7 Compelling Reasons why you should Register your Business name in Nigeria
Some business owners in Nigeria doesn’t know the importance of registering their business. It happens due to their ignorance or non-challant attitude towards it. Many just go on to set a business without following the normal procedure.
Probably many doesn’t know the importance of registering their company in Nigeria. If you fall in that category, then make sure you read and understand this article.
Why should I register my business in Nigeria.
1) Brand Reputation.
You registering your business promote your brand image credibility. In the sense that it brings out the uniqueness of your business. This helps to build trust between your business and your customers, it also improves future engagement with other businesses.
Many businesses would love to partner with registered business not business which aren’t registered. This bring more future opportunities for your business.
For example, your business application is among those applying for a contract. During the screening process, unregistered businesses are screened out. Thus registering your business is very important.
2) Legal Protection.
This is very important because this makes your business secured by the government.
As soon as your business is registered with the Corporate affairs commission, your brand name is secured, no other businesses in Nigeria would be allowed to use brand name.
This makes your business very legit and make people convinced that they are safe doing business with you.
3) Excellent prestige and reputation.
This makes your business prestige and reputation boosted. This guarantee your business will last for long and will be committed to responsible and effective management.
This will bring more businesses to partner with your brand and will also make clients to have a 99% trust for your business. Another advantage is that your business would be recommended to people and other businesses because it’s been trusted.
Government and other organizations would want to have future partnership or engagement with your business.
Equity financing involves selling shares in your business to shareholders and capitalists.
Equity financing has a lot of benefits in the sense that the money raised doesn’t have to be repaid and doesn’t have any interest, only the dividends will be shared from the profit among the shareholders.
This will attract more investors to invest in your business and generating money would be very much easier.
Investors feel very safe investing in a registered company rather than the one which isn’t registered.
5) Corporate bank account.
Before you can open a business account in any bank in Nigeria, you have to tell them your business is legitimate by showing them proofs and documents containing your registration with the corporate affairs commission.
This also makes customers feels safe whenever they want to make a huge transactions, seeing that they are paying to a business account makes them comfortable.
6) Ability to take loans from financial institutions.
This gives your business entitlement to business loans from banks and other financial institutions.
Any financial institutions would want to see proof of legitimacy of your business before they can issue a loan to you. That’s why registering your business has a lot of advantages.
7) Tax obligations.
Registering a business name in Nigeria ensures that the business complies with tax laws and regulations, making it easier to pay taxes and avoid penalties that might affect the business.
In summary, registering a business name in Nigeria is an important step towards establishing a credible and legally recognized business entity that can access financial services, protect its brand, comply with tax laws, and pursue growth and expansion opportunities.