So you’ve got a million-dollar idea (or at least a hundred-dollar one) and you’re ready to take the plunge into the wild world of business. Good news: incorporating in Ontario isn’t as scary as it sounds. And no, you don’t need to sacrifice a goat under a full moon—just some paperwork, a solid plan, and probably coffee. Lots of coffee.
In this guide, we’ll walk you through how to incorporate a business in Ontario, step by step, while having a bit of fun along the way.
Why Incorporate in Ontario?
Let’s start with the basics. Why would you want to incorporate in Ontario rather than just operate as a sole proprietorship?
The Benefits Are Real (We Promise)
- Limited liability – Your personal assets won’t be on the line if your business goes belly-up.
- Tax advantages – Corporations often pay lower tax rates than individuals.
- Better credibility – Your company looks more professional and trustworthy.
- Easier access to funding – Investors love a good ol’ official corporate structure.
Incorporating also allows for better continuity. Your corporation can outlive its founders, meaning your business baby won’t just vanish if you decide to retire or take an extended sabbatical to Bali. Plus, the process can help clarify your business goals, structure, and operational plans. You’ll be forced to think through the details—whether you want to or not.
Step-by-Step: How to Incorporate a Business in Ontario
Ready to roll up your sleeves and file some forms? Here’s how to incorporate a company in Ontario.
Step 1: Choose Your Business Name
First impressions matter. And your business name is your handshake, first date, and profile pic all in one.
Do a Name Search (Because You’re Not the Only Genius Out There)
Before you get your heart set on “Maple Syrup Innovations Inc.,” you need to check if it’s available. You’ll need a NUANS (Newly Upgraded Automated Name Search) report.
Pro Tip: Skip the hassle and get it done with Instant NUANS—faster than you can say “trademark infringement.”
Don’t skip this step—name confusion or conflict can delay your incorporation and even cause legal headaches later on. Think of it like naming a baby: once it’s on the birth certificate, you’re stuck with it.
Step 2: Choose a Structure
Do you want to go solo or partner up?
- Numbered Corporation – Fast and easy, but not very attractive (e.g., 12345678 Canada Inc.)
- Named Corporation – More memorable, but requires a NUANS search.
Also, consider whether you’ll be a private or public corporation. Private is perfect for small businesses or startups with a limited number of shareholders. Public is… well, that’s for when you’re planning to be the next Shopify.
Step 3: File Your Articles of Incorporation
This is the big one. You’ll file Form 1 – Articles of Incorporation with the Ontario government.
You can file:
- Online (easy mode)
- By mail (grandma’s way)
- In person (if you love lineups)
Make sure to include your corporation’s name, structure, share classes, number of directors, and registered office address. Yes, it’s a lot of details, but hey—it’s your company’s birth certificate!
Step 4: Create a Minute Book
No, not a scrapbook. A corporate minute book keeps all your business records and resolutions. It’s required by law—and no, you can’t just use a shoebox.
Your minute book should include your articles of incorporation, bylaws, resolutions, registers, and share certificates. Think of it as your company’s official diary—without the embarrassing teenage poetry.
Step 5: Register for Additional Accounts
Depending on your business, you might need to register for:
- HST/GST
- Payroll
- Import/export accounts
And don’t forget to open a business bank account! Mixing personal and business finances is a huge no-no and could land you in hot water come tax time.
Step 6: Maintain Your Corporation
Congrats! You’re now a proud business owner. But don’t ghost your responsibilities. File your annual return, keep records up-to-date, and pay your taxes. (Sorry.)
You’ll also need to update your corporate records whenever there’s a major change—like appointing new directors or issuing more shares. It’s a bit like feeding a pet dragon. It requires care and attention, but the rewards are worth it.
Real-Life Example: Incorporating a Donut Empire
Let’s say Jenny wants to start a business in Ontario selling artisanal, gluten-free, unicorn-themed donuts. Here’s how she does it:
- Name Search: She checks if “Unicorn Donuts Inc.” is available using a NUANS report.
- Structure: She picks a named corporation because, duh, branding.
- Articles of Incorporation: She files online through an incorporation service (like Canada Incorporation Agency) and pays the fee.
- Minute Book: She gets a professional one with help from her incorporation service.
- Extra Registrations: She registers for HST and a business bank account.
- Launches with Sparkles: The world rejoices.
FAQs About Ontario Incorporation
Do I need a lawyer to incorporate in Ontario?
Nope! While legal advice is always helpful, many people use trusted incorporation services like Canada Incorporation Agency to save time and money.
How much does it cost to incorporate?
The government filing fee is around $360. If you use a service, expect to pay between $400–$600 for the whole package.
Can I incorporate if I’m not in Canada?
Yes! There is no residency requirement to incorporate in Ontario, so you’re good to go. All you need is a physical address in Ontario, and even if you don’t have one – Canada Incorporation Agency can provide you with a registered office address and the mail scanning services.
What’s the difference between Federal and Ontario incorporation?
Federal gives you name protection across Canada but comes with more paperwork. Ontario incorporation is simpler if you’re only doing business in Ontario.
How long does it take to incorporate in Ontario?
You can be incorporated in as little as 1 hour if you choose a 1–hour service queue. This is applicable for a numbered company mostly, as the name approval might take longer. No, really. That fast.
Final Thoughts
Incorporating a business in Ontario doesn’t have to feel like a root canal. With the right tools, a splash of humor, and maybe a donut or two, you’ll be in business in no time.
If you’re ready to incorporate in Ontario, don’t overthink it—take the leap, and let the pros handle the paperwork. Your future CEO self will thank you.
Need help now? Click here to incorporate a business in Ontario or get started on your Ontario incorporation today!
Happy entrepreneuring!
