INCORPORATIONS +
BUSINESS STARTUPS

Sole proprietors who wish to expand their business may find it beneficial to incorporate their operations.

Incorporating a business offers several advantages:

1) Limited liability, which protects shareholders' personal assets from lawsuits against the corporation.
2) Canadian controlled private corporations (CCPCs) benefit from lower corporate tax rates compared to sole proprietors.
3) Active shareholders have flexibility in declaring salaries or dividends, leaving profits in the corporation for business expansion.
4) Incorporating your business can enhance its credibility with potential investors, lenders, suppliers, customers, and employees.
5) Easier access to funding through the issuance of shares to potential investors and better funding options from banks.
6) Shareholders have access to the lifetime capital gains exemption, which is proposed to increase to $1.25 million in Budget 2024. This, combined with the Canadian Entrepreneurs' Incentive, will provide entrepreneurs with a combined exemption of at least $3.25 million when selling all or part of a business.

Please get in touch with us when you are prepared to proceed with the incorporation process. Our team is available to help you with the incorporation of your business and will determine whether federal or provincial incorporation is required based on your objectives.