prudent way to operate a small business in Ontario is through a
company set up under the Ontario Business Corporations Act. By
company (also called a Corporation) is given its own legal
the people who own the company's shares are legally separate and
distinct from the company itself.
Briefly, steps to incorporate a company include: obtaining
approval for a
company name, filing Articles of Incorporation with the Ministry
Consumer and Business Services, electing directors, passing
appointing officers, issuing and distributing shares,
appointing a banker
accountant, organizing the company records and filing the
appropriate Notice with the Ministry.
the company has been incorporated and organized, contracts can
and business can be conducted in the name of the company which
becomes wholly responsible for carrying out its contractual
the company's shareholders, directors or officers, even if they
the same persons.
are business and tax advantages for conducting business through
corporation. In fact, the only disadvantages are the costs of
company and the small annual fee to maintain the corporate
are thinking about incorporating an existing business or
incorporating a new business venture, you are well advised to