Any company can claim to be registered in Nigeria when a deal is worth several millions of Naira, in this post, we’ll show you the fastest way to check if a company is legally registered with CAC.
CAC is Corporate Affairs Commission, a government agency saddled with the responsibility of registering, arranging and conducting an investigation into the affairs of any company in Nigeria as stipulated under section 7 of the Companies and Allied Matters Act.
It’s very important for individuals or corporate bodies looking to do business with another company in Nigeria to first check if your prospective partner company is registered.
The information you can find about a business on CAC database includes the business name, company’s registration number also known as RC Number, address of the company.
How To Check If a Company Has CAC Registration Number (RC No)
To find out if a company is registered with CAC in Nigeria, follow these 5 fastest steps
- Step 1: Head straight to CAC portal
- Step 2: Click on the public search engine
- Step 3: Search record by name by entering the name of the company
- Step 4: Click on the search engine and verify you are not a robot
- Step 5: RC Number, address of the company will be displayed on the screen
I’m sure you want to take a step further by embarking on a manual check
How to check if a company is real in Nigeria
As earlier mentioned, your first step before dealing with any business that claimed to be registered is to check the authenticity of such entity on CAC database.
Note: The fact that a company is legally registered with a government agency doesn’t totally make it scam-free, it could do so to win the trust of unsuspecting individuals.
The good news is you can dig into some of the business transactions of such company before committing anything.
Now that you’ve got the company’s name, company’s registration number on CAC portal next is to delegate someone to check if the address the company claim is real or not.
This is very important!
Can a Registered Company Be a Scam?
For a company to enjoy legal backing, it must be registered by the CAC, however, it’s very important to carry out more background check on the company before transacting with such company to avoid being scammed.
The fact that a company isn’t registered doesn’t make it bogus, however, a serious business would get government’s certificate of operation in order to win the goodwill of a prospective customer.
Registering your company makes it legitimate, makes foreign and prospective customers to trust you.
Recently, Pinkoin owned by Inksnation scam hundreds of its investors in one of the biggest cryptocurrency scams in Nigeria.
One of the steps the brain behind the Pinkoin to gain the trust of Nigerians was to register a company called Ibsmartify (RC No: 2956459) through which the owner Omotade-Sparks Amos Sewanu who has now being declared wanted by Nigeria’s anti-graft agency perpetrated his scam.
The fact that his business is registered doesn’t stop him from carrying out his dubious act.
Findings show that the address (23 Yetunde Abu Street) Ibsmartify (owners of Inksnation’s pinkoin)submitted at CAC was fake as he doesn’t operate from the address that appears on CAC database.
Note: A registered company can also be a scam!
Checking the authenticity of a company on CAC portal will not show you the name of the owners or stakeholder, it’s only the first step to be sure that Nigeria’s government is aware of the existence of such company.
In the past, the process was tedious as you would have to pass through the rigorous process of visiting any nearby CAC office, that process has been overtaken by innovation backed by technology.
The above process is FREE and faster than going to CAC office.