In recent years, the dream of opening your own business has become not just an obsession, but also the meaning of life for most enterprising citizens in all corners of the planet. And if in their homeland they are faced with many sometimes insurmountable obstacles and bureaucratic formalities, then what can we say about abroad, where not only the laws, but also the language are incomprehensible. This conclusion in most cases, however, can be considered a fallacy. To open a business in Canada, for example, you need to draw up a business plan and prove the financial benefit of your idea for the selected region. If everything goes well, help from the state will not be long in coming. But first you need to study all the legal and organizational subtleties.

What forms of business and ownership are provided in Canada

You need to start planning your own enterprise by choosing the form in which it will appear in the Canadian economic environment. Currently, the following options are legally established:

• Corporation - they can be conditionally divided into two groups - open and closed, each of which also has the following subtypes:
  • Canadian-Controlled Private Corporation - most of the authorized capital belongs to Canadians; a non-resident cannot have the right to control the company. But this makes it possible to receive tax benefits of 51%;
  • Other Private Corporation - most of the invested funds are controlled by non-residents who can already manage the business;
  • Public Corporation - shares of such a company are freely available on stock markets;
  • Corporation controlled by any Public corporation - in other words, a subsidiary of a public company;
  • Other Corporation - Any other business that is different from those listed above, such as a cooperative.

  This type of enterprise can be organized without any minimum capital, and all shareholders are given limited liability regarding the obligations and debts of the company. The only province where you can form an unlimited company is Nova Scotia, and the majority of shareholders are allowed to be non-resident.

• General Partnership is a partnership that has unlimited liability. This type of relationship is a kind of union of two or more persons who decided to create an enterprise for the purpose of making a profit. To open such a company you will not need permission from the Canadian government or a minimum authorized capital.
• Limited Liability Partnership – limited liability partnership. To create it, you will definitely need to register with the relevant department. There is also no minimum authorized capital.
• Branch Office – a branch of a foreign company. Must be registered or licensed in each region where such an office will be opened. From a legal point of view, the branch does not have any independence, but merely represents the main company in Canada.
• Joint Venture - involves the implementation of a specific project by combining the efforts and capital of two or more individuals. The liability of the parties is limited solely to the amount of capital they invested. Moreover, each participant in such a project is an independent tax payer.
• Sole Proprietorship is a private enterprise. The simplest form of business organization. A Canadian citizen who is the sole owner of a company, as well as a non-resident who intends to conduct all activities in his own name, is considered a private entrepreneur and can engage in any type of activity unless prohibited by law.
• Trust is a legal entity that consists of one or more founders. Management in such companies is carried out by trustees, but profits are divided among all beneficiaries.

Business registration procedure

The main advantage of doing business in this country is the absence of complex bureaucratic barriers. The local government is interested in the presence of foreign investors, and therefore creates all conditions for their comfortable existence.

All companies here can be divided into two types:

• federal - which can operate throughout the state;
• provincial - have the right to carry out their activities only in a certain province.

From idea to implementation, an entrepreneur will have to go through several stages:

1. Drawing up a business plan.
2. Choosing an organizational form.
3. Formation of capital for a successful start.
4. Search for a title.
5. Taking out an insurance policy for your future enterprise.

In addition, immigrants should remember to fulfill a number of conditions that will allow them to obtain entrepreneur status:

• availability of funds - at least 300 thousand Canadian dollars (221,000 USD);
• experience in managing a business in your home country – from two years;
• ownership of a third of the shares of a small business during 1 year of stay in the country;
• knowledge of at least one of the two state languages;

To open an office for your own business in Canada, you will have to follow the following procedure:

1. Submission of a package of documents to the Ministry of Industry. This takes no more than a day thanks to the electronic submission of the application. Over the next 5 days, the future company is assigned a special number.
2. Registration of a unique name.
3. Transfer of data about the newly created company to the State Revenue Agency, where within one day it receives its income tax number.
4. If the company's turnover exceeds 30 thousand CAD per quarter, then it is necessary to register as a VAT payer.

Do not forget that some types of activities may require a license.

