How to Set Up NGO in Nigeria: A Step-by-Step Guide

Non-governmental organizations (NGOs) are essential in promoting social welfare and economic development in any country. In Nigeria, NGOs play a significant role in advocating for human rights, providing healthcare, education, and environmental protection. Setting up an NGO in Nigeria can be challenging, especially for those new to the process. This article will provide a comprehensive guide on how to set up an NGO in Nigeria.

Step 1: Register your NGO with the Corporate Affairs Commission (CAC)

The first step to setting up an NGO in Nigeria is to register with the Corporate Affairs Commission (CAC). The CAC is the regulatory body responsible for regulating the formation and management of companies in Nigeria. To register your NGO, you need to follow these steps:

1. Choose a unique name for your NGO.

2. Conduct a name search in the CAC database to ensure that your preferred name is available.

3. Obtain a CAC registration form and complete it with the necessary information, including the name of the NGO, the objectives of the organization, the location of the organization, and the names of the trustees.

4. Submit the completed form along with the registration fee to the nearest CAC office.

5. After submission, the CAC will conduct a search to ensure that the NGO's name is unique and not in use by any other organization.

6. Once the CAC approves your registration, you will be issued a Certificate of Incorporation.

Step 2: Draft a Constitution for your NGO

After registering your NGO with the CAC, the next step is to draft a constitution for the organization. The constitution outlines the objectives, mission, and vision of the NGO. It also includes rules and regulations governing the organization's operations, including the roles of the trustees, the powers and responsibilities of the members, and the procedures for decision-making.

Step 3: Open a Bank Account for your NGO

Opening a bank account is an essential step in setting up an NGO in Nigeria. The bank account serves as the primary means of financial transactions for the organization. To open a bank account for your NGO, you need to follow these steps:

1. Prepare the necessary documents, including the CAC registration certificate, the constitution of the NGO, and the identification documents of the trustees.

2. Choose a bank that is convenient for the organization.

3. Visit the bank branch and request to open an account for your NGO.

4. Submit the required documents, including the CAC registration certificate, constitution, and identification documents of the trustees.

5. Once the account is opened, ensure that all financial transactions of the organization are channeled through the account.

Step 4: Obtain Tax Identification Number (TIN) and Value Added Tax (VAT) Certificate

NGOs are required to obtain a Tax Identification Number (TIN) and Value Added Tax (VAT) certificate from the Federal Inland Revenue Service (FIRS). The TIN and VAT certificates are essential for accessing grants, tax exemptions, and other benefits. To obtain a TIN and VAT certificate, you need to follow these steps:

1. Visit the nearest FIRS office and obtain a TIN and VAT registration form.

2. Complete the form with the necessary information, including the name of the organization, the location, and the objectives of the NGO.

3. Submit the completed form along with the CAC registration certificate and the constitution of the NGO to the FIRS office.

4. After submission, the FIRS will verify the information provided and issue the TIN and VAT certificates.

Step 5: Register with Relevant Government Agencies

NGOs are required to register with relevant government agencies, depending on the nature of their operations. For example, NGOs involved in healthcare and education must register with the Ministry of Health and Ministry of Education, respectively. To register with relevant government agencies, you need to follow these steps:

1. Identify the relevant government agency responsible for regulating the operations of your NGO.

2. Obtain the necessary registration forms from the agency.

3. Complete the registration form with the necessary information, including the name of the NGO, the objectives of the organization, and the location of the organization.

4. Submit the completed form along with the necessary documents to the relevant government agency.

5. After submission, the agency will conduct an inspection of the organization to verify the information provided.

6. Once the inspection is completed, the agency will issue a license or approval for the organization to operate.

Step 6: Develop a Strategic Plan for your NGO

Developing a strategic plan is essential for the success of any NGO. The strategic plan outlines the short-term and long-term goals of the organization and the strategies to achieve them. The strategic plan should also include the organization's budget, fundraising strategies, and monitoring and evaluation plan.

Conclusion

Setting up an NGO in Nigeria can be challenging, but it is essential for promoting social welfare and economic development. To set up an NGO, you need to register with the CAC, draft a constitution, open a bank account, obtain a TIN and VAT certificate, register with relevant government agencies, and develop a strategic plan. By following these steps, you can set up a successful NGO that makes a positive impact on society.

FAQs

Q1. How long does it take to set up an NGO in Nigeria?

A. The process of setting up an NGO in Nigeria may take between three to six months, depending on various factors such as the efficiency of the regulatory agencies and the completeness of the required documents.

Q2. Can foreigners set up an NGO in Nigeria?

A. Yes, foreigners can set up an NGO in Nigeria. However, they must comply with the relevant laws and regulations governing the establishment of NGOs in Nigeria.

Q3. How much does it cost to set up an NGO in Nigeria?

A. The cost of setting up an NGO in Nigeria varies depending on various factors such as the type and size of the organization and the registration fees charged by the regulatory agencies.

Q4. Can NGOs engage in for-profit activities in Nigeria?

A. No, NGOs are not allowed to engage in for-profit activities in Nigeria. They are required to operate on a non-profit basis and use all their resources and income for the promotion of their objectives.

Q5. How can NGOs access grants and funding in Nigeria?

A. NGOs can access grants and funding from various sources, including international donor agencies, private foundations, and government agencies. To access funding, NGOs must comply with the relevant laws and regulations governing the disbursement of grants and funding.