To register a company in Canada, you make two decisions first: incorporate federally or provincially, and whether you need a Canadian-resident director. Those two choices set your cost, your name protection, and whether a non-resident founder can proceed alone. Most guides skip both.
The Government of Canada frames the work as four parts: incorporate, get a Business Number, register extra-provincially, and get permits, per Canada.ca’s guide to registering a corporation. This page follows that structure and answers the residency question head-on.
What Does Registering a Company in Canada Involve?
Registering means four things: incorporate federally or provincially, get a Business Number (BN) and tax accounts from the Canada Revenue Agency (CRA), register extra-provincially in every province where you operate, and get any permits. Incorporation is fast. The CRA accounts and corporate banking are the real clock. Start with the route comparison below.
| Route | Government fee (CAD) | Resident-director rule | Source |
|---|---|---|---|
| Federal (Canada Business Corporations Act) | $200 online | 25% resident Canadians (min. 1 if fewer than 4 directors) | Corporations Canada |
| Ontario (Ontario Business Corporations Act) | $300 online | None since July 5, 2021 | Ontario |
| British Columbia (Business Corporations Act) | $350 + $30 name request | None | BC Corporate Online |
| Alberta (Alberta Business Corporations Act) | ~$275 via registry agent (not a statutory fee) | None; Alberta agent for service required | Alberta registry agents |
The Alberta figure is not a government fee. Alberta registry agents set their own service charge, so treat “~$275” as a typical all-in, not a fixed rate.
Should You Incorporate Federally or Provincially?
Incorporate federally for a national brand if you can meet the 25% resident-director rule; incorporate provincially if you run in one province or have no Canadian director. Federal incorporation runs through Corporations Canada under the Canada Business Corporations Act (CBCA) and gives nationwide name protection. It does not exempt you from registering in each province where you carry on business.
Provincial incorporation protects your name only in that province. It is usually cheaper for single-province operations, and several provinces have no residency rule at all.
Three heuristics decide it:
- One province for the next 12 to 24 months, choose provincial.
- National brand and you can meet 25% residency, choose federal.
- Non-resident with no Canadian director, choose provincial in a no-residency province (British Columbia, Ontario, or Alberta).
Do I Need a Canadian Resident Director?
Federally, yes: the CBCA requires at least 25% of directors to be resident Canadians, or at least one if you have fewer than four directors, under CBCA section 105(3). British Columbia, Ontario, Alberta, Quebec, and the Atlantic provinces have no rule, which is the practical path for non-residents.
A “resident Canadian” is a Canadian citizen ordinarily resident in Canada, or a permanent resident (PR) ordinarily resident in Canada, with limited exceptions, per Justice Laws. Readers often read “resident” as “anyone who lives there.” It does not. A visa holder or a foreign founder physically in Canada is not a resident Canadian for director-residency purposes.
| Jurisdiction | Resident-director requirement | Status and source |
|---|---|---|
| Federal (CBCA) | 25% (min. 1 if fewer than 4); majority for regulated sectors | Current, CBCA s.105(3) |
| Ontario | None | Repealed July 5, 2021 (Bill 213), Ontario law |
| Alberta | None; Alberta agent for service required | Repealed March 29, 2021, Alberta B09 Act |
| British Columbia | None | Current (Business Corporations Act) |
| Quebec | None (French-language obligations apply) | Current |
| New Brunswick / Nova Scotia / PEI | None | Current |
| Saskatchewan | None; attorney for service required if no resident director | Current (SBCA) |
| Manitoba | 25% | Current |
| Newfoundland and Labrador | 25% (min. 1 if fewer than 4) | Current |
The regulated-sector carve-out matters: prescribed sectors such as airlines, telecommunications, book retailing and publishing, and film and video distribution require a majority of resident Canadian directors, per Corporations Canada. Ontario removed its rule through Bill 213, the Better for People, Smarter for Business Act, 2020, proclaimed into force July 5, 2021. Alberta replaced its rule with a mandatory Alberta-resident agent for service, effective March 29, 2021.
Which Province Should You Incorporate In?
