Nigeria (NG)
Nigeria is Africa's most populous nation and its largest economy — a vibrant, dynamic, and entrepreneurial country of over 220 million people spanning 36 states and 250+ ethnic groups.
Capital: Abuja
Region: Africa
Language: English
Currency: NGN (₦)
Cost of living: Very affordable (index 22)
Emergency: 112
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Business Setup
Start a business or go freelance in Nigeria.
🧑💻 Freelancer / Self-Employed Guide
Steps to register:
- 1 Confirm your immigration permission allows the work you plan to do in Nigeria — visitor e-Visas do not authorise local employment, client service delivery or Nigerian-source consulting.
- 2 Obtain a Tax Identification Number (TIN) from FIRS (firs.gov.ng) before invoicing Nigerian clients or receiving taxable income.
- 3 Register a Business Name or company with CAC (cac.gov.ng) if your activity is local, recurring or directly client-facing.
- 4 Open a compliant business bank account with BVN coordination and full source-of-funds documentation.
- 5 Include correct VAT (7.5%) and withholding-tax wording in all contracts — Nigerian corporate clients typically deduct WHT at source.
- 6 Keep invoices, foreign-exchange evidence, inward-transfer records and WHT certificates for every transaction.
Tax registration
Federal Inland Revenue Service (FIRS) at firs.gov.ng for TIN and federal taxes. PAYE and personal income tax are administered by the relevant State Internal Revenue Service (SIRS). VAT (7.5%) registration and filing is managed by FIRS. Use a CITN or ICAN member for compliance with the Nigeria Tax Act 2025 reforms.
VAT threshold
NGN 25,000,000 annual taxable turnover triggers mandatory VAT registration under the Nigeria Tax Act 2025 framework effective for 2026. Businesses below this threshold may register voluntarily. VAT returns are monthly; the standard rate is 7.5%.
Invoicing
Invoices must show: legal business name, TIN, address, invoice number, date, description of service, net amount, VAT at 7.5% where applicable, applicable withholding-tax clause (usually 5% or 10% on consulting fees) and bank account details for payment.
Social security
Formal employees are covered by the Contributory Pension Scheme (8% employee, 10% employer on pensionable pay) remitted to a Pension Fund Administrator. Self-employed individuals can access micro-pension or voluntary pension arrangements. Private health and medical evacuation cover is essential.
💡 Nigeria has no dedicated digital-nomad visa. Remote workers should not assume a tourist e-Visa authorises local work, client visits or Nigerian-source consulting. The 2025 Nigeria Tax Act introduced significant reforms — seek 2026-specific payroll and VAT advice before commencing activity.
🏢 Business Structures
Business Name · Registered Business Name
Sole proprietorship / trading name
No formal share capital required
Min. capital
Days to 2 weeks via the CAC online portal
Setup time
Liability: Owner is personally liable for all business debts
Setup cost: CAC registration fee approx. NGN 10,000–30,000 plus adviser fees
Best for: Small local activity by Nigerian residents. Foreigners face significant immigration and banking constraints with this structure.
Ltd · Private Company Limited by Shares
Private limited company
NGN 100,000 minimum paid-up capital under CAMA 2020 for domestic companies; companies with foreign participation should demonstrate a minimum FDI of USD 100,000 to NIPC
Min. capital
2–8 weeks plus expatriate quota and sector permits
Setup time
Liability: Limited to share capital
Setup cost: CAC, NIPC, tax (FIRS/SIRS) and legal fees typically NGN 500,000–3,000,000
Best for: Most commercial operations: trading, services, technology, energy and most foreign-invested businesses.
PLC · Public Limited Company
Public company
NGN 2,000,000 minimum paid-up capital under CAMA 2020; SEC and exchange listing add further regulatory capital requirements
Min. capital
Several months including regulatory approvals
Setup time
Liability: Limited to share capital
Setup cost: High; legal, audit, CAC, SEC and listing costs typically NGN 5,000,000+
Best for: Large companies seeking to raise public capital or list on the Nigerian Exchange Group (NGX).
Branch Office · Branch of Foreign Company
Foreign branch
No separate share capital; parent company bears financial responsibility
Min. capital
4–12 weeks including CAC, FIRS and expatriate quota filings
Setup time
Liability: Foreign parent company bears all liability
Setup cost: CAC registration plus adviser and compliance costs typically NGN 500,000–2,000,000
Best for: Foreign companies delivering contracts, providing technical services or exploring the Nigerian market without local shareholding.
NGO / Incorporated Trustee · Incorporated Trustees (Non-profit)
Non-profit organisation
No share capital; endowment and donor-funded operations
Min. capital
Several months including publication, CAC filing and SCUML registration
Setup time
Liability: Trustee and governance-board dependent
Setup cost: Legal, publication and CAC filing fees typically NGN 500,000–2,000,000
Best for: Charities, foundations, associations, faith organisations and international NGOs operating in Nigeria.
Business Setup
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