Just like mitochondria is the powerhouse of the cell, Ontario is the powerhouse of Canada’s economy. Contributing nearly 38% to the country’s GDP, it is the largest and most diverse economy in Canada. In 2024, Ontario’s GDP reached an impressive $887.7 billion, growing at a steady 1.9% over five years. Ontario’s net debt-to-GDP ratio has also shown improvement, standing at 37.8% in 2024–25, compared to 39.2% in previous projections.
This economic stability makes Ontario an ideal location for entrepreneurs. Businesses thrive here because of the province’s democratic framework and access to global markets. Ontario’s proximity to the U.S. offers unmatched trade opportunities, and agreements like USMCA (formerly NAFTA) make international trade seamless.
If you’re planning to set up a business in Ontario, understanding trade name registration is the first part so let’s get into it:
Business Names: What You Need to Know
Choosing the right name for your business is one of the most important steps in setting up a business in Ontario. A business name is not just a label—it represents your brand, identity, and reputation. Understanding the different types of business names and how to register them is key to establishing a strong foundation for your business.
Types of Business Names
When you start a business in Ontario, your business can have one or more of the following names:
1. Corporate Name
A corporate name is your business’s legal name. It’s required when you incorporate a business, and it must appear on all official documents, including contracts and invoices.
Provincial Incorporation: If you incorporate in Ontario, your corporate name is protected within the province.
Federal Incorporation: A federally incorporated business has exclusive rights to its corporate name across Canada.
For example:
A provincial corporation may operate as “Ontario Tech Solutions Inc.”
A federal corporation could register as “Canada Tech Solutions Inc.” and have nationwide recognition.
2. Trade Name
A trade name, also called an operating name, is the name your business uses for day-to-day operations. If your trade name is different from your legal name, you must complete a trade name registration in Ontario.
Example:
Legal Name: Jane Smith Enterprises Inc.
Trade Name: Jane’s Flower Boutique
Trade names are essential for branding, marketing, and creating a recognizable identity for your business.
3. Trademark
A trademark protects your brand from being copied or imitated. Trademarks can include your business name, logo, or even a unique slogan. While registering a trademark is not mandatory,
Just like mitochondria is the powerhouse of the cell, Ontario is the powerhouse of Canada’s economy. Contributing nearly 38% to the country’s GDP, it is the largest and most diverse economy in Canada. In 2024, Ontario’s GDP reached an impressive $887.7 billion, growing at a steady 1.9% over five years. Ontario’s net debt-to-GDP ratio has also shown improvement, standing at 37.8% in 2024–25, compared to 39.2% in previous projections.
This economic stability makes Ontario an ideal location for entrepreneurs. Businesses thrive here because of the province’s democratic framework and access to global markets. Ontario’s proximity to the U.S. offers unmatched trade opportunities, and agreements like USMCA (formerly NAFTA) make international trade seamless.
If you’re planning to set up a business in Ontario, understanding trade name registration is the first part so let’s get into it:
Business Names: What You Need to Know
Choosing the right name for your business is one of the most important steps in setting up a business in Ontario. A business name is not just a label—it represents your brand, identity, and reputation. Understanding the different types of business names and how to register them is key to establishing a strong foundation for your business.
Types of Business Names
When you start a business in Ontario, your business can have one or more of the following names:
1. Corporate Name
A corporate name is your business’s legal name. It’s required when you incorporate a business, and it must appear on all official documents, including contracts and invoices.
Provincial Incorporation: If you incorporate in Ontario, your corporate name is protected within the province.
Federal Incorporation: A federally incorporated business has exclusive rights to its corporate name across Canada.
For example:
A provincial corporation may operate as “Ontario Tech Solutions Inc.”
A federal corporation could register as “Canada Tech Solutions Inc.” and have nationwide recognition.
2. Trade Name
A trade name, also called an operating name, is the name your business uses for day-to-day operations. If your trade name is different from your legal name, you must complete a trade name registration in Ontario.
Example:
Legal Name: Jane Smith Enterprises Inc.
Trade Name: Jane’s Flower Boutique
Trade names are essential for branding, marketing, and creating a recognizable identity for your business.
3. Trademark
A trademark protects your brand from being copied or imitated. Trademarks can include your business name, logo, or even a unique slogan. While registering a trademark is not mandatory, it provides exclusive rights across Canada and prevents others from using a similar name.
Example: If your business is called “Sweet Treats Bakery,” registering the name as a trademark ensures no one else can legally operate under a similar name in Canada.
Why Register Your Business Name?
Legal Compliance: If you’re using a trade name or operating name, it must be registered. Failing to do so can result in fines or legal issues.
Brand Recognition: A registered name helps customers identify and trust your business.
Protect Your Identity: Registering your business name and trademark prevents competitors from using a similar name.
How to Register Your Business Name in Ontario
Decide Your Business Structure Will you operate as a sole proprietorship, partnership, or corporation? Your business structure affects the type of name registration required.
