Key takeaways

  • CAC stands for the Corporate Affairs Commission — the federal agency that registers businesses in Nigeria.
  • It registers three main things: limited-liability companies, business names, and incorporated trustees (NGOs, associations), under the Companies and Allied Matters Act (CAMA).
  • A registered company gets a Certificate of Incorporation and an RC number; a business name gets a BN number.
  • CAC registers the business entity; it does not regulate products (that is NAFDAC) or premises/pharmacists (that is PCN).
  • CAC registration is the first legal step for any Nigerian pharmaceutical distributor or manufacturer, before NAFDAC and PCN.

CAC full meaning: what does CAC stand for?

What is the full meaning of CAC?

CAC stands for the Corporate Affairs Commission — the Nigerian federal agency that registers and regulates companies and other business entities. It maintains the national companies register under the Companies and Allied Matters Act (CAMA), and issues the Certificate of Incorporation and registration number that make a business a legal entity.

If you are starting any business in Nigeria — a pharmacy, a drug-distribution company, a manufacturer, a shop — CAC is where you register it. "Getting your CAC" almost always means registering your company or business name and receiving your certificate and registration number.

CAC is one of three bodies a pharmaceutical business deals with, and they are easy to mix up: CAC registers the business entity; NAFDAC registers and regulates the products; and the Pharmacy Council of Nigeria (PCN) licenses the pharmacy premises and the pharmacists.

What the Corporate Affairs Commission does

  • Registers companies — private and public companies limited by shares or by guarantee.
  • Registers business names — sole proprietorships and partnerships trading under a name.
  • Registers incorporated trustees — NGOs, associations, churches, foundations.
  • Maintains the companies register and keeps records of directors, shareholders and filings.
  • Issues certificates and numbers — the Certificate of Incorporation plus the RC (company) or BN (business name) number that identify the entity.

All of this runs under the Companies and Allied Matters Act (CAMA), the law that governs how businesses are formed and administered in Nigeria.

Business name vs limited company — which do you register?

For a drug-distribution or pharmaceutical business, the two common choices are:

  • Business Name (BN) — simplest and cheapest, suitable for a sole trader or small partnership. It does not create a separate legal person, so the owner is personally liable.
  • Limited Liability Company (Ltd) — a separate legal entity that limits the owners' liability, is expected by most suppliers and regulators, and is generally required to open corporate bank accounts and hold a PCN premises licence at scale. Most serious pharmaceutical distributors and every manufacturer register a limited company.

Dizpharm Nigeria Limited is a CAC-registered limited company — the standard structure for a NAFDAC-certified manufacturer.

What CAC registration costs

CAC fees are set by the Commission and depend on the entity type (business name vs company) and, for companies, the share capital. They are revised periodically, so there is no single flat figure. Registration is done online through the CAC portal, and payments are made electronically. Confirm the current fee schedule on cac.gov.ng before you budget.

Beyond the CAC fee itself, a pharmaceutical business should budget for the two regulators that come after it — NAFDAC (for products) and PCN (for premises) — which we cover in the PCN meaning & fees guide.

Where CAC fits in starting a pharmaceutical business

CAC is step one. The usual order for a Nigerian drug-distribution or manufacturing business is:

  1. CAC — register the company (get your RC number and certificate).
  2. NAFDAC — for the products you make or, as a distributor, verifying the products you carry are NAFDAC-registered.
  3. PCN — a licensed premises with a superintendent pharmacist if you handle prescription-only categories.

The full sequence, with the licences and the order to get them, is in our guide to starting a pharmaceutical distribution business in Nigeria.

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Wholesale catalogue

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Frequently asked questions

What is the full meaning of CAC?
CAC stands for the Corporate Affairs Commission — the Nigerian federal agency responsible for registering and regulating companies, business names and incorporated trustees under the Companies and Allied Matters Act (CAMA).
What does CAC do?
CAC registers businesses (limited companies, business names and incorporated trustees), maintains the national companies register, and issues the Certificate of Incorporation and registration number that make a business a legal entity. It regulates the entity, not products or premises.
What is an RC number?
RC stands for Registration (of a) Company. An RC number is the unique number CAC issues to a registered limited company on its Certificate of Incorporation. A registered business name (rather than a company) instead carries a BN number.
How much does CAC registration cost?
It varies by entity type and, for companies, by share capital, and the fees are revised periodically — so there is no single fixed figure. Registration is done online via the CAC portal. Confirm the current schedule on cac.gov.ng before budgeting.
Do I need CAC registration to start a pharmacy or drug-distribution business?
Yes. CAC registration is the first legal step — it creates the business entity you need before you can open corporate accounts, sign supplier agreements, register products with NAFDAC, or apply for a PCN premises licence. Most pharmaceutical distributors and every manufacturer register a limited company.
Is CAC the same as NAFDAC?
No. CAC (Corporate Affairs Commission) registers the business entity. NAFDAC registers and regulates the products — every medicine, food and water product carries a NAFDAC registration number. A pharmaceutical business needs both, plus PCN for licensed premises.

Sources & further reading

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