The Corporate Affairs Commission (CAC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have entered into a memorandum of understanding (MoU) to provide free business name registration for 250,000 micro, small, and medium-sized enterprises (MSMEs).
Gatekeepers News reports that the agreement, announced at a press conference in Abuja on Friday, will allow eligible businesses to register via SMEDAN’s website over the next three months without paying statutory fees.
Hussaini Magaji, chief executive officer of the CAC, explained that the initiative aligns with the federal government’s ‘renewed hope’ agenda, which prioritises reforms and policy innovations to boost economic growth.
He noted that the registration scheme expands on previous interventions, such as the $200 billion support programme for nano businesses, SMEs, and manufacturers, reflecting the administration’s dedication to job creation.
According to him, CAC will waive all statutory fees and ensure smooth processing so that beneficiaries can quickly obtain their certificates.
He added that SMEDAN will be responsible for mobilising and profiling eligible businesses while assigning unique identification numbers. Both agencies will work together to promote awareness, track progress, and share data responsibly to guarantee transparency and measurable outcomes.
Magaji emphasised that business registration offers more than just a certificate, as it gives entrepreneurs a legal identity, strengthens access to finance and markets, improves record-keeping, and enhances compliance with regulatory obligations.
He stressed that bringing an additional 250,000 enterprises into the formal sector will help create jobs, drive innovation, and build a more inclusive economy.
Charles Odii, director-general of SMEDAN, assured small businesses that the initiative is not a backdoor for tax collection. He clarified that under the new tax laws, businesses with annual earnings below N50 million are exempt from company income tax.
Odii explained that registration is crucial because unstructured businesses are more likely to fail, with three out of every five closing down within their first five years.
To complement the online process, SMEDAN plans to hold outreach forums in rural areas across different regions of the country within the three-month window.
Additionally, three business clinics will be hosted this year in Katsina, Lagos, and the FCT, with Vice-President Kashim Shettima expected to attend the Katsina event.
