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Economic Development

Starting Your Business

How to Register a Business
The following information outlines the steps to follow for registering a business name and obtaining a business licence. This information has been prepared by the Richmond Chamber of Commerce. For further assistance please contact the Chamber of Commerce. Contact details are listed below.

Step 1:  Have a Business Name Approved
Choose Option One or Two

Option One:

  • Pick up a Name Approval Request form at the Chamber Office.
  • At this time you must decide whether you wish to form a Proprietorship, a Partnership or a Corporation (see below for descriptions).
  • Fill out the form, and bring it to the front desk with a payment of $45 (Visa or Cash).
  • The Chamber will contact you within ONE business day to notify you with the results of your name approval.

Option Two:

  • Pick up a form at the Chamber office and mail it to the Corporate Registry in Victoria with a cheque for $30.

Step 2:  Register the Business Name
Choose A or B

A.  To register a Corporation (Limited Company)

Choose Option One  or  Two

Option One 
Purchase the Incorporation Forms (with disk) for $26.70 and optional Guide for $21.35 (total price $48.05) from the Richmond Chamber of Commerce and fill out and mail with a cheque for $350 ($375 w/copy of certified memorandum) to:

Ministry of Finance and Corporate Relations
PO Box 9431 Stn Prov Govt
Victoria, BC  V8W 9V3

Option Two
Have a lawyer do the Incorporation process for you (cost will vary, usually $800-$2,000)

B.  To Register a Proprietorship (One Owner, Unlimited) or Partnership

You must complete a declaration form and pay a $40 fee.

Choose Option One or Two

Option One
Use your personal computer and pay by credit card at:      http://www.bcbusinessregistry.ca/introduction/index.htm
Option Two
Pick up the form at the Chamber Office and mail to Victoria with a cheque.

Note: You can also register online for a Business Number (GST), PST and WCB with Option One

Step 3:  Get a Business License
You must apply for a Business Licence for any city or municipality you are doing business in. If you are doing business in Richmond you may visit City Hall and apply for a Business License and any permits required. Please see Business Licences for detailed information and application forms.

Richmond City Hall is located at:
6911 No. 3 Road
Richmond, BC  V6Y 2C1  (NW corner of Granville and No. 3 Road)
Phone:  604-276-4000

Corporations, Proprietorships and Partnerships
The following information is general in nature, you should consult with your Lawyer or Accountant for more information:

Sole Proprietorship
Establishing a sole proprietorship is the simplest way to set up a business.  In this business structure, a single person performs all the functions required for the successful management of the business.  A sole proprietor is fully responsible for all debts and obligations related to the business.  A creditor with a claim against a sole proprietor would normally have a right against all of his or her assets, whether business or personal.  This is known as unlimited liability.  This type of business comes under provincial or territorial jurisdiction.

You do not have to register a proprietorship if you choose to operate the business in your personal name only (e.g. Paul Long - no word can be added to the name).

Advantages:
Low business start-up costs
Greatest freedom from regulation
Owner in direct control of decision-making
Potential tax advantages to owner
All profits to owner

Disadvantages:
Unlimited liability
Lack of continuity in business organization in absence of owner
Difficulty in raising capital
No name protection

Partnership
A partnership is an agreement in which two or more people combine their resources in a business with a view to making a profit.  In order to establish the terms of the partnership and to protect partners in the event of a disagreement or dissolution of a partnership, a partnership agreement should be drawn up with the assistance of a lawyer.  Standard forms for partnership agreements can also be purchased inexpensively at the Chamber Office.  Partners share in the profits according to the terms of this agreement.

Advantages:
Ease of formation
Low business start-up costs
More sources of investment capital
Possible tax advantages
Limited regulation
Broader management base

Disadvantages:
No name protection
Unlimited liability
Difficulty finding suitable partners
Divided authority
Possible conflict between partners
One partner can legally bind the other without prior approval
Difficulty raising additional capital

Provincial Corporation or Limited Company
A corporation is a legal entity separate from its owners, the shareholders of the company.  Each shareholder has limited liability.  A creditor with a claim against the assets of the company generally has no rights against its shareholders.  Directors may be held liable for their direction of a company under certain circumstances.  It is recommended that you seek legal advice prior to incorporation.  A business can be incorporated at either the federal or provincial level.

Advantages:
Limited liability
Possible tax advantage (e.g. lower small business tax)
Specialized management
Ownership is transferable
Separate legal entity
Easier to raise capital
Name protection

Disadvantages:
Most expensive to organize
Extensive record-keeping necessary
Closely regulated
Shareholders and directors may be held legally responsible in certain circumstances
Personal guarantees undermine limited liability advantage

Contacts
Richmond Chamber of Commerce
Suite 101, South Tower - 5811 Cooney Road
Richmond, BC  V6X 3M1
Phone: 604-278-2822   Fax: 604-278-2972
www.richmondchamber.ca   email: rcc@richmondchamber.ca

Office Hours:
Name Approvals Monday-Friday 8:30am-4:30pm
One Stop Business Registration Monday-Friday 8:30am-3:30pm

City of Richmond
Business Licences
6911 No. 3 Road
Richmond BC V6Y 2C1
604-276-4328