Companies (CAC)
What does it cost to register a company with the CAC?
Cost of registering a company with the CAC in 2026: business name vs limited company, the share-capital effect, stamp duty and government vs service fees.
Registering a company with the Corporate Affairs Commission (CAC) costs different amounts depending on what you register and how big it is. A business name has one flat fee. A private limited company's fee scales with its share capital, so a company with small share capital can cost less to register than a business name. This guide breaks down what makes up the cost so you can choose the right structure and budget correctly.
The current CAC fees come from Official Gazette No. 92 of 29 May 2025, in force since 1 Oct 2025, and this guide quotes the main ones. The live Docufy price for a company registration is on the company registration page, and you see it again before you pay.
Business name vs limited company
The first cost driver is structure. The two common choices:
- Business name (BN) — a sole proprietorship or partnership trading name. It costs ₦20,000 to register and has no share capital. Suits freelancers and small traders.
- Private limited company (Ltd) — a separate legal entity with shareholders and limited liability. Its fee scales with share capital, and it is what banks, investors and most B2B contracts expect.
How share capital affects the cost
For a private company, the CAC charges ₦10,000 for every ₦1 million of share capital or part of it, plus stamp duty calculated as a percentage of that capital. So a company registered with ₦1m share capital costs less than one registered with ₦100m.
A common mistake is over-stating share capital at registration to look impressive. Higher share capital means a higher registration fee, higher stamp duty and, for very large companies, a higher annual return fee every year. Register the capital you actually need; you can increase it afterwards.
The cost lines for a limited company
A typical private limited company registration is made up of:
- CAC name reservation — ₦1,000 to reserve the proposed name, plus a ₦200 AI service charge. A reserved name lasts up to 60 days.
- CAC registration fee — ₦10,000 for every ₦1 million of share capital or part of it for a private company.
- Stamp duty — reported at 0.75% of the share capital, payable to the Nigeria Revenue Service (NRS), formerly FIRS, through the CAC portal. Stamp duties now sit in the Nigeria Tax Act, so check the current rate before you budget.
- Incidental costs — preparation of the memorandum and articles, and any professional drafting.
Government fee vs service fee
Two distinct things make up what you pay. The government fee is the CAC's charge plus stamp duty, and it is the same for everyone. The service fee is what a filing service charges to do the work: preparing the forms, filing, and following up.
On Docufy the price is one all-in figure, VAT included, shown before you pay. It is fixed once you submit. See the live price on the company registration page, and the CAC hub. The government fees index lists the CAC charges we track, with their sources.
What you get and how long it takes
A successful registration produces your Certificate of Incorporation and your RC number — the permanent identifier that every other agency (the NRS, banks, tenders) will ask for. The CAC sets the final pace. It moves faster when the proposed name is available and the directors' details are complete, and the Docufy page shows the target time in business days before you start.
Once registered, budget for the ongoing cost too: the annual return is due every year, and it is far cheaper to never miss it than to catch up later. See the guide on CAC annual return cost, and our CAC registration guides for directors, shares and later changes.
Questions
Frequently asked.
How much does it cost to register a company in Nigeria in 2026?
A business name costs ₦20,000 to register. For a private limited company, the CAC charges ₦10,000 for every ₦1 million of share capital or part of it, plus stamp duty on the same capital, so a company with small share capital can cost less. See the live price on the company registration page: the government fee, our service fee, and VAT on our fee.
Is a business name cheaper than a limited company?
Not always to register. A business name costs ₦20,000, while a private company pays ₦10,000 for every ₦1 million of share capital or part of it plus stamp duty, so one with small share capital can cost less. A limited company gives you a separate legal entity and limited liability, which banks, investors and most B2B contracts expect.
Does higher share capital cost more?
Yes. The CAC registration fee and the stamp duty both scale with your share capital, and very large companies also pay a higher annual return fee. Register the capital you actually need rather than inflating it — you can increase it later.
What is the difference between the government fee and the service fee?
The government fee is the CAC charge plus stamp duty, the same for everyone. The service fee is what a filing service charges to do the work. Docufy shows the government fee, its service fee and the VAT on it as separate lines before you pay.
How long does registration take?
The CAC sets the final pace. It moves faster when your proposed name is available and the directors' details are complete, and the Docufy page shows the target time before you start. The output is your Certificate of Incorporation and RC number.
Sources
- Corporate Affairs Commission (news item 5979: AI Service Charge notice)
- Corporate Affairs Commission: New Schedule of Fees (Federal Republic of Nigeria Official Gazette No. 92, Vol. 112, 29 May 2025)
- New Schedule of Fees 29th May 2025 | Corporate Affairs Commission
- Companies and Allied Matters Act 2020 (Act No. 3 of 2020), copy hosted by CAC
- PUBLIC NOTICE: EXTENSION OF IMPLEMENTATION DATE FOR NEW FEES TO OCTOBER 1, 2025 | Corporate Affairs Commission
- Nigeria: Corporate - Other taxes (PwC Worldwide Tax Summaries, last reviewed 29 May 2026)
Fees and rules last checked 27 Sep 2026. The agency that issues the document has the final word. See our editorial policy.
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