This must be address properly to answer common questions about the New CAC Fee Increase. Many questions have been asked, of all, this one seem to be the most commonly asked.
Now, if you’ve heard about the Corporate Affairs Commission’s fee increases taking effect August 1, 2025, you’re probably wondering whether this impacts your plans to register a business name or incorporate a company in Nigeria.
The internet is buzzing with questions: “Should I rush to register my business before August 1?” “Will business name registration cost more?” “Are company incorporation fees going up?”
Let me give you the definitive answer based on the official CAC gazette and my years of experience handling business registrations in Nigeria.
The Direct Answer: Registration Fees Are NOT Increasing
Here’s what you need to know upfront: The August 1, 2025 CAC fee increase does NOT affect business name registration or company incorporation costs.
This is not speculation—it’s based on the official CAC gazette published in May 2025. The fee review specifically targeted post-registration services, compliance procedures, and administrative functions. Core registration services remain at current pricing.
But before you relax completely, there are some important nuances that could still impact your registration timeline and overall business costs.
What the CAC Fee Increase Actually Covers
The confusion around registration fees stems from the breadth of services CAC offers. When people hear “CAC fees are increasing,” they assume everything costs more. That’s not accurate.
The August 1 increase affects these specific services:
Post-Registration Services that cost significantly more:
- Voluntary company strike-off procedures (increased from ₦25,000 to ₦50,000-₦100,000)
- Due diligence searches (jumped from ₦10,000 to ₦50,000)
- Certified True Copies of documents (increased from ₦2,000-₦3,000 to ₦5,000)
- Annual General Meeting extensions (increased from ₦25,000 to ₦50,000-₦100,000)
Administrative Services with new or higher fees:
- Address restriction requests (new service at ₦25,000)
- Historical document searches (increased from ₦10,000 to ₦20,000-₦30,000)
- Business name cessation procedures (doubled from ₦5,000 to ₦10,000)
Did you notice something? None of these are registration services. They’re all things you might need after your business is registered and operational.
Registration Fees That Remain Unchanged
Let’s be specific about what’s staying the same:
Business Name Registration
- Government fees: Remain at current rates
- After August 1: No change to basic registration costs
- What’s included: Name search, registration, and initial documentation requirements
Private Limited Company Registration
- Government fees: Still based on authorized share capital (rates unchanged)
- After August 1: Same rate structure applies
- What’s included: Complete incorporation process, Certificate of Incorporation, and statutory documents
Public Company Registration
- Government fees: Standard rates based on share capital remain unchanged
- After August 1: Core registration fees maintain current structure
- What’s included: Full incorporation process for public companies
Related Registration Services
- Basic name searches and reservations
- Initial director and secretary appointments
- Memorandum and Articles of Association filing
- Standard incorporation documentation
Important note: While government fees remain unchanged, professional service costs vary based on complexity, urgency, and level of support required. The value lies in expert guidance, error prevention, and streamlined processing.
The registration process itself, the fundamental act of bringing your business into legal existence—costs exactly the same whether you do it today or in September.
Why the Timing Question Still Matters
Even though registration fees aren’t increasing, there are strategic reasons to consider your timing:
The Hidden Cost Factor
Most business owners don’t realize that registration is just the beginning. Within the first year of operation, you’ll likely need additional services that are now more expensive:
Additional Certified Copies: Nearly every business needs extra copies of their Certificate of Incorporation, Memorandum and Articles, or Form CAC-2. Banks require them. Investors want them. Government agencies request them. These copies now cost ₦5,000 each instead of ₦2,000-₦3,000.
Due Diligence Searches: If you’re planning partnerships, joint ventures, or need to verify other companies’ statuses, these searches now cost ₦50,000 instead of ₦10,000. That’s a 400% increase.
Future Compliance Costs: If your business grows and you need to make changes—like increasing share capital, changing directors, or modifying your business structure—some of these procedures now cost significantly more.
The Preparation Advantage
The businesses that save the most money are those that anticipate their needs. If you register now, you can:
- Request multiple certified copies at current prices
- Conduct any necessary due diligence searches before August 1
- Handle any immediate post-registration changes at current rates
- Lock in current pricing for services you know you’ll need
The Registration Timeline Reality
Here’s something many people don’t consider: business registration takes time, regardless of when you start.
Business Name Registration Timeline
- Name search and availability check: 1-2 business days
- Registration processing: 3-5 business days
- Document preparation and collection: 1-2 business days
- Total process: 5-9 business days
Private Limited Company Timeline
- Name reservation: 1-2 business days
- Document preparation and submission: 2-3 business days
- CAC processing and approval: 5-7 business days
- Final documentation and collection: 1-2 business days
- Total process: 9-14 business days
Public Company Timeline
- Name reservation: 1-2 business days
- Complex document preparation: 3-5 business days
- CAC processing (more complex): 10-14 business days
- Final documentation: 2-3 business days
- Total process: 16-24 business days
Given that we’re in early July 2025, you have approximately three weeks before August 1. This provides adequate time for most registrations, but only if you start the process soon and have your documentation ready.
