Incorporate · By Situation
Yes. A non-resident can own and direct a Canadian corporation without living in Canada or holding a SIN. Ontario removed its director-residency requirement on July 5, 2021, so a non-resident can be the sole director. Federal incorporation still needs at least 25% resident-Canadian directors, which is why Ontario is usually the better choice.
Yes. A non-resident can own and direct a Canadian corporation without living in Canada or holding a SIN. Ontario removed its director-residency requirement on July 5, 2021, so a non-resident can be the sole director. Federal incorporation still needs at least 25% resident-Canadian directors, which is why Ontario is usually the better choice.
This is the single most important decision, and it turns on one 2021 change. Before July 5, 2021, Ontario corporations had to have at least 25% resident-Canadian directors, the same rule federal corporations still carry today. That rule is gone. Under the current Ontario Business Corporations Act (OBCA), there is no director-residency requirement at all, which means a person living anywhere in the world can be the sole director and sole shareholder of an Ontario corporation.
Federal incorporation under the Canada Business Corporations Act (CBCA) did not change. A federal corporation must have at least 25% resident-Canadian directors, and if there are fewer than four directors, at least one of them must be a resident Canadian. So if you're incorporating federally and you're the only person involved, you would need to find and appoint a resident-Canadian director, which most non-residents don't have and don't want to arrange.
For that reason, an Ontario corporation is usually the cleaner, simpler path for a non-resident who wants full control. You keep 100% of the directorship and ownership, and there's no scramble to recruit a Canadian to sit on your board. Federal makes more sense only when nationwide name protection or a federal brand really matters to you, and even then, the resident-director requirement is a real obstacle.
No SIN, and no visa or immigration status, is required to be a director or shareholder of a Canadian corporation. A Social Insurance Number is a personal tax and payroll identifier for people who work or earn income in Canada; it is not a prerequisite for owning or directing a company. Plenty of Ontario corporations are owned and directed entirely by people who have never set foot in the country.
What you do need is a registered office address physically located in Ontario. This is the official address where the corporation receives government mail and legal documents, and it must be a real Ontario street address, not a foreign address and not a bare P.O. box. If you don't have your own Ontario address, you use a registered-office address service (often bundled with mail forwarding), which many non-resident founders do. CorpStart can point you to address-service providers when you don't have an Ontario address of your own.
You'll also want the corporation to have a Business Number (BN) from the Canada Revenue Agency for tax accounts, and eventually an import/export or GST/HST account depending on what you do. Those come after incorporation and don't require you to be in Canada either.
Incorporating as a non-resident is genuinely straightforward. Opening a Canadian business bank account is the part that frustrates people, so it's worth setting expectations. Canadian banks apply strict identity-verification and anti-money-laundering rules, and most of the big banks still expect a director or signing officer to appear in person, at a branch, with government photo ID, to open a business account. Doing that entirely from abroad is difficult.
Practical options non-residents use: open the account on a trip to Canada; work with the smaller number of banks and fintechs that support remote or non-resident onboarding; or appoint a Canadian-resident signing officer you trust. None of this stops you from incorporating (the corporation exists the moment it's filed), but plan the banking piece deliberately rather than assuming it happens with a click.
Payment processors (Stripe, PayPal and similar) have their own requirements and sometimes want a Canadian bank account and a local presence, so factor that into how you'll actually collect revenue.
Your Canadian corporation is a Canadian taxpayer regardless of where you live. It files a T2 corporate return and pays Canadian corporate tax on its income: roughly 12.2% in Ontario on the first $500,000 of active business income if it qualifies for the small-business deduction, and higher on income above that or on passive investment income.
Where non-residency bites is on money leaving the corporation to you. When a Canadian corporation pays a dividend to a non-resident shareholder, it must withhold non-resident tax: 25% by default, often reduced by a tax treaty between Canada and your country of residence (many treaties bring it down to 5%, 10% or 15%). Salary and management fees have their own rules. This is genuinely worth a short conversation with a cross-border accountant before you start paying yourself, because the treaty position depends on where you actually live.
