What Are the Benefits of Incorporating Your Business?
Blackburn Lawyers has been providing legal assistance to clients with regards to their incorporations and other business law matters since 1975. Our Richmond Hill corporate and business lawyers are proud to represent clients across Ontario with their legal needs. We offer practical, strategic and timely advice on all legal matters related to your business in a cost-effective manner and have developed a reputation for putting our client’s best interests first.
It’s important to note here that every situation is different, and this article is not intended to act as legal advice. To see if incorporating your business is an ideal option for you – we recommend you consult with a business lawyer or corporate lawyer to go over the unique details of your situation and to determine if this option is ideal for you. In the meanwhile, here are some benefits of incorporating a business.
- Protects your personal assets: Incorporating your business is a great way to protect your personal assets such as your home. Because corporations are separate legal entities – a corporation is responsible for its own assets and debts. This is important because if you were ever to be sued – claimants can seek payment from your corporation’s assets only. Whereas owners of sole proprietorships or partnerships may face liability for both business and personal assets.
- Gain easier access to capital: When it comes to corporations, it is easier to raise capital because corporations can issue stocks. Additionally, banks are generally in more favour for lending money to corporations than to unincorporated business ventures. If you’re looking to grow or expand your business, having easier access to capital or loans is very important.
- Tax benefits: Corporations are also taxed differently than sole proprietorships or partnerships. While there is considerably more paperwork and annual accounting work required for corporations – there are significant tax benefits for corporations, and this is something you should talk to your business lawyer about.
- Privacy and anonymity: When you incorporate your business – you can have your name and involvement with the business private as you are allowed to protect your anonymity from the general public. If you want to keep your details private from the public – then this is also another benefit of incorporating your business.
- Business name protection: When you incorporate your business in Ontario – the business name you operate under is reserved specifically for you in your jurisdiction. Whereas sole proprietorships and partnerships don’t see the same kind of business name protection in most circumstances.
Contact Blackburn Lawyers Richmond Hill Business Lawyers For A Consultation
Louis Laskovski handles the firm’s corporate and business law practice group. Schedule a consultation with Louis today to see how we can help you incorporate, register, amend, buy, sell or dissolve your business and more. Call 905-884-9242 today.
Disclaimer: Each legal issue is independent and unique and in order to get qualified legal advice we recommend you consult with a Richmond Hill business or corporate lawyer on this topic. Please note that lawyer-client relationships are only established after you have signed a retainer agreement with our firm.