Nigeria free zones

Nigeria free trade zones

Healy Consultants assists our international Clients with Nigeria free trade zone company incorporation. Investors willing to start a Nigeria Free Trade Zone companies can do so in one of the following Nigeria export processing zones: Calabar free trade zone (CFTZ), Kano free trade zone (KFTZ), LADOL free zone, ALSCON expert processing zone, Onne oil and gas free zone, and Maigatari border free zone.

Advantages of a free zone company

    Register free zone company in Nigeria
  1. Nigeria boasts 14 operational Special Economic Zones, offering foreign companies i) a tax holiday on all taxes including federal, state, and local government taxes ii) duty free importation iii) 100% repatriation of capital, profits, and dividends;
  2. Business is simplified for such companies. These companies are exempt from all import and export licensing and all expatriate quotas, and one-stop approval is available for permits, operating licenses, and Nigeria business registration;
  3. All new industrial undertakings including foreign companies and individuals operating in a special economic zone, are allowed full tax holidays for three consecutive years.
  4. Calabar is designated as the primary zone in Nigeria. Government incentives include i) zero corporation tax ii) unrestricted remittance of profits and dividends iii) no import or export licenses required iv) up to 100% foreign ownership of enterprises v) sale of up to 25% of production is permitted in domestic market vi) all exports are vat zero-rated and vii) dividends received from investment in export-oriented businesses are to be free of tax.
  5. Companies formed in these zones are allowed to sell 100% of their goods into the domestic Nigerian market, while paying a significantly reduced import duty on manufactured goods sold domestically;
  6. Land is rent-free for the first 6 months, for any construction project undertaken in the zones.

Table comparing different special economic zones in Nigeria

Summary at a glanceCFTZKFTZLADOLALSCON
Average annual Industrial space rent per 1000 sq ftUS$5,100US$6,500US$6,200US$2,100
How long to set the company up?10 weeks10 weeks10 weeks10 weeks
How long to open company bank account?2 weeks2 weeks2 weeks2 weeks
Quality of utilitiesPoorAverageAveragePoor
Allowed to sign sales contracts with Nigerian ClientsYesYesYesYes
Allowed to invoice Nigerian ClientsYesYesYesYes
Corporate tax payable in Nigeria0%0%0%0%
Corporate bank accountSCBSCBSCBSCB
Physical office space requiredYesYesYesYes
Industrial space availabilityYesYesYesYes
Allowed to import raw materials?YesYesYesYes
Allowed to export goods?YesYesYesYes
Wholly foreign ownedYesYesYesYes
Can the entity hire expatriate staff in Nigeria?YesYesYesYes
Do you visit Nigeria for company incorporation?NoNoNoNo
Minimum number of directors2222
Minimum number of shareholders2222
Tax registration certificate requiredYesYesYesYes
Individual shareholders allowedYesYesYesYes
Corporate shareholders allowedYesYesYesYes
Corporate director(s) allowedNoNoNoNo
Public register of shareholders and directorsYesYesYesYes
LLC company allowedYesYesYesYes
Can apply for immigration visasYesYesYesYes
Annual audited financial statementsYesYesYesYes
Annual tax return to be submittedYesYesYesYes
Access to Nigeria double tax treatiesYesYesYesYes

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Frequently asked questions

Contact us

For additional information on our free trade zones services in Nigeria, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Paavan Chhabra, directly:
client relationship officer - Paavan
Central bank of Nigeria Nigeria customs service (NCS) Financial services regulation coordinating committee (FSRCC) in Nigeria The lagos chamber of commerce and industry Federal ministry of finance in Nigeria