A business corporation also called "corporation" is a separate legal entity and, accordingly, has its own specific rights and obligations. The purpose of a business corporation is to operate an enterprise in order to generate profits that will be distributed, if applicable, among its shareholders. Incorporating your business protects you, as the owner, and protects your company's name. The purpose of registration is solely to obtain a business license to legally be able to conduct business in your particular region, which is usually required by law. To register as a corporation, you will need to:
- Incorporate your business (obtain your articles of incorporation) through Federal Incorporation or Provincial Territorial incorporation.
- Get a federal business number and Corporation income tax account from the Canada Revenue Agency
- Register as an extra-provincial or extra-territorial corporation in all other Canadian jurisdictions where you plan to do business
- Apply for any permits and licences your business may need
In some cases, registration for these accounts is streamlined (in other words, you can sometimes get your business number, tax accounts, and provincial registrations as part of the incorporation process). However, this is not true for all provinces and territories.