Conduct an Ontario Business Registry Search Use the Ontario Business Registry to check if your desired business name is available. This step is crucial for ensuring your name is unique and not already in use.
Register Your Trade Name Complete the business trade name registration online through the Ontario Business Registry. This step is mandatory if your business name differs from your legal name.
Consider a Trademark If your business name is integral to your brand, consider registering it as a trademark for added protection.
Keep Your Registration Updated Renew your registration as required and ensure your business name remains compliant with Ontario regulations.
Ready to start your business in Ontario? LetBestax simplify the process for you. From trade name registration to getting relevant licenses, we handle it all. Contact us today to for our company formation services.
If you want to know how to register your business in British Columbia, click here.
Business License in Ontario
If you’re planning to start a business in Ontario, obtaining a business license is often a crucial step. Business licenses are required to ensure that businesses operate legally and comply with regulations. Whether you’re a sole proprietor, partnership, or corporation, understanding the types of licenses you may need is essential to avoid penalties and build trust with customers.
Why Do You Need a Business License in Ontario?
A business license in Ontario serves several purposes:
Legal Compliance: It ensures that your business adheres to municipal, provincial, or federal laws.
Consumer Protection: Licenses verify that your business meets safety and quality standards.
Fair Competition: Licensing creates a level playing field among businesses.
Types of Business Licenses in Ontario
Depending on your industry and location, you may need one or more types of licenses:
Municipal Business License
These licenses are specific to the municipality where your business operates.
For example, if you’re starting a café in Toronto, you’ll need to comply with Toronto’s local licensing requirements.
Provincial Business License
Certain industries, like real estate or liquor sales, require a provincial license.
For example, the Alcohol and Gaming Commission of Ontario issues licenses for businesses selling or serving alcohol.
Federal Business License
Businesses involved in activities like importing, exporting, or aviation may need a federal permit.
This type of license is necessary for companies operating across provincial borders or internationally.
To get various licenses and permits that comply with federal, provincial, or municipal regulations. Use BizPaL, a free online tool, helps you identify the specific licenses and permits your business needs. It filters results based on your location, industry, and business activitie
Cost of Business Licenses in Ontario
License Type
Cost
Municipal License
Varies by municipality
Provincial License
Depends on industry
Federal License
Based on activity or permit type
Additional costs may include trade name registration fees, incorporation costs, or industry-specific requirements.
Do You Need a Business License for Every Business?
Not every business in Ontario requires a license. For example:
Sole proprietors operating under their legal names may not need one.
However, businesses using a trade name or engaging in regulated activities will need to apply for the appropriate licenses.
If you’re unsure, conducting an Ontario business registry search can clarify requirements for your business type.
Bottom Line
Starting a business in Ontario is a big step. Getting your trade name registration and other requirements sorted is essential. It ensures your business operates legally and helps build a strong reputation. Ontario’s stable economy, access to North American markets, and supportive business environment make it the right place to grow your business.
Don’t let the process slow you down. Let Bestax handle the registration and business setup process. We make it simple and clear, so you can focus on building your dream. Contact us today and take the first step toward success in Ontario!
FAQs About Business Registration in Ontario
How much does it cost to register a trade name in Canada?
The cost to register a trade name in Canada varies depending on the province. For example, in Ontario, trade name registration through the Ontario Business Registry typically costs $60 for online registration. Other provinces may have different fees. It’s always best to check with your specific provincial registry for up-to-date information.
What is the cost to register a business name online in Ontario?
To register a business name online in Ontario, the fee is $60 (Consultant Fee Not Included) for sole proprietorships or general partnerships. If you are incorporating, additional costs such as a NUANS report may apply. These fees can vary depending on the type of business structure and registration services you need.
What happens if you don’t register your business in Ontario?
Operating a business without completing your business trade name registration or incorporation in Ontario can lead to fines and legal issues. You may also face challenges like being unable to enforce contracts or protect your business name. Registering ensures your business complies with provincial laws and builds trust with customers.
Do you need a license to operate a business in Ontario?
Yes, most businesses require a business license in Ontario to operate legally. Depending on your business type and location, you may need a municipal, provincial, or federal license. Completing your trade name registration is often the first step before applying for a license.
How much is a small business license in Ontario?
The cost of a small business license in Ontario depends on the type of business and the municipality. For example, municipal licenses can range from $50 to several hundred dollars. Additional fees may apply for specific industries, such as those requiring provincial licenses (e.g., liquor sales).
What license is best for a small business?
The best license for a small business depends on the type of business you operate. For example:
A municipal business license is common for most local businesses.
Businesses in regulated industries, such as food services or construction, may require additional provincial licenses.
If you operate across Canada, a federal incorporation may also be beneficial.
How much money can I make before I have to register a business?
In Ontario, there is no specific income threshold for registering your business. If you are operating under a name other than your legal name or engaging in business activities, you must complete your business trade name registration. Even small businesses or side hustles should register to comply with legal requirements and avoid penalties.
Disclaimer: The information provided in this blog is for general informational purposes only. For professional assistance and advice, please contact experts.
