Registration of a company in Canada
All enterprises are set up and registered in Canada either according to the Law on corporations at federal level or according to ten various province laws on corporations, or on the basis of three various territorial laws on corporations.
The legislation of Canada provides possibility of setting up the enterprises of such organizational-legal forms as:
- General Partnership - partnership with unlimited responsibility
- Limited Liability Partnership - partnership with limited liability
- Branch Office - branch of a foreign company
- Joint Venture
- Sole Proprietorship - private businessman
Setting up a company in Canada is a multistage process including the appeal to a number of the state instances. Much depends on what business you intend to go into, in what province of Canada, in what city, whether you will hire workers and what form of the company you choose. Please, lower see the information in more detail.
Forms of a company to choose from
There are four main forms of companies in Canada: sole proprietorship (self-employed), partnership, corporation and co-operative.
Sole Proprietorship (self-employed) - individual activity
This is the simplest form with one person as an owner. The owner of business completely owns the company and is legally responsible for company property and obligations. Company income is subject to taxation along with the other income of its owner.
This is a form when two or more persons are the owners of the company and each partner is legally responsible for actions of the other one. The partners are legally responsible for the company property and obligations. Company income is shared between all partners according to a share of everyone, the same is with taxes.
Corporation (Limited Liability Company)
In the names of such kind of companies there usually are words: Limited (Ltd.), Corporation (Corp.) or Incorporated (Inc.). They do not depend legally on their owners, directors and shareholders. Everything in possession of the company belongs to the company. Such kind of the company can be federal and provincial. They pay taxes independently.
Business Co-operatives (Co-op) - Cooperative society
This is a special form of a corporation with money for its opening brought by members-co-owners. Responsible are all co-owners of the company in accordance with the quantity of their shares.
A branch of a foreign company - Branch Office - should be registered and licensed for activity in each province of Canada where it works. The branch is always registered as a separate corporation according to the Law on province corporations. If foreign company has no any office in a province where it works, the company should appoint the attorney to represent its interests in the state bodies of Canada. Legally the branch does not get the independent status separately from the head corporation, the foreign company only undertakes its activities through it in Canada.
The joint venture - Joint Venture is an association of two or more parties, which by combination of the capital and coordinated actions aspire to carry out certain project in Canada. The company parties are responsible for obligations of joint venture within the amount of the brought capital. The joint venture is not an independent legal body, and each participant of the business is an independent subject of the taxation in Canada. For joint venture, there is no reporting upon termination of a fiscal year, and each participant declares the income according to his own termination dates of fiscal year.
How much will it cost for inhabitants of the Russian Federation
- Registration of a partnership – from 25 000 rub.
- Registration of a corporation – from 35 000 rub.
The prices do not include the state payment. All prices are in rubles.
If you wish to set up business for the purpose of further immigration to Canada, please contact us. The residence permit is not required at registration. Being the owner of business, you can always visit Canada.
Physical address for your company in Montreal costs from $250 per month. We will send all coming mail to your e-mail address.
Personal telephone number and fax costs from $35 per month. Anyone can leave the vocal message or send a fax. You will receive vocal messages and faxes on your e-mail address.