Stripe in Nigeria: US LLC or UK Ltd for Nigerian Founders

Do Nigerian founders need a US LLC or UK Ltd?

Not always. Stripe's global availability page lists Nigeria under its "Extended network" and sends Nigerian businesses to Paystack, which Stripe acquired in 2020. Paystack says it lets businesses based in Africa accept both local and international online payments, and that you can get paid out in USD. If most of your customers pay in naira by card, bank transfer or USSD, a Paystack account for your Nigerian business may be all you need.

A foreign company starts to make sense when your customers, platforms or investors are mainly in the US or UK. Paystack's own Nigeria page notes that some businesses use Paystack for local payments within Africa and Stripe for international payments by registering a US company. That is the pattern this page covers: a Nigerian business for local sales, and a US LLC or UK Ltd for foreign sales, each with its own filings.

What payment providers say about Nigeria

Stripe and Paystack

You cannot open a standard Stripe account for a Nigerian entity; Stripe routes Nigeria to Paystack. A US company can apply for a US Stripe account because Stripe says registered businesses must be registered in the US, even if you operate in another country. Stripe verifies the legal name, entity type, EIN and a physical business address. As a non-US owner you give your local non-US tax ID and supporting documents, which for most Nigerian founders means a Nigerian Tax Identification Number (TIN). Stripe reviews each case and can decline or close accounts.

PayPal

PayPal runs a Nigeria site, but its terms do not promise that a Nigerian account can receive money. The PayPal user agreement on its Nigeria site says the ability to receive payments varies by country or region and that you can check it by logging in to your account. Check your own account before you promise clients a PayPal option. Do not buy or rent a PayPal account in someone else's name: it breaks PayPal's terms and puts your balance at risk.

Payoneer

We could not find a Payoneer page that confirms current terms for Nigeria. Payoneer's sign-up FAQ says it is unable to support direct registrations from select countries and territories without publishing the list there, so check the sign-up flow and Payoneer's support before you rely on it.

Wise and Mercury

Nigeria is not on Wise's list of countries where you can hold money with Wise, so a personal Wise balance is not available to Nigerian residents. Whether Wise will verify a US or UK company whose owner lives in Nigeria is decided in Wise's own review. Mercury lists Nigeria on its prohibited countries page, so do not plan a US LLC around a Mercury account.

The US LLC route from Nigeria

A Nigerian citizen living in Nigeria can own 100% of a US LLC without visiting the US. The general rules are in our US LLC for non-residents guide; below is how they play out from Lagos, Abuja or anywhere else in Nigeria.

1. Pick a state

• Wyoming: $100 to file ($102.40 online with the 2.4% card fee) and an annual report of at least $60, due on the first day of your anniversary month. See the Wyoming LLC page.
• New Mexico: $50 to file, and the LLC Act fee section lists no annual report fee. See the New Mexico LLC page.
• Delaware: $110 to form and an annual LLC tax of $400 from the 2026 tax year, due each 1 June.

Each state needs a registered agent with a physical address there. Compare totals with our LLC state fee comparison.

2. Get an EIN by phone, fax or mail

The IRS online EIN form needs an SSN or ITIN and a US principal place of business, so from Nigeria you apply by phone, fax or mail. The Form SS-4 instructions give the international line 267-941-1099 (not toll free, 6:00 a.m. to 11:00 p.m. Eastern time, Monday to Friday, which is roughly late morning to the early hours in Nigeria) and the fax number 304-707-9471 for applicants outside the US. The EIN is free. Our EIN application service prepares the SS-4 and handles the submission.

3. File Form 5472 each year

A single-member LLC wholly owned by a foreign person files Form 5472 with a pro forma Form 1120 every year, even with no income. For a calendar year it is due 15 April (15 October with Form 7004). A foreign-owned disregarded entity cannot e-file it, so it goes by fax or mail. The penalty for not filing is $25,000 per form. The form asks for a foreign taxpayer identification number, if any, for each foreign owner, which is where your Nigerian TIN goes. Money you send to fund the LLC counts as a reportable transaction. See the Form 5472 guide.

US LLCs no longer file BOI reports, whoever owns them (BOI report 2026). Whether you owe US income tax depends on whether the LLC has a US trade or business, which a US tax professional should review.

The UK Ltd route from Nigeria

A UK Ltd suits founders whose clients are in the UK or Europe. GOV.UK says directors do not need to live in the UK, but the company must have a UK registered office.

