The Corporate Affairs Commission (CAC) has issued a public notice warning companies, limited liability partnerships, limited partnerships, and business name proprietors against operating in Nigeria without proper registration or under unregistered names or acronyms.
The directive, published on Tuesday, April 29, 2025, cites violations of the Companies and Allied Matters Act (CAMA) 2020 and sets a six-week compliance deadline, threatening prosecution for non-compliance.
The CAC’s notice, signed by its management, emphasizes that Section 863 of CAMA 2020 makes it a criminal offense to conduct business as a company, limited liability partnership, limited partnership, or business name without registration under the Act. It also prohibits the use of any name or acronym other than those officially registered with the Commission. The notice underscores the importance of compliance to ensure transparency and accountability in Nigeria’s business environment.
Additionally, Section 729 of CAMA mandates that every registered entity must display its registered name and registration number at all business premises and on official publications, including letterheads, signage, marketing materials, and publicity documents. Failure to comply with these requirements could result in severe penalties.
The CAC highlighted Section 862(1) of CAMA, which stipulates that providing false information in any document required by the Act is an offense. Offenders face imprisonment for up to two years, and companies may incur daily fines for each day the violation persists. The Commission warned that it will take “all necessary steps, including prosecution,” to enforce compliance if businesses fail to regularize their status within six weeks from April 29, 2025.
The CAC urged all business entities to verify their registration status and ensure compliance with CAMA’s requirements by visiting the Commission’s website, www.cac.gov.ng, for guidance and resources. The notice applies to all companies, partnerships, and business name proprietors operating in Nigeria, regardless of size or sector.
The CAC’s warning comes amid growing concerns about unregistered businesses and fraudulent practices in Nigeria’s corporate landscape. By enforcing CAMA 2020, the Commission aims to enhance regulatory oversight, protect consumers, and foster a transparent business environment. The six-week deadline places pressure on non-compliant entities to regularize their operations or face legal consequences, signaling the CAC’s commitment to upholding corporate governance standards.
The notice also aligns with the CAC’s broader mission to provide “prompt and efficient service,” as reiterated in its closing statement. The Commission’s proactive stance is expected to encourage businesses to prioritize compliance, particularly in light of recent efforts to streamline registration processes through digital platforms.
Business owners and legal experts have welcomed the CAC’s notice, though some have called for increased awareness campaigns to educate small-scale entrepreneurs about registration requirements. On social media platforms like X, users have expressed support for the crackdown on unregistered businesses, with some urging the CAC to extend the compliance period for micro-businesses facing financial constraints.
However, others have raised concerns about the capacity of the CAC to handle a potential surge in registration applications within the six-week window. The Commission has yet to announce specific measures to support businesses during this period, but its website offers tools for name searches, registration, and compliance checks.
As the June 10, 2025, deadline approaches, the CAC is expected to intensify monitoring and enforcement efforts. Businesses are advised to review their registration status, update their records, and ensure that all public-facing materials reflect their registered names and numbers. Non-compliant entities risk not only legal penalties but also reputational damage in an increasingly regulated market.