Company setup without a Canadian director
We set up Limited Partnerships and Provincial Corporations in Ontario, as well as Sole Proprietorships - for IT, consulting, e-commerce and entering the North American market. Ontario has not required a Canadian director since 2021, so a non-resident can fully own and manage the company independently. We prepare your charter and incorporation documents, appoint a registered office and agent, and assist with the tax number and bank account opening. The entire process is handled remotely - no visit to Canada required.
A quick overview of the entity types, taxes and annual obligations of the Canadian jurisdiction for non-residents. Ontario has no residency requirement.
A Limited Partnership is a tax-transparent structure with no tax at the partnership level, popular with IT and trading companies. An Ontario Corporation is a full legal entity with limited liability. A Sole Proprietorship is also available for a simple start.
Full ownership by a non-resident is permitted. No citizenship, residence permit or physical presence in Canada is required. A partner or shareholder can be a foreign individual or a legal entity.
Since 2021, Ontario has not required a Canadian director – you can manage the company from any country. For an LP, a single person can act as both partners. A registered office with an Ontario address is required.
For an Ontario Corporation, the combined rate is 26.5% (federal plus provincial). An LP pays no tax itself – profit is taxed in the hands of the partners in their country of residence. If the LP does not carry on business in Canada and is managed from abroad, there is no tax or filing in Canada.
There is no minimum capital requirement for either an LP or a Corporation. The company can be registered without paying in any funds. The contribution amount is driven by the needs of the business and the bank's requirements when opening an account.
A Corporation files an annual T2 tax return and annual return, and maintains a registered office. An LP files a return every five years and keeps a register of partners. An audit is not required for either structure.
The final cost depends on the chosen entity type, service package, industry and additional project requirements.
Data current as of July 2026.
Three entity types in Ontario - from a flexible partnership to a full corporation. Packages exclude the bank account; banking support is covered in a separate section below.
A flexible, tax-transparent structure for IT and trade
A full legal entity with no Canadian director
A simple option for an individual start
Please note: prices exclude any change in government fees and do not include banking support, which is offered as a separate package below. Registration takes from 5 business days.
Canada suits projects that need a reputable jurisdiction with a clean reputation, transparent taxation and the ability to work with clients across North America and Europe. Ontario does not require a Canadian director, so a non-resident owns and manages the company entirely on their own.
Development, SaaS and IT services for clients in Canada, the US and Europe. A Limited Partnership is tax-transparent and popular with developers, while a Canadian entity boosts client confidence.
Trading and agency companies working with the US, the EU and other regulated markets. Canadian status makes contracts easier to sign and builds trust with partners and banks.
A legal entity for agencies, consultants and independent professionals. Invoicing from a Canadian company builds client trust and makes it easier to sign contracts in international markets.
A structure for holding assets, stakes in projects and intellectual property. An Ontario Corporation is a full legal entity, while a tax-transparent LP suits joint investment by several partners.
Canada is not on any offshore lists and is seen by partners and banks as a reliable first-world jurisdiction. This makes working with counterparties and opening accounts easier.
Over 90 double taxation treaties that reduce withholding tax on cross-border payments of royalties, interest and dividends.
Since 2021, Ontario has not required a Canadian director. A non-resident can be the sole owner and manage the company from any country, with no visit to Canada.
A Limited Partnership pays no tax at the partnership level - profit is taxed in the hands of the partners in their country of residence. With no business in Canada, an LP has no tax filings in the country either.
The barrier to entry into the Canadian jurisdiction is low: Ontario requires no local director, no share capital and no physical presence. Below is what the client prepares and what the province requires. We handle most of the preparation remotely.
The exact set of documents depends on the entity type and ownership structure. Non-resident documents are certified as true copies; in some cases notarisation or an apostille in the country of origin is required.
Full ownership by a non-resident is permitted. No citizenship, residence permit or physical presence in Canada is required. Certain regulated activities require a licence.
For an LP, a single person can act as both partners. Ontario does not require a Canadian director – you can manage the company from any country. Partners and shareholders can be individuals or legal entities, including foreign ones.
A registered office with an Ontario address is required, and for an LP with a foreign partner, an agent for service to receive correspondence. There is no minimum capital requirement.
An Ontario address for official correspondence. It is usually provided together with the registered office service. A virtual address is sufficient for registration.
A Corporation files an annual T2 return and the Ontario annual return, even with zero income. As a tax-transparent structure, an LP files no T2: with no business in Canada, it has no filings. No audit is required.
Taxation depends on the entity type and the source of income. An LP is tax-transparent and pays no tax itself, while a Corporation is taxed at the general rate. Here is how it works for a non-resident.
26.5% or 0%
An Ontario Corporation is taxed at a general rate of 26.5%. An LP pays no tax itself: profit is taxed in the hands of the partners.
Source-based
The source of income matters. Profit with no business in Canada and from foreign sources is generally not taxed in Canada.
