Incorporation of a company is governed by the provisions laid out in the Companies and Allied Matters Act , Cap. C20, Laws of the Federation of Nigeria , 2004 , which defines a company as an association of persons formed for the purpose of doing business. A company has a separate legal entity distinct from its members who constitute it. In other words, It has its own rights and duties and is endowed with the potential of perpetual succession, that is, once formed, a company will continue until such time as it is wound up. There are several types of companies categorized on the basis of business activity undertaken such as manufacturing company, service company, Non-Banking Financial Company ( NBFC ), charitable company, government company, one person company (sole-proprietorship), private limited company and public limited company. A company offers several advantages over other forms of business organizations, such as : A company is a legal entity, distinct and in