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Nigeria – Application and Amendment of Business Permit for Companies with Foreign Participation
Nigeria’s Ministry of Interior (the Ministry) has announced it will be strictly monitoring compliance with the requirement for companies with foreign participation to obtain/amend their Business Permit.
The requirement to obtain a Business Permit is applicable only to wholly foreign owned or joint venture companies with foreign participation, with a minimum paid-up capital of N100,000,000 (One Hundred Million Naira).
Whilst the requirement has existed for many years, the Ministry was previously flexible with non-compliance.
As of this year, the Nigerian authorities are emphasizing the obligation of companies to comply with this requirement.
Companies must apply for a business permit if the company falls within the above category.
Companies with an exiting Business Permit must ensure that an application for amendment of the Business Permit is submitted to the Ministry of Interior in the event of any corporate changes.
These changes include, company name, composition of company’s directors, location of business or line of business as reflected in its updated documentation duly registered with the Corporate Affairs Commission (CAC).
The risk of non-compliance
Penalties for non-compliance with the abovementioned obligations or the deadline for obligations fulfillment are yet to be communicated by the Nigerian authorities.