How to register a business in Canada -What you need to know

Last Updated on December 8, 2023 by admin

Do you want to start a business in Canada and you are aware that each Canadian province and territory has its own rules and business registration fees ?Registering your business could include registering your business name, subscribing to a GST/HST number, or incorporating your business.

This article details how to register your business in Canada. It specifically explains the steps and process of Registering business with the government. You also learn the steps to consider before operating a business in Canada.

This post will also explain Business Registration Online, Steps to start a business and move to Canada as a foreign national. It’s ideal you register your business with the Canadian government, because it will get you the necessary approval to run and operate a business with every legal requirement

Also Canada has a skilled workforce, You can also access government grants and tax credits. If you are in Canada or outside and looking to start a small business, this guide will walk you through every necessary detail and procedure to get started. You may have to register with the government before you start operating your business.

Also read:Best Payday loans lenders in Canada

What you need to know before you register your business in Canada?

Before your business in Canada, you will need to know if you want to start a business in Canada as a non-resident , but may require the participation of a Canadian citizen or permanent resident.

 

You need to answer the following questions/

1.Where your main office will be located, you need to select the province or territory where your business is located.
2.Which other provinces and territories you plan to operate in
3.What is your proposed business name
4.What is the type of business that best suits your needs (see sole proprietorship, partnership, corporation or co-operative for help determining which structure is right for you).

 

How to Starting a business Canada

The steps to consider before operating a business in Canada.

1. Planning a business
Assessing your readiness, choosing a business structure, market research and writing a business plan

2. Choosing a business name
Selecting a good name, checking if a name is taken, registering and protecting your business name.

The business name registration process is different in every province. However, you can start by doing a business name search through the Canadian corporate names and trademarks database. This database tells you whether a specific name is available. Afterward, you would register the name with your province’s business registry — you can usually do this online.

The cost to register a name varies with the province. If you register in a business in Ontario, for example, the fee is $60-$80. There’s also a fee to search for names through the corporate names database, which ranges between $8 and $26.

3. Registering your business with the government
Registering or incorporating your business, plus how to apply for a business number or tax account.

If you choose the Federal incorporation, it provides better name protection, as well as the ability to do business across the country without further registrations irrespective of the province.

4. Applying for business permits and licences
Permits and licenses that you may need for your business from all three levels of government.

5. Getting business support and financing
National and regional business support, including financing for immigrant and aboriginal entrepreneurs.

6. Free tax help for your business
Meet with a liaison officer to learn about common errors, bookkeeping best practices, and deductions.

Read: Best Short Term Loans lender in Canada

Canada Business Registration Online

You can use Business Registration Online (BRO) if you are one of the following:

a business owner
a third party requester
a representative with a RepID
an individual that employs a caregiver, a babysitter, or a domestic worker
Have a valid social insurance number (SIN)
income tax return filed with the Canada Revenue Agency (CRA)

If you have a SIN that starts with a 9, you will not be able to use BRO. If you would like to register for a GST/HST account and have a SIN that starts with a 9, go to How to register for a business number or Canada Revenue Agency program accounts to use the “Non-Resident Business Number and Account Registration Web Form.”

 

Restrictions you need to know on Canada Business Registration Online
You cannot use BRO if you have any of the following:

invalid SIN
SIN that starts with a 9
income tax return was never filed with the CRA
GST/HST program account to register for:
a business located in Quebec
a non-resident business
bare trust to register

You cannot use BRO to register a business number for a business that was incorporated:

federally with Innovation, Science and Economic Development Canada
provincially in:
Alberta
British Columbia
Manitoba
New Brunswick
Nova Scotia
Ontario
Prince Edward Island
Saskatchewan

How do I register a GST/HST number?

By law, any business that makes over $30,000 a year is liable to register for the GST/HST number and collect the affiliated sales taxes, this, however, depends on the province.

A GST/HST number is part of a business number required in Canada.

Businesses under $30,000 a year can still register for the GST/HT, however, it’s not compulsory to do that. You are mandated to always remit your collected sales tax to the government as a registered business.

You can register for a GST/HST number online, by fax or mail, or by telephone. As a GST/HST registrant, you’ll also have to complete and regularly file a GST/HST return and remit your collected sales tax to the government. On the brighter side, you can usually claim back the GST/HST you’ve paid on business purchases.

 

How to start a business Canada without registration

You can easily start up business in Canada if only you Use your own name as your business name. Your revenues must be under $30,000 per year.

Also you expected to run as a sole proprietorship or Use your own name as your business name and you must remain a small supplier if so you are not required to collect GST/HST unless you register to do so.

 

How much does it cost to register a company in Canada?
It costs $250 and will take 30 days. However, the prices vary according to Federal or Provincial incorporation.

 

What are the types of business structures in Canada?
There are four types of business structures, however, choose what suits you

Sole Proprietorship
Partnerships
Corporations and
Cooperatives

 

Can I register a business in Canada as a foreigner?

If you want to start a brand new business in Canada but you live abroad, there’s no need to immigrate to Canada. The In Investment Canada Act was designed to govern non-Canadians who choose to establish a new Canadian business, as well as acquire control of a Canadian business.

In some jurisdictions, you will be required to have a company director who is either a Canadian citizen or a permanent resident in order to register your business. The Canadian director will be required to assume liability for your business. registering a federally incorporated business in Ontario requires that 25% of your directors.

Ontario, Alberta, and British Columbia don’t require a resident director for provincial incorporation, but you will require an address within the provinces you’re trying to incorporate in

 

How to Move to Canada as a foreign national

As a non-resident is to immigrate to Canada. When it comes to immigrating for the purpose of business, there are two visa programs that are designed for immigrants who want to run a business in Canada.

1, The Start-Up Visa program : This exists to help immigrant entrepreneurs move to Canada and start a business. The program has specific requirements in terms of what types of businesses qualify.

For an immigrant entrepreneur to be eligible for start-up visa, they must get your investment or support.

Here is the minimum investment or support you must give:

1.if you are a designated venture capital fund, you must make a minimum investment of $200,000 into their business
2. if you are a designated angel investor group, you must make a minimum investment of $75,000 into their business
3. if you are a designated business incubator, you must accept the immigrant entrepreneur into one of your incubation/acceleration programs

 

2. The Self-employed Persons Program, This  focuses on businesses related to the arts, entertainment, and sporting industries.

If you’re interested in this program, you must:

1. Have relevant experience in cultural activities or athletics and
2. Be willing and able to make a significant contribution to the cultural or athletic life of Canada

To immigrate as a self-employed person in Canada, you must:

1.Have relevant experience
2.Be willing and able to be self-employed in Canada
3.Meet the program’s selection criteria and
4. Meet medical, security and other conditions

Meet Ogbeide Frank, popularly known as perere, a blogger who loves writing about finance and Tech. He studied Business administration at the Ambrose Alli University Ekpoma and Mobile Communication at Orange College Malaysia .Frank have worked as a banker and consultant in variety of Nigeria agencies

For Advertisement, Content marketing andsponsored post: contact : kokobest04@gmail.com
admin
, ,

About admin

Ogbeide Frank loves writing and research about finance and Tech. He studied Business administration at the Ambrose Alli University Ekpoma and Mobile Communication at Orange College Malaysia .Frank have worked as a banker and consultant in variety of Nigeria agencies For Advertisement, Content marketing and sponsored post: contact : kokobest04@gmail.com
View all posts by admin →