Thinking to start a business may be a good idea but its operation requires a great deal of contemplation. This means if you are a business owner, you might come across a business dispute over your business’s lifespan.
It is pertinent to note that a business dispute is not a consumer dispute. Therefore, it may not be a wise choice to resolve the business dispute on your own. It is highly advisable to map out potential business disputes that may impede business management.
If you are planning to work on a start-up or business in Canada, then this blog article is for you as it is packed with essential must-haves to be a successful business owner.
Essentials For Starting A Business In Ontario
Following are a few essentials for starting a business in Ontario:
Step 1: Choosing The Name And Registration Of Business
Canadian business structure provides different avenues for conducting business such as sole proprietorships, business corporations, partnerships, limited liability companies, unlimited liability companies, and way more.
Due to the variety of business structures, the business requirements differ as well.
- If you are a sole proprietor and the proprietorship is operating under a different name than the legal name of the proprietor, then you are obligated to register your business.
- The same goes for corporations while for partnerships if you are running your business other than the full names of all the partners then you need to get it registered.
Make sure to include Limited, Incorporated, or Corporation at the end of your business name because that’s mandatory for incorporated businesses.
This implies that you need to conduct a detailed search regarding the type of your business for the purposes of registration. Make sure you select a name for your business that is not already selected. You can make an in-depth search of any names through Service Ontario before selecting the name of your business.
Step 2: Getting A Goods And Service Tax (GST)/ Harmonized Sales Tax (HST) Number
After registration and choosing a name for your business, you need to apply for GST/HST number. Depending on your area, you might need to collect HST from your consumers. It is pertinent to note the services or goods you are offering fall within the ambit of taxable supplies. Generally, all businesses are taxable supplies in Canada now.
Also, there is a certain threshold that needs to be met before collecting taxes from your customers. If your business meets that threshold, you have to get GST/HST number.
Step 3: Applying For A License Or Permit
You might need to get special or multiple permits and licenses depending on your type of business. Therefore, it is important to understand your business industry and related activities beforehand. For instance, liquor dealers, videographers, and constructors might require additional permits.
Step 4: Setting Up A Business Bank Account
The idea of making a business account usually stems when you are making a business plan. This is one of the ways of keeping your business activities separate from your personal dealings. If you are an incorporation, then your customers would definitely require a business account for the payment of your goods or services.
Additionally, bank accounts can be quite beneficial when the tax time rolls around as it aids in excellent practices for bookkeeping.
Step 5: Obtaining Funds For Your Business
Funding, oftentimes, becomes a great obstacle for small businesses and startups. If you are a small business owner in Ontario, you can look up to Ontario business grants which has commendable funding programs.
Additionally, you can also consider finding Angel Investors and Crowd Funding Sites in order to secure funds for your small-scale businesses.
Not least of all, you can also create social media presence as it can help in boosting your customer base and hire employees.
Contact Us! We Will Guide You!
If you require any assistance with starting up a business in Ontario, please get in touch with our commercial/corporate lawyers at Ayaz Mehdi Professional Corporation who will walk you through the hassle-free process of formulating your incorporation.
Disclaimer: Kindly note that sending or receiving information through this site does not establish a solicitor-client relationship. Legal matters are fact-specific, and the law is variably changing. The views expressed and the content provided on this blog are general guidelines and cannot be substituted for proper legal advice. Schedule your legal consultation by clicking here: Let’s meet!