Purchasing an existing business

In order not to burden themselves with the legal intricacies of the process described above, many prefer to buy a business in Canada ready-made. This method can be called the simplest and fastest. But it can only be considered successful if you are sure that the deal will really be profitable. To do this, get answers to the following questions:

• why the previous owner is selling his company;
• how long has it existed;
• what state the company is in at the time of sale;
• profitability;
• are her documents in order?

Carefully study the prices for the same enterprises on the local market, check whether the business has any debts and whether its property is under arrest. Carefully study your competitors and the company's existing clients. Be sure to have lawyers review all documentation.

Documents for registration

Pay special attention to the package of papers that you need to prepare. To register a business you will need:

1. National passport with apostille.
2. Copies of documents that can confirm that you have managed companies in your home country for the previous two years. All of them must be translated and apostilled.
3. Confirmation of residence in Canada.
4. Evidence that you have the required amount in the account to open.
5. Completed registration form.
6. Printed results of your search for a unique company name.

It may also happen that the authorized body may require additional documents. You also need to be prepared for this.

Things to do in Canada

Many businessmen choose to open ethnic businesses and serve clients in communities made up of fellow migrants. But this option can hardly be called the most successful. In a foreign country, it is always more profitable to focus on the needs of its inhabitants.

Among small and medium-sized businesses in Canada, services of various types are in demand:

• car servicing;
• legal support;
• accounting services;
• financial assistance;
• real estate transactions.

Activities such as teaching at home, repairing household appliances, and nanny or caregiver services are also in great demand.

In addition, Canada is one of those countries that actively uses modern technologies for small and medium-sized businesses. And for those who are afraid to start their own business in a foreign country, they can buy a ready-made business model and follow the so-called franchising route, which, by the way, is very popular here.

Licenses, permits and taxes

Please note that a number of activities in Canada will require a license or permit. These include:

• healthcare;
• safety;
• food products.

If your enterprise is located within a populated area, then you need to apply for such a document at the local municipality. And if you decide to organize a business away from residential areas, then the application must be submitted to the regional office.

As for tax legislation, experts rate Canada as the country with the lowest burden in this matter among all the G7 states.

What awaits entrepreneurs:

• corporate income tax rate – 15% at the federal level, 11-16% at the provincial level;
• VAT – federal rate is 5%, provincial – 7-10%;
• income tax - up to 45.3 thousand CAD (33.4 thousand USD) - 15%, and over 200 thousand CAD (147,400 USD) - 33%. The gradation of the rate suggests another 20.5, 26, 29% based on the level of income. In general, the range of rates is from 15 to 33%.

However, these indicators may differ in different provinces, and may also be directly dependent on the size of the business and types of activities.

Lending to foreign entrepreneurs

Since the Canadian government does its best to support foreign investors, loan programs are also quite accessible to entrepreneurs. For example, you have the opportunity to choose one of the following loans:

1. The Canada Small Business Financing. If the company’s income is up to 5 million Canadian dollars (3 million 685 thousand USD), you can count on a loan of 250 thousand CAD (184 thousand USD) for up to 10 years at a rate of 2-3% per annum. Only agricultural companies and religious organizations cannot take advantage of such an offer.
2. Businessmen who are under 29 years of age can take part in the program to assist young entrepreneurs.
3. The Canada Immigrant Investor Program. As part of this project, immigrant investors can receive assistance from their compatriots living in Canadian territory in legal status.

Leasing companies, as well as some banks in the country, do not refuse to work with visitors. Nevertheless, with all the diversity in the choice of lenders, experts still recommend resorting to this method of accumulating start-up capital, such as a loan, as a last resort.

Features inherent in some territories

It is no secret that the Canadian state consists of provinces, which, in turn, are divided into districts and counties.

Each provincial government has signed an agreement with the federal government, according to which they can choose their own business immigrants.

This means that in different parts of the state the requirements for candidates will sound completely different. Perhaps the only common feature is the requirement to reside and conduct business only in the region where registration was completed. This is not only a condition for participation in a particular program, but also a necessary step on the path to obtaining permanent residence.

We cannot ignore the fact that all territories differ from each other in their preferences. So, for example, the province of Alberta considers mainly those investors who have management experience in agriculture. But only those who speak French well will be able to organize their own business in Quebec.

