How much headache it is and how much is the running cost? If you have done so have you hired someone (even on part time) basis to keep books, taxes, payrolls etc?
Any first hand information will be really appreciated. I have googled but there is TOO much information and its very hard to filter it.
Background: I am an IT consultant and moved to Toronto from US last year. There is a very good chance that I can avail of getting a contract (very good hourly rate) but they are asking me to Incorporate the business for this rate else they are going to decrease the rate.
Re: Incorporating Business in Ontario
It is somewhat of a hassle if you’re trying to navigate the course yourself and have little prior experience with it. I’ve been through the process of completing Articles of Incorporation, getting a corporate lawyer and a tax expert go over partnership agreements etc. and it takes a lot of time. Concerning the cost of setup and operations, I remember estimating approximately $700 for setup and $300 to $500 per year for basic book-keeping (quarterly reports) and corporate income tax preparation services.
What I would recommend instead of trying to do this yourself is to use a service provider for SMEs that is approved by the govt.
Are you thinking about incorporating provincially in Ontario, or federally? If you're interested in IT contracts, and interested in Canada wide contracts, then it might make more sense to be federally incorporated.