Choose British Columbia, Ontario, or Alberta as a non-resident, picked by where you operate, not by a single winner. All three dropped director residency, so a foreign founder can own and direct the company with no local director. Ontario is the largest market and the common default. British Columbia is Pacific-facing. Alberta runs a low-tax environment with no provincial sales tax.
| Province | Government fee (CAD) | Residency rule | Name system | Notes |
|---|---|---|---|---|
| British Columbia | $350 + $30 name request | None | BC Name Request | Popular with non-residents |
| Ontario | $300 | None since 2021 | NUANS for named corporations | Largest market, Toronto access |
| Alberta | ~$275 via registry agent | None | Alberta NUANS | Alberta agent for service required; no provincial sales tax |
| Quebec | Varies (Registraire des entreprises) | None | Quebec REQ system | French-language obligations under the Charter of the French Language |
What Is the Cheapest Province to Incorporate in Canada for Foreigners?
Ontario at $300 with no residency rule is frequently the cheapest net path for a foreigner. The right test is total cost, meaning the government fee plus the name search plus any mandatory agent or registered-office service, not the headline filing fee. Alberta looks cheap but its registry-agent markup and the required Alberta agent for service add up.
| Path | Government fee (CAD) | Name/report | Mandatory service | Catch |
|---|---|---|---|---|
| Federal numbered | $200 | None (numbered skips it) | Registered office | Only workable if you meet the 25% rule |
| Ontario | $300 | NUANS extra if named | Registered-office service | None; no residency rule |
| Alberta | ~$275 (agent markup) | Alberta NUANS | Alberta agent for service | Registry-agent fee is variable and on top |
| British Columbia | $350 + $30 | BC Name Request | Registered office | Highest headline fee |
The $200 numbered federal corporation is the cheapest sticker price, but only a founder who can satisfy the 25% resident-director rule can actually use it.
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Do You Need a Canadian Address to Register a Company?
Yes, you need a physical registered office address in your jurisdiction of incorporation, not a PO box, because it must receive legal and government mail. Alberta additionally requires an Alberta-resident agent for service. A registered office is not the same thing as you personally needing a Canadian residence, and a service provider can supply both the address and the agent.
This is why a non-resident with no Canadian presence can still incorporate cleanly. You rent the registered office and, in Alberta, the agent for service. Your own residency is irrelevant to this requirement.
Corporation, Sole Proprietorship, or Partnership: Which Structure Should You Choose?
Choose a corporation. It is a separate legal person and the standard vehicle for fundraising, hiring, and cross-border work. A sole proprietorship offers no liability shield and is effectively unavailable to non-residents. A partnership carries personal liability. For an international founder, the corporation is the practical choice every time.
Note for US founders: Canada has no LLC equivalent. A Canadian corporation is the vehicle, and it does not flow through for US tax the way an LLC does.
Named or Numbered Corporation: Do You Need a NUANS Report?
A NUANS (Newly Upgraded Automated Name Search) report is required for named corporations federally and in Ontario, and never for numbered corporations. A federal NUANS report costs $13.80 and is valid for 90 days, per the ISED NUANS federal report page. British Columbia and Quebec use their own name systems, not NUANS.
The fastest clean start is to incorporate numbered, then rename once branding is final. You rename by filing articles of amendment with a NUANS report for the new name. Do it before you invoice or launch a brand, since banks and customers key off the legal name. Amendment fees:
| Jurisdiction | Articles of amendment fee (CAD) | Source |
|---|---|---|
| Federal | $200 online | Corporations Canada |
| Ontario | $150 online or by mail | Ontario |
You can screen candidate names first with Commenda’s company name checker.
How Do You Incorporate a Business in Canada Online? (Step by Step)
You incorporate online in six steps once the decisions above are made: prepare articles, appoint directors, secure an office, file, get CRA accounts, and register extra-provincially. The jurisdiction, structure, and naming choices sit in the sections above, so the steps stay short.
Step 1: Prepare your Articles of Incorporation
Your Articles of Incorporation set the corporate name, registered office, number of directors, share structure, and any restrictions on activity. Keep the share structure simple. Complex share classes create friction with banks, investors, and later legal work.
Step 2: Appoint directors and confirm residency compliance
Confirm your board meets the residency rule for your jurisdiction. Federal boards need 25% resident Canadians. British Columbia, Ontario, and Alberta boards do not.
