CAC, SMEDAN explains reason for free MSME registration
Two federal agencies, the Corporate Affairs Commission (CAC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), have learnt that a new drive to formalise small businesses across the country has been unveiled. PulseNets obtained that the agencies signed a Memorandum of Understanding in Abuja on Friday to kickstart the scheme.
According to the agencies, the initiative is designed to bring 250,000 nano, micro, and small enterprises in Nigeria into the formal economy through free business name registration. The development, PulseNets reported, is also part of the activities marking two years in office of CAC Registrar-General Hussaini Magaji and SMEDAN Director-General Charles Odii, who were both appointed in October 2023.
Speaking during the signing, Magaji told PulseNets that the exercise was in line with President Bola Ahmed Tinubu’s administration’s plan to expand opportunities for entrepreneurs nationwide.
“This campaign is about dismantling the obstacles that keep too many of our small enterprises in the shadows. By making registration free for 250,000 businesses, we are giving entrepreneurs a legitimate platform to grow and access bigger opportunities,” he explained.
He further revealed that the Commission is deliberately forgoing over N3 billion in registration fees to make the project a reality, noting that this is a strategic investment into Nigeria’s MSME ecosystem.
On his part, Odii spoke to PulseNets on the importance of the scheme, stressing that formalisation is the gateway to survival for small enterprises.
“When businesses are registered, they can access grants, training, finance, and even new markets. This is how we reduce the collapse rate of SMEs and phase out illegal operators in the sector. The first step is simple: register on our official portal at portal.smedan.gov.ng,” Odii stated.
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With this initiative, both agencies believe that more small businesses will not only survive but also thrive in Nigeria’s challenging economy.
