Requirements for Choosing a Business Name for CAC Registration
When you want to embark on the journey of establishing your business in Nigeria, one of the fundamental steps is to register your company with the Corporate Affairs Commission (CAC).
Central to this process is selecting a suitable business name that reflects your brand identity and complies with the regulations set forth by the CAC.
This article addresses the requirements for choosing a business name for your CAC registration to ensure a smooth and successful incorporation process.
1. Uniqueness
The most important thing when choosing a CAC business name is to make sure it’s unique.
Your business name shouldn’t be the same or very similar to any other business name already registered with the CAC.
This is really important to prevent confusion among customers and to respect the intellectual property of other businesses.
2. Descriptive and Relevant
It’s important for your business name to be unique, but it should also describe what your business does.
Your name should tell people about your products, services, or activities, so customers can easily understand what your business is all about.
3. Restricted Terms
Some words and phrases are off-limits for business names by the CAC. These include terms hinting at government support like “Federal,” “State,” or “National,” unless you get approval first.
Also, words suggesting illegal stuff or being offensive or misleading aren’t allowed.
4. Legal Structure Indicator
Your business name should include an indicator of its legal structure.
For example, if your company is a limited liability company, you must include the abbreviation “Ltd.” or “Limited” at the end of your business name.
Other legal structures, such as partnerships or sole proprietorships, have their own respective indicators.
5. Availability Check
Before you settle on a business name, it’s super important to check if it’s available.
You can do this easily through the CAC’s online portal or ask a professional consultant for help.
This way, you make sure your name isn’t already taken by someone else, avoiding problems down the road.
6. Reservation
After picking a good business name that follows all the rules, you can reserve it with the CAC.
This means your chosen business name is safe for a while, so no one else can take it while you finish up registering your business.
How to change your business name with CAC
Thinking about changing your business name? Whether you’re rebranding, refocusing, or just want a new vibe, it’s a big decision.
In Nigeria, the Corporate Affairs Commission (CAC) handles business registrations and name changes.
Don’t worry if it seems overwhelming; this guide will make it easy, walking you through the steps of changing your business name with the CAC.
Now that you understand the requirements for choosing a business name, let’s talk about the step-by-step process of changing your business name with the CAC in Nigeria:
1. Name Availability Check
The first thing is to conduct a thorough availability check to ensure that your desired business name is not used by another.
You can do this through the CAC’s online portal or seek assistance from a professional consultant.
2. Prepare Required Documents
Get ready for the name change process by collecting these important documents:
– A filled-out application form for name change.
– Your current certificate of incorporation.
– A board resolution approving the name change.
– Updated memorandum and articles of association showing the new name (if needed).
3. Submit Application
Prepare and submit your application for name change to the CAC. This can be done online or through business name accredited agent like Davnation Consult.
4. Name Reservation
After your application is approved, you might have to reserve your new business name for a while. This makes sure nobody else grabs the same name while you’re making the switch.
5. Publication
Some jurisdictions may require you to publish a notice of the name change in a local newspaper to inform the public about the change.
6. Issuance of New Certificate
After completing all necessary steps and fulfilling any additional requirements, the CAC will issue a new certificate of incorporation reflecting your business’s updated name.
How To Get Incorporated with CAC in Nigeria?
Good news! For you to register your business is no longer a hassle. As you can easily do that from the comfort of your home, Only that it does require some careful process.
1. Choose a Business Name
Think of a catchy name that reflects your business values, industry, and appeals to customers. Most importantly, make sure the name is available. You can search for it on the CAC portal.
2. Reserve Your Business Name
After confirming that your chosen name isn’t taken, you can apply to reserve it. Once approved, it’s yours for 60 days.
Make sure to finish the registration process within this time. You can do it in person or online through the official CAC website.
3. Prepare the Memorandum and Articles of Association
You’ll need to draft a memorandum and articles of association, depending on your company type.
This is a legal step, so you’ll likely need a lawyer’s help. These documents include details like the first directors’ names, partners (if any), and shareholders.
Everyone involved must be at least 18 years old and have valid ID documents. The CAC will review all these details carefully.
4. Fill out the Incorporation Form
Next step in registering your business name with the CAC is getting and completing the incorporation form.
This comes after you’ve sorted out the memorandum and articles of association. You might need help from a lawyer or secretary for this part. Here are the forms you’ll fill out:
– CAC Form 7: Directors fill this out, including all their details.
– CAC Form 2: Another form for directors, covering share capital and allotment.
– CAC Form 3: Directors and company secretary fill this out for address changes.
– CAC Form 4: This form, along with CAMA requirements, is filled out by an accredited individual or company.
– A form appointing a secretary, filled out by two directors.
5. Submitting the Forms
After filling out the forms online or in person and making the required payments, the next step is to submit the forms once the payments are approved.
The CAC will review the documents before notifying you of approval. This process usually takes about a week. Then, your business name is ready for collection. However, delays can occur due to factors like bureaucracy, workload, staff availability, or your location.
Conclusively, choosing a business name for your CAC registration is a crucial step in establishing your presence in Nigeria’s business landscape.
By ensuring your name is unique, descriptive, and compliant with CAC regulations, you set the foundation for a successful incorporation process.
Remember to conduct thorough availability checks, prepare necessary documents, and follow the step-by-step procedures outlined by the CAC.
Whether you’re starting anew or rebranding, adhering to these requirements will streamline the process and pave the way for your business’s growth and success. You can send a message to Davnation Consult to help you and give your professional advice. Contact them here.
