The cost of company registration in Nigeria depends mainly on the share capital, the type of company and whether there are foreign shareholders. "How much does it cost to register a company in Nigeria?" is one of the most common questions we receive. The honest answer is that it depends on a few key decisions, especially the share capital you choose. This guide explains each component so that you can budget accurately and avoid surprises.
What makes up the cost of company registration in Nigeria
1. Name availability and reservation
The first step is a name search and reservation on the Corporate Affairs Commission (CAC) portal. The government fee is modest, but a rejected name delays the process, so it is worth proposing two or three options.
2. CAC filing fees
The CAC charges filing fees for incorporation that increase with the company's share capital. A private company with the minimum issued share capital pays relatively low fees; a company with substantial capital pays more.
3. Stamp duty on share capital
Stamp duty is payable on the company's share capital at incorporation, calculated as a percentage of the capital. For this reason, the share capital you choose is usually the single biggest driver of government costs. Tax laws were consolidated by the 2025 reform Acts, so confirm the current rate when budgeting.
4. Professional fees
Professional fees cover the work of preparing the constitution, advising on the structure, filing, responding to CAC queries, and delivering the certified documents. They vary with the complexity of the company, for example bespoke articles, multiple share classes or foreign shareholders.
5. Post-incorporation items
Budget also for:
- Company seal and statutory registers
- Opening corporate bank accounts
- Tax registration
- Any regulatory licences for your sector
How share capital affects the cost
Under the Companies and Allied Matters Act 2020, the minimum issued share capital is ₦100,000 for a private company and ₦2,000,000 for a public company. Choosing the minimum keeps costs low, but it may not suit your plans:
- Foreign-owned companies usually need higher capital to obtain a business permit and expatriate quota, commonly cited at ₦100 million. See our guide to registering a foreign-owned company
- Regulated businesses must meet capital thresholds set by their regulators, for example the CBN for payment licences
- Investors and lenders may look at share capital as a signal of commitment
You can increase share capital later, but each increase attracts further filing fees and stamp duty, so plan sensibly at the start.
Business name vs company
A business name registration is cheaper than a company, but it gives no limited liability and is unsuitable for raising investment or for most regulated activities. We explain the trade-offs before you choose.
Hidden costs to watch
- Choosing too little capital and having to increase it soon after
- Late annual returns, which attract penalties; see annual returns
- Failing to register for tax or NIPC on time
- Using an unqualified agent who files incorrect details, which then need costly correction
How costs compare by type of business
| Business | Main cost drivers |
|---|---|
| Small business with minimum share capital | CAC filing fees, low stamp duty and professional fees |
| Growing company with higher share capital | Higher CAC fees and stamp duty, bespoke articles |
| Foreign-owned company | Higher share capital, notarised documents, NIPC registration, business permit and expatriate quota |
| Regulated business, such as a fintech | Regulator's capital requirement, licensing fees and compliance set-up |
| Business name | Low registration fee, but no limited liability |
What you need to register a company
- Two or three proposed company names
- Details of the business activities
- A registered office address in Nigeria
- Names, addresses, identification and contact details of directors and shareholders
- Details of persons with significant control
- The share capital and how shares will be allotted
Having these ready before you start avoids queries and delays, which can add to the cost.
Doing it yourself or using a lawyer
Companies can be registered directly on the CAC portal, and some founders do it themselves to save on professional fees. The risk is that mistakes in the structure, objects, share capital or particulars of directors and shareholders are expensive to correct later, particularly when the company raises money, applies for a licence or opens a bank account. A lawyer also advises on the right structure for your plans, prepares articles that protect the founders and handles queries from the CAC.
Costs after registration
Registration is not the only cost. In the first year, budget for annual returns, tax registration and filings, bookkeeping and, where required, audited accounts. CAMA 2020 relaxed some requirements for small companies, such as the need to appoint a company secretary or auditor in certain cases, which reduces ongoing costs for qualifying businesses. See our business registration service.
Getting a quote
Because government charges depend on your share capital and structure, we provide a written quote setting out the government fees, stamp duty and our professional fee before we start. Our corporate and commercial lawyers in Lagos and Abuja register companies for local and foreign clients. See our company registration service.
Frequently asked questions
What is the cheapest way to register a company in Nigeria?
A private company limited by shares with the minimum share capital is the lowest-cost company option. A business name is cheaper still, but has no limited liability.
Does a higher share capital mean higher fees?
Yes. Both CAC filing fees and stamp duty increase with share capital.
How long does company registration take?
Where the name is available and documents are in order, registration can be completed within a few working days.
Can I register a company in Nigeria myself?
Yes. Registration can be done online through the CAC portal. Professional help is useful where the structure, share capital or shareholders are more complex, or where the company will need licences or investment.
Are there yearly costs after registering a company?
Yes. Companies must file annual returns with the CAC and meet their tax obligations, and many also need bookkeeping and audited accounts. Late filing attracts penalties.
Is stamp duty payable when share capital is increased later?
Yes. Increasing share capital after incorporation attracts further CAC filing fees and stamp duty on the increase, which is why it pays to choose the right capital at the start.
Do foreign-owned companies pay more to register?
Usually, yes. They typically need higher share capital, notarised foreign documents, NIPC registration and immigration approvals, all of which add to the cost.
