How to Open a Business Account in Nigeria in Just 5 Minutes

Are you a budding entrepreneur in Nigeria? or one receiving payments from Nigerian customers?

Are you in need of a quick business bank account to help facilitate your business transactions?

If yes, then you are in luck.

In this article, we’ll look at how you can open a business bank account for your Nigerian business in just 5 minutes.

As long as you have a registered business in Nigeria, opening a business bank account shouldn’t be any stressful.

The Problem of Opening a Business Bank Account in Nigeria

The first time I opened a business bank account in Nigeria, the process left a bad taste in my mouth.

I had to first get all my documents ready, visit the bank branch, submit a recent utility bill, pay for the bank to search and confirm the legitimacy of my business documents, and then provide 2 references.

For a budding business or startup in Nigeria, this process is not only cumbersome, but obsolete.

In the 21st century, some of these checks should be done using alternative methods that do not burden the entrepreneur.

For example, as a new business, I couldn’t find references with corporate bank accounts to vouch for me.

What I had to do was approach some corporate bank customers at the branch, who to my excitement, were willing to help because they understand the unnecessity of the whole process.

New Options for Corporate Banking in Nigeria

With the growth of technology and its growing adoption in Nigeria, several tech players are beginning to solve some of the problems of corporate banking in Nigeria.

Though these solutions still plugin to the traditional banks, they help to remove many of the bottlenecks that plague entrepreneurs who want to open a corporate bank account.

With these developments, it’s now possible to open a bank account right from your couch in just 5 minutes.

Let’s see some of the available solutions.

Prospa

Prospa is the new tech in town that promises fast business account opening for Nigerian businesses from anywhere.

As long as your business is registered with the Corporate Affairs Commission (CAC) in Nigeria and has a Tax Identification Number (TIN), then you can open a business account with Prospa.

It doesn’t matter whether you are in Nigeria or anywhere in the world. As long as you have access to the internet, you can open a corporate account with Prospa in minutes.

What I like about Prospa is that their business account is free to open and they wouldn’t charge a business search fee like the traditional banks.

Also, they give you ample time to provide your business references. They understand that you could be a new business and may need time to get reputable references for your business.

I think that’s astute.

Propa partners with NDIC-insured banks such as Providus Bank and Alpha Kapital Microfinance Bank.

So, your business account with them is insured up to the NDIC limit.

Flutterwave Merchant Account

Flutterwave is quite popular for businesses looking to accept payment online.

So, this option is almost a no-brainer for digital businesses operating in Nigeria.

With Flutterwave Merchant, all you need are your business registration documents. They do not require any search fee or references.

Flutterwave partners with Wema Bank, which is an NDIC-insured bank, as such, your business account with them is insured up to the NDIC limit.

Combining Both Options

While Prospa gives your business the tools to manage customers and employees, it’s quite limited in terms of accepting payments.

You can only accept payments on your Prospa business account via local transfers. 

This means that international payments can’t be received and you cannot get paid by bank deposits.

Flutterwave Merchant on the other covers all these flaws, although it is quite lacking in the area of providing sufficient business account management tools.

With a flutterwave Merchant account, you can receive payments via transfers, bank deposits, and international payments. So, that gives you a lot of options if you have a wide variety of clientele.

A good way to get the best of your business accounts on both platforms is to combine both.

This way, you get the right platform for managing your business transactions, as well as leverage different payment channels for your business.

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