How to Incorporate or Register Your Business

 

Registered Sole Proprietorships

 

Generally in a sole proprietorship, you are the sole owner of the business, its assets and are personally responsible for all debts and liabilities.

While you may have employees, usually you would manage the business and run the show yourself and be completely in charge.

Setting up a

Registered Sole Proprietorship

Usually you simply go to the local Provincial business registry office, fill in a very simple form, pay a small fee ($60 or so) and you are in business.

Each province has slightly different rules, but they are straight forward.

Choosing a Name:

You are not required to do a business name search through NUANS, but it is a very good idea to make sure no one else is using your proposed company name.

If you intend to operate under anything other than your own name, the business name must be registered.

In any event, make sure your name is not being used by someone else or so similar that it could be confused. You might be sued by the other company.

A proprietorship must be registered in the province in which it operates.

Legal Requirements

Anyone can set up and register a sole proprietorship.

Various licences are required. Usually these include a sales tax licence, vendors' permit, and any municipal permits. The registry office will tell you exactly which ones you require and can often direct you to the right office

Registered Partnerships

Limited and General

The biggest difference between a sole proprietorship and a partnership is the partnership has more than one owner.

General Partnership:

Each of the partners owns all the assets and is responsible for the debts and liabilities in the partnership.

Limited Partnership:

All of the partners own all the assets, but the limited partners can limit their liability to the amount invested in the partnership.

Partnership Declaration:

Limited partners must file a partnership declaration with the government.

Limited partners should also specify in writing, the rights and responsibilities of each partner

Partners can and do employ others to help run the business, but the partners are in charge.

Usually you simply go to the local Provincial business registry office, fill in a very simple form, pay a small fee ($60 or so) and you are in business.

Each province has slightly different rules, but they are straight forward

Anyone can set up and register a registered partnership.

Various licences are required. Usually these include a sales tax licence, vendors' permit, and any municipal permits.

The registry office will tell you exactly which ones you require and can often direct you to the right office