How to Register a Business Name in Nigeria: A Step-by-Step Guide

Knowing how to register a business name in Nigeria is essential because it gives your business legal protection, builds credibility with customers, and opens doors to important opportunities.

Without it, your brand is exposed to the risk of being copied, and you may be locked from opening a business bank account, paying taxes properly, or attracting investors who, understandably, only deal with registered entities.

The Companies and Allied Matters Act (CAMA 2020) and recent updates from the Corporate Affairs Commission (CAC) have made registration simpler and more digital. Still, many entrepreneurs run into delays or rejections simply because they are not aware of the right requirements or common mistakes to avoid.

In this guide, you’ll learn exactly how to register a business name in Nigeria, the documents you need, and mistakes to avoid so your application goes smoothly.

To make this more practical, we also spoke with Nicole*, 23-year-old Nigerian entrepreneur who registered her business name with CAC.

What is a “Business Name” under Nigerian Law?

A business name in Nigeria is the legal identity of a sole proprietorship or partnership that is registered with the Corporate Affairs Commission (CAC). It is different from a limited liability company, which is treated as a separate legal entity on its own.

• Business Name / Sole Proprietorship: This is the simplest form of business registration. The owner and the business are the same in law. You take all profits directly, but you are also personally responsible for debts and liabilities.
  
• Partnership: Two or more people can come together to run a business under one name. Like a sole proprietorship, the partners are personally responsible for debts, unless a limited liability partnership is registered separately.
  
• Company: Unlike a business name, a registered company (Ltd, Plc) is a separate legal entity under CAMA. It can own property, sue or be sued, and has stricter governance requirements.
  

Legal Basis under CAMA 2020

The Companies and Allied Matters Act (CAMA), provides the framework for registering business names in Nigeria. It sets out who can register, the required documents, and the responsibilities of owners once registered.

When is Business Name Registration Required?

You must register a business name if:

• You are using a name that is not your full legal name (for example, “Gina’s Kitchen” instead of “Gina Onekpe”).
  
• You are in a partnership using a joint name.
  
• You want to formalize your trade name to open a business bank account, apply for contracts, or access loans.

For Nicole, she registered her business name for an additional reason:

“I registered mainly to give my business more credibility. Customers in Nigeria often have trust issues, so I wanted them to see my name on CAC records and feel reassured that I was serious.”

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Types of Business Structures & When to Choose a Business Name

1. Sole Proprietorship Business Name

A sole proprietorship is the most common structure in Nigeria. It is run by one person and registered simply as a business name with the CAC. It is cheap, easy to set up, and ideal for small shops, freelancers, and service providers. However, the owner and the business are legally the same, which means personal assets are not protected if the business runs into debt.

2. Partnership Business Name

When two or more people come together to run a business under one name, they can register it as a partnership business name. It allows partners to pool resources and share profits. Like sole proprietorships, partners are still personally responsible for debts, unless they register as a limited liability partnership.

3. Private Limited Company vs Business Name

A private limited company (Ltd) is treated as a separate legal entity under CAMA 2020. It can sue, be sued, own property, and continue even if the owners change. This structure is more expensive and has stricter compliance rules, but it is often required if you plan to:

• Raise investment or attract shareholders.
  
• Bid for larger contracts (government or corporate).
  
• Separate personal assets from business risks.
  

Pros and Cons: Business Name vs Private Limited Company

Aspect	Business Name (Sole Proprietorship / Partnership)	Private Limited Company (Ltd)
Registration Cost	Cheaper and quicker to register	More expensive to register
Process	Simple, fewer steps, minimal paperwork	Longer process with more documentation
Liability	Owner(s) are personally responsible for debts	Liability is limited to the company’s assets
Credibility	Accepted for small trades and services	Seen as more professional and credible
Compliance	Few compliance requirements	Must file annual returns and other statutory documents
Taxation	Taxed as personal income	Company taxed separately (corporate tax)
Funding & Investment	Hard to attract serious investors	Attractive to investors and lenders
Ownership Continuity	Ends if the owner dies or quits	Can continue regardless of ownership changes
Best For	Small businesses, freelancers, local shops, traders	Growing businesses, startups, companies seeking contracts or investment

Step-by-Step Process: How to Register a Business Name in Nigeria

To give you a real picture of how the process works, we asked Nicole about the process.

“I didn’t register it myself,” she recalled. “My lawyer handled everything for me. I remember submitting my ID, some basic personal details, my address, and two options for the business name. It wasn’t complicated, but the lawyer guided me through it.”

1. Name Availability Check (Search)

The first step is to confirm that your desired business name is available. This is done through the CAC online portal.

• Create an account.
  
• Use the “Public Search” feature to type in your proposed name.
  
• The system will show if the name is already taken, too similar to an existing one, or restricted (e.g., names implying government or professional bodies without approval).

What to watch for:

• Avoid names that closely resemble registered businesses or trademarks.
• Don’t use words like “bank,” “insurance,” or “federal” without special approval.

