Procedure for company formation in Canada:

1. Research and Planning: Conduct thorough research on the different business structures available in Canada, such as a corporation, sole proprietorships, or partnerships. Consider factors like liability, taxation, and ownership structure. Develop a business plan outlining your goals, target market, and financial projections.

2. Choose a Name: Select a unique and distinctive name for your company. Ensure it complies with the naming guidelines set by the province or territory where you plan to incorporate. Conduct a name search to confirm its availability and reserve it if necessary.

3. Articles of Incorporation: Prepare the Articles of Incorporation, which outline essential details about your company, including its name, registered office address, directors, share structure, and purpose. File the Articles with the appropriate provincial or territorial government authority, along with the required fees.

4. Share Structure and Directors: Determine the share structure of your corporation, specifying the number and types of shares to be issued. Appoint directors who will oversee the company’s operations and make important decisions. Ensure compliance with the minimum director requirements set by the jurisdiction.

5. Register for Taxes: Obtain a Business Number (BN) from the Canada Revenue Agency (CRA) for tax purposes. Register for goods and services tax (GST) or harmonized sales tax (HST) if your company’s annual revenue exceeds the threshold. Familiarize yourself with your tax obligations, including corporate income tax and payroll deductions.

6. Licensing and Permits: Depending on your industry and location, you may need to obtain specific licenses and permits to operate legally. Research the requirements at the federal, provincial, and municipal levels, and apply for the necessary permits before commencing operations.

7. Register for Employment Insurance: If you plan to hire employees, register your company for the Canada Employment Insurance program. This ensures compliance with employment standards and provides benefits to eligible employees.

8. Open a Business Bank Account: Open a dedicated business bank account to separate your personal and business finances. Choose a reputable financial institution that offers suitable services for your company’s banking needs.

9. Compliance and Reporting: Understand and fulfill the ongoing compliance requirements for your corporation. This includes filing annual reports, maintaining corporate records, holding annual general meetings, and updating any changes in directors or registered office address. Stay informed about corporate governance regulations and ensure timely compliance.

10. Seek Professional Assistance: Consider engaging a lawyer, accountant, or business consultant experienced in company formation in Canada. They can provide valuable guidance, ensure compliance with regulations, and help you navigate any complexities.