How do I register my eCommerce business in Canada?

Are you eager to conquer the Canadian eCommerce landscape? Well, buckle up your snow boots and grab a cup of hot cocoa! Before you start selling everything from the finest maple syrup to the most fashionable tuques, there’s a little something you need to do first – register your business.

Fear not, ambitious entrepreneur! We’ve crafted a simple accessory guide to help you register your eCommerce business in Canada with ease. Oh, and if you want to incorporate don’t forget to check out my blog post on incorporating your eCommerce business right here.

To summarize here is what you should do to start your eCommerce business:

1. Pick your business structure
2. Choose a business name
3. Register your business
4. Get your licenses and permits
5. Register for taxes and CRA accounts

1. Pick Your Business Structure:

The first step in registering your eCommerce business is selecting an appropriate business structure. In Canada, there are three main types of business structures: sole proprietorship, partnership, and corporation. Each structure has its own legal and tax implications, so consult with a professional, such as a CPA, to determine the best option for your specific situation.

2. Choose a Business Name:

Next, select a unique and fitting business name that complies with Canadian business name regulations. To ensure your chosen name is available, you may need to conduct a NUANS (Newly Upgraded Automated Name Search) report, which will provide a list of similar names that are already registered.

3. Register Your Business:

The registration process will vary depending on the business structure you have chosen. For sole proprietorships and partnerships, you’ll need to register your business with the provincial or territorial government where you plan to operate. For corporations, you can register either provincially or federally.

4. Get Your Licenses and Permits:

Depending on your location and the products or services you offer, you may need specific licenses and permits to operate legally. Consult with local authorities or use the BizPaL tool to determine which licenses and permits are required for your business.

5. Register for Taxes:

To ensure tax compliance, register your eCommerce business for relevant taxes, such as the Goods and Services Tax (GST), Harmonized Sales Tax (HST), or Provincial Sales Tax (PST). You may also need to register for payroll, import/export, or corporate income tax, depending on your business structure and operations.

Benefits of Incorporating Your eCommerce Business:

• Limited liability: Incorporation protects your personal assets from business liabilities.
• Enhanced credibility: A corporation can lend your eCommerce business increased credibility with customers, suppliers, and investors.
• Tax benefits: Corporations can access various tax benefits and deductions unavailable to sole proprietorships and partnerships.

Registering your eCommerce business in Canada is essential to make it legal, protect your personal assets, and stay on the right side of taxes. Follow our simple steps, talk with the experts, and you’ll be selling your goods to Canadians in no time! For more details on incorporating your eCommerce business in Canada, head over to our main blog post here.