Incorporating a Business In Canada

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  • Incorporation
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There are many reasons for incorporating a small business in Canada. Corporations provide a number of protections and advantages that shouldn't be overlooked. The most important of these is limited liability. This simply means that as opposed to a sole proprietorship, where the owner is liable for all of the company's debts, shareholders in a corporation are only liable for the amount they invested into the company.

In addition to limited liability, incorporating in Canada offers companies more financing opportunities. Not only can a corporation sell shares but it usually receives far more sympathetic treatment from lending institutions. Finally, corporations have the capacity to own property and enter into legal contracts. Once again, this limits the investors' liability and provides additional financial and legal protection.

At IncorpDirect Inc., we can help entrepreneurs set up federally anywhere in Canada or provincially in Ontario and Quebec. Federal incorporation is traditionally more expensive but offers more extensive protections, especially if the company is planning to do business nationwide. Browse our website for more

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