If you plan to rely on your compatriots who have moved here, then you should create a Russian-language business in Toronto. After all, this is where the largest number of immigrants from the CIS countries are concentrated.

Do I need a business visa?

The Canadian state is not visa-free for residents of the post-Soviet space. Only those who have citizenship or permanent residence, say, of the United States, will be able to enter here without special permission. For everyone else, in order to one day begin the process of registering their company in the Land of the Maple Leaf, they will have to request a visa stamp from the Canadian consulate. Although you will have to get it in any case, regardless of the purpose of the visit.

Features of visa permits

Canadian immigration legislation distinguishes several types of visa stamps:

• Immigrant Investor Venture Capital Pilot Program or investor visa to Canada. Permits under this program have been issued since 2010. To date, the project has been suspended, but not closed. The country's authorities periodically open this opportunity to businessmen if there is a need for an influx of additional foreign investment. You can monitor the status of the program on the Canadian government website.
• Start-up Visa - designed to introduce innovative developments that can generate profits and create jobs in the country. Five people can apply for such a visa at once if each of them owns at least 10% of the company’s shares, which in total should be more than 50%.
• Visa stamp for self-employed persons. Most often, cultural figures, athletes, and entrepreneurs in the farming sector fall into this category.

Preparation of documents

The most important stage is the preparation of documents. We remind you that for each type of visa the package of documents will have a certain set. The application for submission to the consulate can be found on the same Canadian government website.

The main package of documents should include:

1. Visa application form. It must be filled out on the specified portal, printed and signed.

   First, make sure that you have filled out all the fields. Otherwise, the application will not be accepted. Try to avoid abbreviations and abbreviated names. Provide only reliable information. The language for entering information is English or French.

2. A copy of a foreign passport.
3. A covering letter in which you must detail the purpose and program of the visit.
4. Birth certificate.
5. Marriage certificate.
6. Certificate of no criminal record.
7. Photo.
8. Receipt for payment of the duty.

If you are interested in a Start-up business visa to Canada, then you will have to attach documents confirming:

1. Participation in a specific program.
2. Invitation from the sponsor.
3. Confirmation of paid housing and travel.
4. Availability of funds to stay in the country.
5. Confirmation from the sponsor of his willingness to invest money in your project.

If you were able to become a participant in any program, a document from the relevant municipality will be required - confirmation that your future company will be supported by the federal government or the authorities of a particular province.

Invitation

In most cases, to obtain a business category visa, you will have to attach an invitation from the Canadian side to the package of papers. Such a paper is drawn up by a sponsor or representative of an organization that undertakes to support your project.

The document must contain:

1. Name of the receiving party.
2. Legal or actual address.
3. Description of the purpose of the visit.
4. The route of the invitee around the country.
5. His residential address.
6. Indications as to who will pay for the visitor's stay in Canada

Insurance

Please note that insurance is usually required for a tourist or visitor visa. In the case of long-term permits, the policy is not even listed in the list of required documents.

But, given the flight distance and the high cost of the trip in general, it is, of course, better to insure yourself against troubles that may happen to you on the way to Canada.

As for your stay in the country, as soon as you begin to legalize your status, you will be required to obtain the necessary insurance documents that will allow you to use medical care on Canadian territory.

How long is a Canadian business visa valid?

The process of obtaining a business visa permit for the Land of the Maple Leaf is not that simple. But the big advantage of this type of stamp is its validity period. Typically a business visa is issued for a period of three years.

After this period of time and upon fulfillment of all obligations undertaken, the migrant will be able to apply for permanent residence. After another 5 years as a permanent resident, he will be eligible to apply for citizenship.

How long does it take to obtain a visa and what is its cost?

Do not forget that a business visa is a long-term permit, and therefore its processing may take a long period of time. You need to submit your application so that you have approximately 7-10 months left before your trip. Delays in issuing the stamp may occur if additional documents are required. At the same time, it is necessary to take into account the type of program in which the applicant will undergo. Participation in federal projects usually takes longer to be reviewed and approved than in provincial ones.

As for the cost of stamp design, today it can hardly be called low. Submitting a package of papers for any of the specified categories will cost 1,540 CAD (1,141 USD). When applying to a visa center, this amount can increase significantly.

