What are the main differences between Federal and Provincial Incorporations?
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Today we’re going to talk about the difference between Federal and Provincial incorporations.
So if you’ve decided that you need to incorporate your company, the next step is to decide where you’re going to do that whether it’s in BC or another Province or if you’re going to incorporate federally so we’ll take a look at the differences.
There are two main differences that I want to highlight today.
The first one is filing fees. So the cost for filing a federal registration is $200 plus the name reservation search and in BC is $351.50 and also the name reservation fee on top of that.
The second difference is name protection.
So if you register federally you’re going to have name protection for your corporate name throughout the land throughout Canada. But if you registered BC your name is going to be protected from other companies that want to register a corporation as well, only in BC. So that’s an important distinction something to keep in mind.
The third thing to keep in mind is that wherever you do in business you need to be registered.
So if you have a federally registered company and you want to do business in multiple provinces, then you’re going to need to extra provincially register in each province that you want to do business in. The same also applies if you are a provincially registered company, you’re going to need to have a registration in the other provinces that you want to do business in and each of those registrations has a fee associated with it.
So those are the primary differences.
If you have any other questions about where to incorporate your company, please feel free to drop a comment below and I’ll respond to your questions.
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