Canada Business Expansion Lawyer
For international commercial enterprises requiring Canadian legal services call 403-400-4092 or email Chris@NeufeldLegal.com
The determination of the appropriate business entry and structuring of one's business expansion into Canada will rely upon specific traits and commercial objectives of the corporate principals, the nature of the commercial activity to be undertaken in Canada, the method of financing, income tax ramifications and the potential liabilities related to those commercial activities.
A top-level assessment begins with a determination as to whether the business to be carried out in Canada should be conducted directly in Canada as the Canadian branch of its principal business from one’s home country or one should create a separate Canadian entity to carry on the business.
This determination will be influenced by a number of critical considerations, including but not limited to:
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the treatment of Canadian business income for tax purposes in one’s home country;
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Canadian tax considerations, imposed by Revenue Canada;
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the exposure of the parent company, and its world-wide business operations, to scrutiny and disclosure requirements to various levels of Canadian government;
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the advisability of isolating the assets of the principal business from claims arising out of the business undertaken in Canada;
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whether one or more parties will own the Canadian commercial enterprise; and
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the potential availability of federal, provincial and municipal government grant and incentive programs.
If the Canadian business is to be undertaken from one’s home country, or a country other than Canada (for example, using one’s business entity in the United States of America), this Canadian branch operation must nevertheless be registered in each of the provincial and territorial jurisdictions within which it carries on business, together with complying with the specific laws, statutes and regulations of each jurisdiction, which can be very nuanced and demand distinctive reporting and operational procedures.
Meanwhile, establishing a Canadian-based business entity could have significant advantages, how you structure your business plays a critical role in its prosperity and success in Canada. Although the terms corporation, foreign subsidiary, partnership, limited partnership, co-ownership, joint venture and unlimited liability company may appear to be mere words, to a business lawyer they are the cornerstones for launching a successful new business enterprise. Each of these legal constructs provides its own set of tools and challenges through which international business owners will ultimately determine the future of their labours. As such selecting the appropriate legal form of business enterprise is important, yet it is merely the starting line from which a long and arduous race is to be commenced.
As such, when your international business seeks the professional services of an experienced Canadian business lawyer, contact our law firm for a confidential initial consultation at 403-400-4092 or Chris@NeufeldLegal.com.