Hello all. i was recently asked to advice a foreigner on setting up a business. This may be useful to some of us here


Foreigners guide to doing business in Nigeria



INCORPORATION AND POST INCORPORATION STEPS


1. COMPANY INCORPORATION Proposed Name(s) of Company[minimum of two names]
Nature of Business
Names of at least 2 subscribers/shareholders with their addresses, nationality and occupation
[Under Nigerian law, a Company must have 2 Shareholders]
Names of at least 2 Directors with their nationality, occupation and residential addresses
[Under Nigerian law, a Company must have 2 Directors. In addition, the first directors can also act as the subscribers of the company]
Shareholding Structure i.e. number of shares (in percentage) to be held by each shareholder out of a 100%.

I suggest a minimum share capital of at least N10,000,000 so as to meet the requirement for obtaining expatriate quota and business permit.]

Proposed Registered Address of Company: (not P. O. Box)


Timeline: 12- 15 Business Days from receiving executed incorporation documents

POST INCORPORATION STEPS

Activity Requirement
1. Procurement of Company Seal N/A
[Timeline : 1 day]
2. Preparation of company letterhead paper and invoices, receipts
[Timeline : 1 Week]
3. Registration with the Federal Inland Revenue Service
Copies of duly executed and sealed application for registration
Copies of Executed prescribed FIRS Application Forms
Copies of incorporation documents including the Certificate of Incorporation, Particulars of Directors, Particulars of Shareholders
[Timeline : 1 day]
4. Opening of Bank Account and obtaining Certificate of Capital Importation The following documents must be submitted together with the letter of application:
A Board resolution authorizing the foreign investment
A letter from the company stating the purpose for which the money has been remitted
A copy of the certificate of incorporation
Timeline : 48 Hours (Also dependent on the Nigerian Bank)
5. Obtaining a Certificate of Business Registration from the Nigerian Investment Promotion Commission (NIPC).
Application to the NIPC with
Supporting Documentation required are :
Evidence that the Company has a minimum share capital of 10million (3 copies)
Certificate of Capital Importation (CCI)

Company's allotment of shares- Form CO 2 (3 copies)

Company's particulars of directors - Form CO 7 (3 copies)
Details of the shareholding structure of the company (3 copies)
Shareholders agreement, where applicable (3 copies)
[Timeline : 3 weeks]

6. Obtaining Business Permit and Expatriate Quota Application to the Ministry of Internal affairs which is done on-line

Supporting Documentation required are:
Certificate of Capital Importation (CCI)
Evidence that the Company has a minimum share capital of 10million (3 copies)

Company's allotment of shares- Form CO 2 (3 copies)
Company's particulars of directors - Form CO 7 (3 copies)
Details of the shareholding structure of the company (3 copies)
Shareholders agreement , where applicable (3 copies)

Evidence of acquisition of operational machinery and equipment
Management and Technical Service Agreement

Minimum authorised share capital of N10million
Tax clearance certificate
Company applying for Permanent Until Reviewed (PUR) Quota slots must show evidence of payment of tax for minimum of N1million.
Name, addresses, qualification and positions to be occupied by the expatriate vii project implementation Program
Training program for Nigerians and a Management succession schedule
[a fee of N51,000 is payable per position]
Timeline : 3 Weeks
[Will be undertaken simultaneously with the application for the certificate of Business Registration]


Based in lagos, the writer can be reached on 07037836881 or 2bc42c35