How to Start a Business in Ontario (2026)
This page is the free Ontario guide. No sign-in. Read on, or take the checklist as a PDF.
Facts checked October 2026 · See what changed · How we check
Registration, tax accounts, and structure comparison: everything you need to get your Ontario business set up legally.
Ontario business setup guide
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Business Structures in Ontario
Open this section ↓↑ Close this sectionSole Proprietorship
Registration: Register if using a name other than your own legal name (Business Names Act)Liability: Unlimited personal liabilityTax: Income taxed as personal income; report on T1 Schedule T2125Best for: Freelancers, consultants, very low-risk workPartnership
Registration: Register business name; partnership agreement recommendedLiability: Joint and several unlimited personal liabilityTax: Income passes through to partners; each files T1Best for: Two or more founders with low-risk businessOntario Corporation (Inc.)
Registration: Articles of Incorporation via ServiceOntario or OnCorpLiability: Limited to investment (personal assets protected)Tax: Corporate tax rate; salary/dividends to owner; small business deduction may applyBest for: Higher risk, growth-oriented, or professional businessesFederal Corporation
Registration: Articles of Incorporation via Corporations CanadaLiability: Limited liability; can operate across CanadaTax: Same as provincial but federally chartered; must also register provincially to operate in OntarioBest for: Businesses that need national name protection or will operate in multiple provinces2
Registration Details: Ontario
Open this section ↓↑ Close this sectionSole Proprietorship / Trade Name
Registration required for trade names: $60 (online or by mail), valid 5 years
If you operate under your own full legal name (e.g., "Jane Smith Consulting"), no registration required. Any other name requires registration.
Register here →Provincial Corporation
Filing fee: $300 (online via ServiceOntario)
Ontario corporation name must be approved (NUANS name search required, fee varies by provider). Directors must provide a registered address in Ontario. Annual return required (no filing fee).
Incorporate provincially →Federal Corporation (optional)
Filing fee: $200 (online via Corporations Canada)
Federal corporations can operate nationwide but must also register in each province where they carry on business. The incorporation document is Form 1: Articles of Incorporation (CBCA), filed with Corporations Canada (ISED) together with the Initial Registered Office Address and the Notice of Directors.
Incorporate federally (Corporations Canada / ISED) →3
Tax Registration in Ontario
Open this section ↓↑ Close this sectionCRA Business Number (BN)
Register for a Business Number (BN) at CRA My Business Account or by calling 1-800-959-5525. The BN is the foundation for HST, payroll, and import/export accounts.
If registering by paper rather than online, use Form RC1 (Request for a Business Number and Certain Program Accounts); available at canada.ca.
GST / HST / QST
Must register for HST when annual taxable revenues exceed $30,000 in a single calendar quarter or over four consecutive quarters. Voluntary registration is allowed before that threshold.
Payroll
Register a payroll account with CRA when you hire your first employee. Deduct and remit CPP, EI, and income tax on a schedule based on your average monthly remittances.
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Business Name Search and Reservation
Open this section ↓↑ Close this sectionSystem: Ontario-weighted NUANS (national system, private providers)A NUANS name search is required for named Ontario corporations. Numbered companies and business-name registrations do not require NUANS.
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Provincial Sales Tax in Ontario
Open this section ↓↑ Close this sectionType: HST: 13%Separate registration: No, register with CRAOntario is an HST province. Register once with CRA (no separate provincial registration).
CRA GST/HST registration →6
Annual Filing and Renewal in Ontario
Business name renewals every 5 years ($60).Open this section ↓↑ Close this sectionBusiness name renewals every 5 years ($60). Ontario corporation annual return filed in the OBR. No filing fee.
Fee: $0 for corporation annual return; $60 for business name renewal
Official source →7
Step-by-Step: Starting Your Ontario Business
Open this section ↓- 1
Choose your business structure (sole proprietor, partnership, or corporation).
- 2
Register your business name (if not incorporating) or incorporate (Articles of Incorporation).
- 3
Register for a CRA Business Number at canada.ca/cra-business.
- 4
Register for HST/GST if your revenue exceeds or will exceed $30,000.
- 5
Open a business bank account (keep personal and business finances separate).
- 6
Register for a municipal business licence if required by your municipality.
- 7
If you have employees, register for a payroll account with CRA.
- 8
Set up your bookkeeping system, keep all receipts and records for at least 6 years.
↑ Close this sectionOntario-specific things to know
- •Ontario requires a NUANS name search before approving a corporation name.
- •Professional corporations (lawyers, accountants, doctors) have additional requirements.
- •Ontario corporations must file an annual return with the Ontario Business Registry each year (no fee).
- •The Ontario Small Business Support Grant and other programs may be available. Check ontario.ca/business.
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Common Questions
Do I need to incorporate to start a business in Ontario?Open this section ↓Do I need to incorporate to start a business in Ontario?
No. You can operate as a sole proprietor with just a registered business name. Incorporation makes sense if you need liability protection, plan to grow, or want the tax advantages of the small business deduction.
Do I need to charge GST/HST right away?
You must register for GST/HST once your taxable revenues in any single quarter or over the past four quarters exceed $30,000. You can register voluntarily before that; it lets you claim input tax credits on your business expenses.
What's the difference between a provincial and federal corporation?
A provincial corporation is incorporated under Ontario's laws and gets name protection only in Ontario. A federal corporation is incorporated under the Canada Business Corporations Act and gets national name protection, but must also register in any province where it carries on business. For most small businesses, a provincial corporation is sufficient and simpler.
Do I need a business bank account?
It's not legally required for sole proprietors, but strongly recommended. Mixing personal and business finances makes accounting and tax filing significantly harder, and looks unprofessional to clients. Corporations are legally required to maintain separate accounts.
Official sources
- Ontario Business Registry (OBR), ServiceOntario →
- Ontario Provincial Incorporation →
- CRA Business Registration (canada.ca) →
- Ontario Business Registry: Costs & Times →
Facts checked October 2026. Fees marked "as of 2026" should be confirmed at the official source before relying on them.
Already incorporated? Corporation compliance calendar: every yearly filing date, with the official rule beside each.
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Informational guide only. Guidepost is not a law firm. This guide explains the typical process and is not legal advice. Requirements can change. Verify current rules with the relevant government authority or a qualified professional before you act.