Two Nigerian government agencies, the Corporate Affairs Commission and the Small and Medium Enterprises Development Agency of Nigeria, have explained how businesses in the country should key into its free business registration.
The agencies said the scheme is targeted at formalisation of 250,000 nano, micro, and small enterprises in Nigeria.
This was disclosed when CAC and SMEDAN signed a Memorandum of Understanding in Abuja on Friday.
According to the federal government agencies, the campaign forms part of activities marking the second year in office of CAC Registrar-General Hussaini Magaji and SMEDAN Director-General Charles Odii, who were both appointed in October 2023.
In his remarks, Magaji said the initiative is part of President Bola Ahmed Tinubu’s efforts to expand opportunities for small businesses and entrepreneurs across the country.
He said the Commission is forgoing approximately N3 billion in registration in order to implement the scheme.
“This drive is about breaking down the barriers that keep too many of our small businesses informal.
“By removing the cost of business name registration for 250,000 businesses, we are helping more entrepreneurs take the first step towards growth, legitimacy, and access to bigger opportunities.
“It is also an investment in the MSME ecosystem, as the Commission is forgoing approximately N3bn in registration fees to make this possible.”
On his part, Odii explained that the initiative aims to reduce the number of illegal businesses and decrease the collapse rate of SMEs in Nigeria.
“Formalisation is the gateway to support. By ensuring these businesses are registered and onboarded into our database, we can provide continuous aftercare, whether that is access to grants, training, or new markets.
“The first step for any MSME wishing to benefit is to register on our portal at portal.smedan.gov.ng,” he stated.
CAC, SMEDAN explains reason for free MSME registration