How to Register a Company in Ontario: A Guide for Entrepreneurs

Last Updated on June 6, 2025 by BusinAssist Editorial Team

Ontario has a thriving economy that focuses on technology and manufacturing, making it an attractive province for entrepreneurs. With over 16 million permanent residents, it is also the most populous state in Canada, making it a hugely inviting place to do business. If you’re exploring how to register a company in Ontario, you’re entering a market full of opportunity and growth potential.

Whether you want to start a cleaning service business in Toronto or a cab service business in Ottawa, you need to understand the legal requirements for incorporating a company in Ontario and the reporting requirements after its formation. This guide will highlight how to registering a company in Ontario, from the documents needed to the legal frameworks.

Why should I register a company in Ontario?

Legal protection for business owners: Registering a business offers limited liability to business owners. The company can own and purchase assets, properties, and equipment as a separate identity. It can also enter into contracts with its name and borrow and repay loans. In case of legal consequences or loan default, business owners’ assets are protected from creditors.

Name protection and recognition: In Ontario, the name of a registered company is protected. When starting a business in Ontario, a business owner must obtain a NUANS report, making registering a unique and distinct name for your company easier. Once registered, your company name cannot be used by other businesses. Registration makes it easier to prevent the misuse of your business name and create a well-recognized brand.

Access to funding and investment opportunities: Banks and investors find it easier to fund and invest in registered businesses. A registered company provides a formal structure, making it easier to access business loans. Investors also find it easier to invest in registered companies either during the startup stage or when the business has developed. The government also offers incentives and grants to registered companies. Companies can also raise funds by selling shares to new investors in exchange for equity.

Credibility and professional image: Many people work or purchase from registered businesses because they comply with government regulations. Registration enhances a business’s credibility with customers, partners, and investors and shows its commitment.

Tax advantages: The government offers tax incentives or deductions to registered businesses, which benefit them more than sole proprietors who pay taxes through personal income taxes. Companies can also charge and collect tax, including HST (Harmonised Sales Tax). This improves a company’s financial status, leading to profits.

What are the cons of registering a company in Ontario?

Compliance costs: Incorporating a company in Ontario can be costly in maintaining compliance. Your company must be compliant with various corporate regulations, including tax returns and other paperwork, which add up to costs, especially for small businesses.

Higher minimum wage and employment standards: Unlike other provinces, Ontario has relatively high minimum wage and employment standards, which increase labor costs and make it more challenging for small businesses or startups.

Regulatory burden: Ontario’s many regulatory obligations may burden you and increase administrative tasks. Also, depending on the type of business you are incorporating, the regulatory burden may increase if you have to obtain any licenses or permits.

Increased liability: Incorporating an LLC in Ontario offers limited liability; however, it makes it more challenging to control and manage the company’s finances.

High taxes: Paying federal and provincial taxes makes keeping finances and profits afloat challenging. This makes it hard for startups and small businesses to stay competitive in the market. You can incorporate federally or provincially to stabilize your finances and not pay taxes.

What types of business structures can you register in Ontario?

In Ontario, several business structures exist, including sole proprietorship, partnership (general and limited), corporation, and limited liability partnership (LLP).

Sole proprietorship: An individual in Ontario operates this business under a business number or unique business name. This is the most inexpensive business starting method since it has fewer registration requirements. However, it does offer the least amount of protection. The structure provides unlimited liability, and the business owner is responsible for paying the company taxes since the business’s profit is integrated into the owner’s income.

Partnership: You can form either a general or a limited partnership in Ontario. A general partnership is a business that starts to generate profit. Partners agree in either writing, orally, or “implied by action’. ‘Implied by action’ implies a mutual desire to engage in a business venture to generate profit. This retains personal liability for the partnership deal.

A limited partnership has the same objective as a general partnership but provides two types of partners: general and limited. General partners are responsible for the partnership’s day-to-day operations, while limited alliances are responsible for investing or contributing property.

A limited partnership is liable for the amount of capital invested in the partnership.

Corporation: A corporation structure offers limited liability, like limited liability companies (LLCs). It allows you to operate within the province and protects your name in Ontario. There are several types of corporations in Canada, including Canadian-controlled private corporations (CCPC), other private corporations, public corporations, and corporations controlled by a public corporation.

Limited liability partnership: A limited liability partnership is a business structure that operates like a limited partnership. However, LLP is permitted to persons who carry on a law-recognized profession. There are three conditions to be met to establish an LLP which are;

• Permission to establish an LLP cannot be implied based on the Act’s silence.
• The body that governs the professional order has to require the maintenance of liability insurance.
• The name of an LLP is registered under the Business Names Act.

How to register a company in Ontario

Choose a business structure

We have listed various business structures that entrepreneurs can form in Ontario. Choose a business structure that aligns with your business needs and future goals.

Choose a name for your business

Choose a distinct business name for your business. You can select a numbered or word name for your corporation. A numbered name is a unique number assigned by Corporations Canada, serving as your corporate identity (for instance, 87654321 Inc.). In contrast, a word name may incorporate letters, symbols, and numbers. It is essential that your proposed name is distinctive and does not create confusion with existing names or trademarks. Additionally, the name must not include any prohibited terms.

A corporate word name comprises three essential components:

1. Distinctive element: The name should be original, creative, and unique, differentiating it from other corporations.
2. Descriptive element: This component reflects the nature of your business or industry.
3. Legal element: This indicates the legal status of your company, typically represented by terms such as “Corp.,” “Inc.,” or “Ltd.”

