When incorporating, you must look at the law in the country, in Nigeria is mixed (common and sharia law) law. You will want to get some local advice as to how to best structure a company in Nigeria. E-signatures are allowed.
The country code NG is for Nigeria and the most common legal entity structure in Nigeria is a LLC.
The average time to incorporate is 1 month to put together the paperwork and file a LLC in NG. The types of currencies you can use to setup your company is frequently any legal tender.
To "re-dom" a company is not common, and there are no re-domiciliation laws.
There must be at least This means it is not possible for you to own a LLC in Nigeria as a sole shareholder. You must have other shareholders, they can be nominees or de facto shareholders. Corporate Shareholders are permitted, which means you can have a legal entity as a shareholder. Foreign ownership is tolerated, up to 100% of the total shareholding.
There is a requirement to have at least 2 directors. Additionally, corporate directors are not permitted. Directors are disclosed publicly. There is a requirement to have annual meetings of shareholders.
A registered office is a requirement, whom the company will pay yearly, for a legal services company which can receive any official legal correspondance on behalf of the registered legal entity. Moreover, a corporate secretary is another cost you will need to incur.
There is a legal obligation to file accounts on a yearly basis. However, there is oftentimes a requirement to have these accounts audited.
Thin capitalization rules are in effect. A company is thinly capitalised when there is a greater proportion of debt than equity. The minimum capitalization for a Nigeria Mixed (Common and Sharia law) is 350M.
A corporate director is not permitted, meaning this country is not a good option if you are setting up a structure where you want to protect director liability.
The directors are disclosed in the public registry of Nigeria, Corporate Affairs Commission. Shareholders are disclosed in the Corporate Affairs Commission.
Typically companies take 1 month to setup and there are 2 director(s) required and 2 shareholder(s) required at the time of incorporation.
Overall we think Nigeria is a bad option and have given it a score of 17 as an IO score, using the Incorporations.IO proprietary formula.
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