{"id":5185,"date":"2022-06-08T22:13:03","date_gmt":"2022-06-08T22:13:03","guid":{"rendered":"https:\/\/koriatlaw.com\/?p=5185"},"modified":"2022-06-08T22:13:03","modified_gmt":"2022-06-08T22:13:03","slug":"requirements-costs-timeline-for-incorporation-licensing-an-investment-company-in-nigeria","status":"publish","type":"post","link":"https:\/\/koriatlaw.com\/2026\/2022\/06\/08\/requirements-costs-timeline-for-incorporation-licensing-an-investment-company-in-nigeria\/","title":{"rendered":"REQUIREMENTS, COSTS &#038; TIMELINE FOR INCORPORATION &#038; LICENSING AN INVESTMENT COMPANY IN NIGERIA"},"content":{"rendered":"\n<figure class=\"wp-block-gallery columns-1 is-cropped wp-block-gallery-1 is-layout-flex wp-block-gallery-is-layout-flex\"><ul class=\"blocks-gallery-grid\"><li class=\"blocks-gallery-item\"><figure><img fetchpriority=\"high\" decoding=\"async\" width=\"1024\" height=\"1024\" src=\"https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--1024x1024.jpg\" alt=\"\" data-id=\"5083\" data-full-url=\"https:\/\/koriatlaw.com\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER-.jpg\" data-link=\"https:\/\/koriatlaw.com\/how-to-set-up-a-venture-capital-firm-in-nigeria\/business-lawyer\/\" class=\"wp-image-5083\" srcset=\"https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--1024x1024.jpg 1024w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--300x300.jpg 300w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--150x150.jpg 150w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--768x768.jpg 768w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--650x650.jpg 650w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--370x370.jpg 370w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--75x75.jpg 75w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER--760x760.jpg 760w, https:\/\/koriatlaw.com\/2026\/wp-content\/uploads\/2022\/02\/BUSINESS-LAWYER-.jpg 1502w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure><\/li><\/ul><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">An Investment Company or Corporate Investment Adviser or Investment Advisory Company is a company that provides advisory services relating to investment or securities for a fee. In Nigeria, the Securities and Exchange Commission (\u201cSEC\u201d) is the regulator vested with the licensing and regulatory supervision over all investment companies or investment advisers. It therefore presupposes that, any individual or company who wishes to engage in the provision of investment advisory services must register with the Corporate Affairs Commission and obtain operational license from the SEC.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What are the Services provided by\nan Investment Advisory Company?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Some of the services provided by a Licensed Investment\nAdvisory company include the following:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Provision of\nindividually tailored investment advice to their clients which may include\nadvice and recommendation of the best investment to consider or securities to buy or sell.<\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li>Maintaining\nproper records and filing of annual\nreports with SEC.<\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li>Assist clients to discern false claims and\nadvertisements in the market and proffer capital market guidance where\nnecessary.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What are the requirements for incorporating a<\/em><\/strong><strong><em>n<\/em><\/strong><strong><em> <\/em><\/strong><strong><em>Investment Advisory\nC<\/em><\/strong><strong><em>ompany in <\/em><\/strong><strong><em>Nigeria?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The requirements for incorporating an Investment Advisory Company are the\nsame as for incorporating any private limited liability company in Nigeria. See\nour article on the incorporation requirements <a href=\"https:\/\/koriatlaw.com\/2026\/costs-and-requirements-of-company-registration-in-nigeria\/\">here<\/a>.\n<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What is the required minimum share\ncapital to register an Investment Advisory Company <\/em><\/strong><strong><em>in Nigeria<\/em><\/strong><strong><em>?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Any\ncompany seeking to operate as an Investment Advisory Company must\nhave a share capital of <strong>N5,000,000.00\n(Five Million Naira)<\/strong> which must be fully\npaid up.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What are the applicable costs of registering a<\/em><\/strong><strong><em>n Investment\nAdvisory<\/em><\/strong><strong><em> <\/em><\/strong><strong><em>C<\/em><\/strong><strong><em>ompany <\/em><\/strong><strong><em>with the\nCorporate Affairs Commission <\/em><\/strong><strong><em>in Nigeria?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The cost of incorporating a corporate Investment Advisory\nCompany with a share capital of N5,000,000 is about N70,000.00 (SeventyThousand Naira) excluding\nprofessional fees. The breakdown\nof the foregoing sum is as follows:<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>N<\/em><em>30<\/em><em>,000\n(<\/em><em>Thirty<\/em><em>\nThousand Naira) is chargeable by the CAC as Incorporation Fee; and&nbsp;<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>N<\/em><em>37<\/em><em>,<\/em><em>5<\/em><em>00 (<\/em><em>Thirty<\/em><em>&#8211;<\/em><em>Seven<\/em><em> Thousand<\/em><em> Five Hundred<\/em><em> Naira) is chargeable by the Federal\nInland Revenue Service (\u201cFIRS\u201d) as stamp duty on the N<\/em><em>5 <\/em><em>Million share capital (the formula for\ncalculating this is: 0.75% <\/em><em>x<\/em><em>\n<\/em><em>5<\/em><em>,000,000);&nbsp;<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>N2,<\/em><em>5<\/em><em>00\n(Tw<\/em><em>o<\/em><em>Thousand <\/em><em>Five Hundred <\/em><em>Naira) is estimated for miscellaneous\nexpenses.