A sole proprietorship refers to an individual who operates a business, and is generally the simplest way to set up business. The sole proprietor is subjected to an unlimited liability - that means the sole proprietor is fully responsible for all debts and obligations related to his or her business. A creditor with a claim against a sole proprietor would normally have a right against all of the sole proprietor's assets, both business and personal.
If the proprietor carries on business under a name other than his or her own, the business name must be registered with the Ministry of Government Services (MGS) under the Business Names Act, and the prescribed fee paid. If the proprietor carries on business under his or her own name, without the addition of any other words, it is not necessary to register the business.
Business Name Registration
The business name registration is valid for five years, at which time it is necessary to renew the registration. A change to a business name or business type (e.g. general partnership to a sole proprietorship) is considered as a new registration and you are required to pay the registration fee.
Upon registration you will receive a Master Business License commonly referred to as the MBL. The MBL can be used as proof of business name registration at financial institutions and to facilitate other business-related transactions with the Ontario government.
Gov/3rd Party Fees:
Ontario Business Name Registration Fees $60
Our Fees: $99
Business Name Registration Process includes applying and setting-up the following Government Accounts:
- GST/HST Account
- Import/Export Account
- Payroll Account
- WSIB registration
Total Fee: $159.00
ADD (optional) - Comprehensive Pre-Searches $35 - This search allows you to check the name before you actually spend money on name reservation.
ADD (optional) - Statement of No Match Found $10 - This statement indicates that there is no record of the registration under the Business Names Act.