Nigerian President Bola Tinubu has summoned the Economic Community of West Africa States (ECOWAS) for a fresh meeting, following the expiration of the 7-day deadline given to the Niger Republic’s military junta to restore Mohamed Bazoum as president or face military intervention.

The notice of the meeting, which is to be held in Abuja, Nigeria’s capital, on August 10, was sent on Monday by Tinubu, who doubles as the chairman of ECOWAS.

“President Bola Ahmed Tinubu, President of the Federal Republic of Nigeria and Chairman of the Authority of Heads of State and Government of the Economic Community of West African States (ECOWAS) has convened another Extraordinary Summit of the Authority on the political situation in the Republic of Niger.

The Summit will be held in Abuja, on Thursday, August 10, 2023.”

“The ECOWAS Leaders will be considering and discussing the political situation and recent developments in Niger during the Summit,” a statement issued by the regional body reads.

The fresh meeting is prompted by the growing calls for ECOWAS to jettison its plan for military action in Niger. The regional bloc had last week, announced it’s prioritizing diplomacy over military action in its attempt to resolve the crisis.

Also, the Nigerian Senate on Saturday rejected Tinubu’s request for the redeployment of troops to Niger, asking the president to explore other dialogue-based options in the quest to restore democracy in the West African country.

Since the coup led by the presidential guards on July 26, the West, led by France, has been mounting pressure on Nigeria to intervene militarily to restore Bazoum.
However, following the expiration of the ECOWAS deadline on Sunday, the Niger military junta has reportedly brought in reinforcements to Niamey, the country’s capital in preparation for a possible military invasion in the country by the ECOWAS.

According to information from a military insider shared with CNN, a convoy comprising approximately 40 pickup trucks arrived after sunset on Sunday. These vehicles transported troops from various regions of the country, serving the dual purpose of instilling confidence among the apprehensive civilian population and making necessary arrangements for any potential confrontations.

It was also reported that mercenaries from the Russian Wagner group, a military contractor group, have arrived in Niger to support its military.

Amid the looming specter of military intervention, the nation’s airspace has been closed by the military authorities. Heightened unease and bewilderment have taken hold in the northern expanse of Nigeria, particularly within the seven states sharing borders with Niger.

President Bazoum remains in captivity, as the reins of power in Niger are still firmly grasped by the National Council for the Safeguard of the Homeland, the junta’s official designation.

The junta has rallied thousands of Nigeriens to Niamey, the country’s capital, in support of the military. The military takeover is widely seen by the citizens as a way of relieving the country from France’s grip. The military leaders have cut off the supply of uranium to France.

The contemporary conversation on technology makes it look like the world of atoms and the old-age industrial economy have all gone. Yes, digital and specifically online will rule the future, and software will eat and save the world. But if you look deeper, you will notice one thing: the bulk of wealth in places like Nigeria and Africa in general remains offline. And the richest in these areas are old-school businessmen who continue to pursue the boring entrepreneurial pursuits of the industrial economy. Sure, online will come, but it will not happen tomorrow! You must work to capture value today even  as you prepare for tomorrow’s redesign! 

Statistically, you are more likely to be richer on CASH in Nigeria if your business involves the boring domains of the industrial economy (shipping, logistics, farming, manufacturing, real estate, food production, cement production, etc) than running all-online business. So, while the digital’s online promises the future, today, the opportunities remain on those physical platforms which power economies. People pay premiums for those offline engines of economies.

For all the excitements about Meta (Facebook), Apple, Google, etc, remember the boring builders like Warren Buffett: “Warren Buffett-led conglomerate saw net income of nearly $36 billion in the second quarter, and an overall profit of the same amount….Berkshire Hathaway finished the second quarter with $147.4 billion in cash and cash equivalents, which is a near-record.” Yes, in 3 months, one company’s profit was Nigeria’s annual budget – and he does not have an app!

No matter what you do in Nigeria, if you do not have a PHYSICAL (offline) playbook, you will likely not do very well.  The best fintech companies in Nigeria are those with strong physical-space strategy despite the apps store and websites. The best logistics companies have human elements at strategic hubs despite their apps.

Simply, if you think you can win by just launching an app or having a website, you are dreaming, because every business is local, and today, the physical space remains the pulse in Nigeria, as the best customers are not yet online at scale. Sure, the students will give you downloads, but to have alerts in the bank, you need to go offline.

