Being an entrepreneur (someone who runs their own business) can be very rewarding, and many resources and support services are available for anyone who wants to start a business or buy a franchise or existing business.
If you are thinking of starting a business, here are some factors to consider:
Immigration Status
It is important to understand the immigration process and your immigration status before starting a business in Canada.
These are the important points you need to know:
- Generally, you must be a Permanent Resident or have Canadian Citizenship to open a business in Canada.
- There are rules about bringing foreign workers to Canada, so if you are planning to hire from outside the country, be sure to research this.
Find out if you have what it takes to be an entrepreneur
Entrepreneurship is not the right choice for everyone, and there are several tools you can use to help determine if it is the right choice for you.
Decide what kind of business you want to own
Will you start a new business, buy a franchise or take over an existing business? Learn about the benefits and challenges here.
Once you have determined that, you can start the first draft of your business plan to help you consider all the factors involved with owning your own business. Futurpreneur offers a free online business planning tool to help get you started.
Choose a legal structure for your business
You can choose several ways of organizing your business, known as a business structure. Each has its advantages and disadvantages. When deciding on a business structure, you should consider issues such as personal liability, business name protection, tax advantages, and registration or filing costs. These options are outlined here.
Decide how to finance your business
There will always be a cost to starting a business. Once you have completed your business plan, you can determine how much money you need. There are several common business financing sources, such as loans, grants, private sector financing, and personal savings and money from family and friends. You can explore the different types of financing available to you here.
Bank loans
As a newcomer to Canada, you might only be able to provide some of the information banks want before granting you a business loan, such as an extensive credit history.
Even if you have a good credit history in your home country, Canadian banks will not consider this. Some banks offer programs specific to newcomers to help you build your credit.
Review the Government of Canada’s business guide for Newcomers to Canada to learn more about starting a business. You can also visit a Small Business Enterprise Centre for one-on-one business support.