in a bid to accelerate our ideas,desires and passion towards success and significance, i always tell folks withe the entrepreneurial mindset to write down their ideas, pen it down and legalize it because “Every business begins with an idea, But not every idea ends up as a business”. therefore one of the way to make that beautiful collection of thoughts that make your ideas,passion and desire into a business is to register it
One great advantage of having your company registered with the local, state or federal government is to ensure your company name is not registered by someone else. You should always have it in mind that if your company name is “ABC Ltd” and someone else has already registered “ABC Enterprises”, you can’t register because the name is similar to “ABC LTD”. So therefore its wise to register your company name before someone else takes advantage. i have highlighted 9 benefits of registering your business in line with the Company and Allied Matters Act (CAMA) 1990 of the federal republic of Nigeria
Certificate of Incorporation
You will be issued certificate of incorporation by the appropriate government agency. In Nigeria the Federal Government of Nigeria issues through Corporate Affairs Commission (CAC), government agency empowered to register companies and issue certificates.
Reputation and Trust With Customers
Building reputation especially from customers and clients you’ve never done business before is very difficult. Registering your business gives your potential customers confidence that they are dealing with a reputable organization. If your business is online based and you have the option of customers paying to your company account before you can ship the goods or services, having a registered business together with a corporate account give more credibility and trust.
Corporate Account Opening in Your Company Name
in line with the central bank of Nigeria monetary policy, the only reason to have an account in your company name is when it is registered. its one of the important benefit of registering your company name is to use it to open corporate account in your company name. Having corporate account give you more credibility and trust from your customers, bank, suppliers and other business partners.
Legal Liability Protection
When you register your business as Limited Liability Company, you are a different entity from your company. You also get legal liability protection. If you incorporate, you will not be held personally responsible for certain accidents and other liabilities.
If you obtained loan and you defaulted in payment, your bank will not seize your property except the company asset because you are protected from such incidence.
When your company is registered, accessing loan becomes very easy compare to personal loan application. With your documents, you are going to have to prove that you’re actually a business. This gives credibility and trust and also ensures confidence and your investors or lenders will see that they are dealing with a company and will be willing to do lend you money if other terms and conditions are made.
I love this part so much. Before starting by business, I asked myself this question, “What kind of company do I want to build? Is it a company that continues when I’m dead or company that dies with me?” The answer is obvious, company that continues even when I am not around. So if you register your business, one of the benefits is that even if you’re dead or become incapacitated, your business continues especially when you have the right structure in place.
A registered business can employ full-time employees and pay them salaries and other benefits. You have the opportunity to seek for intern especially from National Youth Service Commission or Sure-p that will not cost you a lot in terms of paying salaries and incentives or even cost you nothing in the case of Sure-p.
Business Trip to Other Country
Another great benefit of business registration is that you can easily obtain visa and travel to any country for business purposes. Every country always welcomes foreign investors who are interested in doing business in their country because such good investments will add value to their economy.
There are so many benefits you will get from your business registration.