Berkshire Hathaway on Saturday posted its highest-ever quarterly operating profit of $10.04 billion, a 7% increase from a year earlier. The Warren Buffett-led conglomerate saw net income of nearly $36 billion in the second quarter, and an overall profit of the same amount. Its insurance businesses, including car insurer Geico, were a big driver of the quarter’s successes, and helped offset losses in some of the company’s other divisions — such as the BNSF railroad, which saw a 24% overall profit drop thanks to lower consumer-goods shipments and price competition from the trucking industry. Berkshire Hathaway finished the second quarter with $147.4 billion in cash and cash equivalents, which is a near-record. The conglomerate repurchased $1.4 billion in stock in the second quarter, which is a significant drop from $4.4 billion in the first quarter.

Go Offline and find those customers! At the meatspace (physical space), you will find the entities required to expand your user base. At Offline, you will discover clusters to onboard thousands of users, instead of just one client at a time. Offline is the real world; the online is simply an extension when it comes to Africa. Have an offline strategy.

The mission is clear: reduce the transportation burden in Nigeria by making it possible for people to share: “This innovative app connects car owners traveling to work or other destinations with verified passengers heading in the same direction. The brilliance of MyCoPilot lies in its simplicity—users input their destination and travel date, and in an instant, they’re matched with nearby car owners with available seats. The app’s smart algorithms optimize routes and pricing, resulting in significant savings for passengers and extra income for car owners.”

Good People, I am happy to provide an assist now that the team has launched.  When Jeff Chizoba and team came to Tekedia Startup Masterclass, it was just an idea. Today, they’ve launched, and we celebrate with them, just as we do with dozens of founders who begin at our Institute. Celebrate them by trying their product; download here .

Press Release

MyCoPilot: The Simple App Transforming Transportation in Nigeria

In the Igbo Nation, there is a saying: “when the piglet begins to grow and wonders why the mouth of the mother is so big, just give it time, because over time, its mouth will also become big.”

This timeless proverb reminds us that change is a constant, and as new players enter the field, the dynamics of competition in any industry can shift dramatically. Such is the case in Nigeria’s transportation sector, where a groundbreaking app called MyCoPilot is making waves and challenging the status quo and helping Nigerians cushion the effect of the current challenging economic climate

With transportation costs choking many Nigerians, MyCoPilot has emerged as a game-changer. This innovative app connects car owners traveling to work or other destinations with verified passengers heading in the same direction. The brilliance of MyCoPilot lies in its simplicity—users input their destination and travel date, and in an instant, they’re matched with nearby car owners with available seats. The app’s smart algorithms optimize routes and pricing, resulting in significant savings for passengers and extra income for car owners.

Jeff Chizoba, the visionary Founder of MyCoPilot, emphasizes the transformative potential of the app: “Transportation has become one of the most pressing challenges for Nigerians.

MyCoPilot is reshaping lives by making travel cheaper, safer, more comfortable, and profitable for the average Nigerian.”

The financial impact of MyCoPilot is undeniable. Car owners simply going to work can earn more than ?600,000 monthly by offering rides through the app, while verified passengers can save up to 50% of their monthly transport expenses—an impressive supplement to their regular income.

Yet, MyCoPilot goes beyond just cost-effective transportation. It offers users added benefits, such as health insurance coverage and access to scholarships for their children or dependents, creating a holistic solution for those seeking more than just a ride.

Safety?

Nigerians are very smart and cautious people. This is why safety and security are top priorities for MyCoPilot, and the app’s robust security processes  ensures that all users undergo thorough verification using government-issued IDs and facial recognition, and address verification To make it even safer, an emergency button feature allows users to quickly alert emergency response services if necessary, providing peace of mind during the journey.

Vehicle quality is equally important, and MyCoPilot leaves no room for compromise. The app meticulously verifies car owners and only accepts private cars in good condition, ensuring a comfortable and secure travel experience for passengers. With driver and travel experience ratings, the standard can only get better.

MyCoPilot’s impact on Nigerian transportation is undeniable, and its success is evident from its recent media features, including those on popular radio stations like Nigeria Info, WaZoBia, Bond FM and Jordan FM where the marketing director, Emmanuel Nwanja smartly summarized that “With MyCoPilot, as a working-class Nigerian, you get paid before you get  to work”. The app’s revolutionary approach to ride-sharing is catching the attention of leading media houses, heralding a new era of transportation in Nigeria.