Immigration programs

Business immigration to Canada in 2019 is more accessible for those who are of some economic interest to the country. To this end, the government has proposed a whole list of professions whose holders can receive the “green light” when submitting an application. Separate programs have been developed for those who intend to run their own business or act as an investor.

Programs at the federal level

What is encouraging about moving to Canada is the fact that if you managed to achieve success in your homeland, then here - where no one interferes, but, on the contrary, they provide all kinds of assistance - you will be even more able to succeed. In addition, the requirements for business candidates are less stringent than for those enrolled in the Skilled Worker program.

Federal support for migrants is provided in three areas:

• Self-employed (private practice);
• Entrepreneurs (entrepreneurs);
• Investors (investors).

Each program requires a specific set of requirements. So, for example, in order to migrate to Canada as a self-employed person, you must prove that your project will be profitable and will benefit the country’s economy.

Provincial level programs

In addition to the fact that the applicant can take advantage of the chance and receive support at the state level, he can become a participant in one of the projects proposed by the authorities of a particular province.

Emigration under provincial programs is somewhat faster - in about 7-10 months the candidate will be able to receive the necessary documents and travel to their new place of residence.

Today there are about 15 programs at the provincial level. Each of them differs in the amount of capital invested. But the requirement for candidates to speak a foreign language is not always mandatory, which greatly simplifies the whole process. The most popular are programs from the provinces of Manitoba, Saskatchewan and British Columbia.

To summarize, it should be emphasized once again that the preliminary stage of preparation, in which all the intricacies of business migration to a given state should be studied, is the most important in the entire process. Dedicate the greatest amount of time to it so that all subsequent efforts bring the expected result.

Migration to Canada: Video

What are the advantages of starting a business in Canada?

Canada is a dream country for immigrants, quickly granting permanent resident status and subsequently Canadian citizenship. It is a developed democratic country whose population consists of various nationalities and cultures. There are fewer native Canadians in the country than immigrants, so there is no need to worry about discrimination.

Canada's economy is built on immigrants, because despite its large territory, the country's population is only about 32-33 million inhabitants.

The state supports all types of business and does not create obstacles to the activities of foreign companies. Income and profit taxes, as well as energy prices in Canada are quite low. At the same time, per capita income is one of the highest in the world. In addition, the costs of starting a business here are lower than in the neighboring United States, and the low crime rate also inspires optimism.

It is these factors that convince people who are dissatisfied with life in their homeland to move to Canada. Getting a business visa is quite easy. But before that, you should take the National Entrepreneurship Test. This is a test developed by the Canadian government specifically for those who want to open their own business in the country.

Canada can boast a very low level of bureaucracy, simplicity and accessibility of starting and running a business, and guarantees of investor protection. Companies here are divided into two types:

• federal, which can operate throughout the country
• provincial, who can only conduct business within the province in which they are registered.

To open a business in Canada, the government creates all the necessary conditions. Entrepreneurs are provided with various benefits and attractive loan programs. The Canadian tax system is very flexible and is recognized as one of the softest in the world.

Registering a company in Canada involves filling out a registration form, paying fees, and then providing the registrar with the completed form and a receipt for payment of the fee.

However, there is one important nuance: you can open a business in Canada only if you have conducted successful business activities in your country for at least two years.

Business immigration to Canada

Canada is among several countries around the world where the government has developed a holistic immigration program. Canadian immigration law is based on the selection of independent candidates.

Canadian legislation defines 4 types of immigration:

1. Immigration for Skilled Professionals , who have specialized education, work experience, knowledge of English or French and the availability of funds to establish themselves in Canada.
2. Immigration for private entrepreneurs who officially work for themselves.
3. Business immigration, aimed at those who have a business in their home country and can officially prove that they have received at least $300 thousand in profit as a result of doing business. Next, the candidate must prove the ability to start a business in Canada and invest personal funds in it.
4. Immigration for investors . The candidate must demonstrate documentation of $1.6 million in honestly earned money. Of this, the candidate agrees to invest $800 thousand in the Canadian economy. At the same time, the area of ​​investment is indicated by the state government. Also, the investor must be the founder or co-founder of a company in his home country or in any other country.

Documents for business immigration

Each type of immigration requires its own set of documents.

