Canada is one of the world’s fastest-growing business industry.
Gaining the 10th spot in GDP Ranking (2019-2023) for having a strong economy, it became an apple of the eye for many foreign investors. Canada’s long-term outlook in the business industry is really inviting but the Canadian Government selects business class immigrants based on their ability to become economically established, businesses who can support the development of the Canadian economy. Here is a complete guideline on how a Non-Canadian Citizen can expand or start a new business in Canada.
Opening a branch office
To do this the foreign corporation must make an application for registration as an Extra-Provincial or Foreign Corporation in each province where the business intends to operate.
Incorporating a Subsidiary
To do this the foreign corporation must make an application for registration as an Extra-Provincial or Foreign Corporation in each province where the business intends to operate. province where the business intends to operate.
For extra-provincial incorporation
you will need an Agent for Service, an "individual, 18 years of age or older who is a resident in Canada, or a corporation having its registered office.
All Canadian provinces and territories have similar requirements. To start a business in Canada, you will need to contact the provincial registry of the province you want to do business with and go through its required procedure. If you wish to do business in more than one province, you will need to register your new business separately with each province.
You can still start a company without living or immigrating to Canada. One must understand the rules about who can and who can't start certain types of businesses.
partnership partner with a Canadian citizen and register your business as a partnership on the province or territory you wish to establish..
At least 25 percent of the directors of a corporation other than a non-resident corporation shall be resident Canadians, but where a corporation has less than four directors, at least one director shall be a resident Canadian.
Therefore, if you are a Canadian citizen not living in Canada you will not qualify to be the sole director of a company. However, you can be a director as long as there are other directors elected to the board members (the 25% resident Canadian requirement). If a corporation has fewer than four directors, at least one of them must be a Canadian resident.
In addition, corporations operating in sectors are subject to ownership restrictions such as book retailing, video or film distribution. A company that does not follow the statutory requirements could be dissolved by Corporations Canada.