FG Launches Free Registration Initiative for Small Businesses

FG Launches Free Registration Initiative for Small Businesses

The federal government, in collaboration with the Corporate Affairs Commission (CAC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), has initiated a nationwide program to offer free registration for 250,000 nano, micro, and small businesses.

The program was introduced in Abuja on Friday at the signing of a Memorandum of Understanding (MoU) between CAC and SMEDAN. This partnership aligns with the second anniversary of Hussaini Ishaq Magaji serving as CAC Registrar-General, and Dr. Charles Odii leading as Director-General for SMEDAN; both officials began their roles in October 2023.

“Many small businesses have historically faced challenges with formalization due to expenses, bureaucratic processes, and a lack of awareness. These obstacles often prevent entrepreneurs from accessing financing, markets, and government assistance. According to Magaji, the new CAC–SMEDAN initiative eliminates these barriers by paying for registration costs and connecting participants directly to SMEDAN’s MSME database.”

He stated, “The purpose of this initiative is to eliminate the obstacles preventing many small businesses from becoming formal entities. By waiving business name registration costs for 250,000 companies, we are assisting entrepreneurs in taking their initial steps toward growth, legitimacy, and greater opportunities. Furthermore, it’s an investment in the MSME ecosystem since the Commission is foregoing nearly ₦3 billion in registration fees to facilitate this.”

SMEDAN’s chief, Charles Odii, highlighted the importance of formalization by stating that it serves as a crucial entry point to support. By registering these businesses and including them in our database, we can offer ongoing assistance such as grants access, training opportunities, or market expansion. For any MSME looking to benefit from this support system, the initial step is registration on our portal at portal.smedan.gov.ng.

He mentioned that all businesses listed in the agency’s database without CAC documentation would be eligible for free registration. He further explained, “For individuals who aren’t familiar with digital processes, SMEDAN State Offices across the country will offer assistance. Additionally, during our physical events like Business Clinics, we will also help onboard entrepreneurs.”