Faire des affaires au Canada : guide pratique pour les entreprises européennes

Why do business in Canada?

Canada offers a stable, rules-based market of around 40 million people, tariff-free access for most EU-origin goods under CETA, and close commercial ties with the United States. For many European manufacturers and B2B software firms it is a practical first step into North America: buyers are sophisticated, English and French are official languages, and a Canadian reference customer carries weight south of the border.

Step 1: Decide whether you need a Canadian entity yet

Many companies start without one. Selling from Europe directly, or through a Canadian distributor or sales agent, lets you test demand before committing to local costs. A local presence usually becomes necessary once you have employees, inventory or long-term contracts in Canada.

• No entity: export direct or via a distributor or agent. Lowest cost, least control.
• Branch: register your European company to operate in a province. Simpler, but the parent is directly exposed.
• Subsidiary: incorporate a Canadian company federally or provincially. Most common for sustained operations.

Step 2: How to register a business in Canada

A company can be incorporated federally through Corporations Canada or under the laws of a single province or territory. Federal incorporation protects the name across Canada, but the company must still register in each province where it carries on business. Director residency rules vary: federal corporations currently require at least 25% of directors to be resident Canadians, while several provinces have no such requirement. Take local legal advice before choosing.

Step 3: Get a Business Number

The Business Number (BN) is a nine-digit identifier issued by the Canada Revenue Agency. It is used for tax accounts such as GST/HST, payroll and import/export. Non-resident businesses that import goods commercially generally need an import/export program account linked to a BN.

Step 4: Check GST/HST obligations

Businesses that make taxable sales in Canada generally must register for GST/HST once their worldwide taxable supplies exceed $30,000 over four consecutive calendar quarters, the small supplier threshold. Non-residents that carry on business in Canada fall under the same rule, and separate rules apply to digital services sold to consumers. Provincial sales taxes apply in some provinces too.

Step 5: Foreign investment notification

Under the Investment Canada Act, a non-Canadian that establishes a new Canadian business or acquires control of one must generally file a notification, usually within 30 days. Most notifications are administrative, but sensitive sectors can attract review.

Step 6: Validate demand before scaling

Registration is the easy part. The larger risk is building a Canadian operation before confirming buyers want the product at a workable price. Structured interviews with specifiers, contractors, distributors and end users answer that question quickly and shape the right entry route.