In May, 2024, the government of Nigeria passed an anti-trust law that requires all Point-of-Sale (POS) businesses and agents to have their business name and company registered with the Corporate Affair Commission (CAC). Due to this law, many mobile money providers and fintech agencies that have vast of POS agent networks like Moniepoint are offering ways to make the CAC business registration easy for their agents and merchants.
The Corporate Affairs Commission (CAC) is a Nigerian government body responsible for regulating, incorporating, registering, and managing the formation of companies in Nigeria. Established in 1990 with the passing of the Companies and Allied Matters Act, the CAC allows proprietors or partners to conduct business under a registered business name. Individuals can register their business names without needing a legal practitioner, chartered accountant, or chartered secretary.
Easily and seamlessly, you can register a business name in Nigeria with the CAC on your Moniepoint Business Banking App. However, you should know that the CAC registration process using the Moniepoint Business Banking App will cost you 19,000 naira.
Registering your business with the CAC through the Moniepoint Business Banking app provides numerous benefits. First, you receive a certificate of registration upon successful registration, which is essential for various authentication and verification processes. The convenience of obtaining an e-certificate without needing to visit a CAC office is a significant advantage.
A CAC-registered business name boosts your business's trustworthiness, making customers more comfortable and secure in their transactions. The ability to display a certificate of registration in your business premises also instills confidence in your customers, reinforcing their trust and loyalty.
Registering your business name via the Moniepoint Business Banking App also enhances flexibility, allowing you to quickly obtain a CAC certificate and a functional banking account. This streamlined process facilitates smoother business operations, giving you peace of mind.
Additionally, a CAC-registered business name increases your attractiveness to investors. Investors prefer to invest in registered businesses due to the assurance and legitimacy that registration provides. This can significantly improve your chances of raising capital and gaining a competitive edge in the market.
Finally, registering your business name helps you avoid sanctions and liabilities. It is mandatory in Nigeria to run your business under a registered name, which protects you from legal complications. Moreover, as a private liability company, your business is viewed as a separate entity, safeguarding your personal assets from business liabilities such as loans and fines.
How to register your POS business with CAC on Moniepoint
First of all, do note that your Moniepoint business account must be in Level 3 to start your business name registration. To register your POS business with CAC using the Moniepoint Business Banking app, follow these steps:
- Login to your Moniepoint Business Banking app and click on your profile image.
- Click on "Upgrade" and continue to register your business name on the app.
- Enter and review your business details such as two preferred business names and business registration number and costs for registration. You are required to provide two proposed names for your business. This is to ensure that if your first choice is unavailable, the second option can be considered
- Next, choose the appropriate registration type and ensure your NIN is linked to your account. Meanwhile, you can only have access to the business registration process when you're in Level 3. This means that your financial details such as BVN, NIN, National ID card and proof of address are already obtained.
- Notwithstanding, you have to review them and confirm if they're correct, then make the required payment. The CAC business name registration cost N19,000 on the Moniepoint Business Banking App.
- Track the status of your registration on your dashboard. If approved, you can download your certificate. If rejected, view the details and next steps.
If the CAC approves any of your preferred business names, you will receive an alert. By clicking the "Download Certificate" button, you can view the approved business name and download your CAC registration certificate to your device. If the registration fails and your application is rejected, an alert will appear on your dashboard. Clicking the "view details" button will show you the complete details of the rejection.
The Bottom Line
Moniepoint is one of the major fintechs that supports the CAC POS business registration mandate and the registration is aimed at tackling the high rate of POS fraud in Nigeria. However, do note failure to register by the July 7, 2024 deadline may result in the POS operator being arrested by the police.
So in summary, the Moniepoint Business Banking app provides a convenient way to register your PoS business with CAC, as long as you are an existing Moniepoint Business account holder. The process is streamlined and can be completed entirely within the app.