There is no reason why you should have a car in Nigeria today and not consider using the MyCoPilot app for some of your movements if not all. If you are intrigued by this transportation revolution, MyCoPilot can be accessed through their official website at www.mycopilot.ng or directly downloaded from https://mycopilot.ng/download And you can also reach them on any of their social media handles @mycopilotng, WhatsApp at https://wa.me/+2347055550077 or on Telegram, https://t.me/mycopilot.

As the tech landscape in Nigeria continues to evolve, MyCoPilot stands as a shining example of how innovative solutions can transform an entire industry, making life easier and more prosperous for millions. So, just like the piglet growing up to understand why its mother’s mouth is so big, the convergence of MyCoPilot’s success with the giants of tech might just be a matter of time.

This article will be focused on the auditors under the Companies and Allied Matters Act (CAMA) 2020, particularly the topics of :-

– The duties and powers of an auditor under the act

– The required qualification of auditors under the act

– The audit committee

– Exemption of companies from audit requirements.

What are the provisions of the act on the appointment of auditors?

The act provides that :- 

-Every company shall at each annual general meeting appoint an auditor or auditors to audit the financial statements of the company, and to hold office from the conclusion of that, until the conclusion of the next, annual general meeting.

-At any annual general meeting a retiring auditor, however appointed, shall be re-appointed without any resolution being passed unless- 

(a) he is not qualified for re-appointment ;

(b) a resolution has been passed at that meeting appointing some other person instead of him or providing expressly that he shall not be re-appointed ; or 

(c) he has given the company notice in writing of his unwillingness to be re- appointed: Provided that where notice is given of an intended resolution to appoint some person or persons in place of a retiring auditor, and by reason of the death, incapacity or disqualification of that person or of all those persons, as the case may be, the resolution cannot be proceeded with, the retiring auditor shall not be automatically re-appointed by virtue of this subsection.

-Where at an annual general meeting, no auditors are appointed or reappointed, the directors may appoint a person to fill the vacancy. 

-The company shall, within one week of the power of the directors under the act becoming exercisable, give notice of that fact to the Corporate Affairs Commission; and if a company fails to give notice as required by this subsection, the company and every officer of the company shall be liable to a penalty as the Commission shall specify in its regulations. 

-The first auditors of a company may be appointed by the directors at any time before the company is entitled to commence business and auditors so appointed hold office until the conclusion of the next annual general meeting, provided that-

(a) the company may at a general meeting remove any such auditors and appoint in their place any other person who has been nominated for appointment by any member of the company and of whose nomination notice has been given to the members of the company at least 14 days before the date of the meeting ; and

(b) if the directors fail to exercise their powers under this subsection, the company may, in a general meeting convened for that purpose, appoint the first auditors and thereupon the said powers of the directors ceases.

When is a company exempt from audit requirements under the act? 

A company is exempt from the requirements of this Act relating to the audit of accounts in respect of a financial year if-

(a) it has not carried on any business since its incorporation ; or 

(b) it is a small company within the meaning of section 394. 

A company is not entitled to an exemption under subsection (1) if it was at any time within the financial year in question an insurance company, a bank or any other company as may be prescribed by the Corporate Affairs Commission.

What is the basic required qualification of auditors under the act? 

The act provides that:-

– The provisions of any Act establishing a body of accountants shall have effect in relation to any investigation or audit for the purpose of this Act and none of the following persons is qualified for appointment as auditor of a company,- 

(a) an officer or servant of the company, 

(b) a person who is a partner of or in the employment of an officer or servant of the company, or

(c) a body corporate. 

– References in the provision mentioned above to an officer or servant shall be construed as not including references to an auditor. 

-In the application of this provision, the disqualification extends and applies to persons who in respect of any period of an audit were in the employment of the company or were connected therewith in any manner. 

-A person does not qualify for appointment as an auditor of a company if he is-

(a) disqualified for appointment as auditor of any other body corporate which is that company’s subsidiary or holding company or a subsidiary of that company’s holding company, or would be so disqualified if the body corporate were a company ; 

(b) a debtor to the company or to a company that is deemed to be related to the company by virtue of interest in shares, in an amount exceeding N500,000;

(c) a shareholder or spouse of a shareholder of a company whose employee is an officer of the company ;

(d) a person who is or whose partner, employee or employer is responsible for the keeping of the register of holders of debentures of the company ; 

(e) an employee of or consultant to the company who has been engaged for more than one year in the maintenance of any of the company’s financial records or preparation of any of its financial statements ; or

(f ) under the act, disqualified for appointment as auditor of any other body corporate which is that company’s subsidiary or holding company or a subsidiary of that company’s holding company, or would be so disqualified if the body corporate were a company.