For immigration of qualified specialists, that is, for independent professional immigration, it is necessary to provide copies of diplomas, work records, certificates of employment, certificates from the pension fund on social contributions, copies of birth and marriage certificates, etc.

A private entrepreneur must submit a copy of the registration certificate, information about the type of activity and a certificate from the tax office on taxes and income.

Business immigrants provide company incorporation documents, company bank accounts, payroll records, financial statements, etc.

Investors need to collect the largest package of documents, since in addition to standard information, they need to submit documents on the registration and activities of the company, financial annual reports, audit of the enterprise, and so on.

After successfully completing the immigration process at the Canadian Embassy, ​​the candidate is issued an immigrant visa, thanks to which upon entering Canada he receives the status of a permanent resident of the country. After three years of actual residence in Canada, each immigrant can obtain Canadian citizenship.

Stages of starting a business

To start a business in Canada you need to take care of the following steps:

1. Formatting an entrepreneurial idea into a business plan.
2. Selecting one of the existing forms of ownership in the country:

• Corporation. Partners bear separate responsibilities;
• General Partnership. Provides for collective responsibility of partners;
• Sole Proprietorship. An option for those who want to open a private enterprise.

1. Formation of start-up capital. For small businesses it ranges from 5 to 30 thousand dollars.
2. Search for a unique name for the company. You have to pay $100 for a background check.
3. Taking out insurance for business.

Business registration

If you are registering a sole proprietorship or partnership, you can register at the nearest Revenue Canada office where you live.

To register you must provide the following documents:

• apostilled civil passport;
• international passport;
• visa;
• notarized and apostilled copies of all documents that confirm the fact of ownership of the enterprise for two years in the country where you live;
• documents that confirm the fact of your residence in the country.

After registering and filling out all the necessary forms, you will be given a business number. There is no need to pay to receive it, or for the registration process. You will have to pay money only for searching for a trademark (free name) and in the process of registering a business name.

Please note that this registration is not available for non-residents of Canada. However, there are more complex forms of registration that occur through the Ministry of Consumer and Commercial Relations.

Business lending and loans

Since the Canadian government creates conditions for comfortable doing business, the country provides a sufficient number of different loans and credits. Immigrant businessmen can take advantage of the following opportunities:

1. If the company's income does not exceed $5 million per year, you can get a loan from the government under the small business financing program. Its size is up to 250 thousand dollars, and the term is 10 years at an interest rate of 2-3% per annum. Only agricultural enterprises and religious organizations cannot apply for this loan.

2. Special program to support young entrepreneurs who are under 29 years of age.

3.Supporting immigrants who are investors. Funds are provided by previously arrived immigrants to support newcomers.

Of course, you can get a regular loan from many banks. A number of banks have programs for working with small businesses: Royal Bank of Canada, Scotiabank, Bank of Montreal. In addition, leasing companies actively cooperate with visiting businessmen.

As you can see, opening a business in Canada is quite easy. The country's government creates good conditions for doing business, attracting foreign investors in every possible way. With consistent support for SMEs, Canada appears to be one of the best options for doing business abroad.

If not everyone, then the majority wants to be their own boss and have financial independence.

However, many continue to go to work as employees, because they need money to run their own business.

And in general, it's difficult. In our country, aspiring entrepreneur faces a lot of obstacles and ultimately few survive. What can we say about abroad, it is probably even more difficult there, especially if you are an immigrant. But this is a misconception.

For example, many of our compatriots, as well as visitors from other countries, run successful businesses in Canada. And the point here is not the presence of huge money or brilliant entrepreneurial abilities, it’s just that people are given opportunities and supported in every possible way in business endeavors, especially those that bring some benefit to the Canadian population.

The government of this country is interested in attracting new forces to develop the economy and increase jobs, and therefore creates fertile ground for both citizens of the country and immigrants to open their own businesses. This opens up attractive prospects for businessmen who want to live and work in one of the most developed countries in the world. We will tell you how to open a business in Canada and what you need to do for this in this article.

