If a company wants to conduct business in a Canadian province, it often needs a specific license or registration. CGCIC will advise your company about the necessary requirements and implements the right administrative steps.
We obtain all licenses and register your company
- Check if a license or registration is necessary in a province and to what extent
- Verification and reservation of trade and company names
- Implementation of the application for a license in accordance with the provisions of the respective provinces
- Providing an address or representative in the province (if necessary)
Details on provincial registrations
Extra Provincial License
Companies that are not incorporated in Canada often need a special license from the respective province. The existence of the mother company abroad, e.g. in Germany, must be proven. Furthermore, the name of the branch office in Canada cannot conflict with existing local companies and a local agent must be regularly appointed.
Extra Provincial Registration
Canadian companies are also often required to register in provinces where they do not have their registered office. This also applies to companies incorporated federally.
Carrying on Business in Canada
The most important factor for an obligation to license or register depends on the fact whether and to what extent the characteristic of "carrying on business" is fulfilled. The possibility of a "carrying on business" in the respective province can be determined, if for example, an office has been set up or an employee has been hired.
Problem of establishing a branch office (Betriebsstättenproblematik)
If a German company is conducting business in Canada without having established an own Canadian corporation, its activities might be viewed as those of a branch office (Betriebsstätte).
As a consequence, subsequent payment of taxes might occur at home and abroad.
Infringements of licensing and registration obligations
In the event of breaching provincial license or registration obligations, severe penalties may be imposed, depending on the province, the level of the breach and the legal form of the company.