Every day, hundreds of new businesses are incorporated in the province of Alberta. Unfortunately, many business owners incorporate their business without knowledge of knowing what certain elements of the incorporation process are or mean. A new business must be incorporated properly the first time around as sometimes if done incorrectly it can cause future issues depending on how the business grows and expands. In addition to an incorporation, most business owners are unaware that it is a requirement to maintain a corporate minute book.
What is incorporation?
Incorporation is the legal process endured when someone forms a company or corporate entity. This process results in the formation of a separate legal entity that separates the assets, liabilities and income from the individual shareholders.
Why incorporate your business
Many sole proprietors and new business owners wonder what the benefits are to incorporate. We can discuss all the factors to consider in detail with you virtually or in-person to help you decide what the best option is for your business. Some of the main reasons to incorporate include:
Liability Protection – as an individual or sole proprietor all of the legal liability falls on you if anything were to ever happen. This means that all of your personal assets could be at risk. When you incorporate, the legal liability moved to your business which means that only your business assets may be at risk in the case or a lawsuit.
Tax Planning Opportunities – with an incorporated business all of your income is now being reported within the entity. Corporate tax rates are much lower than personal tax rates. This allows us to determine the most advantageous way to minimize your corporate and personal taxes.
What can we do for you?
At White Raven Accounting we take all the stresses of incorporating off your plate. We offer a full service which includes the incorporation, minute book and unanimous shareholders agreement (if needed). We will also assist with all annual filings.
In addition to incorporations, we can also handle any dissolution needs which elicits the dissolvement of a business, partnership or official body.