2. Reserve the Name

Once you find an available name, reserve it through the CAC portal.

• Pay the name reservation fee.
  
• Once approved, the name is reserved for 60 days. If you don’t complete registration within that time, you must renew.

3. Complete the Registration Application

Log into the CAC portal and fill out the Business Name Registration Form (BN 1). You will need to provide:

• Proprietor’s full name, date of birth, nationality, gender, and occupation.
  
• Residential and business addresses.
  
• Nature of business.
  
• Passport photo and signature of the proprietor(s).

4. Upload Supporting Documents

CAC requires clear scanned copies of:

• A valid ID (National ID, International Passport, Driver’s License, or Voter’s Card).
  
• Passport photograph of each proprietor.
  
• Signature specimen (scanned).
  
• Proof of address (e.g., utility bill).
  

5. Pay Registration Fees

The standard CAC registration fee for a business name is ₦10,000 (excluding agent or professional service charges, if you use one).

• Payment is made directly on the CAC portal using debit card, bank transfer, or Remita.
  
• Additional filing or professional fees may apply if you engage a lawyer or agent.

“The fees you see online are not the full story. You should budget ₦25,000 to ₦30,000. Nigeria always has hidden costs, whether it’s service charges or agents. It’s better to be prepared than frustrated,” Nicole said. 

6. Receive Your Certificate of Registration

After approval, you will be issued:

• Business Name Certificate – shows your registered name, proprietors, and date of registration.
  
• Business Name Number – a unique identifier for your business.

You can download the certificate directly from your CAC dashboard. This document is what banks, tax authorities, and partners will require as proof that your business is legally registered.

Required Documents & Data for Business Name Registration in Nigeria

To successfully register your business name with the Corporate Affairs Commission (CAC), you must provide both documents and basic information about yourself and your business. These include a:

1. Valid Means of Identification (any of the following):

• National Identification Number (NIN) slip or card
  
• International Passport
  
• Driver’s License
  
• Permanent Voter’s Card

2. Passport Photograph – recent and clear digital copy

3. Signature Specimen – scanned or photographed

4. Proof of Address – utility bill, tenancy agreement, or any official document showing your current address

Data/Information Required

When filling your CAC application, you’ll also need to provide:

• Full Name of each proprietor
  
• Date of Birth, Gender, and Nationality
  
• Business Address (must be a physical location, not just a P.O. Box)
  
• Residential Address of each proprietor
  
• Email Address and Phone Number for communication
  
• Nature of Business – a short description of what you do (e.g., catering, tailoring, consulting)
  
• Date of Commencement – when the business officially started operations

Providing accurate details is important because errors may cause delays or rejection during verification.

Timeline for Registering a Business Name in Nigeria

1. Online Registration: If all documents are in order, approval usually takes 3–7 working days.
2. Offline/Paper Registration: Can take 2–3 weeks or longer, depending on the CAC office workload.

What Could Delay Approval

• Using a name that conflicts with an existing business or trademark.
  
• Uploading unclear or invalid documents.
  
• Inconsistent details between your application and your ID (e.g., name mismatch).
  
• Failure to complete payment on time.

What Can Speed It Up

• Double-checking that all details match your ID.
  
• Uploading clear, legible scans of documents.
  
• Using the CAC online portal instead of going through manual filing.
  
• Reserving a unique, simple business name that is less likely to be rejected.

Next Steps After Registering Your Business Name

Registering your business name is only the first step. We asked Nicole what came as a surprise to her only after registering her business name. She said:

“One thing I didn’t realize at first was the tax side of things. After you register, you also need to think about tax compliance and filing annual returns. That part really caught me off guard.” 

To fully operate as a recognized business in Nigeria, there are several important actions to take afterward.

1. Obtain a Tax Identification Number (TIN)

Once you have your business certificate, apply for a TIN with the Federal Inland Revenue Service (FIRS). Some banks now issue a TIN automatically when you open a business account, but you can also apply directly at an FIRS office or online. A TIN is necessary for paying taxes and for many official transactions.

2. Open a Business Bank Account

Banks in Nigeria will request your CAC certificate, Business Name number, and TIN before opening a corporate account. This separates personal and business finances, improves credibility, and allows you to accept payments more professionally.

3. Register for VAT if Needed

If your business is expected to make more than ₦25 million in annual turnover, you are legally required to register for Value Added Tax (VAT) with the FIRS. Even below this threshold, some businesses choose to register early for credibility when dealing with corporate clients.

4. Meet Annual CAC Obligations

Business names are simpler than companies, but they still have compliance requirements:

• File Annual Returns with CAC to keep your registration active.
  
• Update Particulars if you change your business address, nature of business, or proprietors.
  
• Renewals: While business names do not expire once registered, failure to file annual returns can lead to penalties or delisting.