On the way to the goal: how to start your own business in Canada

There are several options on how to become an entrepreneur in this country. If we talk about the most popular ways to start a business, there are three of them:

1. Buying a ready-made business in Canada is a fairly common choice for people who do not have much experience in opening and successfully developing their own business. As a rule, this option is simpler than others, but it may have pitfalls that a novice businessman will not immediately discover (the company has debts, etc.).
2. Start a new business from scratch and develop it directly in Canada. There are advantages here, in particular, the opportunity to receive support, both financial and informational, from government and private structures.
3. To develop a business that operates quite successfully in Russia, expanding its borders. You can open a branch of your company in Canada, and if you wish, move it there entirely. This method is suitable for those who have already become a successful entrepreneur in their country and want to explore new territories or completely move to Canada (perhaps guided by some other advantages not related to business.)

Each of these methods has the right to exist and be used depending on the specific situation and capabilities of each potential immigrant businessman. We will look at the main issues that will affect an entrepreneur who has decided to open his own business in Canada from scratch.

Instructions for building a small business in Canada: basic steps

In order to make the task easier for a businessman starting out, we will consider the main stages that will have to go through to open your own business. This procedure includes the following steps.

Idea

Every undertaking is preceded by an idea, which will ultimately determine the success or failure of the business. It is important to approach this issue carefully and conduct marketing research to identify its relevance and viability. Small business ideas that work abroad are different from those that will be successful in our country.

For example, in Canada there are a lot of different kinds of legal/attorney offices and private clinics. Opening another company of this kind for a novice entrepreneur is obviously a disastrous idea. It will be difficult to fight with competitors who are firmly on their feet (although anything is possible, maybe you are a genius in laws or medicine).

Form of ownership

It should be chosen based on a specific idea and other considerations - the size of the future company, the availability of capital, etc. It is worth saying that small business in Canada is the most common option for running your own business, which has many advantages and support from the state. The vast majority of both Canadians themselves and visitors work in this segment. It can open in one of three forms, which you choose yourself:

1. Sole owner, private enterprise like our individual entrepreneur (Sole Proprietorship).
2. Two or more owners with collective responsibility (General Partnership).
3. Multiple owners with separate liability (Corporation or Incorporation).

By the way, the required amount of security, which is deposited into the company’s account upon registration, also depends on the chosen form of ownership. Study each of these options in more detail and choose the one that suits you best.

Company name

“What do you call the boat...”, in general, you understand that a lot depends on the choice of the name of your future company. By the way, if you give the company your name, you can save on the mandatory verification (about a hundred dollars) necessary to identify existing organizations with the same name. The final name of the enterprise will also depend on the chosen form of ownership. For example, words such as Incorporated, Limited, etc. are added at the end.

Company registration

There are several ways to go through this process. A business in Canada can be registered:

1. Via the Internet. Online you can study all the materials for filling out documents as an immigrant and send an application to local registration authorities.
2. By mail. To do this, you will need to fill out the form “Form RC1, Request for a Business Number (BN)” and send it to the tax office operating in the territory where your business will open.
3. By phone. Before calling the Department, review all fields of the above form in detail so that you are prepared to answer the employee's questions.
4. Personally. Go to the tax office yourself with the completed form.

Not all entrepreneurs must register with the Tax Administration, but only those whose income from the sale of products or the provision of services exceeds 30 thousand dollars a year.

Insurance

The objects subject to insurance include not only the company itself, but also its products (through patenting), trademark registration, copyrights, etc.

Financing

This question is the most exciting and interesting. As already mentioned, the Canadian government is trying in every way to help budding businessmen if their activities will benefit the entire society, create jobs, and develop the economy. Therefore, the country has a well-developed system of lending and loans, which are readily issued.

How can an immigrant entrepreneur get a small business loan? You can take advantage of financial support provided both under the state program and under any other, of which there are many in the country. Thus, the state provides loans in the amount of up to 250 thousand rubles and only if:

• your business has an annual income of no more than $5 million;
• is not a religious, charitable or agricultural enterprise.

The program is called The Canada Small Business Financing. Money is provided for up to ten years at approximately 3% per annum.

There is a separate program for young entrepreneurs (up to 29 years old), supported by the Canadian Business Development Bank of Canada. There is also a special program for visitors - The Canada Immigrant Investor Program, created by immigrants who have already settled in the country and got on their feet. In addition, there are a huge number of banks in the country that are willing to finance small businesses. Immigrants can also get a loan to develop their business.

