Starting a business in Canada involves several key steps and requirements. Here’s a basic checklist to help you get started:
1. Choose a Business Structure
- Sole Proprietorship: Simple, but you’re personally liable.
- Partnership: Shared ownership and liability.
- Corporation: Separate legal entity (more complex but offers liability protection).
- Cooperative: Owned and operated by members.
2. Register Your Business
- Business Name Registration: Required if operating under a name other than your own (NUANS search needed for corporations).
- Federal/Provincial Incorporation: If incorporating, register with Corporations Canada or the provincial registry.
- Business Number (BN): Required for taxes, payroll, and GST/HST (obtained from the CRA).
3. Obtain Necessary Permits & Licenses
- Depending on your industry (food, health, construction, etc.), federal, provincial, or municipal licenses may be required.
- Check with your local municipality for zoning and operational permits.
4. Tax Requirements
- GST/HST Registration: Mandatory if revenue exceeds $30,000/year (voluntary below that).
- Payroll Deductions: If hiring employees, register with the CRA for payroll taxes.
- Provincial Sales Tax (PST): Applicable in some provinces (e.g., BC, Manitoba).
5. Open a Business Bank Account
- Keep personal and business finances separate (especially important for corporations).
6. Set Up Accounting & Bookkeeping
- Track income, expenses, and taxes (consider using accounting software or hiring an accountant).
7. Business Insurance
- General liability, professional liability, or industry-specific insurance may be required.
8. Intellectual Property Protection (Optional)
- Trademarks, patents, or copyrights if needed (apply through the Canadian Intellectual Property Office).
9. Hiring Employees (If Applicable)
- Register for workers’ compensation (WSIB or equivalent in your province).
- Follow employment standards (contracts, minimum wage, benefits).
10. Business Plan & Financing
- Prepare a business plan if seeking loans or investors.
- Explore funding options (banks, grants, or government programs like the Canada Small Business Financing Program).
Additional Resources:
- Canada Business Network (Canada.ca)
- Local Small Business Centers (Provincial support)
Each province may have additional requirements, so check with your provincial government for specifics. Would you like help with a specific step?