T2 or nothing
A Corporation files a T2 return every year, even with zero income. An LP with no business in Canada files nothing.
up to 25%
Withholding tax applies to dividends and royalties paid from Canada. The rate is reduced under tax treaties.
An LP pays no tax itself - profit is distributed to the partners and taxed in their country of residence.
A Corporation is taxed at a combined general rate of 26.5% and files a T2 return.
With no business in Canada and foreign-source income, there is generally no Canadian tax. The outcome depends on the business structure.
Withholding tax applies to dividends and royalties paid from Canada. The rate is reduced under treaties with over 90 countries.
File a T2 return every year, even with zero income (Corporation)
File the Ontario annual return with the provincial registry (Corporation)
Keep records of income, expenses and transactions
Maintain a registered office in Ontario
Update the declaration and renew the GP registration (LP)
Apply withholding tax on cross-border payments
Check whether a tax treaty with the country of residence applies
Missing a T2 return or the Ontario annual return leads to penalties and the risk of administrative dissolution. Final obligations depend on the entity type and country of residence - we recommend consulting a tax adviser.
Information current as of July 2026
The banking route depends on the company's activity, payment geography and the profile of the beneficial owners. We select Canadian banks and fintech solutions for settlements and for accepting payments from clients worldwide. The account is opened after the company is registered.
For day-to-day operations and working with Canadian counterparties. The main options include Royal Bank of Canada (RBC) and Toronto-Dominion Bank (TD). A director visit to a branch is usually required.
For a remote start and accepting payments from clients worldwide. Fintech platforms open an account online, with no visit to Canada.
We prepare the company profile before submission to address the bank's KYC requirements in advance and reduce the risk of rejection.
We will assess your activity, payment geography and the banks' requirements before submission.
We support the project from the initial review through to the delivery of corporate documents and any agreed additional tasks. We handle the registration in line with the requirements of the province of Ontario.
We review the ownership structure, the partners and the initial documents, select the right entity type for the task and check the client due-diligence requirements before we start.
We agree the company name, prepare the incorporation documents and the articles or partnership agreement, file with the Ontario registry and obtain the registration documents.
We arrange a registered office and address in Ontario in line with the chosen package. You can manage the company from any country - no Canadian director is required.
We help with the company's business number and advise on annual reporting - a T2 return for a corporation or a declaration for an LP. Where needed, we assist with industry licences.
The process covers selecting the entity type, checking the name, preparing the incorporation documents and filing with the Ontario registry. We handle most of the stages remotely.
A document from the Ontario registry confirming that the company has been formed (Certificate of Incorporation, or a Declaration for an LP).
The articles and internal documents for a corporation, or the partnership agreement for an LP, setting out the structure and rules of management.
Confirmation of the company's business number, needed for the account and for reporting.
A full set of registration documents in digital form, based on the chosen package.
Canada is not the answer to every task. In some cases it is fairer to consider another jurisdiction, and we will help you find the right one.
If your clients, sales and turnover are concentrated in the US, a local entity is more convenient for Stripe, PayPal and dollar settlements. Direct access to the US market and payment systems is better set up through a US company.
Recommended: the US
A Canadian company gives no EU presence or VAT number, and clients prefer settlements within the EU through a local entity. If your main clients and turnover are in the EU, it makes more sense to register a company in Europe.
Worth considering: Lithuania, Cyprus, Ireland
If your main clients, suppliers and banks are in Asia, a Canadian entity complicates settlements and the banking route. For the Asian market, a local company with territorial taxation and regional banking works better.
Worth considering: Hong Kong, Singapore, Malaysia
A Canadian corporation must file a T2 return every year even with zero income, and missing it leads to penalties. For holding and passive structures where zero tax and minimal obligations matter, classic offshore jurisdictions are simpler.
Worth considering: Panama, St Vincent and the Grenadines, BVI
Not sure whether Canada fits your project? In a consultation we will give an honest assessment of your task and suggest the best jurisdiction, even if it is not Canada.
If Canada is not a perfect fit on structure, tax burden or running costs, compare the alternatives across the key parameters.
| Jurisdiction | Best for | Taxes | Compliance | Banks |
|---|---|---|---|---|
 United States | Best for Payment acceptance, the US market, IT and e-commerce. | Taxes 21% federal rate for a corporation; for an LLC, tax at the owner level. | Compliance Annual Form 5472 filing even with zero income; no audit required. | Banks Fintech banks and payment systems; account opened remotely. |
 Panama | Best for Holding, trade and working with Latin America. | Taxes Territorial basis; 0% on foreign income, 25% on local income. | Compliance No audit required, but records must be kept and filed with a resident agent. | Banks Local dollar banks with thorough due diligence. |
 St Vincent and the Grenadines | Best for Holding, consulting and international trade. | Taxes 0% on foreign-source income. | Compliance Minimal requirements and enhanced privacy. | Banks International banks and payment institutions (EMIs). |
 British Virgin Islands | Best for Holding, asset ownership and investment. | Taxes No corporation tax and no withholding tax. | Compliance Economic substance reporting; no audit. | Banks International banks and EMIs with strict compliance. |
We will help you compare jurisdictions on taxes, banks, running costs and structural requirements for your specific task.
