Over the last 2 – 5 years, the
beauty industry in Nigeria has witnessed a lot of new entrants, consisting of
both small businesses and well established brands. According to Temitope
Mayegun of Avila Natural Products, reports state that the global cosmetic
product market was around $532 billion in 2017 and is expected to reach
approximately $836 billion in 2024 with an inclusion of the Nigerian beauty
market in 2018 estimated at N500
Billion annually.
Also according to Kosmetica
World, Nigeria has become a destination of choice for investment by international
companies that aim to seize the opportunities presented by the beauty and
personal care markets.
This definitely means that the
beauty industry in Nigeria is set to witness more growth and a continuous flow of
injected capital by both big and small players within the industry. As much as entrepreneurs
and businesses are willing to come into the business, it is important to note
the following legal tips.
1.
Register
Your Business
You
should register your business at the Corporate Affairs Commission either as a
Sole Proprietor or Limited Liability Company. Benefits of registering your
company include; opening bank accounts for your business, getting loans, and builds
customer confidence.
2.
Trademark
Your Name and Logo
Register
your trademark to help protect the name and logo of your brand. This ensures
you have exclusive rights over your name and logo and also provides protection
from infringement.
3.
NAFDAC
Registration
Register
your product with NAFDAC (National Agency for Food and Drug Administration and Control).
NAFDAC has displayed on its website, guidelines and regulatory documents for
the manufacture, importation, distribution, sale and use of cosmetic products
in Nigeria.
4.
Keep
Records
Keep
records of all transactions and treatment procedures given to clients. This can
also help save your business from reputational damage should a client bring a
false claim of injury resulting from use of your products.
5.
Maintain
Standards
Ensure
your product meets the requisite standards, recently a popular cosmetic brand
was in the news because some of the clients reported complications following
the procedures.
As the cosmetic industry
continues to grow, there are a couple of legal issues that may crop up for
players in the industry, should you have any questions, do post a comment or
contact via email at AOCSolicitors@gmail.com
@AOCLegal