The Affidavit of Business Closure is a crucial legal document required when ceasing business operations in Nigeria. It serves as an official sworn statement that provides detailed information about the business closure, including the reason for cessation, settlement of obligations, and compliance with regulatory requirements. This document is essential for proper business wind-up procedures and is typically required by various Nigerian authorities, including the Corporate Affairs Commission (CAC) and Federal Inland Revenue Service (FIRS). The affidavit must be sworn before a Commissioner for Oaths or Notary Public and should be prepared in accordance with the Nigerian Oaths Act and Companies and Allied Matters Act (CAMA) 2020. It provides legal protection by formally documenting the closure process and helps prevent future disputes regarding the business's status.
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1. Title and Jurisdiction: Specifies the type of affidavit and the jurisdiction (Nigerian High Court or Magistrate Court where the affidavit is being sworn)
2. Deponent Information: Full details of the person making the affidavit, including full name, age, religion (for oath purposes), occupation, and address
3. Business Details: Complete information about the business being closed, including registered name, RC number, business address, and type of business
4. Declaration of Authority: Statement establishing the deponent's authority to make the affidavit (e.g., as owner, director, or authorized representative)
5. Closure Details: Specific information about the closure including the effective date of closure and reasons for closing the business
6. Outstanding Obligations: Declaration regarding the status of all business obligations including taxes, debts, and employee entitlements
7. Verification Statement: Standard affirmation that the contents of the affidavit are true and correct
8. Jurat/Attestation: Official closing statement including date and location where the affidavit was sworn
1. Assets Disposal: Details of how business assets have been or will be disposed of, included when the business has significant assets
2. Employee Information: Details about employee terminations and settlements, required when the business had employees
3. Pending Litigation: Declaration of any ongoing legal proceedings, included when there are active legal matters
4. Branch Closure Details: Information about multiple location closures, required when business operated in multiple locations
5. Partner/Shareholder Resolution: Reference to partnership or shareholder resolution approving the closure, needed for partnerships or companies
1. Business Registration Documents: Copies of CAC registration certificates and other business registration documents
2. Tax Clearance Certificate: Most recent tax clearance certificate from Federal Inland Revenue Service
3. Notice of Closure: Copy of formal notice of closure submitted to relevant authorities
4. Final Financial Statement: Summary of final financial position of the business
5. Employee Settlement Documentation: Proof of settlement of employee entitlements and termination notices, if applicable
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