Step 3: Secure a compliant registered office
Every corporation must keep a physical registered office in its jurisdiction of incorporation, able to receive legal and government correspondence. A PO box does not qualify. In Alberta you also need an Alberta-resident agent for service, which a service provider can supply alongside the address.
Step 4: File online
File through the Corporations Canada Online Filing Centre for $200, or through a provincial registry such as the Ontario Business Registry for $300. A certificate of incorporation issues on approval.
Step 5: Get your CRA Business Number and tax accounts
Incorporation does not set up your taxes. Register with the CRA for a Business Number, a corporate income tax account, and GST/HST and payroll accounts as needed.
Step 6: Register extra-provincially and get permits
Register in each additional province where you operate, and obtain any municipal or industry permits. Both get their own sections below.
How Much Does It Cost to Register a Company in Canada?
The cheapest government fee is a numbered federal corporation at $200, filed online with Corporations Canada. Total cost depends on your province of operation, because extra-provincial registration and a registered-office service add to it. Every figure below comes from a current government fee schedule.
| Item | Cost (CAD) | Source |
|---|---|---|
| Federal online incorporation | $200 | Corporations Canada |
| Federal 4-hour express add-on | +$100 ($300 total) | Corporations Canada |
| Federal NUANS name report | $13.80 | ISED NUANS |
| Federal annual return | $12 per year | Corporations Canada |
| Ontario incorporation (online) | $300 | Ontario |
| Ontario annual return (online) | $0 | Ontario |
| British Columbia incorporation | $350 + $30 name request | BC Corporate Online |
| British Columbia annual report | $43.39 | BC Corporate Online |
| Alberta incorporation | ~$275 (registry-agent fee extra) | Alberta registry agents |
How Long Does It Take to Register a Company in Canada?
Federal online incorporation takes about one business day, with a 4-hour express option for an extra $100, per Corporations Canada. Ontario and British Columbia online filings usually clear in one to two business days. Incorporation is the fast part. The CRA Business Number and the bank account are the real timeline.
| Milestone | Typical online timing | Source |
|---|---|---|
| Federal incorporation (standard) | ~1 business day | Corporations Canada |
| Federal incorporation (express) | 4 hours (+$100) | Corporations Canada |
| Ontario / British Columbia online filing | 1 to 2 business days | Provincial online registries |
| CRA Business Number and tax accounts | Immediate to a few days | Canada Revenue Agency |
| Bank account (non-resident) | Weeks, varies by bank | See the non-resident section below |
What Is Extra-Provincial Registration and When Is It Mandatory?
Extra-provincial registration is mandatory in every province where your corporation “carries on business.” Statutory triggers include having an address, a PO box, or a phone number there, or offering products or services in that jurisdiction, per Corporations Canada. Federal incorporation does not let you operate nationwide automatically. British Columbia charges $350 for this registration.
British Columbia, Alberta, Saskatchewan, and Manitoba are parties to the New West Partnership Trade Agreement (NWPTA). A corporation already registered in one partner province can register in the others without the usual government fee. The fee is waived, but the filing itself is still required in each province.
How Do You Get a Business Number and CRA Tax Accounts?
The Business Number (BN) is a 9-digit CRA identifier, Canada’s business tax ID. Program accounts hang off it: RC for corporate income tax, RT for GST/HST, RP for payroll, and RM for import and export. Since November 3, 2025, the CRA requires new BN and program-account registrations through Business Registration Online; phone registration is gone.
Business Registration Online normally needs a Canadian Social Insurance Number (SIN). A non-resident director without a SIN uses the CRA’s non-resident registration option, typically by filing Form RC1 with the CRA by mail or fax, or through an authorized representative or service provider.
GST/HST (Goods and Services Tax / Harmonized Sales Tax) registration becomes mandatory once taxable revenues exceed $30,000 over four consecutive calendar quarters, the small-supplier threshold, per the CRA’s when to register for GST/HST guidance. Voluntary registration earlier unlocks input tax credits. The rate follows the customer’s province.
| Customer’s province | Rate | Type |
|---|---|---|
| Ontario | 13% | HST |
| British Columbia | 5% | GST |
| Alberta | 5% | GST |
What Happens After You Incorporate?
