What Is CAC Business Name Registration?

What is CAC Business Name Registration? It is the process of officially registering a business name with the Corporate Affairs Commission (CAC) in Nigeria. This registration is a legal requirement for individuals or entities conducting business under a name other than their own. The process involves several steps, including name availability search, completion of the pre-registration form (CAC-BNo1), uploading relevant registration documents, and payment of the required fees. It is important to note that individuals or proprietors can register business names without the services of a legal practitioner, chartered accountant, or chartered secretary.

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Registering a business name with CAC provides a certificate of incorporation, which can enhance the credibility and trustworthiness of the business. The process has been streamlined and can be completed online, making it more convenient for business owners, agents, or entrepreneurs. The official filing fee for the registration of a business name in Nigeria is ₦10,500, plus an additional ₦1,500 for bank charges, making it a total of ₦12,000.

The CAC has simplified the registration process by providing an online portal for name availability search and registration. This has made it easier for business owners to complete the registration without the need for a lawyer, especially for sole proprietorships. The CAC also issues e-certificates that can be used worldwide without the need for physical presence, adding to the convenience of the registration process.

CAC Business Name Registration is a straightforward process that can be completed by individuals or entities looking to establish their business presence in Nigeria. The online platform and the availability of electronic certificates have made the process more efficient and accessible to a wide range of entrepreneurs.

How Long Does it Take to Register a Business Name with CAC

The duration for registering a business name with CAC varies depending on several factors. The entire process typically takes a week, and after that, the business name is ready for collection. However, the duration could also be dependent on lagging factors such as bureaucracy, workload, low quantity of staff, and other factors. On the other hand, states that the registration of business names usually takes 1-2 weeks, while mentions that CAC usually responds within 24 hours for name reservation.

It is important to note that the duration for registering a business name with CAC can be affected by the completeness and accuracy of the registration documents, payment of the required fees, and the availability of the proposed business name. Therefore, it is advisable to ensure that all necessary documents are complete and accurate before submitting them to CAC to avoid delays in the registration process.

What is CAC Business Name Registration – Process to Guide You

The process for registering a business name with CAC involves several steps, which can now be completed online. Here is a simplified guide to the process:

1. Check Name Availability: Choose a unique business name and check its availability on the CAC portal. If the name is available, it can be reserved for 60 days.

2. Create an Account: Sign up or log in to your CAC account on the Company Registration Portal (CRP).

3. Complete the Pre-Registration Form: Fill out the CAC-BNo1 form and upload relevant registration documents, including passport photographs, and proprietor’s signature.

4. Payment of Fees: Pay the required filing fees, which is currently ₦12,000, via the CAC website portal or directly to the bank.

5. Review and Approval: The CAC will review the submitted documents. If everything is in order, the application will be approved, and the Certificate of Registration will be issued.

The entire process typically takes 1-2 weeks, and the business name will be ready for collection after this period. The availability of electronic certificates has made the process more efficient and accessible to a wide range of entrepreneurs.

This simplified guide outlines the steps involved in registering a business name with CAC, providing a convenient and straightforward process for business owners, agents, or entrepreneurs.

How Long is the Business Name Reserved for after Registration with CAC

After registering a business name with CAC, the name is reserved for a period of 60 days. During this time, the business owner must complete the registration process. If the business owner fails to complete the registration process within the 60-day period, the reserved name will be released, and the business owner will have to choose a new name or start the registration process again.

The reservation of a business name usually costs ₦500 (Five Hundred Naira Only). It is essential to note that the 60-day reservation period is not an extension of the registration process but rather a period for the business owner to complete the registration process. If the business owner is unable to complete the registration process within the 60-day period, they will have to start the registration process again, which may involve another ₦500 reservation fee.

What Happens if Someone Else Registers A Business Name with the same Name as my Reserved Name

If someone else registers a business name that is the same as your reserved name, the actions you can take and the implications depend on various factors, including the legal structure of your business and the industry in which you operate.

If you are a sole proprietorship and another business registers a similar name, you may have limited legal recourse to get them to change their name. If the other business has already filed for a trademark or is registered to use that name, you may be required to change the name of your business.

For LLCs or corporations, there is more name protection. If another business is using a similar name, you may have the option to send a cease and desist letter and involve legal counsel. However, if the other business has already registered the name, your only recourse may be to change your own business name.

The claim to a business name is often related to consumer confusion. If two businesses have the same or similar name but operate in different industries, there may be no issue. However, if your business is using a name that is the same as another incorporated company, it could lead to a legal dispute, and you may not be able to use the name.