• Identity verification: every new director verifies with Companies House before incorporation. GOV.UK One Login accepts a biometric passport from any country, so a Nigerian passport with a chip works in the GOV.UK ID Check app. The check is free and you do it yourself; we do not verify on your behalf. The other options are a UK Post Office visit or an Authorised Corporate Service Provider (ACSP). See our identity verification guide.
• Registered office: a physical UK address where post reaches someone acting for the company. HMRC posts the company UTR there, so choose a provider that scans mail.
• Fees: £100 to incorporate online and £50 a year for the confirmation statement.
• Tax returns: accounts and a Company Tax Return (CT600) within 12 months of each period end, filed with commercial software.
• VAT: a UK company run from Nigeria may be a non-established taxable person, which has no VAT threshold. See the VAT threshold guide.

Banking is the hard part. Revolut Business's list of eligible countries of residence for UK companies does not include Nigeria, and Tide asks for a UK mobile number and a device registered to a UK app store. The full process is on UK company formation for non-residents.

Nigeria-side rules: CBN and tax

We do not summarize Nigerian rules we could not confirm on an official source, so treat this section as a checklist for your bank and adviser, not as advice.

Central Bank of Nigeria

The Central Bank of Nigeria (CBN) sets the foreign exchange rules for money coming into and leaving Nigeria, and publishes them as circulars on cbn.gov.ng. We could not confirm the current text of the relevant rules from that site, so we do not state them here. Before you fund or use a foreign company, ask your Nigerian bank and a local adviser:

• how to send the formation fee and first capital to the new company, and what paperwork the bank needs;
• how payments from your own US LLC or UK Ltd are treated when they arrive in a domiciliary (foreign currency) account;
• what records to keep so that each inflow can be explained later.

Nigerian tax

The federal tax authority has changed its name: the Federal Inland Revenue Service has transitioned to the Nigeria Revenue Service (NRS), now at nrs.gov.ng. Older articles that quote FIRS rules may be out of date. Whether you are tax resident in Nigeria, how profits of a foreign company you own are taxed in your hands, and how to report it are questions for a Nigerian tax adviser. Forming the company abroad does not settle them.

Common mistakes Nigerian founders make

• Forming a US LLC only to open Mercury, then finding Nigeria on Mercury's prohibited list.
• Assuming Paystack and Stripe are the same account. Paystack serves your Nigerian business; a US Stripe account belongs to your US company.
• Giving a registered agent address as the business address on Stripe or bank forms.
• Leaving the Nigerian TIN off Stripe and Form 5472 when you have one.
• Skipping Form 5472 in a year with no sales. The $25,000 penalty still applies.
• Buying a "verified" PayPal or Stripe account in another person's name.
• Choosing a UK Ltd without a registered office that forwards HMRC letters.

Official costs at a glance

Government fees only. Our service fees are on the pricing page.

Not sure which suits you? Try the US LLC or UK Ltd quiz, see how it works, and read how we protect passport scans on our security page.

Sources

• Stripe: Global availability
• Paystack: Stripe in Nigeria
• Stripe Support: Requirements for having a US Stripe account
• Stripe Support: Business representative and owner tax ID requirements for US companies
• PayPal Nigeria: User Agreement
• Payoneer: Signing up to Payoneer FAQ
• Wise Help: Where do I need to live to hold money with Wise?
• Mercury: Prohibited countries
• Wyoming Secretary of State: Business fees
• New Mexico Statutes: Section 53-19-63, fees
• Delaware Division of Corporations: Fee schedule (August 2026)
• Delaware Division of Corporations: LLC, LP and GP tax instructions
• IRS: Get an employer identification number
• IRS: Instructions for Form SS-4
• IRS: Instructions for Form 5472
• GOV.UK: Appoint directors and a company secretary
• GOV.UK: Verify your identity for Companies House
• GOV.UK: Company address
• GOV.UK: Companies House fees
• GOV.UK: Company Tax Returns
• HMRC: VAT Registration Manual, VATREG37150
• Revolut Business: Eligible countries of residence
• Tide: Can I apply from abroad?
• Central Bank of Nigeria: Circulars
• Federal Inland Revenue Service: Transition notice to the Nigeria Revenue Service
• Nigeria Revenue Service: Official website

Fees, deadlines and rules on this page were last checked on 27 September 2026.