Incorporating a Federal Corporation will protect you against personal liability for your business debts and obligations.
You would be able to open an office or other permanent establishment in more than one Canadian province; under the condition you register your Federal Corporation extra provincially in that province. We are able to assist with extra provincial registration in Alberta, British Columbia, New Brunswick and Ontario.
Your corporate name will be protected all across Canada, meaning no one in another province would be able to use your name.
Please note that a Federal Corporation must pay an annual renewal fee each year. The fee is $40. If you fail to pay your annual renewal fee 2 consecutive years in a row Industry Canada will dissolve your corporation.
If you are not sure if a Federal or Provincial Corporation is more beneficial for your business please read about the difference between a Federal and Provincial Corporation.
We are able to incorporate a Federal Corporation for you within 1 to 2 business days pending that your proposed name is accepted by the government. Please note that a NUANS report is required in order to be a named corporation. Numbered Corporations do not require such report and Numbered Corporations can be incorporated within 2 business hours.
An incorporator is an individual who initiates the incorporation process. An incorporator has no rights or powers in the corporation. A minimum of one person needs to be appointed as an incorporator.
A director is an individual who manages the company on a daily basis.
A minimum of 1 director is required to incorporate a company and must be 18 years old, of sound mind (mentally competent) and not in a status of bankruptcy. At least 25% of the directors must be Canadian residents.
President – an individual who is responsible for overseeing the decisions of the corporation and entering into contracts on behalf of the corporation
Secretary – an individual who is responsible for noting company formalities and maintaining the corporate records
Treasurer – an individual responsible for all accounting matters and for the funds of the corporation
One person may be appointed all officer positions in the company or you may appoint a different individual each position.
Shareholders are owners of the corporation.
Any individual or legal entity from any country may be appointed as a shareholder. However, if more than 50% of shares belong to a non-Canadian shareholder there is a much higher corporate income tax rate.