None of this is a reason not to incorporate; it's simply the reality of owning a Canadian company from abroad, and it's very manageable with the right advice.
You complete a short questionnaire: your name preference, that you'll be the director and shareholder, your share structure, and an Ontario registered office address (yours or an address service's). We flag anything that looks off, such as a foreign-only address or a missing Ontario office, before you pay, so there are no surprises at the registry.
We then prepare your Articles of Incorporation, By-law No. 1, organizing resolutions and share registers, and file with the Ontario Business Registry. Ontario online filings are accepted immediately, and your complete digital minute book arrives by email the same day: the exact package you'll need when you're ready to tackle banking and CRA accounts. CorpStart prepares documents; we're not a law firm, and cross-border tax questions belong with an accountant.
No SIN, no visa, no trip to a registry office required to file.
Sort your Ontario registered office
Use your own Ontario address or an address-service provider. This is the one thing every Ontario corporation must have: a real Ontario street address for official mail.
We prepare and file in Ontario
CorpStart drafts your Articles, By-law No. 1 and resolutions with you as sole director and shareholder, then files with the Ontario Business Registry, accepted immediately.
Set up CRA accounts and banking
With your minute book in hand, register for a Business Number and plan your account opening, often best done in person or with a bank that supports non-resident onboarding.
Ontario vs. federal incorporation for a non-resident
| Factor | Ontario (OBCA) | Federal (CBCA) |
|---|---|---|
| Director-residency rule | None since July 5, 2021 | ≥25% resident-Canadian directors (≥1 if under 4) |
| Can a non-resident be sole director? | Yes | No, needs a resident-Canadian director |
| Government fee | $300, accepted immediately | $200, plus provincial registration |
| Registered office | Must be in Ontario | Anywhere in Canada |
| Name protection | Ontario-wide | Canada-wide |
| Best for a non-resident | Usually: full control, no Canadian director needed | Only if federal brand/name really matters |
Do I need to live in Canada to own a Canadian corporation?
No. You can own and direct a Canadian corporation from anywhere in the world. Ontario removed its director-residency requirement on July 5, 2021, so a non-resident can be the sole director and shareholder of an Ontario corporation without any Canadian immigration status.
Do I need a SIN to be a director?
No. A Social Insurance Number is a personal tax and payroll identifier for people earning income in Canada; it is not required to own or direct a corporation. Many Ontario corporations are owned entirely by people who have never had a SIN.
Should a non-resident incorporate federally or in Ontario?
Ontario is usually better. A federal (CBCA) corporation still requires at least 25% resident-Canadian directors, so as a lone non-resident you'd have to appoint a Canadian director. Ontario has no residency rule, so you keep full control. Choose federal only when Canada-wide name protection genuinely matters to you.
Can I open a Canadian business bank account from abroad?
It's the hardest part. Most major Canadian banks still expect a director to appear in person with photo ID to open a business account. Options include opening on a trip to Canada, using a bank or fintech that supports remote onboarding, or appointing a trusted Canadian-resident signing officer. Incorporating itself doesn't require any of this.
How is money I take out of the corporation taxed?
Dividends paid to a non-resident shareholder are subject to Canadian non-resident withholding tax: 25% by default, often reduced by a tax treaty (frequently to 5 to 15%) depending on your country of residence. Because it's treaty-specific, talk to a cross-border accountant before you start paying yourself.
Ready to incorporate from abroad?
$279 service fee + $300 Ontario government fee. Filed with the Ontario Business Registry and accepted immediately, digital minute book the same day, from wherever you are in the world.
Start my corporationCorpStart is a document preparation service, not a law firm. The information on this page is general in nature and does not constitute legal or tax advice. For advice specific to your situation, consult a licensed lawyer or accountant.