Starting your own small business in Canada

Starting a new business can be quite exciting; however, without following the right steps, you may end up with a perfectly good business that cannot operate due to legal reasons. Read on to find out some of the important steps to follow in starting anew business.

Business idea

To start a business you need a business idea in the first place. A business idea is the solution you have in mind meant to solve a specific problem that you have identified. It is this solution that consumers will be willing to pay for. A business idea can be in the form of your hobby or anything else that you think has economic value and you have the skills to deliver.

Business Plan

Once you have a business idea which you believe is viable, it is recommended that you put together a business plan. Although this is not a necessity, it is recommended that entrepreneurs put together a brief but clear business plan that lays down their plan to success. A business plan it a useful business tool that can be used in running the business and even securing funding where necessary. The plan consists of various goals and how you plan on attaining them. Additionally, business plans capture financial projections as well.

Name

Choosing a business name is not as easy as it sounds. The chosen business name has a lot of significance on the marketability of the business. Additionally, you have to consider the legal implications of the chosen business name as well.

Business Form

When looking to start a business, you need to consider the legal form of it will take. In Canada, there are different legal forms businesses can take; entrepreneurs are urged to research these forms and choose their most preferred option. The business form chosen has an influence on the liability of the owner(s) as well as the type of business that can be carried on.

Registration

Another important aspect of starting a business is the registration process. In Canada, business registration requires among others, details on the location of the business including province and territory. Be sure to include the correct legal documents duly completed as well.

Licensing

Although not all new businesses need a license to start operating, most do. Be sure to get the necessary licenses and permits to ensure that your business is operating legally from the start. Entrepreneurs can use Industry Canada’s BizPal service to check whether they need any permits and licenses to operate their business legally in any municipality in Canada.