Every project is different - we tailor the solution to the client's specific task, entity type and business model.
Canada, Ontario The client moved goods between suppliers in Asia and buyers in North America, but was working through an offshore company, and some counterparties were wary of it. He wanted a business with a clean reputation so he could sign contracts and pass bank checks without friction.
Solution We set up an Ontario corporation, helped with the business number and prepared the company profile for the bank's review. We also worked through how to structure payments with suppliers and buyers so counterparties wouldn't raise questions.
I'd been on an offshore setup for years and just got used to partners always hesitating over it. With the Canadian company that went away, and contracts started getting signed faster. The account took a bit longer than I'd expected, but they warned me upfront. All in all, glad I switched.
Canada, Ontario The client ran an online shop with most of their customers in Canada. Selling to local buyers through a foreign entity was awkward - they needed a Canadian business number and a proper account to take payments within the country.
Solution We set up an Ontario corporation, helped obtain the business number and sort out HST registration. We got the company ready to open an account and explained what has to be filed each year so no penalties build up.
Tax and all this HST stuff was honestly a blur to me, completely out of my depth. They calmly walked me through what to file and when, without talking down to me. The shop's live and we're taking payments from Canadians fine. Had to send over a couple of extra documents, but overall it went easier than I'd feared.
Canada, Ontario Two developers were building a product on an outsourcing basis for clients in the US and Europe, and wanted a simple structure where each of them takes their share. It mattered to them not to pay extra tax at company level and not to drown in paperwork while the project was still growing.
Solution We set up a Limited Partnership in Ontario. It's a tax-transparent structure: it pays no tax itself, and profit is shared between the partners. We helped put together the partnership agreement and got the company ready to open an account for client payments.
What put us off was the thought of loads of reporting right from the start - we wanted to code, not mess about with paperwork. They explained how the partnership works and why the tax is paid by us rather than the company. Split the shares, all clear. Sent documents over twice, but no hassle.
If you can't find the answer to your question, leave a request and we'll look into your situation personally.
Get a consultationWith a complete set of documents, a company in Ontario is usually registered within 1–5 business days, and a Limited Partnership declaration is often processed within 24 hours. Allowing for document preparation and a NUANS name search, the full cycle takes from 5 business days. Opening a bank account is a separate matter and depends on the bank's review.
Yes, we handle the company registration in Ontario entirely remotely, with no visit to Canada. Since 2021, Ontario has not required a Canadian director, so a non-resident can own and manage the company from any country. Opening a bank account is a separate consideration: Canadian banks usually ask a director to visit a branch in person, whereas fintech solutions let you open an account online.
A Provincial Corporation is a full legal entity with limited liability that pays tax itself at the general rate and suits an established business. A Limited Partnership pays no tax at its own level: profit is shared between the partners and taxed in their country of residence, which works well for IT and trade. A Sole Proprietorship is the simplest option for an individual start, but it has no limited liability – the owner is personally responsible for the obligations.
It depends on the task. For working with Canadian and North American clients, where reputation and a full legal entity matter, a Provincial Corporation is often the right fit. For IT, outsourcing and trade with no activity inside Canada, a Limited Partnership tends to be better – it's tax-transparent and simpler to report. A Sole Proprietorship is chosen rarely, usually for a minimal start. In a consultation we match the entity type to your specific business model.
An Ontario Provincial Corporation is taxed at a combined general rate of about 26.5% and files a T2 return every year. A Limited Partnership pays no tax itself: if it does not carry on business in Canada and is managed from abroad, there is generally no filing or tax in the country, and profit is taxed in the hands of the partners where they are resident. Separately, withholding tax may apply to dividends and royalties paid from Canada, and this is reduced under tax treaties.
Ontario is one of the few provinces that fully removed the Canadian director requirement back in 2021, so a non-resident can be the sole owner and manager. It is the largest province by economy, with strong infrastructure and close proximity to the US market. Registration is done online through the provincial registry, and the entity types themselves – the Corporation and the Limited Partnership – suit non-residents well.
No, there's no strict requirement – the banking route is chosen to fit the task. Canadian banks such as Royal Bank of Canada and Toronto-Dominion Bank offer a full range of services and reliability, but for a non-resident they usually require a director to visit a branch in person. If opening remotely matters, fintech solutions and payment providers that onboard online are a good fit. These options are often combined.
A Provincial Corporation files a T2 return every year even with zero income, plus a separate Ontario annual return with the provincial registry, and maintains a registered office. As a tax-transparent structure, a Limited Partnership files no T2: with no business in Canada it has no filings, but it must keep a record of its partners and renew its registration. Missing mandatory filings leads to penalties and the risk of the company being dissolved.
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