How To Register A Company With SEC in Nigeria

How To Register A Company With SEC in Nigeria

Are you looking for how to register your business with the Securities Exchange Commission (SEC), if yes, then, you are at the right place, as we will be walking you through the procedure in this article.

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As a business owner in Nigeria, it’s highly recommended to register your business with the Securities Exchange Commission especially if you’re into investment business because it tells people that your business is free from any legal issues.

ABOUT SEC

The Securities and Exchange Commission (SEC) is the Nigerian national government regulatory agency in charge of capital market supervision, legal regulation of issuances and sales of securities and other investment instruments, and the protection of the investing public. It is also the registrar and overseer of the Nigerian corporate sector.

The agency is Nigerians top financial regulator, overseen by the Federal Ministry of Finance. The Securities and Exchange Commission was founded in 1962, when the Capital Issues Committee was constituted as an ad hoc consulting and advising body.

REQUIREMENTS FOR SECURITIES EXCHANGE REGISTRATION

Forms:

• Completed to the letter For the Company (Form SEC 5)
• Form SEC 2 and 2D – Sponsored Individuals/Compliance Officers who will be the Exchange’s key officers (i.e Managing Director and Principal Officers). (Double-sided forms must be completed)
• Forms SEC 2 and 2D – Company Directors (This form should be completed in duplicates)

Applicant Company:

• A brief history of the company, organizational and shareholding structure, principal officers, and details of previous and current activities should all be included in the profile of the company.
• The name(s) and address(es) of the company’s subsidiaries/affiliated firms, as well as their type of business and ownership percentage;
• A copy of the General Undertaking Form for Members;
• Two copies of existing or proposed by-laws or rules, such as the Code of Conduct, Code of Dealing, and other “Rules of the Exchange” documents;
• Information on its organization, including its structure and the profiles of its Council/Board members, as well as its rules and procedures;
• Detailed information about the Exchange’s promoters and senior officers;
• Proof of payment of assigned shares to shareholders;
• When finalized, a copy of the Exchange’s procedures as well as the specific documentation pertaining to the Investor Protection Fund and Trade Guarantee Fund;
• Manuals for forward instruction and inspection of member operations;
• Copy of Market Facility Information; Copy of Staff Policies and Procedures;
• Two copies of the Exchange’s listing requirements;
• Detailed details about the trading strategy to be used;
• A business strategy;
• Bank statement of the Company’s accounts during the last six months;

Documents are filed at the Office of the Director General (ODG), after which the documents forwarded are scrutinized, and any deficiencies found are informed to the applicants. Approval will be granted if there are no deficiencies.

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The Costs Of Registering a Company With The Securities And Exchange Commission (SEC) In Nigeria

• Evidence of Filing/Application Fee – ₦50,000 (Fifty Thousand Naira);
• Evidence of Processing Fee – ₦200,000 (Two Hundred Thousand Naira);
• Evidence of Registration Fee – ₦1,000,000 (One Million Naira);
• Evidence of Sponsored Individual Fee – ₦50,000 (Fifty Thousand Naira) for each sponsored individual

For more information visit the SEC official website http://www.sec.gov.ng

How To Register A Company With SEC in Nigeria