AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
A Lagos office lease is governed first by what you sign and then by the Lagos State Tenancy Law 2011, which applies to business premises everywhere in Lagos except Apapa, Ikeja GRA, Ikoyi and Victoria Island. Outside those areas a landlord may not demand more than one year's rent in advance from a new tenant, and must give receipts and account for service charges. Sign in the company's name, through a director or an attorney appointed by a notarised power of attorney.
Which law applies to your Lagos office
The Lagos State Tenancy Law No. 14 of 2011 applies to all premises, including business premises (section 1(1)), but section 1(3) exempts Apapa, Ikeja GRA, Ikoyi and Victoria Island, and lets the Governor exempt others. Lekki is not on the list. So an office in Yaba, Ikeja (outside the GRA), Surulere or Lekki is covered; one on Victoria Island or in Ikoyi is governed mainly by the lease itself and general law. A draft Tenancy and Recovery of Premises Bill was introduced in July 2025, and as at September 2025 its passage had not been reported (OAL review); check whether it has passed before you sign.
Rent in advance and receipts
- From a new tenant, a landlord may not demand or receive more than one year's rent in advance, and a tenant may not offer it (section 4(3)-(4)); breach is an offence with a ₦100,000 fine or three months' imprisonment (section 4(5)).
- For a sitting tenant the cap is six months for a monthly tenancy and one year for a yearly tenancy (section 4(1)).
- Every rent payment must get a receipt showing the date, names and addresses, premises, amount and period (section 5).
- A security deposit or service charge needs a separate receipt, and the landlord must give a written account of the service charge at least every six months (section 10).
Many landlords still ask for two years or more. In the exempt areas that is lawful if agreed. Elsewhere, the cap protects you, but refusing may cost you the space; decide that before you negotiate.
Terms to negotiate when you sign from abroad
| Term | What to settle | Why it matters for an owner abroad |
|---|---|---|
| Tenant name | The Nigerian company, by its CAC name and RC number | Keeps the lease an asset of the company, not of a manager |
| Term and renewal | Fixed term with an option to renew and a cap on increases | Section 37 lets a sitting tenant challenge an unreasonable increase, but a written cap is clearer |
| Service charge | What it covers, how it is shared, the six-monthly account | Diesel and security costs can rival rent; you need the account to check it |
| Repairs and fit-out | Who repairs what; consent for partitions and signage | Section 7 requires written consent for alterations unless the lease says otherwise |
| Subletting | Right to share with a group company or sublet part | Lets you shrink without breaking the lease |
| Break clause | Early exit with notice and a fee | Useful if the Lagos plan changes |
| Notices | Email addresses for service plus a Lagos address | A notice served only at the office may never reach you |
If the lease is silent, section 13 sets notice to quit: one month for a monthly tenancy, three months for quarterly or half-yearly, six months for yearly. At the end of a fixed term no notice to quit is needed, only a seven-day notice of the owner's intention to recover possession.
Checking the landlord and the paperwork
- Ask for the landlord's title document and confirm the person signing owns the building or holds written authority. Under the Land Use Act, a statutory right of occupancy cannot be sublet or otherwise alienated without the Governor's consent (section 22), and transactions contrary to the Act are void (section 26), which matters most for long leases.
- Agency and agreement fees: the Lagos government has repeatedly said they should not exceed 10% of a year's rent (Peoples Gazette, May 2025). Ask for the fees in writing before paying.
- Inspect by video with your manager present, then have someone visit in person before you pay.
For the basic tenancy rules in more depth, see renting a shop or office in Lagos under the Tenancy Law. Stamping the lease is a separate step covered in stamp duty on contracts and leases.
Budgeting the move-in, as an example
Example only. An office outside the exempt areas at ₦6,000,000 a year: one year's rent in advance ₦6,000,000; service charge quoted at ₦1,200,000 a year, paid against a separate receipt; agency and agreement fees of ₦600,000 in total, reading the state's 10% statements as a combined ceiling (the reports are not clear, so ask for every fee in writing). The total cash out on day one would be ₦7,800,000 before fit-out, diesel and stamping, and every figure should appear on a receipt in the company's name.
Signing from abroad
A director can sign for the company wherever they are, if the articles and a board resolution authorise it. If someone in Lagos will sign instead, give them a specific power of attorney. LawPavilion notes a power of attorney executed outside Nigeria must be witnessed by a notary public, judge or magistrate, and that a registrable instrument is stamped before it is registered. Limit the power to this lease and say when it ends. If you only need an address rather than a desk, compare a virtual office in Lagos, and keep the CAC registered address consistent with whichever you choose.
Where Pryme fits
Rent and service charge paid from a Pryme Business Account leave a clear record against the receipts the law requires, and the Finance agent can flag the six-monthly service charge account for review before the next payment is approved.
Questions people ask
Does the Lagos Tenancy Law cover offices?
Yes. It applies to business premises, except in Apapa, Ikeja GRA, Ikoyi and Victoria Island, and any area the Governor exempts.
Can a Lagos landlord ask a new company tenant for two years' rent?
Outside the exempt areas, no: the cap for a new tenant is one year in advance, and both landlord and tenant commit an offence if more is paid. In the exempt areas it depends on the agreement.
Can I sign a Lagos lease from London or Houston?
Yes. A director can sign for the company if authorised, or you can appoint an attorney in Lagos by a power of attorney witnessed by a notary public abroad.
What notice does a yearly office tenant get in Lagos?
Six months, if the lease does not say otherwise (section 13 of the Tenancy Law 2011). A fixed term ends without notice to quit, followed by a seven-day notice of intention to recover possession.
Sources
- Lagos State Tenancy Law No. 14 of 2011 (gazette copy) · accessed Oct 2026
- OAL: Lagos Tenancy and Recovery of Premises Bill 2025 review (8 Sep 2025) · accessed Oct 2026
- LawPavilion: power of attorney in Nigeria, the law and the practice (undated) · accessed Oct 2026
- Land Use Act Cap L5 LFN 2004 (PLAC) · accessed Oct 2026
- Peoples Gazette: Lagos warns agents over fees above 10% of rent (May 2025) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.