In short: CAC registration is cheap at the government end and variable at the agent end. Budget about ₦10,500 in CAC fees for a business name and about ₦10,000 plus stamp duty for a small private limited company, then add whatever you pay someone to do it for you. The CAC publishes its fee schedule and changes it from time to time, so check the current figure on cac.gov.ng before paying; the numbers here are the published schedule as checked in September 2026.
Business name or limited company?
| Business name (BN) | Private limited company (Ltd) | |
|---|---|---|
| Who it suits | Sole traders, freelancers, small shops | Anyone who needs liability protection, investors, corporate contracts |
| Liability | You are the business; debts are yours | The company is separate; your risk is the share capital |
| Minimum share capital | None | ₦100,000 issued |
| CAC fee | About ₦10,000 | About ₦10,000 for share capital up to ₦1m; more above that |
| Stamp duty | None | Payable on the share capital and memorandum |
| Annual return | Yes, small fee | Yes, small fee |
| Tax | Personal income tax on the owner | Company income tax; 0% if it qualifies as a small company |
Most Nigerian freelancers and traders start with a business name. Move to a company when a client's vendor form demands an RC number, when you take on partners, or when the liability of a job is bigger than what you can lose personally.
What the CAC charges
Business name
- Name reservation: ₦500
- Registration: about ₦10,000
- Certified true copy of the certificate, if you need extra copies: a small fee each
Private limited company
- Name reservation: ₦500
- Registration with share capital up to ₦1,000,000: about ₦10,000
- Share capital above ₦1,000,000: the fee scales with share capital under the CAC schedule; a ₦10m company pays noticeably more than a ₦1m one
- Stamp duty on the share capital and incorporation documents, paid to the NRS through the CAC process
- Certified true copies of the certificate and memorandum if requested
Fees are paid on the CAC portal by card or bank transfer. Nobody at the CAC should be paid in cash.
What agents charge, and whether you need one
The CAC portal lets you register yourself. In practice many people use an accredited agent, a lawyer, or one of the online registration services, and they charge for their time:
- Business name: roughly ₦15,000 to ₦50,000 all-in, including the CAC fees
- Private limited company: roughly ₦40,000 to ₦150,000 all-in depending on share capital and how much drafting the memorandum needs
An agent earns their fee when the name search is tricky, when the objects clause needs care, or when you simply do not want to learn the portal. For a straightforward business name, doing it yourself saves most of the cost.
What you need before you start
- Two proposed names, in order of preference
- The nature of the business in a sentence
- A Nigerian address for the business
- For each proprietor, director or shareholder: full name, date of birth, phone, email, NIN, a valid ID and a passport photograph
- For a company: the share capital, how it is split, and who the directors are; a company secretary is optional for small companies
- Payment card or bank transfer for the fees
How long it takes
Name reservation is usually approved within a day. Registration of a business name typically completes in one to three working days once submitted; a company in two to five. Queries from the CAC, usually about a name that is too close to an existing one or an objects clause that needs a licence, add time.
What changes on the day you are registered
You get a TIN. The CAC and the tax authority are integrated; your TIN is on the status report. See how to get a TIN in Nigeria if it is missing.
You can open a business account. Banks require the CAC certificate, status report and TIN.
Your invoices change. Put the RC or BN number and the TIN on every invoice; the invoice generator has fields for both. Corporate clients will deduct withholding tax at the standard rate instead of double once your TIN is on the invoice.
You owe annual returns. Every business name and company files an annual return with the CAC each year with a small fee. Miss it and the entity is marked inactive, which blocks bank and tender processes until you regularise it and pay the arrears and penalties.
A company owes tax filings even at 0%. Small companies pay no company income tax under the Nigeria Tax Act 2025 but must file. See how to file tax returns.