What Is Corporate Affairs Commission CAC In Nigeria

What Is Corporate Affairs Commission CAC In Nigeria? As a business owner in Nigeria, or person wanting to own a business and want to be serious with it, then CAC is for you. But then, you might not know what is it, or if at you even need it.

Welcome to Bizpremi, taking you through, is Adegbola Valentine

Let’s walk you through what CAC is, and why you may need it for your business, or your organization.

The Corporate Affairs Commission (CAC), is the only government agency that is responsible for the management, formation and the regulation of business names, companies/organizations, and incorporation trustees in Nigeria. CAC was founded under the CAMA. Which is Companies and Allied Matters Act. It was then put into practice in the year 1990 and adjusted in the year 2020, to accommodate modern and enhanced businesses. It’s policy hasn’t been changed or modified since then.

What Does CAC Do?

The CAC, is a must for every business that needs to be registered in Nigeria, by ensuring businesses are recognized legally, follow due process of operation, and of course properly documented. What they actually do is stated below.

• Registering new businesses, companies/organizations or even NGO’s
• Ensuring compliance with provided laws and regulations.
• Provide and maintain all public records of registered businesses in Nigeria.
• Handles business name changes, such as new business name or update, business transfers or director appointments.
• Protection of business owners, by giving legal backup.

What CAC Covers.

Upon registering with the Corporate Affairs Commission, you can choose the time of registration, that fits your business, depending on the nature and size of your business. These are:

• Business Name Registration. Usually for small scale businesses, or startup businesses.
• Limited Liability Company LLC for short. For businesses, considered as medium or large scale.
• Incorporated Trustees. Meant for NGO’s, Associations, Foundations, Churches and Mosque.

Why It’s Important

CAC is very important to and for your business, reason being that, it makes your business legally recognized. So meaning without it, your business has no legal identity, no CAC backup. Also limited to opportunities, limited to loans and no access to potential investors. Check also, Corporate Affairs Commission For Your Business In Nigeria

And registering with them, you get;

• Legal Recognition of your business
• Legal Protection of your business name
• Access to loans, grants, contracts. Also connection to potential investors.
• Opportunity of growing your business into a formal business.

Conclusion

The corporate affairs commission, goes beyond just being a government agency, it is an essential for your business into getting a legitimate recognition. Therefore every Nigerians, or foreigners who are interested in doing businesses in Nigeria are encouraged to get their businesses registered. Does not matter if you a small business, startup or even running a non profit business.

CAC is a necessity for your business, if you really want to be successful. As it gives credibility, and recognition.

Check the types of CAC Registrations here. Types of Corporate Affairs Commission Registrations in Nigeria