIZATION WITH CORPORATE AFFAIRS COMMISSION.
1. You can open a corporate account with your registered business certificate.
2. Potential customers feel more comfortable paying into a corporate account because they know their money can be traced. And you can open a corporate account with any bank of your choice with a registered business.
3. You can apply for loans and grants when your business is registered.
4. When you register your business, customers trust you because they see you as legit and reliable.
5. Registering your business is the first step to getting your business structured. Without registering your business, you are running a glorified hobby.
6. A registered business can get interns from NYSC.
7. A registered business gives clients confidence that they are dealing with a reputable organization.
8. When your business is registered, even if you are dead or become incapacitated, your business continues especially when you have the right structure in place.
9. A registered business gets easy access to loans and boundless opportunities.
10. You have better access to investors with a registered business as investors look at the business structure first before investing.
11. With a registered business, you can easily obtain a visa and travel to any country for business purposes and conferences.
12. Registering your company enhances the reputation and perception of your business to prospective clients.
HOW TO REGISTER YOUR BUSINESS WITH CAC
Usually, you can register your business either as a Business Name or Limited Liability Company. The business name is registered by a sole proprietor and can be registered by either one person or two people max. To register as a limited liability company, you will need at least two directors and a secretary. However, there’s a new law that will allow one person to register as a limited liability company.
If you register as a business name, all liabilities of the business are on you. On the other hand, if you register as a limited liability company, the business is seen as a separate entity from the owner. So, all liabilities of the company are borne by the company.
Basically, there are two ways to register your business with CAC.
Registering yourself can be difficult if you lack the experience. So, it is always best to engage the services of a professional. Most times, people get stuck when they get to a particular stage. To avoid that, you can engage the services of a professional.
You can trust CHAMAN LAW FIRM to help you with your business registration. With us, it is fast, affordable and seamless. Most importantly, we are traceable for people who are weary of online scammers.
