Whether your small business is incorporated, or you are in the process of becoming incorporated, Kirk Campbell specializes in helping business understand the considerations surrounding incorporation. We also offer an Incorporation service to get your Corporation set-up.
Our specialized team of accounting professionals will help you understand the benefits of incorporation a business. We offer an incorporation service for businesses, so we have the ability to set-up a corporation for you. We can guide you through the entire incorporation process.
If you are currently operating a business as a sole proprietorship and would like to migrate your existing business to a corporation, there are tax considerations that you need to be made aware of. Incorporation is not always the right decision for your business.
Contact us for more information about incorporation and all accounting and taxation related matters for your small business.
We can assist in
- Registering and Incorporating
- Types of shares to be issued and to whom.
- Forming a holding company to protect your assets and profits.
- Obtaining a business payroll and HST number from the CRA.
- Updating corporate minute books
- Reviewing the integration of corporate and personal tax every year.
- Determining the amount of salary and/or dividends to be paid every year, and the related tax benefits.
- Reviewing income splitting options.
Incorporation is the most recommended long-term business strategy. Without this strategy, you’ll be personally liable for your business debts and legal issues.
In some situations, some professional organizations allow their members to register ventures through a corporation and set up what’s known as a ‘Professional Corporation. While such a corporation operates just like all other regular corporations, it’s restricted to only provision of specific types of professional services. Some of the professionals allowed to create these corporations include dentists, pharmacists, doctors, lawyers, and more
Benefits of Incorporation
Limited Liability – Unlike partnerships and sole proprietorship’s where the owner assumes all the instances of liability of the business, once a company is incorporated, the owners’ liability is limited to the specific amount of their investments in the business.
Business Continuity – An incorporated business continues to operate even if some or all the current shareholders leave the business or die or the overall ownership of the company changes.
Raising Capital is Easier – In addition to borrowing money, corporations can raise more capital through equity financing. This is a process that involves selling shares to venture capitalists or angel investors.
Tax Savings– Once your company gets incorporated, it will become subject to more favorable corporate income tax rates compared to the individual tax rates. That means your company can save more money to help finance its operations and future growth. Also, incorporated businesses allow for income splitting among family members and this leads to further tax savings