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What are the requirements for\nobtaining the Investment Advisory License from<\/em><\/strong><strong><em>&nbsp;<\/em><\/strong><strong><em>SEC?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">While\nthe incorporation\nof an Investment Advisory Company is by\nCAC, the licensing of a Corporate Investment Advisory Company is\nby SEC. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Below\nis a highlight of the requirements and procedure for the business registration\nand application for its operational License.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The first step is to complete application for registration\nin Form SEC 3 for Corporate\nInvestment Adviser and accompany same by \u2013 <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Two (2) sets of completed Forms SEC 2 and 2D\nto be completed and signed &nbsp;all the directors and sponsored individuals;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(b) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp; A copy of\ncertificate of incorporation, status report containing the particulars of shareholders\nand directors of the Company;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">N.B. the Managing Director of the Company must\nbe one of the sponsored individuals<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Memorandum\nand Articles of Association certified by the Corporate Affairs Commission.\nwhere a copy not certified is filed, the applicant shall present the original\nfor sighting by an authorized officer of the Commission;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(d) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Copy of latest audited accounts or\naudited statement of affairs for companies in operation for less than one (1)\nyear;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(f)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fidelity\nbond representing 20% of paid-up capital;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(g)\n&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Notarized sworn undertaking to keep proper records\nand render returns;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(h)\n&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Evidence of minimum\npaid-up capital of N5 million.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(i)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Police clearance report for\neach Sponsored Individual. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(j)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Copy of means Identification of the Directors and the Sponsored\nIndividuals of <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">the Company <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(k)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Latest audited accounts or\naudited statement of affairs of the company. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">NB: Cash assets ratio must be 60% liquid assets and 40% fixed and other assets<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What are the Costs<\/em><\/strong><strong><em> for<\/em><\/strong><strong><em> <\/em><\/strong><strong><em>processing a\nCorporate Investment Advisory License?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The applicable costs for processing a Corporate\nInvestment Advisory License from SEC (excluding professional fee) are shown in\nthe table below:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"\"><tbody><tr><td> <strong>  S\/N<\/strong>   <\/td><td>  <strong> Item   <\/strong><\/td><td>   <strong>Cost (N)  <\/strong> <\/td><\/tr><tr><td>\n  1\n  <\/td><td>\n  Registration fee\n  <\/td><td>\n  100,000.00\n  <\/td><\/tr><tr><td>\n  2\n  <\/td><td>\n  Application fee\n  <\/td><td>\n  100,000.00\n  <\/td><\/tr><tr><td>\n  3\n  <\/td><td>\n  Processing fee\n  <\/td><td>\n  300,000.00\n  <\/td><\/tr><tr><td>\n  4\n  <\/td><td>\n  3 Sponsored individuals\n  <\/td><td>\n  300,000.00\n  <\/td><\/tr><tr><td>\n  5\n  <\/td><td>\n  Cost of processing Police\n  Clearance Certificate for all the Sponsored Individuals \n  <\/td><td>\n  &nbsp;\n  N150,000.00\n  <\/td><\/tr><tr><td>\n  6\n  <\/td><td>\n  Miscellaneous Expenses\n  <\/td><td>\n  N100,000.00\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>What <\/em><\/strong><strong><em>is the timeline\nfor completing the process of obtaining<\/em><\/strong><strong><em> a Corporate\nInvestment Advisory License?<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The incorporation of a company is 24 hours after submission\nof application for company registration to CAC.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, the timeline for licensing is not certain and\nmay range between three to six months or more in some cases.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>An Investment Company or Corporate Investment Adviser or Investment Advisory Company is a company that provides advisory services relating to investment or [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":["post-5185","post","type-post","status-publish","format-standard","hentry","category-publications"],"_links":{"self":[{"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/posts\/5185","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/comments?post=5185"}],"version-history":[{"count":0,"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/posts\/5185\/revisions"}],"wp:attachment":[{"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/media?parent=5185"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/categories?post=5185"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/koriatlaw.com\/2026\/wp-json\/wp\/v2\/tags?post=5185"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}