Wednesday, January 14, 2015

Facts About Doing Business In Nigeria

By Kristen Baird


Nigeria is an African country with a population of about 150 million. A business man can capitalize on this by doing business in Nigeria. The country is popular for its oil beds which feature as one of its greatest foreign exchange earner. Currently, its government is carrying out measures to deal with red tape as well as corruption so that investors can invest in oil and other lucrative ventures that the country has to offer.

A foreigner interested in carrying out a venture in the country ought to be armed with the right information. First, a person needs to know what it takes to set up a company in this country. The process is quite simple as there are minimal restrictions for foreigners looking to achieve the objective in question.

To be recognized as a legal entity, the outsider will need a local unit. The home unit has to have accreditation from the Nigerian Promotion Commission (NIPC). Nigeria Corporate Affairs will be instrumental in helping a person launch and start operations. The two bodies are essential in the entire process.

Alternatively, an individual can hire a local solicitor who acts as agent to act on his behalf. This solicitor may hold shares in the local entity. Once the formalities concerning commencement are complete, the chosen agent loses his power of attorney and the principal, who happens to be the alien, takes over. CAC and NIPC websites contain valuable information and contacts containing the process of setting up a firm in the case of foreigners. It is therefore prudent for one to visit their websites to have access to the right information. All one needs to do is simply type CAC and NIPC in various search engines available and all the necessary information will become available.

Some issues concerning the commerce arena in the country in question often arise one of them being corruption. Contrary to the popular belief, one needs not bribe officials to be incorporated. As a matter of fact, following the proper channels will eliminate instances of corrupt practices.

Security is great in the country with minimal violent vices arising annually. The reason for this is simply because the government has undertaken to protect its nationals and outsiders too. Religion has been a contentious issue too. The state is divided into Muslim North, the Sectarian and Christian South. Caution must be exercised by a person to avoid instances of being a victim of religious strife. Of late, there has been feud among the various groups.

Essentially, a person needs to know how to conduct himself to avoid being caught up in any religious feud. Making a Nigerian friend to guide one through this issue would be a wise idea. Nevertheless, religious issues should not stop one from enjoying goldmine in the nation.

On the whole, setting up a profit making establishment in Nigeria is a splendid idea for an alien. Basically, one needs to go through NIPC and CAC to be taken through the process of incorporation. The option of an honest local solicitor to act on the behalf of a potential company owner can also be explored together with following up with these two bodies. Once all the formalities are in check, everything else will fall into place.




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