Incorporating Provincially vs Federally

[fac3less]

Anyone mind tossing me a few of their legal contacts?

I'm looking to incorporate a US company here in Ontario and have yet to find anyone who knows what they're doing legalwise.

I'll be eternally grateful!

[bigbug]

I just received a notice from Industry Canada asking me for a $20 (or $40 by fax) anual return payment. This "anual return" only ask me for general information of my company and if I don't file it my company will be dissolved in 2 years. I am wondering if Provincial corp. is also required to pay this stupid anual return. It sounds like a mistake to register a federal corp. by saving around $100 registration fee but end up losing hundreds in the long run.

[nabeel]

I just received a notice from Industry Canada asking me for a $20 (or $40 by fax) anual return payment. This "anual return" only ask me for general information of my company and if I don't file it my company will be dissolved in 2 years. I am wondering if Provincial corp. is also required to pay this stupid anual return. It sounds like a mistake to register a federal corp. by saving around $100 registration fee but end up losing hundreds in the long run.

If you read my earlier post in this thread, you will see I mentioned that as an advantage of Ontario incorporation.

[Rifle]

We were discussing this in class and overall, he said it's much better to incorporate provincially. Its an easier process than the federal process. Both of these have the same laws, etc. Incorporating federally is more of a hassle because trying to reach a person to finalize documents and get in contact with them is a pain.

Both are same, Opt for provincial

[mayfly]

I would go for federal incorporation by all means.

1. You'll have a better name protection as a federal named company covers all provinces.

2. Corporations Canada is much more user friendly than the Ontario Companies Branch. If you are dealing with a real person, you could tell the level of competence and work ethics right away.

3. A federal company could still have the head office resides in Ontario or any province by filing an extraprovincial registration.

4. Filing the federal annual return is easy and could be done online for $20. This is required to indicate that your company is still active. An Ontario company is also required to have an annual return filed as well. It is piggy-back in your corporate tax return filing. A lot of corporate tax filers just take it as an extra form to be completed. In a lot of times, these annual returns are filed incorrectly. At such time, you will understand what is pain dealing with the Ontario Companies Branch.

5. The federal incorporation fee is apparently cheaper.

6. For those who are not familiar with preparing the articles of incorporation, Corporations Canada has very detail precedents available for reference. Here is the link for incorporation kit: http://strategis.ic.gc.ca/epic/inter.../cs02717e.html

[MilkyWind]

Let's say I start a website and also offer my services to americans.

Is it better that I incorporate federally in Canada? Would I also have to do some some of incorperation in the states?

[ktkn]

Anyone mind tossing me a few of their legal contacts?

I'm looking to incorporate a US company here in Ontario and have yet to find anyone who knows what they're doing legalwise.

I'll be eternally grateful!

You can always go with those online sites that help you incorporate. Incorporation is actually really easy if you know what you're doing, what forms to fill, etc. However, for me, it was just plain easier to use the services of the site cause they were so cheap!

I used this site www.amerilawyer.com

Just pick the state you want to incorporate in. Really easy to use. My advice is if you want to incorporate now, just call them do the credit card thing (they don't actually charge you), and then somebody calls you back with a full consultation... then you can decide exactly what you want, and then they charge you. Although it's really annoying cause incorporating in the U.S. they require you to get some documents (in my case) notoraized by a US Notary (which means US Consul for me). Oh well...

[ktkn]

If you all know what you're doing, and want the cheapest way of incorporating, if you incorporate federally, remember to do it online. I believe it's $200 vs $250 any other method (mail, in person, etc). The Nuans report is $20 + tax, but once you get through all of that, your name is guaranteed in each of the provinces. Only certain provinces have "deals" with the federal gov't through the online process and Ontario is one of them, and it's $0 for registering as an additional province... so lucky for you since most of you seem to be from there... I'm in BC so more work and $$$ for me...