Just like every other business, a school is also expected to be registered with the Corporate Affairs Commission (CAC). In this guide, I will walk you through every process you need to do CAC registration for school in Nigeria and the cost involved
In recent times, the educational system in Nigeria has innovated and grown beyond the olden analog system of teaching. Schools are now embracing digital innovation and aiming learning towards the feature.
Before, schools were used to using the traditional cemented black board mounted on the wall and with the use of white chalk to deliver learning.
Nowadays, schools are now using markers and some advanced schools are already using digital screens and tools to educate students and communicate information clearly and faster.
It is also shameful at the same time that students’ performance in WAEC and JAMB in the last 10 years has drastically dropped.
However, there is still a huge market for schools and education in Nigeria. People want to acquire knowledge and certifications by all means.
What is CAC Registration for a School?
CAC registration for school is simply the process of registering your institution of learning with the Corporate Affairs Commission and obtaining legal documents to operate legally in Nigeria.
According to CAMA 2020, any business that is set up without registration within the first 28 days is considered illegal.
Therefore, CAC registration for school in Nigeria is not just a paper work but a serious compliance obligation that will determine the success and future of the school.
Why Schools Should Register With CAC in Nigeria
1. Legal Identity
CAC registration establishes the school as a separate legal entity from the owners. When this is done, the assets of the school like laptops, desk, office equipments, buildings and so may others belongs to the company and not the individual behind the company.
Furthermore, the school can enter into agreements, contracts, get sued and be sued in its legal registered name
2. Perpetual Succession
Many African businesses are not set up to outlive the owners. A company registration for a school is the right structure to keep the business in continuity even after the death of the owners.
3. Ministry of Education Compliance
To officially operate as a private school and obtain accreditation, the Ministry of Education in Nigeria and other regulatory bodies requires schools to be first registered with CAC.
4. Corporate Banking
CAC registration provides an opportunity to open a dedicated corporate bank account for the school, preventing the commingling of personal and school funds. It also qualifies the institution to apply for business loans or government grants.
With this, schools can receive student school fees, track income and expenses and keep proper records
5. Name Protection
Registering with CAC and also trademarking the name and logo of the school secures the school name and prevents the public or others from making use of the name or logo of the school anywhere else.
6. Public Trust and Acceptance
A formally recognized, verifiable institution builds public trust. Parents are much more likely to enroll their children in a school certified by the government
Types of Schools That Can Be Registered with CAC
The following schools are expected to be registered with CAC
- Nursery Schools
- Primary Schools
- Secondary Schools
- Crèches and Daycare Centers
- Lesson Centers and Tutorial Schools
- Vocational and Technical Schools
- Online Schools and Educational Platforms
- Leadership and Entrepreneurial Schools
- Any other institution with the word “Academy” or “School”in its name
If your institution falls in under any of the above, then you should be making bold moves to register your company with CAC
Best Structure For CAC School Registration in Nigeria
If the school exists for profit making, then the best registration will be Private Company Limited by Shares.
However, some education and research centers exist not solely to make profit but to fulfil a need. However, such an entity will have to make some profits or charge for the services or products they are offering just for operational efficiency and sustainability
In this case, the best category of registration will be Private Company Limited by Guarantee
Requirements for Registering a School with CAC
To register your private academy school or any other institution with CAC, you must have the following information handy.
- Proposed company name (s)
- Office address of the school. (For online schools without physical building, you can use a workspace address or your home address)
- Objectives of the company (This can be to operate nursery and primary school, secondary school, technical school, vocational education, digital skill acquisition, leadership and public speaking school, e.t.c)
- Information about of Directors and shareholders such as Names, addresses, email addresses, phone numbers, and NIN of at least two directors.