In April 2013, a new program called Start-Up Visa was launched, which provides comprehensive support for aspiring entrepreneurs from already experienced organizations. It consists not only in recommendations from successful companies, but also in the transfer of experience, as well as the promotion of new businessmen.

Every year, a quota is set (quite large) for the number of immigrant specialists who are given the chance to take advantage of the program in order to organize their own business and establish connections and cooperation with existing Canadian enterprises.

Conclusion

If you are seriously thinking about starting your own business in Canada, but are hesitant due to unfounded fears, take action. The business climate in this country is one of the most favorable.

In addition to the obvious advantages (providing support from the state and private structures), there are others - a loyal taxation system, low cost of electricity, etc. Study in detail, step by step, the process of opening a business for an immigrant, the established requirements and available opportunities, and start implementing your idea.

How to open your own business in Canada

The easiest thing for a newly minted businessman is to buy an already established business. This is especially true for those who want to be a businessman abroad. After all, selling ready-made businesses abroad is a common routine matter, like selling hot baked goods. Here, businesses are created from scratch, and if they change hands, it’s with pieces of leather.

Pitfalls of selling a business in Canada

Even when buying a business abroad, you need to be both careful and sober. Here is a list of questions from experts that you should meticulously ask yourself when standing in front of the “counter”, so as not to buy a pig in a poke and not be disappointed in developed capitalist countries:

Question one: Isn't the owner of the business being sold fleeing like a rat from a sinking ship? And if this ship has a leak (the business is in crisis), then can this leak be patched? Or is this ship no longer good for anything?

Question two: Does the company being sold have debts?

Question three: Is it under arrest or under investigation?

Question four: Does the company have regular customers and will they leave you after the old owner? In other words, was this business built only on the personal relationship of the former owner with a loyal client?

Question five: How much does production depend on a worker who has “golden hands”? Who's in charge? Which employee should you establish contact with first?

Question six: What condition is the equipment in? Does it require expensive repairs or complete replacement?

Question seven: Do you know the inventory value of this business? Do you have the opportunity to compare the “Inventory Act” with the real state of affairs?

And finally, the last question: Why is the owner selling the business?

However, you need to start with the simplest and most routine thing - checking the financial statements of the enterprise for the last five (5) years.

Starting a business in Canada: Credits and advances

Canada, in order to attract active businessmen, creates all the conditions so that you can do business on its territory. For this purpose, the government willingly issues loans and credits. Here are some features you can use.

Firstly, this is a government program -

The Canada Small Business Financing (CSBF).

This program does not finance agricultural, charitable, or religious enterprises.

Consider this program only if your business's annual revenue is less than $5 million. (This figure is calculated based on the “financial year” in which you apply for the loan).

Under this program you can get a loan for ten years. You will be given an amount not exceeding 250 thousand dollars. You will pay from 2 to 3 percent per annum.

Secondly, The Canada Immigrant Investor Program

This program was created specifically for immigrants and is financed by immigrants themselves who have already found their feet - to help their fellow beginners. In order to find out more details, you need to contact the Business Service Center for clarification - a business center for each province and region of Canada.

Thirdly, there is program for “young entrepreneurs”(age from 18 to 29 years). The Business Development Bank of Canada will provide you with the most complete information about this program.

In addition, as a small entrepreneur, you can take advantage of regular bank lending rather than a special program. Banks that work with small entrepreneurs are mainly charter banks, such as:

(1) Scotibank,
(2) Royal Bank of Canada,
(3) Bank of Montreal.

Leasing companies also provide money to small businesses in one form or another.

Despite the fact that in Canada, it seems that everyone who has any money is ready to lend to your business, experts advise: apply for a loan only if you are sure: there is nowhere else to get money from - all the “internal” resources of you and your relatives - exhausted.

By the way, in Canada today there is a “crisis of overproduction” of immigrant medical workers as well as all kinds of sellers of legal services. A loan for the listed activities is already doubtful.

Step-by-step procedure for starting a small business in Canada

Starting a business in Canada: Step one. Come up with an idea, test it for viability in reality (marketing research) and draw up a competent business plan.

