How International Entities can conduct corporate investigations into Nigerian companies

How International Entities Can Conduct Corporate Investigations into Nigerian Companies

Doing business across borders comes with risk—and nowhere is that risk more visible than in emerging markets where corporate information isn’t always straightforward. Nigeria is one of Africa’s largest economies, boasting of one its most dynamic commercial hubs [through Lagos, Nigeria]. This helps Nigeria attract global trade, investment, and partnerships. But aside the euphoria of closing a new cross-border deal, how can an international entity verify who they’re really dealing with?

At Kabbiz Global, we support foreign companies, law firms, and compliance teams in uncovering the critical facts about Nigerian companies before deals are signed or funds are transferred. Whether you’re looking to vet a potential supplier, evaluate a joint venture partner, or trace the ownership of a company, this article lays out exactly how international entities can conduct legally sound, discreet, and actionable corporate investigations into Nigerian entities.

Why Corporate Investigations Matter in Nigeria

Nigeria presents opportunity for any Corporation or individual ready to head into the country to do business — but Nigeria also presents opacity in equal measure. Shell companies, inactive directors, shadow directors, deceased directors, and even vague operational claims carried on in non-existent addresses are not uncommon. For international firms, conducting an investigation into their local counterpart before entering commercial arrangements is not just good practice—it can be a regulatory requirement in your home jurisdiction.

Common reasons clients engage us include:

1. Pre-deal due diligence (M\&A, partnerships, distributor onboarding)
2. Verifying legitimacy of Nigerian suppliers or manufacturers
3. Investigating export or import fraud
4. Tracing the beneficial owners of companies
5. Tracing the ownership history and corporate filing histories of companies
6. Assessing litigation exposure or regulatory non-compliance with any applicable Nigerian regulators

What Kind of Information Can Be Uncovered from Corporate Investigations?

Depending on the scope of your investigation, you may be able to uncover:

1. Corporate filings with the Nigerian Corporate Affairs Commission (CAC): It is possible to check compliance with CAC filing requirements, including a company’s years of compliance with filing annual returns. You can uncover company name changes, changes in registered address, changes in directors, secretaries, share holding, among others.
2. Names and addresses of directors and shareholders of companies
3. Tax and regulatory compliance status (including with the FIRS and industry regulators)
4. Litigation history and court records. Confirming litigation history requires prior knowledge of the Court cases a specific entity is involved in or has been involved in, including the jurisdictions where such Actions were instituted. As aforementioned, Nigeria presents a lot of opacity and there are centralized Registry records where one can search for and find case histories for specific entities. In other words, fore knowledge of the specific cases a company is involved in is important; that’s what aids investigation into the case file of such cases to ascertain the status, among other.
5. Negative media coverage
6. Physical office verification or staff presence (where requested): Verification of company offices are particularly important, as some shady individuals may present specific addresses as their business offices even though they are not located there or affiliated to the said offices [even if it’s the use of the address as virtual office addresses]. So, where required, investigations can cover that scope as well to really ascertain if a company carries on business at a specific address.

All these data, when pooled from both public and private source, surely forms the basis of reliable Intelligence gathering and reporting.

How to Investigate a Nigerian Company

Here are some of the methods we use—or advise foreign entities to consider:

1. Registry & Filing Searches:

Access to Nigeria’s CAC database can reveal official registration details, company status, and history of filings. We maintain direct access as we are CAC-accredited agents and can access company records to find out necessary and relevant information.

2. Director and Ownership Analysis:

Shareholder and directorship structures can indicate shell entities, cross-holdings, or nominee appointments.

3. Litigation & Dispute Profiling:

A company might have no public warnings but be involved in multiple active lawsuits—particularly for debt, fraud, or breach of contract issues. With the necessary information, we can conduct search at relevant court registries, including the High Courts, the National Industrial Court and the Federal High Court.

4. Operational Footprint Verification:

All companies provide operational addresses during negotiations, et cetera. Now,  it is important to ask these questions: does a company actually operate from its stated address? Are you sure the company is actually conducting business at their stated address or merely using it as a placeholder? Have they moved from their address without updating their details on public Corporate Records? Do they maintain staff, stock, or real transactions? Field checks to those addresses (where needed) offer physical confirmation of company claims.

