How Do I Register a Business in Canada as a Non-Resident?

 

Canada is known for its welcoming business environment, stable economy, and robust legal system — making it an attractive destination for international entrepreneurs. But how can a non-resident legally register a business in Canada?

In this guide, we'll walk you through everything you need to know to start a business in Canada as a non-resident, including the process, rules, options, and key considerations.

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Can a Non-Resident Start a Business in Canada?

Yes. Non-residents can legally start and operate a business in Canada. However, there are specific provincial requirements and limitations that may differ depending on where and how you want to incorporate.

Canada does not require citizenship or permanent residency to own a business, but some provinces require you to appoint a Canadian resident director or agent.

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Step-by-Step: How to Register a Business in Canada as a Non-Resident

1. Choose the Right Business Structure

You can operate under different legal structures:

a. Sole Proprietorship

• Easiest to set up.

• Limited to local province/territory.

• Not recommended for non-residents (you’ll likely need a physical presence).

b. Partnership

• Shared between individuals/entities.

• You may still face restrictions depending on where you’re based.

c. Corporation (Recommended)

• A separate legal entity.

• Best suited for non-residents.

• Allows for easier access to funding, scalability, and legal protections.

Note: Most non-residents choose federal incorporation or incorporate in British Columbia, Ontario, or Alberta due to favorable rules.

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2. Decide Between Federal or Provincial Incorporation

a. Federal Incorporation (via Corporations Canada)

• Business can operate in all provinces and territories.

• Requires at least 25% of directors to be Canadian residents, unless exempted or using nominee directors.

b. Provincial Incorporation

Rules vary by province:

Province	Canadian Director Requirement?
British Columbia	❌ No (allows full foreign ownership)
Ontario	✅ Yes (at least 25% Canadian residents)
Alberta	❌ No (since 2021, no Canadian residency requirement)
Quebec	❌ No
Manitoba	✅ Yes
Saskatchewan	✅ Yes
Nova Scotia	✅ Yes
Newfoundland & Labrador	✅ Yes
New Brunswick	✅ Yes

3. Appoint a Canadian Director or Agent (If Required)

If you're incorporating in a province that requires a Canadian resident director, you can:

• Partner with a Canadian citizen or permanent resident.

• Hire a nominee director (a paid professional who acts as the local director).

• Work with legal/accounting firms that offer resident agent services.

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4. Get a Canadian Business Address

You’ll need a Canadian mailing address for registration. Options include:

• Leasing an office or coworking space

• Using a virtual office

• Registered agent address (provided by legal service providers)

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5. Name Your Business

• Choose a unique name that complies with federal or provincial rules.

• Alternatively, register a numbered corporation (e.g., 12345678 Canada Inc.).

• Conduct a NUANS name search to check for availability (for federal or Ontario incorporation).

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6. Register the Business

Depending on your incorporation route:

For Federal:

• Visit Corporations Canada

• Submit online application

• Pay incorporation fee (around CAD $200–$300)

• Get a Certificate of Incorporation

For Provinces:

• Use the provincial registry portal (e.g., BC Registry, Service Ontario, etc.)

• Submit incorporation documents

• Pay applicable fees

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7. Apply for a Business Number (BN) from CRA

The Canada Revenue Agency (CRA) assigns each business a Business Number (BN) for taxation purposes.

You may also need to register for:

• GST/HST Number (if revenues exceed CAD $30,000/year)

• Payroll Account (if you hire employees)

• Import/Export Account (for cross-border trade)

You can register online at CRA Business Registration Online.

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8. Open a Canadian Business Bank Account

To open a bank account, most banks require:

• Certificate of Incorporation

• Business Number (BN)

• Business address

• Valid passport

• Articles of Incorporation

• A Canadian resident may need to be present (depends on the bank)

Tip: Some banks offer non-resident-friendly services — reach out to banks like RBC, TD, or Scotiabank.

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9. Get the Necessary Licenses and Permits

Depending on your business activity and location, you may need local permits or licenses.

Use BizPal — a government tool to find out what licenses are required.

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10. Comply with Ongoing Requirements

Once registered, you must maintain:

• Annual tax filings

• Corporate records

• Renewals (for licenses or registrations)

• Director/shareholder changes

Federal corporations must file an annual return with Corporations Canada.

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Important Considerations

Taxes:

• As a non-resident business, you'll be subject to Canadian corporate tax if you have a “permanent establishment” (e.g., office, employees).

• May also be taxed on income earned in Canada.

• Consult a Canadian tax professional to structure your business for double-taxation relief under tax treaties.

Immigration Status:

• You do not need a Canadian visa to own a business.

• However, to work for your company in Canada, you need a work permit or business visa.

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Summary: Quick Checklist for Non-Residents Registering a Business in Canada

✅ Choose a business structure (corporation recommended)
✅ Pick federal or provincial incorporation
✅ Appoint Canadian director/agent (if required)
✅ Secure a Canadian business address
✅ Register your business and get incorporation certificate
✅ Apply for Business Number (BN)
✅ Open a Canadian business bank account
✅ Get required permits and licenses
✅ Stay compliant with taxes and annual filings

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Final Thoughts

Registering a business in Canada as a non-resident is entirely possible — and increasingly common. Whether you're expanding your international operations or starting a new venture, Canada offers a strong legal framework, access to North American markets, and plenty of resources for entrepreneurs.

Just make sure you understand the legal requirements, work with local professionals, and choose the right province to suit your business needs.