5. Protect and Grow Your Brand

• Trademark Protection: CAC registration does not automatically give you exclusive rights to the name. To protect your brand legally, apply for a trademark with the Nigerian Trademarks Registry.
  
• Domain Name: Secure your business website domain (e.g., .com, .com.ng) early to avoid losing it to someone else.
  
• Branding: Begin developing your logo, social media presence, and other identity materials to strengthen credibility.

Common Mistakes & How to Avoid Them

Many Nigerians run into unnecessary delays or even rejections when registering their business name. Below are the most common errors and how you can avoid them.

1. Choosing a Generic or Conflicting Name

Names that are too common (“Best Ventures,” “Success Enterprises”) or too close to existing businesses are often rejected. Be specific and creative. Before submitting, use the CAC search tool to confirm availability and avoid trademarked names.

2. Incorrect or Incomplete Forms

Errors in spelling, mismatched names on ID cards, or leaving out details can cause your application to be rejected. Double-check every field before submission. Ensure your ID, proof of address, and application details match exactly.

3. Wrong Document Uploads

Unclear passport photos, expired IDs, or incomplete signatures are common causes of delay.
Scan documents clearly, use valid IDs, and follow CAC’s upload format.

4. Relying on Manual Steps

Submitting paper applications or using middlemen without checking CAC’s online portal can slow the process significantly.

5. Ignoring Updates & Compliance

Some businesses forget to file annual returns or update changes in address, proprietors, or nature of business. This can lead to penalties or deregistration. Mark annual deadlines and promptly notify CAC of any changes.

6. Skipping Tax & Legal Steps

Registering with CAC alone does not cover tax or intellectual property rights.
Obtain your TIN, register for VAT if required, and consider trademarking your business name for full protection.

“Registration isn’t a magic stamp that makes customers trust you. Do it for formality’s sake, because it helps with banks and contracts, but don’t expect it to solve everything. At the end of the day, you still need to build credibility through how you run your business,” Nicole advised.

FAQs on How to Register a Business Name in Nigeria

1. How do I register my business name on CAC by myself?

You can register a business name on the CAC portal without an agent by following the required steps in this article. 

2. How much does it cost to register a business name in Nigeria?

As of 2025, registering a business name in Nigeria with the CAC costs ₦10,500 in total: ₦500 for name reservation and ₦10,000 for the registration fee. Extra costs may apply if you use an accredited agent or lawyer.

3. How long does it take CAC to approve a business name?

If your documents are correct, CAC approval usually takes 3–7 working days through the online portal. Manual or offline applications can take 2–3 weeks or more.

4. Is CAC the same as CPA?

No. In Nigeria, CAC (Corporate Affairs Commission) is the body responsible for business and company registration. CPA is unrelated and usually refers to Certified Public Accountant, a professional accounting designation.

5. Does CAC registration expire?

A business name registration does not expire, but you must file annual returns with the CAC to keep it active. Failure to do so can result in penalties or eventual delisting.

6. Do business names pay annual returns?

Yes. All registered business names in Nigeria are required to file annual returns with the CAC, even if the business is small. This keeps the registration valid and up to date.

7. Can I open a business account without CAC registration?

No. Nigerian banks require a CAC certificate and Business Name Number to open a corporate account. Some banks also request your TIN (Tax Identification Number).

When asked about benefits since registering her business name, here’s what Nicole had to say:

“Honestly, the benefits have been mixed. Having a CAC certificate helps with opening a business bank account, but customers don’t automatically trust you just because you’re registered. Even scammers register with CAC, so people still hesitate. For me it’s been 50-50 — some people see it as proof, others don’t,” she admitted.

Recent Updates on Registering a Business Name in Nigeria

1. What Changed With CAMA 2020?

In 2020, Nigeria updated its company law through the Companies and Allied Matters Act (CAMA 2020). For business names, the key changes are:

• You can’t hold unlimited board seats anymore — the rule now caps directorships in public companies at five positions at a time.
• You can now register a business name yourself online.
  
• If two associations with Incorporated Trustees share the same goals, they’re now allowed to merge into a single body.

2. Current CAC Fees

Right now, the official CAC fees for a business name are:

• ₦500 to reserve your name.
• ₦10,000 to complete the registration.

3. Online Process Improvements

The CAC registration portal has been upgraded in recent years:

• You can now register end-to-end online using the CAC Company Registration Portal (CRP).
  
• Certificates and approval documents are issued electronically and can be downloaded.
  
• In mid-2025, CAC began rolling out portal improvements, faster name approval, and smoother logins using NIN and two-factor authentication.

Conclusion

Registering a business name in Nigeria may look like a big task at first, but once you understand the steps, it is straightforward. 

Taking this step is not just about paperwork. It gives your business credibility, protects your brand legally, and opens doors to important opportunities like a business bank account, tax registration, and access to contracts or funding. Staying compliant by filing annual returns and keeping your details updated will also save you from penalties later.

If you are serious about growing your business, don’t delay. Start the process today and secure your name before someone else does.

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