If you’re just starting small, a sole proprietorship is simpler and cheaper. If you plan to grow, hire, or protect your assets, incorporation is better for tax savings and legal protection.

Sole proprietors pay personal income tax (up to ~53%), while incorporated businesses pay corporate tax plus personal tax only when you pay yourself. Incorporation usually saves money once you earn over ~$70,000/year.

While incorporating in Ontario can be costly, Start Right Now offers a more affordable solution. Our service fee is just $99, plus the government filing fee. For a complete price breakdown, visit our Pricing Page.

Yes — you can start as a sole proprietor and incorporate later.You can even transfer your business name, assets, and CRA number to the new corporation when you do.

No — you can incorporate online without one.However, a lawyer or accountant can help with share structure, minute books, and tax planning for better long-term benefits.

Yes. A corporation is a separate legal entity — your personal assets (home, savings, etc.) are generally protected from business liabilities.

It costs more to start, requires annual filings, and accounting can be more complex.
However, most entrepreneurs find the tax and liability benefits outweigh the extra paperwork.

A good rule of thumb is when your business earns more than ~$70,000/year, takes on risk (liability), or plans to expand or hire.