LegalBizPro - CAC Business Guides

         Image Credit : dreamstimes.com If you're setting up a non-profit in Nigeria, there are two popular options you'll come across at the Corporate Affairs Commission (CAC): Incorporated Trustees (IT)  and Company Limited by Guarantee (CLG).  Both of them lead to organisations with non-profit structures, both are registered with the CAC, and both are used for charitable, religious, educational, or social work, which is exactly why people confuse them.  Knowing the differences between the two matter. Keep reading to learn what sets them apart.  What Are Incorporated Trustees (IT)? Incorporated Trustees is the structure most people mean when they say “I want to register a non-profit” or "I want to register an NGO ." It is governed by Part F of the Companies and Allied Matters Act (CAMA) 2020 and is built specifically for non-profits, such as NGOs, churches, mosques, foundations, clubs, and professional or community associations. Note :...

        Image Source Have you ever tried to open a corporate bank account in Nigeria and got stuck because the bank asked for a "SCUML certificate," you are in good company. It catches a lot of business owners off guard, especially because not many people understand what it is. This article explains what it stands for and who needs it.  So, What Is SCUML? SCUML stands for Special Control Unit Against Money Laundering. It is a government unit created under the Federal Ministry of Industry, Trade and Investment, working closely with the Economic and Financial Crimes Commission (EFCC). The job of this unit is simple to explain: stop dirty money from moving through certain businesses. Criminals sometimes use "clean-looking" businesses or organizations like churches , real estate or jewellery stores to hide illegal money and make it look legitimate.  SCUML exists to watch over those businesses and make sure they're not being used as legal fronts for illegal...

         Image Source : Daniel Tseng on Unsplash Setting up a non-governmental organisation (NGO) or nonprofit like a Church or charity in Nigeria requires registration as an Incorporated Trustee with the Corporate Affairs Commission (CAC). Unlike registering a company limited by shares, this process is built around trustees, a governing constitution, and demonstrable public accountability. Here is what the process actually involves. Step One: Choosing a Name and Defining Your Purpose Every application begins with three proposed names for the organisation, submitted in order of preference in case your first choice is unavailable. Alongside this, you will need to state the principal nature of the nonprofit's activities, which is essentially the main reason for incorporation. Also, you must have a clear description of what the organisation intends to achieve. This forms the foundation the CAC uses to assess and approve your application. Step Two: Applying for...