When incorporating a business with a word name, obtaining and submitting a NUANS report to Corporations Canada is necessary. The NUANS (Newly Upgraded Automated Name Search) report conducts a name search against Canadian databases, registries, trademarks, and other existing corporate names. This process ensures that your selected name is distinct from any registered entities in Canada, including those incorporated at the provincial level.

Create your articles of incorporation

This document outlines the essential structure and regulations governing the company once it is established. Typically, it is submitted to either provincial or federal authorities in Canada.

The ability to customize the Articles of Incorporation allows you to address your business’s specific requirements. You may tailor the document to include:

• The distinctive name and branding of your company
• Information regarding share ownership and any transfer limitations
• The number of directors responsible for managing the corporation
• Any particular restrictions or guidelines pertinent to your business
• Additional clauses that align with your company’s unique objectives and aspirations

By meticulously drafting your Articles of Incorporation, you can ensure that your new enterprise is strategically planned and complies with all requisite legal standards.

Establish a registered office address and appoint directors

All companies that incorporate in Canada must establish a registered office address in Canada. It is necessary to designate a primary registered office and appoint at least one director, although additional directors are required. The registered office is the official location for receiving all company documents. You are required to provide the names and addresses of the directors, along with their residency status in Canada. It is crucial to verify that all directors meet the required eligibility criteria. Furthermore, you must submit information concerning individuals who hold significant control over the corporation, which may encompass shareholders, directors, or officers.

Registration

You can get help from corporate service providers such as BusinAssist to ensure seamless incorporation of your company. We also offer registered address / Canada virtual address service that will allow you to use our address for your company and also to receive posts for your company and its directors & shareholders. We offer additional services such as business phone number, call answering service, Initial Return filling service, CRA program account setups including GST/HST account, Payroll Deductions Account & Import/Export Account and much more. 

Why is BusinAssist a good option for incorporating a company in Ontario?

Efficiency: The incorporation process can be complex and time-consuming. BusinAssist can help you streamline it by efficiently forming your company in Ontario and ensuring compliance with all legal regulations.

Supplementary services: Besides company incorporation, we offer other services to help your business run smoothly. For example, we provide a Canada virtual office package with a professional business address, mail handling, 24/7 call answering services, and a VoIP landline number.

Cost-effective: Our services are affordable to every entrepreneur looking to incorporate a business in Ontario. Some of our virtual office packages include free Canada company incorporation as well. 

Ongoing support: We help your business remain compliant by assisting business owners in filing legal documents with relevant government agencies in Ontario. We also offer communication and mail-handling services if you subscribe to our virtual office packages.

Expert guidance: We offer advice on anything related to your business. If you have questions about taxes, licenses, or permits your business needs, we will tell you how and where to obtain them.

Online convenience: The ability to complete the incorporation process online can be a significant advantage for busy entrepreneurs, allowing them to manage everything from the comfort of their office.

User-friendly process: We have a simple and easy process making your incorporation hassle free. 

In conclusion, starting a business in Ontario gives entrepreneurs many benefits. Though provincial incorporation allows you to operate within the province, it offers several advantages that can be crucial for entrepreneurs and business owners.

BusinAssist helps entrepreneurs who want to tap into the Ontario market with provincial incorporation. We seamlessly help businesses navigate the complexities of legal requirements and communication with relevant government agencies and ensure your provincial incorporations are incorporated under the Ontario Business Corporations Act (OBCA).

For more information on incorporating a business in Ontario, contact us at [email protected].   

FAQs

Q: How do you know whether a company is registered or not?
Ans: Check the National databases to determine whether a business is registered. In Ontario, you can search for a company by name on the Ontario Business Registry website or the public registry.

Q: How to check if a company is registered in Ontario?
Ans: The Ontario Business Registry (OBR) offers fast and convenient access for registered, incorporated, or licensed companies to carry on business.

Q: How to check if a company name is already registered?
Ans: The NUANS search can help you check if a company name is registered. It provides a detailed comparison of a proposed business name against existing corporate names, business names, and trademarks.

Q: How many days does it take to register a company?
Ans: Both Federal & Provincial incorporation usually takes 1 to 2 business days. 

Q: How much does it cost to register a company in Canada?
Ans: The cost of registering a company in Canada depends on the type of business and the province or territory where it’s registered. Federal incorporation can cost $200, while registering in Ontario can cost $300.

Q: Do you need a lawyer to register a company?
Ans: No, you do not need a lawyer to register a company. Many entrepreneurs register their businesses themselves or use a company formation agent.

Q: Do I need an accountant to register a company?
Ans: No, you do not necessarily need an accountant to register a company.

Q: Can you register a company with the same name​?
Ans: No, you cannot register a company with the same name as another. The name has to be distinct and unique from the names of incorporated companies.

Q: Can you register a company in a different country?​
Ans: You can register a company in a different country using a virtual office or registered business address agent services.

Q: Can a foreigner register a company in Canada?
Ans: Yes, a foreigner can register a company in Canada. However, at least one company director should be a Canadian resident for Federal Corporations.

Read Also:

• How Can I Make Money Online in Canada? Best Side Hustles for 2025
• Should I Incorporate Federally or Provincially in Canada? A Comprehensive Guide to Choosing the Right Option for Your Business
• How to Incorporate a Federal Corporation in Canada: A Guide
• What Is a NUANS Report? Understanding Its Purpose and When You Need One in Ontario