A Canadian corporation owes filings from day one, even when dormant. You file an annual registry return, which is separate from the tax return, a T2 corporate income tax return every year even with no activity, and you keep a minute book. Provincial corporate income tax rules then vary by jurisdiction.
| Jurisdiction | Separate provincial corporate return? | Filed with |
|---|---|---|
| Ontario | No; collected through the federal T2 | Canada Revenue Agency |
| British Columbia | No; collected through the federal T2 | Canada Revenue Agency |
| Alberta | Yes, the AT1 return | Alberta Tax and Revenue Administration |
| Quebec | Yes, the CO-17 return | Revenu Québec |
The CBCA also requires an annual shareholders’ meeting, the first within 18 months of incorporation and then no more than 15 months apart. Provincial statutes impose similar duties, usually satisfiable by a written resolution of all shareholders. This is jurisdiction-specific, so confirm the rule for your province.
Which Permits and Licenses Do You Need?
Incorporation creates the corporation, not permission to operate. Depending on activity and location, you may need municipal business licenses, professional or industry licensing, and permits for regulated activities. Check requirements in every province where you carry on business. Track deadlines across jurisdictions with a compliance calendar.
Can a Non-Resident Register a Company in Canada?
Yes. A non-resident can own 100% of a Canadian corporation; residency rules bind directors, not shareholders. Three real constraints apply: director residency (solved by incorporating in British Columbia, Ontario, or Alberta), a compliant registered office, and banking. Banking is the variable bottleneck, measured in weeks.
Do not use nominee directors as a workaround for the federal 25% rule. They carry real legal risk, since the nominee takes on statutory director liability while you rely on side agreements. The clean path is provincial incorporation in a no-residency province.
On banking, expect to provide incorporation documents, your Business Number, registered office details, ownership and control information, and director and officer identification. In-person identity verification requirements vary by bank; some require at least one director to appear in person. No single reliable average timeline exists, so plan for weeks, not days.
Common pitfalls for non-residents:
- Choosing federal incorporation without planning for the 25% residency rule.
- Using a non-compliant registered office address.
- Forming without clear ownership and signing authority.
- Assuming you can operate nationwide without extra-provincial registration.
- Leaving CRA Business Number and GST/HST planning until after invoicing.
- Confusing company ownership with authorization to work in Canada.
Founders can follow the country-specific guides: register a company in Canada from the USA, from the UK, from Australia, and from Ireland. Expanding a foreign parent means choosing subsidiary over branch for most groups; see setting up a subsidiary in Canada.
Why Incorporate in Canada?
Canada’s federal general corporate rate is 15% on active business income, per the CRA corporation tax rates. Provincial tax stacks on top, so Ontario’s combined general rate lands near 26.5%. The 9% small-business rate applies only to Canadian-Controlled Private Corporations (CCPCs) on their first $500,000 of active business income.
A corporation controlled by non-residents is not a CCPC and does not get the 9% rate, so most non-resident-owned companies should model the general rate. Canada also gives tariff-advantaged access to the United States and Mexico under the United States-Mexico-Canada Agreement (USMCA).
How We Help You Register a Company in Canada
Registering in Canada is an operational setup, not a paperwork task. Commenda’s incorporation service handles jurisdiction choice, filing, a compliant registered office, CRA Business Number and tax-account coordination, and ongoing compliance, so your corporation can invoice, bank, and hire without gaps. It sits inside a platform that also manages your Canada entity and subsidiaries alongside your other markets.
If you are weighing an entity against a contractor arrangement first, run the numbers with the entity vs. EOR calculator. When you are ready, book a demo to get a jurisdiction recommendation matched to your ownership structure on the call.
About the author
Logan leads Commenda’s Services and Operations team, helping controllers, heads of tax, and finance leaders navigate international expansion. He built a global expert network across 70 countries and previously worked in management consulting across the Middle East and Southeast Asia.
Disclaimer: Commenda and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide or be relied on for tax, accounting, or legal advice. You should consult your own tax, accounting, and legal advisors before engaging in any related activities or transactions.






