Fundamentals of Business Registration & Incorporation In Ontario

Ontario has become one of the fastest growing regions in Canada with 40% contribution to the country's entire economy. More than half of the country’s import and export business also takes place in Ontario making it the most competent provinces in terms of global trade. 


Ontario has such a diverse economy. Businesses here vary from manufacturing to finance to telecommunications. This industrialization has attracted a large number of entrepreneurs from across the globe. But no matter how warmly Ontario welcomes its visitors and investors, everyone has rules to follow especially when it comes to business.  

Starting a business in Ontario requires registration a business name first and deciding which type of entity you wish to register under. Why do you need the business type? It is because the registration process varies according to the type of business you have. If you are a small business operating under sole proprietorship, partnerships, or corporation, you can start operating even without registration. 

Sole proprietorship and partnerships are registered at a provincial level, while the corporation needs to be registered either under the provincial government or as a federal project. Federal corporation ensures intense name protection and allows your business to operate in various provinces in the Canada.

This part can be as challenging as deciding a business name.

Selecting a name for your business is quite challenging. On one hand you have to conform with the law and on the other hand you have to keep it unique and marketable, yet memorable. You must ensure that it does not duplicate an existing business name or at least it does not offer the same product as the other existing name. A business may start operating even if the name has not yet been registered provide it will be registered within 90 days. Otherwise, you would be violating the Business Names Act, which could result in paying a fine of $2,000 (for small businesses) and $25,000 (for corporations). The Act also provides protection to the individual or corporation whose rights have been violated. Worse, the affected party may request the Companies and Personal Property Security Branch (CPPSB) to cancel the offender’s license. 


It is highly recommended to generate a business name report through ServiceOntario, Cyberbahn Inc., OnCorp Direct Inc., or NUANS websites to make sure your business name is 100% legal and market-friendly at the same time.

Gathering all the information you need is paramount. For a starter, you can check out websites that focus on the topic of business registration and incorporation in Canada such as www.ontariobusinessregistration.com. Here you will find practical and legal advice, detailed processes, and tips.