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CAC Begins Two New Forms Of Business Registration

First Bank Nigeria

The Corporate Affairs Commission (CAC) has commenced the registration of two new forms of business registrations pursuant to CAMA 2020.

The development followed the successful deployment of the Online Application for Limited Liability Partnerships (LLPs) and Limited Partnerships (LPs).

Speaking shortly after the deployment, the Registrar General of the Corporate Affairs Commission, Alhaji Garba Abubakar described the LLP as a partnership arrangement with a legal personality separate from the partners.

According to him, the liabilities of the partners of an LLP are limited to the amount agreed to be contributed or outstanding in the event of winding up.

The RG said an LLP shall have at least two “Designated Partners” who will be responsible for compliance with the requirements of the Act by the LLP.

On the LP, the Registrar General described it as a partnership arrangement with at least one general partner and at least one limited partner.

He stressed that the liabilities of a general partner were unlimited while the liabilities of a limited partner were limited, unless he takes part in the management of the partnership.

Alhaji Garba Abubakar further stated that an LP shall not consist of more than 20 persons and that the name of an LP shall end with the word “Limited Partnership” or the abbreviation.

Meanwhile, Senator Muhammed Abba Aji and Daughter Fatima have become the first Nigerians to Register an LLP.

Senator Abba Aji who is the Director-General, North East Governors Forum (NEGF) said he was thrilled with the development which he further described as unprecedented.

The Registrar General of the Corporate Affairs Commission, Alhaji Garba Abubakar last week disclosed at a meeting that the new business forms would be available for business owners by the end of August 2021.

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