The Rising Profile of a Promoter in the Life of A Company: The Nigerian view point

Abstract

The article examined the fact that a company is brought into existence through the activities of persons called the promoters, who take various steps necessary for the establishment of the company. They painstaking undertake to assembly relevant documents to get the company operational. The Companies and Allied Matters Act of Nigeria 2014, has made it mandatory though with certain exceptions, that for a syndicate of more than twenty persons to be carrying out any business for profit or gain it must be registered as a company under the Act. In this wise, text books, text writers, cases both reported and unreported were consulted. The article sought to argue that the promotion of a company is usually a preliminary incidental to the formation of the company, and as such contributes to the growth, enlargement or prosperity of a particular company by encouraging its advancement with the consciousness of the concept of corporate governance as obtainable in more advanced economies. The article argued further that that the promoter remains a human agent, whose activities often give birth to the company as a legal entity.

Keywords: Promoter, legal entity, incidental, corporate personality, advancement.