- One of the directors or shareholders must have Teachers Registration Council of Nigeria (TRCN) Certificate
- Shareholder structure and percentage of ownership
- Means of Identification to be uploaded e.g. either of National ID, Driver’s License, or International Passport will work
Step-by-Step Process of Registering a School with CAC
- The process involves
- Name search and reservation
- Filing of company details
- Proceed and adopt default articles of association. Also fill in a witness
- On the next page, write down the full objectives of the school
- Fill in the details of directors and shareholders. One of the directors or shareholders must have TRCN certificate
- Select the type and class of shares. Split and allot shares accordingly
- Fill in the CAC statement of compliance form
- Upload documents, make payment and submit
- Wait for registration to be approved and download documents
Cost Of CAC Registration For School (Academy) in Nigeria
The cost to register a company with CAC in Nigeria can be broken down into
- CAC official filing fees
- Stamp duty (which is a form of tax levied on documents to validate their legality)
- Professional/Consultant charges
- Other Possible Costs
So overall, The basic cost to register a school in Nigeria (e.g Academy, Vocational, technical, digital, secondary, primary, crèche) should cost about ₦60,000 to ₦80,000 for 1 million shares depending on the consultant handling the work
We can help process your CAC registration. Send us a DM on WhatsApp @ 08066108299
Documents You Will Receive After Registration
- CAC Certificate of Incorporation
- Status Report
- Memorandum and Articles of Association (MEMART)
- TIN (Tax Identification Number)
Other Licenses Required After CAC Registration
You should consider these licenses.
1. TRCN Certificate
The Teachers Registration Council of Nigeria (TRCN) is an educational body in Nigeria saddled with the responsibility of regulating education teachers in the educational sector by certifying trained and qualified teachers.
Getting the TRCN certificate is supposed to have been done before doing CAC registration. Without this certificate, your CAC registration for school will be queried, and you will be asked to provide it.
2. State Ministry of Education Approval
State Ministry of Education approval is the another key legal certification and approval that every institution in Nigeria is expected to secure approval. It ensures that schools meet required standards for curriculum, building safety, teacher qualifications.
Digital schools and skill acquisition and training academies are exempted from this permit since they do not operate under the four walls of the classroom
3. Local Government Permits
This is a permit issued by the local government and ministry of environmental sanitation and waste management for education to legally operate a school within your local government area (LGA).
You must also secure structural building approvals and ministry of education licensing.
Other Permits
Other permits include
- ÉFCC SCUML Certificate
- TIN
- Taxpromax Registration
- BPP (If the company qualifies)
- NSITF (If the company qualifies)
- ITF (If the company qualifies)
- PENCOM (If the company qualifies)
Frequently Asked Questions
How much does it cost to register a school with CAC in Nigeria?
It cost about ₦60,000 to ₦80,000 for 1 million shares to register a primary or secondary school with CAC in Nigeria
Is CAC registration compulsory before opening a school?
Yes. This will allow you open a corporate account and stay compliance with government regulations
Can I register a nursery and primary school under one company?
Yes. CAC allows for companies to have multiple objectives under a company name. So you can register a crèche, nursery, primary and secondary school under one company name
What documents are required to register a school with CAC?
TRCN Certificate, company details, director and shareholder details, IDs and signature
Can a church register a school in Nigeria?
Yes. If the church has an educational arm, it can register as an academy under CAC
Should I register my school as a Business Name or Limited Company?
CAMA 2020 does not permit schools or any institution of learning to register under Business Name. They can only register as company
How long does CAC registration for a school take?
About 7 to 10 days
Can foreigners own a school in Nigeria?
Yes. But the school must be registered under foreign ownership. 100 million shares
Do I need Ministry of Education approval after CAC registration?
Yes.
What licences are required before a school can begin operations?
TIN, SCUML, Ministry of Education Permit and other relevant permits
Can I change my school's name after registration?
Yes. Via post incorporation with CAC
Can one company own multiple schools?
Yes. This can be done under corporate shareholdersip
What is the minimum share capital required for a school registration?
1 million shares
Conclusion
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