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What is 'Are you Incorporated' mean?

Discussion in 'Finding Work in Canada' started by gocanada963, Jan 12, 2011.

  1. Friends
    I got an interview call and one of the questions was
    - Are you incorporated, if given an offer to be incorporated are you willing to take it?

    Can anyone throw some light on what does this mean? Thanks for your help.
  2. To be incorporated means to be able to bill your services as a cotnractor. They are asking you if you want to act as a contractor of theirs instead of a regular employee.

    I don;t know how the process to be incorporated is, but I heard is not that difficult. I guess you could start here: http://sbinfocanada.about.com/od/incorporation/a/incorporate1.htm

    Good luck.
  3. You can register yourself using a name (given its available and acceptable, meaning no close match found in the search - mind you each search cost you some money), or a BN (Business Number). If you need this done quickly to not loose the opportunity of the job, get someone to do it quickly, depending where you live it could cost starting $500. One thing you must keep in mind is that once you register, you have to file corporate tax annually (based on the registration date of your business) even if you don't make a penny in the business, or you have to close the Business to avoid filing tax. This is separate from your personal income tax. Now there are different kind of registration, and you can get a lot of information by simple Google search. Get some advice if its worth registering, like if the contract is for couple of month etc. Its its not suitable check with employer if they would hire you directly probably on a lower pay rate. Best thing if you have no time, consult with some local Tax accountant or your own if you have one and does this kind of work (which most ppl do).

    Good Luck, and congratulation.
  4. Thank You for the information.
  5. There is some more information on this page talking about being an independent contractor/consultant and being incorporated. You can still be independent and not incorporate. Most people don't incorporate if they are 1 person independents, as it can be costly, requires involving lawyers, accountants and filing annual business taxes.


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