REGISTERING SCHOOLS AND EDUCATIONAL INSTITUTIONS WITH CAC: A COMPLETE GUIDE

PROAID CONSULT August 09, 2025 0

In Nigeria, the Corporate Affairs Commission (CAC) is the regulatory body responsible for registering businesses, organizations, and institutions, including schools and educational entities. Registering a school with the CAC ensures legal recognition, operational legitimacy, and compliance with national regulations. For proprietors aiming to establish nurseries, primary schools, secondary schools, or tertiary institutions, understanding the CAC registration process is critical. 

This guide provides a comprehensive overview of the steps, requirements, and considerations for registering educational institutions with the CAC in 2025, tailored for Nigerian educators and entrepreneurs.

WHY REGISTER WITH THE CAC?

CAC registration grants schools legal status, enabling them to operate formally, access funding, and build trust with stakeholders. It protects the institution’s name, ensures compliance with tax obligations, and facilitates partnerships with government bodies like the Ministry of Education. Unregistered schools risk penalties, closure, or inability to issue valid certificates. In 2025, with Nigeria’s education sector contributing 7.5% to GDP, formal registration is a strategic move for sustainability and growth.

TYPES OF REGISTRATION FOR EDUCATIONAL INSTITUTIONS

The CAC offers several registration options, but schools typically fall under two categories:

1. BUSINESS NAME: Suitable for small-scale schools (e.g., nurseries or tutoring centers) operating as sole proprietorships or partnerships. This is cost-effective but offers limited liability protection.
2. INCORPORATED TRUSTEES: Ideal for non-profit schools, religious-based institutions, or NGOs running educational programs. This structure emphasizes community service over profit.
3. COMPANY LIMITED BY GUARANTEE: Common for private schools or tertiary institutions aiming for formal corporate status without share capital, focusing on education as a social enterprise.

Each type has unique requirements, costs, and compliance obligations. Most private schools opt for a Company Limited by Guarantee for its flexibility and legal protections.

ELIGIBILITY AND PRE-REGISTRATION CONSIDERATIONS

Before approaching the CAC, ensure the following:

• NAME AVAILABILITY: Choose a unique name for your school, avoiding prohibited terms like “Government” or “National” unless authorized. Use the CAC’s online portal to check name availability.
• MINIMUM REQUIREMENTS: At least two directors (for companies) or trustees (for non-profits), aged 18+, with no bankruptcy history. Schools must also align with the Ministry of Education’s guidelines.
• PHYSICAL ADDRESS: A verifiable address in Nigeria is mandatory. Virtual offices are not accepted.
• OBJECTIVES: Clearly define the school’s mission (e.g., primary education, vocational training) in the registration documents.

In 2025, the CAC’s digital platform streamlines these checks, reducing processing time to 24-48 hours for name approvals.

STEP-BY-STEP REGISTRATION PROCESS

The CAC registration process is now fully online, accessible via www.cac.gov.ng. Follow these steps:

1. NAME RESERVATION: Log into the CAC portal, create an account, and submit two proposed names. Approval typically takes 1-2 days, costing ₦500 per name search.
2. DOCUMENT PREPARATION: Gather required documents, including:
   • Application form (CAC/IT/1 for trustees, CAC 1.1 for companies).
   • Memorandum and Articles of Association (MEMART) outlining the school’s objectives.
   • Valid ID copies (e.g., NIN, passport) for directors/trustees.
   • Proof of address (e.g., utility bill).
   • Evidence of proficiency (optional but recommended, e.g., educational certifications).
3. ONLINE SUBMISSION: Upload documents on the CAC portal. Ensure accuracy, as errors can lead to rejection. Use a lawyer or accredited CAC agent for precision, especially for MEMART drafting.
4. PAYMENT OF FEES: Fees vary by structure:
   • Business Name: ₦10,000-₦15,000.
   • Incorporated Trustees: ₦30,000-₦50,000.
   • Company Limited by Guarantee: ₦20,000-₦100,000, depending on share capital.
     Payments are made online via Remita or bank cards.
5. CERTIFICATE ISSUANCE: Upon approval (5-10 business days), the CAC issues a digital Certificate of Incorporation or Registration. Download and verify it on the CAC portal.
6. POST-REGISTRATION: Register with the Federal Inland Revenue Service (FIRS) for a Tax Identification Number (TIN) and comply with state education ministry requirements.

ADDITIONAL REQUIREMENTS FOR EDUCATIONAL INSTITUTIONS

Beyond CAC registration, schools must meet sector-specific regulations:

• MINISTRY OF EDUCATION APPROVAL: Obtain a license from the state’s Ministry of Education, requiring proof of infrastructure, curriculum, and qualified staff. This can take 3-6 months.
• LAND AND FACILITY COMPLIANCE: Schools must have adequate space, safety measures (e.g., fire extinguishers), and sanitation facilities, verified during inspections.
• CURRICULUM ALIGNMENT: Ensure the curriculum meets national standards (e.g., NERDC for primary/secondary schools).

In 2025, digital inspections and e-certifications have reduced delays, but physical compliance remains non-negotiable.

COSTS AND TIMELINE

Total costs range from ₦50,000 to ₦200,000, including CAC fees, legal services, and state approvals. Timelines vary:

• Name reservation: 1-2 days.
• Document approval: 5-10 days.
• Ministry approval: 1-6 months, depending on state efficiency.

Engaging a CAC-accredited agent can expedite the process but may add ₦20,000-₦50,000 in fees.

CHALLENGES AND HOW TO OVERCOME THEM

Common hurdles include document rejections, name disputes, and delays in state approvals. To mitigate:

• Double-check documents for errors before submission.
• Use unique, non-controversial names.
• Engage professionals familiar with CAC and education regulations.
• Budget for unexpected delays, especially with physical inspections.

Recent posts on X highlight frustrations with bureaucratic delays, but the CAC’s 2025 upgrades, like real-time support chat, have improved user experience.

BENEFITS OF CAC REGISTRATION

Registered schools gain:

• Legal recognition, protecting against forced closures.
• Access to grants, loans, and corporate partnerships.
• Credibility with parents and regulators.
• Ability to issue recognized certificates, crucial for tertiary institutions.

For example, registered schools can tap into Nigeria’s ₦1.5 trillion education investment pool, including international funding.

POST-REGISTRATION COMPLIANCE

After registration, maintain compliance by:

• Filing annual returns with the CAC (₦5,000-₦10,000 annually).
• Renewing state licenses periodically.
• Keeping financial records for tax audits.
• Updating CAC on changes (e.g., new directors).

Non-compliance risks fines or deregistration, impacting operations.

CONCLUSION: BUILDING A LEGITIMATE FUTURE

Registering a school with the CAC is a foundational step for educational entrepreneurs in Nigeria. It ensures legal standing, operational freedom, and growth potential in a competitive sector. By following the outlined steps—name reservation, document submission, fee payment, and compliance with education regulations—proprietors can navigate the process efficiently. In 2025, leveraging the CAC’s digital tools and professional support minimizes delays and costs. Start today to position your school for success, credibility, and impact. For tailored guidance, contact ProAid Consult at www.proaidconsult.org to streamline your registration journey.