Just in—Starting or running a business in Nigeria without proper registration is a serious offence. The Corporate Affairs Commission (CAC) has issued a public notice reminding everyone that doing business under an unregistered name or acronym is illegal. This applies to all types of business entities, including companies, limited liability partnerships, limited partnerships, and business names.
Under Section 863 of the Companies and Allied Matters Act (CAMA) 2020, it is a criminal offence to operate a business in Nigeria without registering it under the correct name. If you use another name or acronym not officially registered, it is also considered a violation of the law. This can lead to serious consequences, including legal penalties and the risk of losing your business.
The law also requires that all companies registered under the Act must clearly display their registered name and registration number outside every location where they operate. This must also be shown on all official documents like letterheads, websites, business cards, flyers, and other marketing materials. This is stated under Section 729 of the Act.
Furthermore, Section 862 (1) explains that making any false statement in official business documents is a criminal offence. If anyone knowingly includes false information in any publication or form submitted under CAMA, they may face imprisonment for up to two years. There is also a daily fine for the company involved if the offence continues.
Every business owner in Nigeria is advised to comply fully with these rules within six weeks of this notice. Failure to do so can lead to prosecution and other legal actions.
To stay updated on business registration in Nigeria, and to avoid penalties, visit the official CAC website at www.cac.gov.ng.