Steps in the Process
For example, let’s assume there is an individual named Eddie Blade who decides to incorporate a company to be called VIRTUAL EDDIE LTD. He decides to incorporate in Ontario since that’s where he lives.
Step 1: Select A Name
Eddie has decided to use the name Virtual Eddie Ltd.
Step 2: Name Search
See our section on name searches. Let’s assume for the moment the searches have been done and turned out OK for VIRTUAL EDDIE.
Step 3: Prepare the Application
This is going to be easy, because Eddie Blade will be the only director and shareholder. It’s also time to decide whether to hire a consultant.
Step 3(a): Choose a Consultant (Optional)
It is highly recommended that you not try this yourself, unless you really know what you’re doing. The creation of a new virtual legal entity must be done right or there can be serious unforeseen consequences. Trust, experience and price should all be major considerations, not price alone.
Step 4: Submit Application to Government
To file electronically in Ontario, you will pay $300 to the government and about $35 for efiling charges. In addition, they will need an official Ontario-biased NUANS search.
Step 5: Get Certificate back from Government
This is your official corporation birth certificate. Make note of the date and the corporation number. They will be needed for registering with the tax people.
Step 6: Post-Incorporation Organization
This means ensuring that the by-laws, resolutions and share certificates are properly adopted and signed. This is a legal requirement. In my experience, far too few people do it.
Step 7: Keep It Up To Date
This means filing, amongst other things, HST reports, tax returns and payments, dividend notices, address or director changes, etc.