How to Register a Cooperative Society with NRBVN

How to Register a Cooperative Society with NRBVN

Cooperative societies have long been a lifeline for Nigerians both at home and abroad. They allow members to pool resources, access loans, invest collectively, and create sustainable financial opportunities. For Nigerians living overseas, setting up a cooperative society can be even more valuable, especially when the aim is to support family back home, invest in community projects, or run diaspora-focused initiatives.

However, one of the biggest challenges diaspora Nigerians face is meeting the financial compliance requirements in Nigeria without physically travelling home. This is where the Non-Resident Bank Verification Number (NRBVN) comes in.

With NRBVN, Nigerians abroad can open and operate Nigerian bank accounts, manage cooperative society funds, and fulfill the regulatory identification requirements all without stepping foot in Nigeria. In this article, we’ll explain in clear and confident detail how to register a cooperative society using NRBVN, the legal steps involved, and how to ensure your society is compliant and operational.

Understanding the Basics

What is a Cooperative Society? 

A cooperative society is an association of people who voluntarily come together to meet common economic, social, and cultural needs through a jointly owned and democratically controlled enterprise. In Nigeria, cooperatives are regulated by state cooperative departments and registered under the Nigerian Cooperative Societies Act

Types of cooperative societies include:

Savings and Credit Cooperatives (SACCOs)

Multipurpose Cooperatives

Agricultural Cooperatives

Housing Cooperatives

Workers’ Cooperatives

Investment Cooperatives

For diaspora Nigerians, cooperative societies can:

Help members save collectively.

Fund community development projects in Nigeria.

Provide loans and grants to members back home.

Facilitate joint investments in agriculture, real estate, or SMEs.

What is NRBVN and Why is it Important?

The Non-Resident Bank Verification Number (NRBVN) is a special BVN issued to Nigerians living abroad who do not have an existing BVN. It allows them to:

Open Nigerian bank accounts remotely.

Comply with CBN’s Know-Your-Customer (KYC) requirements.

Participate in financial transactions within Nigeria from overseas.

Serve as the official financial identity for cooperative registration.

Without NRBVN, a diaspora-led cooperative society may face delays in account opening, fund management, and compliance approvals.

Step-by-Step Guide to Registering a Cooperative Society Using NRBVN

Step 1 – Determine the Type and Purpose of Your Cooperative

Before starting the registration process, decide:

Type: Savings, investment, housing, agricultural, or multipurpose.

Purpose: What problem will the cooperative solve for members? Is it primarily for investment, credit access, or community development?

Target Membership: Nigerians abroad, family members in Nigeria, or a mix of both.

Having a clear vision is crucial because the registration process will require a written constitution and bylaws that reflect your objectives.

Step 2 – Form Your Founding Members Group

Under Nigerian cooperative law:

At least 10 members are required to register most cooperative societies.

All members must have verifiable identification.

For diaspora Nigerians, this means:

NRBVN for those abroad without BVN.

BVN for members in Nigeria.

Valid passport or National ID for all members.

Your founding members should agree on:

The name of the society.

Membership requirements.

Roles and responsibilities.

Initial contributions (share capital or savings).

Step 3 – Obtain NRBVNs for Diaspora Members

If some or all founding members live abroad without BVNs:

1. Apply for NRBVN through a Nigerian bank offering diaspora BVN services.

2. Provide:

Valid Nigerian passport.

Proof of address abroad.

Passport photograph.

Completed NRBVN enrolment form.

3. Complete biometric verification at an approved diaspora BVN enrollment center.

Tip: All cooperative signatories (e.g., Chairperson, Secretary, Treasurer) who live abroad should have NRBVNs to enable smooth bank account opening later.

Step 4 – Draft the Cooperative Constitution and Bylaws

Your constitution is the legal framework of your society. It must include:

Name of the society.

Objectives and purpose.

Membership criteria and rights.

Capital structure and savings requirements.

Loan and investment rules.

Management structure and election process.

Conflict resolution methods.

Meeting schedules.

Note: Make sure to reference that members abroad are identified through NRBVN to show compliance.

Step 5 – Apply to the State Cooperative Department

Cooperative registration in Nigeria is handled at the state level:

1. Submit a formal application addressed to the Director of Cooperatives in the state where your society will be based.

2. Attach:

Completed application form.

Society constitution and bylaws.

 List of members with BVN or NRBVN details.

 Passport photographs of members.

Proof of meeting minutes where the society was formed

3. Pay the registration fee (varies by state).

The cooperative department will review your documents and may send an officer to verify the society’s existence and purpose.

Step 6 – Obtain Your Certificate of Registration

Step 7 – Open a Cooperative Bank Account Using NRBVN

Now that you have your certificate:

1. Choose a Nigerian bank that supports diaspora account opening.

2. Submit:

Certificate of Registration.

Society constitution.

Resolution to open the account.

Signatories’ BVN or NRBVN.

Valid IDs.

3. The NRBVN will serve as the KYC document for diaspora members.

Why This Step is Critical: Without a bank account, your cooperative cannot collect or disburse funds legally.

Advantages of Using NRBVN in Cooperative Society Registration

1. Remote Accessibility

Members abroad can participate fully without travelling to Nigeria.

2. Regulatory Compliance

Meets the CBN and cooperative department’s KYC requirements.

3. Financial Transparency

All transactions can be tracked and audited through Nigerian bank systems.

4. Inclusive Membership

Allows both Nigerians abroad and in Nigeria to be part of the same society.

5. Faster Fund Transfers

Easier to move funds between members abroad and the cooperative’s account.

Challenges and How to Overcome Them

Slow NRBVN Processing:

Start applications early and use approved enrollment centers.

State-by-State Differences:

Each Nigerian state has slightly different cooperative laws. Consult the cooperative department of your target state before applying.

Member Verification:

Ensure all members’ BVN or NRBVN details match their identification documents to avoid account opening delays.

Practical Tips for Diaspora Nigerians Starting a Cooperative

Use online platforms (Zoom, WhatsApp groups) for meetings before registration.

Keep digital copies of all cooperative documents.

Consider appointing a Nigerian-based representative to liaise with the cooperative department.

Maintain proper accounting records from day one.

Conclusion

Registering a cooperative society as a Nigerian in the diaspora is no longer a logistical nightmare. With NRBVN, you can complete key steps from member verification to bank account opening without leaving your country of residence.

By following the steps outlined in this guide, you can create a legally recognized cooperative society that brings together Nigerians abroad and at home, pooling resources for economic empowerment and community development. The Non-Resident Bank Verification Number isn’t just an identification tool it’s a gateway to financial inclusion and cooperative growth for the Nigerian diaspora.