Should I incorporate my business?
A corporation has an unlimited lifespan and will continue to exist even if the shareholders die or leave the business, or if the ownership of the business changes. Selling a corporation is more straightforward than attempting to sell a sole proprietorship.
What are some differences between a Provincial Corporation and a Federal Corporation?
Federal Corporations: $200 online filing fee for Federal company
Federal Corporations: May carry on business throughout Canada. Extra-provincial registrations are required in each province where the corporation carries on business.
Federal Corporations: Federal NUANS name search required for incorporation and must be dated not more than 90 days prior to date of filing articles of incorporation. Corporations Canada must give its approval of the name.
Federal Corporations: May be anywhere in Canada but the province or territory must be specified in the articles.
Federal Corporations: Federal annual return required annually ($20 online filing). Notices of change must be filed for changes to directors or registerd office address (no fee).
Federal Corporations: A land register is not required.
- Limit Your Personal Liability
A corporation has an unlimited lifespan and will continue to exist even if the shareholders die or leave the business, or if the ownership of the business changes. Selling a corporation is more straightforward than attempting to sell a sole proprietorship.
- Raising Money Is Easier
- Optimizing Your Income and Taxes
- Increased Business
- Business Name Protection
What are some differences between a Provincial Corporation and a Federal Corporation?
- International Recognition of Jurisdiction
- Government Incorporation Fee
Federal Corporations: $200 online filing fee for Federal company
- Capacity to Cary on Business
Federal Corporations: May carry on business throughout Canada. Extra-provincial registrations are required in each province where the corporation carries on business.
- Name Search
Federal Corporations: Federal NUANS name search required for incorporation and must be dated not more than 90 days prior to date of filing articles of incorporation. Corporations Canada must give its approval of the name.
- Registered Office
Federal Corporations: May be anywhere in Canada but the province or territory must be specified in the articles.
- Annual Returns & Notices of Change
Federal Corporations: Federal annual return required annually ($20 online filing). Notices of change must be filed for changes to directors or registerd office address (no fee).
- Land Registry
Federal Corporations: A land register is not required.