Nigeria has experienced a remarkable surge in startup activity, but many of these startups do not survive  beyond their formative years. This is because entrepreneurs often focus on two priorities: funding and talent.  while neglecting the critical place of legal advice that sustains long term growth.

While many startups in Nigeria celebrate incorporation with the Corporate Affairs Commission (CAC) as a major milestone, it is merely the first step in a long legal journey. This is because incorporation on its own does not protect brands/trademarks, prevent disputes over intellectual property, ownership, or ensure regulatory compliance.

Without a sound legal framework, startups risk losing their brand identity, investor confidence, and even control of their company.

This paper explores the role of lawyers at each different stage of the startup journey, identifies common pitfalls, and highlights key lessons from the Nigerian business environment.

Incorporation Is Not the End

• Trademark vulnerability

 CAC registration allows a business to operate legally, open bank accounts, and pay taxes, but it does not grant exclusive ownership or rights to a brand name or identity. The recent and well-known Fastest Cakes  dispute best illustrates this. In that dispute, the company, though incorporated under the name Fastest Cakes Limited, faced a trademark battle against  another party that had successfully registered Fastest Cakes as a trademark. Because trademark law takes precedence over mere incorporation, Fastest Caked Limited lost the right to operate under that  name. Trademark registration provides an exclusive commercial right to a brand name across the entire country, allowing the owner to prevent others from using the name.

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