The Corporate Affairs Commission (CAC) has reduced the cost of registration of business name by 50%.
In a public notice issued on its website on Tuesday 2nd October, 2018, the Commission stated
“In an effort to deepen the benefits of its reform initiatives, the Corporate Affairs Commission has reduced the cost of Registration of Business Names from N10,000 to N5,000 after the Name Reservation of N500, with effect from the 8th October to 31st December, 2018.”
“The Business Incentive Strategy is aimed at creating a window for Micro, Small and Medium Enterprises (MSMEs) to formalize their businesses, which will enable them own corporate account with Banks, have access to Loans, grants and other government interventions.”
“Members of the public are enjoined to take advantage of this window, to register their Business Names at the reduced cost of N5,000 after the Name Reservation of N500.”
The above publication came on the heels of the announcement by the Federal government of a 90-day special window for registration of new businesses at a reduced rate of N5000 only.
Vice President Yemi Osinbajo had on Tuesday disclosed that the gesture is part of its bid to further ease the process of registering Micro, Small and Medium Enterprises (MSMEs) in the country,
A statement by the Senior Special Assistant to the President on Media and Publicity, office of the Vice President, Laolu Akande, said Osinbajo stated this at the launch of the 19th edition of the National MSMEs Clinics in Enugu, Enugu State.
Osinbajo also disclosed that the special window of 90 days starts from October 1st to Dec 31st 2018.
“It was observed during some of the earlier editions of the MSME Clinics that a lot of MSMEs were finding it difficult to register their businesses as a result of cost.
“The practice since we began the MSME clinics is that most agencies offer price reductions especially for registration, and all other pre-investment approvals, during the Clinics.
“So, I am pleased to announce that the Federal Government, through the Corporate Affairs Commission, has approved a special window of 90 days from yesterday October 1st to Dec 31st 2018, to register businesses at a considerably reduced rate of N5000 only, down from as much as N10,000 previously. This will afford more MSMEs an opportunity to formalize their businesses.”
“ We will be establishing shared facilities for MSMEs based on a partnership between the Federal Government, interested States, Bank of Industry, NEXIM Bank, FIRS, NAFDAC, SON and interested private sector partners, as part of our efforts at deepening the impact of the Clinics.”
“The purpose of these shared facilities is to have a fully-equipped place with machinery and equipment required for various trades and businesses. MSMEs can then do their businesses at those locations at a reasonable cost.
“This way, MSMEs are spared the financial burden of having to buy their own equipment in order to be able to do business. Where possible, these shared facilities would have been pre-certified by relevant agencies, removing the need for MSMEs to pursue these certifications by themselves,” the Vice President added.
He also announced the Federal Government’s willingness to partner with State governments in establishing more One-Stop Shops, to further enhance business registration and facilitate seamless interaction between owners of small businesses and the relevant regulatory agencies.
According to him, “we are also aware that some States have gone on to set up ‘One-Stop Shops’ after the Clinics. These One-Stop Shops bring all the relevant agencies together in one place so as to enable the MSMEs access their services on an on-going basis.
“The Federal Government is also willing to partner with your State Government to immediately set up one such place for the good use of MSMEs in Enugu State.”
Prof. Osinbajo also said there were follow-up plans to “ensure that all the finalists from the maiden edition of the MSME Awards are supported with publicity and media exposure, to enable them to reach even larger markets at home and abroad.”
He stated that the ongoing disbursement of collateral and interest-free loans given to petty traders under the GEEP TraderMoni programme would soon be launched in Enugu.
Earlier in his remarks, Governor Ifeanyi, Ugwuanyi of Enugu said the State government had already keyed into some of the social investment programmes initiated by the Federal Government, assuring that the State would continue to cooperate with all federal authorities to improve the well-being of the people.
He thanked the Federal Government for the launch of the National MSMEs Clinics in the state, noting that it would greatly improve the lives of many youths especially those seeking employment opportunities.