CAC launches 24-hour online registration portal to reduce cost of doing business

The Corporate Affairs Commission (CAC) in Abuja on Monday launched a 24-hour online registration platform to fast-track its business services to its customers.

The new portal is coming on the heels of recent reduction of 50 percent and 25 percent on the filing fees payable for new registration and increase in share capital for companies with threshold of N2 million and over N500 million, respectively.

With this new system, business registration at the commission is expected to be under 24 hours, a departure from the previous system which takes weeks and months.

World Bank latest report on ‘Ease of Doing Business Ranking’ ranked Nigeria 129th out of the 189 countries assessed.

Prior to this new portal, the previous one had experienced hiccups, and on an occasion last year shut down for over one week, making it impossible for new companies to be registered.

The new portal, which the commission promised last July, is expected to cut down on cost of doing business as well as cut down on the period of time in registering a business.

From the comfort of one’s home, every member of the public and accredited agents can assess and transact business on the portal.

The new software is also robust enough to accommodate all e-payment platforms such as inter-switch, e-transact, visa-card, MasterCard, verve-card, American express and other forms of electronic payment. The software will also enable customers to file their documents on-line without physically visiting the commission.

Olusegun Aganga, the minister of industry, trade and investment, said, “With the new on-line system, members of the public and accredited agents/professionals can carry out their own transactions directly with the commission. They can access and pay for the commission’s services on-line. This would greatly reduce the cost of doing business in Nigeria.

“As part of the investment climate reform of the Federal Government, the commission in conjunction with the Federal Ministry of Communications Technology has deployed a new registration software known as CRP/GSP under the auspices of the government service portal”, Aganga explained.

Prior to the launch of the on-line registration platform, the procedures for doing business have been cumbersome and discouraging.

For instance, BusinessDay learnt that reserving a unique company name at the CAC takes maximum of 5 days. Preparation of the requisite incorporation documents and payment of stamp duty takes seven days. Also, signing the declaration of compliance (Form CAC 4) before a commissioner for oaths or notary public takes maximum of a day.

Registration at the commission and payment of the fees at the bank desk takes a minimum of 11 days to be accomplished while making a company seal takes maximum of one day. Registration of income tax and VAT at the Federal Inland Revenue Service (FIRS) takes maximum of four days and registration for personal income tax, PAYE, at the state tax office takes two days maximum.

This process appears cumbersome and discouraging to visitors and clients of the commission.

Omobola Johnson, the minister of communications technology, said, “The project was expanded to include the provision of a universal payment gateway to enable users of the portal use multiple channels and platforms to make payment for government services from the comfort of their homes.”