I know some of you are business people and some do not have their business registered. I am focusing on business owners cos they are the ones that are greatly affected when applying for a visa.
In Nigeria, we understand ourselves and how we operate but other countries do not understand it. They assume we are playing when we tell them that we can make random expenses from our company account.
Now this is the best way to handle this.
✅Please, register your business with CAC. It’s very important. That’s the only proof that you have something tangible doing.
✅Open a company account with your business name.
✅ Run your business with your company account
✅ Now, here is the main cue. Open another personal account which will be your salary account.
✅Pay yourself salary directly from your company account. Always indicate the month in the description. Let’s say January salary. In that space where the bank ask for description, you will write “January salary” or “February salary ” as the case may be. Please the salary should go from your company account to your personal account
Now after paying yourself salary, you can run your personal expenses from your salary account. The advice I will give here is this. Let’s assume you pay yourself 200k as salary. You can decide to spend 100k from that salary and leave 100k in that account.
Continuously do that and you will realize you have saved a good amount of money by the end of 6 to 8 months. Now, when applying for a visa, the account you will submit is your salary account which is very clear that you earn a salary from your business. Reason for this is that, if you submit your company account as proof of income, any money in there will be assumed to be business money. You will also attach your CAC documents proving that you own your company but get paid salary.
The above is how business are assumed to be run outside Nigeria and that’s what most countries wants to see. You can be having turnover of about 100million in your personal or company account but if you can’t carefully explain and define how you made that money, you will be denied a visa. In your company account, any money in there is strictly known as money used to run your business and it’s not assumed to be your personal money.
Now, do not use your salary account anyhow. Do not receive just any money into that account because you must explain what that money is for. In my case, my salary account do not receive any other money in it. It’s strictly a salary account. If I have a tenant and I wish to receive rent, it’s paid into that salary account and I should be able to prove to the embassy that the money is rent from my tenant. They want to be clear as to how you make your money.
Salary earners do not always go through all these scrutiny cos their salary account is well defined but when that salary account starts receiving unexplainable amounts, it poses a problem.
I don’t know if this is of any help to you. There are exceptions to the above but this is generally the problem I have encountered in my experience as visa application officer.