5. Media & Digital Profiling:

In recent times, Nigerians prefer taking to social media and dedicated investigative sites to air their grievances about fraudulent entities. It’s a “name them and shame them” tactic employed to get quick results. As such, news stories and digital footprints of companies already online can all flag reputational red flags.

Common Challenges in Nigerian Corporate Investigations

Let’s be honest—conducting corporate investigations in Nigeria isn’t always straightforward. While there’s an increasing push toward transparency and digitized records from many Nigerian regulatory agencies, with the CAC leading the push, the reality on the ground is that several systemic and structural issues make investigations complex. Here are a few challenges international entities should be aware of:

1. Incomplete or Outdated Public Records

Nigeria’s Corporate Affairs Commission (CAC) database has improved over the years, but not all filings are digitized or current. Although all entities currently being incorporated have their entire details and records with the CAC online on the CAC portal, the same cannot be said for older companies that have not updated their details on the portal. CAC on its own makes no push to update these entities as well. Some companies may fail to update changes in directorship, shareholding, or registered address—even years after such changes occur. This can create a misleading picture of a company’s current state unless verified with supporting sources.

2. Use of Nominee Directors and Shareholders

It’s common for Nigerian companies to appoint nominee directors or shareholders who serve as placeholders. This makes it difficult to identify the true beneficial owner of the business—particularly in cases where the entity is being used to obscure identity, avoid liability, or skirt regulatory scrutiny. The CAC requires persons with significant control to be disclosed, but many won’t and don’t.

3. Shell Companies and Paper Entities

Some registered companies have little to no real business operations. They exist on paper but have no physical office, no employees, and no assets. These shell structures may be used to win contracts, bid for tenders, or receive international payments before disappearing. Unfortunately, many of them are operated by politically exposed persons who use them for the above-mentioned reasons.

4. Data Fragmentation Across Agencies

There’s no single “all-in-one” portal in Nigeria where you can verify everything about a company. Information is siloed across different regulatory bodies: CAC, FIRS, NAFDAC, NIPC, SON, and various sector-specific commissions. Each has its own format, process, and timeline for accessing data. Thus, to conduct corporate investigations across those agencies, you have to visit them one after the other, and this process can be tiring and expensive.

5. Lack of Reliable Litigation Records Online

While some Nigerian court systems have started publishing judgments online and even allowing parties to file cases online [Port Harcourt and Delta State have such new innovations] many court records—especially in the states—are still manually archived. This limits the ability of foreign entities to independently detect whether a company is embroiled in serious litigation or facing enforcement actions. They would have to be sure of the cases their local counterparts are involved in, then engage investigations to search the case file of those cases.

6. Cultural and Operational Hurdles

Finally, many international firms underestimate the time, tone, and tact required to gather sensitive business intelligence in Nigeria. Calling a company to “verify” their registration may alert them prematurely. Asking questions in the wrong way can lead to silence, defensiveness, or even a denial of legitimate information.

How Kabbiz Global Can Help — and Why It Matters

At Kabbiz Global, we help international firms see past the surface of submitted. Whether you’re a law firm, investor, compliance officer, or procurement team, we deliver corporate intelligence on Nigerian companies—fast.

From verifying CAC filings and director histories to tracing litigation, red flags, or shell structures, our reports are built for decision-makers who can’t afford guesswork. We bridge the gap between what’s publicly stated and what’s actually happening on the ground—drawing on a mix of registry access, local intelligence, and legal-commercial insight.

We’ve supported clients across India, Europe, and the Middle East—most recently helping an Indian law firm uncover critical background details before engaging a Nigerian party. That single report saved time, mitigated risk, and built lasting trust.

If you’re currently evaluating a Nigerian entity, or simply want to future-proof your decisions, our team is ready. Our professionals and lawyers at Kabbiz Global Nominees Limited are CAC-accredited agents and seasoned compliance professionals who understand all the requirements from the CAC. We can help you with your changes in your company address. For professional assistance, please send an email to us at [email protected] so we can help you manage the process.

You can also call us on +2348064231176 or click here to chat us up on WhatsApp. We ensure respond to all business enquiries within twenty-four hours, max.