How to Start a Business in Canada as an Immigrant
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| Sole Proprietorship | Easiest/cheapest to set up | Personal liability |
| Partnership | Shared risk/cost | Still personal liability |
| Corporation | Limited liability; tax advantages | More complex; ~$1,000+ setup |
For most immigrant entrepreneurs: Start as a sole proprietorship, then incorporate as you grow.
Step 2: Register Your Business
- Federal incorporation: Via Corporations Canada (corporations.canada.ca); ~$200 online
- Provincial registration: Required if operating as a trade name or partnership; varies by province ($60–$300)
- GST/HST registration: Required once annual revenue exceeds $30,000
- Business number: Automatically issued by CRA upon business registration
Step 3: Open a Business Bank Account
All major banks offer business banking. Best for newcomers:
- RBC Business Banking – Strong newcomer support
- Scotiabank Business – Competitive rates
- ATB Financial (Alberta) – Excellent for Alberta entrepreneurs
- Tangerine Business – No-fee digital option
Step 4: Find Funding
| Source | Amount | Notes |
|--------|--------|-------|
| BDC (Business Development Bank) | $10K–$500K+ | Loans for new businesses |
| CSBFP (Canada Small Business Financing Program) | Up to $1.15M | For equipment/real estate |
| Futurpreneur Canada | Up to $75,000 | Loans for entrepreneurs 18–39 |
| Immigrant entrepreneur grants (provincial) | Varies | Check your province |
| ACOA/FedDev grants | Varies | Regional development agencies |
Step 5: Get Support
- BDC Business Centre – Free business advice
- Immigrant business associations (e.g., CABM, Canadian Arab Business Council)
- ACCES Employment Entrepreneurship – Newcomer business coaching
- Ryerson DMZ / incubators – Startup support programs
Frequently Asked Questions
Can a newcomer on a work permit start a business in Canada?
Work permit holders can incorporate a Canadian business, but may not always be able to actively work in that business without a proper work permit allowing self-employment. PR holders and citizens have no such restrictions. Consult an immigration lawyer before starting a business on a work permit.
What grants are available for immigrant entrepreneurs in Canada?
Futurpreneur Canada offers loans up to $75,000 for entrepreneurs under 40. BDC offers flexible financing. Several provinces (Ontario, BC, Alberta) have specific immigrant entrepreneur grants and programs. WES Global Talent Bridge also offers resources for internationally trained professionals starting businesses.