Opening a business in Canada: Step two. Choose the most beneficial form of ownership for your business, consult with the Small Business Assistance Center. Small business corresponds to the following forms of ownership:

(1)Sole Proprietorship. In translation - “sole owner”, an analogue of our individual entrepreneur;
(2)General Partnership. Several owners sharing collective responsibility;
(3)Corporation. Multiple owners with separate responsibility.

Opening a business in Canada: Step three. Decide on the amount of start-up capital (from five to thirty thousand dollars for running a small business) and draw up a cost estimate.

Opening a business in Canada: Step four. Come up with a name for your business. For an amount not exceeding $100 they will tell you whether the name is available. If you call your business by your name, then such verification will not be required.

Starting a business in Canada: Step five. If sales of products/services theoretically exceed 30 thousand dollars per year, then you need to register with the Tax Administration.

Opening a business in Canada: Step six. Insure your business.

The Canadian government has developed the National Entrepreneurship Test specifically for potential immigrant entrepreneurs. You can easily download this test online. Based on the results, recommendations and an overall assessment of your business prospects in this country are issued.

Starting a business in Canada is easier and less expensive than in the nearby United States.

Today, Canada has the lowest cost of electricity and the lowest income tax in the world. And the government continues to pursue a policy begun a hundred years ago - the policy of populating a huge country with people from all over the world who are ready to work for the benefit of Canada.

And in conclusion, here is a list of useful sites for entrepreneurs planning to work in Canada

1. To fill out all documents and especially annual reports

Hello, dear friends! Today I want to answer a question about small business. People ask me, how developed is small business here? How much does the Canadian government encourage small businesses? The person who asks the question gets the impression that people here generally don’t want to bother with any business, any business, and prefer to live quietly on their salary, working for someone else.

Is it even worth taking on?

Let's talk about this topic in order. Let's start with how developed small businesses are here in general. It is quite developed here, there are a lot of small companies, small enterprises, a lot of people who work for themselves. That is, they work separately as accountants, some builders, lawn mowers, pool cleaners, etc. That is, in principle, quite a lot of people.

I can’t say that people here are all passive to such an extent. I would say that in many ways everything here is determined by tradition. That is, people who grew up in families with their own small businesses also grow up and open their own. Or they continue some family business, a small business. Or people get enough education to open their own business - the same lawyers, notaries, the same lawn mowers. Sorry to put them in one line, but these are also individually employed.

A little help won't hurt

Now, regarding the question of how much Canada encourages or does not encourage small business. To be honest, I cannot say that Canada somehow encourages small business, but at the same time, I cannot say that Canada is deeply indifferent to what happens in the country in this regard. Why can I say this? Because I regularly see advertisements that are regularly broadcast on television and placed in public places about the fact that Canada is opening some courses, some programs that will allow people to learn how to open and run their own business. Moreover, programs are very often sponsored by the state in the sense that you study, and you also receive a scholarship for this.

Plus, I know that there are a number of programs, both at the federal and provincial levels, that are aimed at giving money to people's projects. Essentially, the money is irrevocable. That is, they simply give a certain amount of money, relatively speaking, $10,000, so that someone will try to open their own business.

Naturally, money is not given to everyone who wants it. You need to undergo some kind of training, you need to pass the defense of your project, that is, the training is completed in order to correctly draw up a business plan. And it’s not just stupid to draw it up, but also learn to understand the details of why a business plan is created this way and not the way it is, how to calculate profits, how to plan your costs, etc. This is, in fact, a mini practical MBA, not at the level of some transatlantic corporations, but at the level of a small business.

That is, in this regard, I can say that the state not only declares something there, but also actually takes steps to attract people to open their own business.

I forgot to say the last thing, that naturally, there is a tax scale. And if you have a small company, a small business, then you naturally pay much less taxes than companies that are doing well and have large turnover. This is logical, in principle, and does not even require any special reservations.

What Canadians themselves think about business

Now, as for people, how inert or not inert people are, whether they want or do not want to do their own business. As I already said, in general, it probably depends on the character of the person. If a person himself is very active, if a person himself does not want to work for someone else, but wants to earn money with his own labor, with his own head, then there is no problem for a person to start running his own business. No.