The Strategic Decision Framework
Based on my experience helping hundreds of businesses navigate CAC procedures, here’s how to approach the timing decision:
Register Before August 1 If:
You’re genuinely ready to start: Your business plan is solid, you have your preferred names, and you’re committed to launching. Don’t register just to beat a deadline if you’re not prepared to operate.
You know you’ll need additional services: If your business model requires multiple certified copies, due diligence searches, or complex post-registration changes, acting now saves substantial money.
You’re establishing multiple entities: If you’re setting up several businesses, holding companies, or subsidiary structures, the savings on additional services multiply significantly.
You have time-sensitive opportunities: If you need to be officially registered for a specific contract, partnership, or funding opportunity, don’t risk delays.
Don’t Rush If:
Your business concept isn’t finalized: Registration with the wrong structure or name creates more problems than any fee increase. Get it right first.
You lack required documentation: Incomplete applications cause delays and potentially push you past August 1 anyway.
You’re not ready to operate: A registered business comes with ongoing obligations. Don’t create compliance burdens before you’re ready.
The Broader Context: Why CAC Increased These Fees
Understanding the reasoning behind the fee increases helps you make better decisions about your business registration timing.
CAC’s fee review reflects several factors:
Digital Infrastructure Costs: The commission has invested heavily in automated systems, online portals, and digital processing capabilities. These systems require ongoing maintenance, updates, and security enhancements.
Economic Reality: Nigeria’s inflation rates and operational costs have increased significantly. The previous fee structure, some unchanged for years, no longer covered the real cost of service delivery.
Service Quality Improvements: The fee increases fund better processing times, improved customer service, and enhanced digital capabilities that benefit all users.
Sustainability: CAC needs sustainable revenue to maintain and improve services without constantly seeking government subsidies.
This context is important because it suggests the fee increases aren’t arbitrary—they’re part of a broader modernization effort. While registration fees haven’t increased this time, future reviews might include them if operational costs continue rising.
Common Misconceptions to Avoid
Let me address some persistent myths circulating about the CAC fee increases:
Myth: “All CAC services are getting more expensive.” Reality: Only specific post-registration and administrative services increased. Core registration remains unchanged.
Myth: “I must register before August 1 or pay more.” Reality: Registration costs the same before and after August 1. Only consider timing if you need additional services.
Myth: “The fee increase affects business name registration.” Reality: Business name registration fees are completely unchanged.
Myth: “Company registration will cost double after August 1.” Reality: Company incorporation fees remain at current rates.
Myth: “I can avoid all fee increases by registering now.” Reality: You can avoid increases on services you request before August 1, but future services will cost more regardless of when you register.
Practical Recommendations
Based on this analysis, here’s what I recommend:
If You’re Planning to Register Soon Anyway:
Go ahead and register now. The process takes time, and you’ll position yourself to take advantage of current pricing on any additional services you need.
If You’re Still in the Planning Phase:
Don’t rush. Focus on getting your business structure, name, and documentation right. The registration fee savings don’t justify poor planning.
If You Need Multiple Services:
Definitely register before August 1 and request all additional services you anticipate needing. The savings can be substantial.
If You’re Unsure:
Consider what additional services you might need in the first year. If the list is long, register now. If it’s minimal, timing matters less.
The Bottom Line
The CAC fee increase does not affect business name or company registration costs. However, it does impact many services you might need after registration.
Your decision should be based on readiness, not panic. If you’re prepared to register and anticipate needing additional CAC services, acting before August 1 makes financial sense. If you’re not ready, focus on proper preparation rather than arbitrary deadlines.
The most expensive mistake isn’t paying slightly more for future services—it’s registering with the wrong structure, wrong name, or inadequate preparation because you rushed to beat a deadline that doesn’t actually affect registration costs.
Getting Professional Help
Business registration seems straightforward, but the details matter enormously. The wrong business structure, improper documentation, or incomplete filings can cost far more than any fee increase.
If you’re uncertain about your registration needs, timing, or the broader implications of the CAC fee changes, professional guidance ensures you make the right decisions for your specific situation.
Whether you register before or after August 1, the key is doing it correctly, completely, and strategically.
Read Also
For complete details on all CAC fee changes taking effect August 1, 2025, including the specific services that are increasing and by how much, read our comprehensive guide: New CAC Fees 2025: Full List of Increased Prices (Effective August 1).
This article provides authoritative guidance on CAC fee impacts based on official sources and professional experience. For personalized advice on your specific registration needs, consult with qualified business registration professionals.
Tags: CAC registration fees, business name registration Nigeria, company registration cost, CAC fee increase 2025, Nigerian business registration