– Notwithstanding other provisions of the act, a firm is qualified for appointment as auditor of a company if, all the partners are qualified for appointment as auditors of the company. 

– A person shall not act as auditor of a company when he knows that he is disqualified for appointment to that office and if an auditor of a company, to his knowledge, becomes so disqualified during his term of office, he shall thereupon vacate his office and give notice in writing to the company that he has vacated it by reason of that disqualification.

-A person who acts as auditor in contravention of the act, or fails without reasonable excuse to give notice of vacating his office as required by that subsection commits an offence and is liable to a penalty as the Commission shall specify in its regulations .

What are the provisions of the act regarding corporate responsibility for financial reports?

Under the act, the chief executive officer and chief financial officer of a company other than a small company or persons performing similar functions shall certify in each audited financial statement that the –

(a) officer who signed the audited financial statements has reviewed them, and based on the officer’s knowledge the –

(i) audited financial statements do not contain any untrue statement of material fact or omit to state a material fact, which would make the statements misleading, in the light of the circumstances under which such statement was made, and

(ii) audited financial statements and all other financial information included in the statements fairly present, in all material respects, the financial condition and results of operation of the company as of and for, the periods covered by the audited financial statements ;

(b) officer who signed the audited financial statements- 

(i) is responsible for establishing and maintaining internal controls and has designed such internal controls to ensure that material information relating to the company and its subsidiaries is made known to the officer by other officers of the companies, particularly during the period in which the audited financial statement report is being prepared,

(ii) has evaluated the effectiveness of the company’s internal controls within 90 days prior to the date of its audited financial statements, and 

(iii) certifies that the company’s internal controls are effective as of that date ;

(c) officer who signed the audited financial statements disclosed to the company’s auditors and audit committee-

(i) all significant deficiencies in the design or operation of internal controls which could adversely affect the company’s ability to record, process, summarise and report financial data, and has identified for the company’s auditors any material weaknesses in internal controls, and 

(ii) whether or not, there is any fraud that involves management or other employees who have a significant role in the company’s internal control ; and

(d) officer who signed the report, has indicated in the report, whether or not, there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of their evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Where a managing director, chief financial officer or person performing similar functions fails to discharge the duty imposed on him under this section, he commits an offence and is liable on conviction to a penalty as the Corporate Affairs Commission shall specify in its regulations.

What are the powers and duties of auditors under the act?

-The company’s auditors shall, in preparing their report to carry out such investigations as may enable them to form an opinion whether- 

(a) proper accounting records have been kept by the company and proper returns adequate for their audit have been received from branches not visited by them ; or 

(b) the company’s balance sheet and (if not consolidated) its profit and loss account are in agreement with the accounting records and returns. 

-If the auditors are of the opinion that proper accounting records have not been received from branches not visited by them, or if the balance sheet and (if not consolidated) the profit and loss account are not in agreement with the accounting records and returns, the auditors shall state that fact in their report.

-Every auditor of a company has a right of access at all times to the company’s books, accounts and vouchers, and be entitled to require from the company’s office such information and explanations as he thinks necessary for the performance of the auditor’s duties.

-If the requirements of Part V and VI of the Second Schedule and Parts I and II of the Third Schedule to this Act are not complied with in the accounts, it is the auditors’ duty to include in their report, so far as they are reasonably able to do so, a statement giving the required particulars.

-The auditors’ shall consider whether the information given in the directors’ report for the year for which the accounts are prepared is consistent with those accounts, and if they are of opinion that it is not, they shall state that fact in their report.

What are the provisions of the act regarding improper influence on the conduct of an audit? 

Under the act, it shall be an offence for any officer, insider, director of a company, or any other person acting under the direction of such officer, insider or director, to take any action to influence, coerce, manipulate or mislead any external auditor engaged in the performance of an audit of the financial statements of that company for the purpose of rendering such financial statements misleading.

A person who commits an offence under the act is liable on conviction to a penalty as the Commission shall specify in its regulations. For the purposes of this Act, “Insider” shall have the meaning given to it under the Investments and Securities Act, or any subsequent amendments thereto.