So you’re ready to open a business bank account. As you might expect, opening a business account is a little more complicated than opening a personal account, with extra paperwork required.
In this guide, we’ll walk you through what you need to open a business bank account in Canada, including all the documentation required to get your business account up and running.
Requirements to open a business bank account in Canada
To be eligible to open a business bank account in Canada, you will generally need to:
Be the age of the majority and a Canadian resident
Be opening an account for a business that is registered in Canada
Provide documents that prove the existence of your business
Provide the names, contact details and proof of ID for business owners with an ownership interest of 25% or more
Provide your Social Insurance Number
But the specific documents needed to open a business account depend on two factors:
The ownership structure of your business
The bank you choose
Let’s take a look at the documents your business needs to open a business account at each of the Big Five banks: RBC, Scotiabank, TD Canada Trust, BMO and CIBC.
What do I need to open a business bank account with RBC?
RBC
How to open an account
To open a business bank account online with RBC you will need to:
Be the age of majority where you live.
Not currently have a business account with RBC.
Be opening the account for your business.
Be a Canadian resident, with a company registered in Canada.
Be opening the account for a sole proprietorship or private corporation.
Required documentation
You’ll need to take the following documents to an RBC branch to verify your identity and provide the necessary business paperwork:
Government-issued ID, such as a passport, driver’s license or permanent resident card.
A business registration document, such as articles of incorporation, a certificate of existence or master business license.
What do I need to open a business bank account with Scotiabank?
Scotiabank
How to open an account
To open a business bank account online with Scotiabank you need to be:
At least 16 years of age.
A Canadian resident or in Canada to work or study.
Opening an account in your own name.
You can apply online by providing your name, address, date of birth, Social Insurance Number and any required documents.
Required documentation
You’ll need to provide one of the following:
Trade name registration certificate
Master business license
However, no registration is required if you operate in your own name.
If you’ve been operating for more than 12 months, you’ll also need to provide one of the following:
Latest business Notice of Assessment
Current liquor license
Health and safety certificate
Vendor’s permit
Current utility bill or invoice to business
Other current and valid government-issued document
Partnerships will need to provide:
Registered declaration of partnership or partnership agreement
Trade name registration (if applicable)
Government-issued photo ID for up to three authorized signatories
Name, address and occupation of anyone who has an ownership interest of 25% or more
If you have been in business for longer than 12 months, you’ll also need to provide one of the following:
Latest business Notice of Assessment
Current liquor license
Health and safety certificates
Business license or vendor’s permit
Current utility bill or invoice to your business
Other current and valid government-issued document
You will need to provide:
Articles of incorporation/association.
Trade name registration (if applicable).
Government-issued photo ID.
Name, address and occupation of anyone who owns at least 25% of your business.
If your organization receives donations from the public, you’ll need your Canada Revenue Agency registration number.
If you’ve been operating for more than 12 months, you’ll also need to provide:
A certificate of incorporation, certificate of continuation or letters patent
Certificate of compliance
Corporate profile report
Annual government filing
Latest financial statements
Latest business Notice of Assessment
Current liquor license
Health and safety certificates
Business license or vendor’s permit
Other current and valid government-issued document
ou will need to provide:
Articles of association or your association’s original constitution and bylaws (if no formal registration is available, you’ll need to provide documents that confirm your authority to open an account on behalf of the organization).
Government-issued photo ID for up to 3 authorized signatories.
If your organization receives donations from the public, you’ll also need your Canada Revenue Agency registration number.
What do I need to open a business bank account with TD?
TD Canada Trust
How to open an account
If you run a sole proprietorship or single owner corporation, you can apply online, in person or over the phone with a TD business banking specialist. You’ll need to be a business or a signing officer of the business to apply online.
Other businesses will need to apply in person or over the phone with a TD business banking specialist.
Required documentation
The documentation you need to provide varies depending on the structure of your business.
Certificate of business registration
Trade name registration (if applicable)
Government-issued photo ID
Articles of incorporation
Certificate of business registration
Trade name registration (if applicable)
Canada Revenue Agency registration business number (if your organization solicits donations from the public)
Name, address and occupation (including employer name and address) of each director
Director Information, required for each director of the business
Business ownership structure with names and addresses
Proof of business address
Government-issued photo ID for each account signing authority
Partnership agreement
Certificate of business registration (if applicable)
Trade name registration (if applicable)
Partnership information, including full ownership structure and the names, addresses, occupations of all partners.
Proof of business address.
Government-issued photo ID for each account signing authority
Name, address and occupation of each account signing authority
Articles of association (if applicable)
Letter of larger association authorizing the opening and operation of the account (if applicable)
Canada Revenue Agency registration business number (if your organization solicits donations from the public)
Proof of business address
Government-issued photo ID for each account signing authority
Key documents needed to open a business bank account in Canada
Let’s take a closer look at the different documents you need to open a business bank account.
Business license
A business license is issued by your federal, provincial, territorial or municipal government and allows you to operate your business in Canada. Licensing requirements vary widely depending on where your business operates, your business structure and the industry you work in.
Articles of incorporation
Articles of incorporation are legal documents that register your business as a corporation. Filed with federal or provincial/territorial governments, they establish your business as a legal entity. They include details such as your business’ name, address, type and purpose.
Trade name registration
This document allows you to register an operating name with your provincial or territorial government. A trade name is different to your business’ legal name, and registering your trade name is sometimes referred to as filing for a DBA (doing business as).
Certificate of existence
A certificate of existence is issued by Corporations Canada for federal corporations. It verifies that the specific corporation exists either on the date a request is submitted or that it existed at a specific time.
Partnership agreement
This document is an agreement between the two or more partners entering into a business relationship. It sets out the ownership and profit share, the obligations of each partner, and what will happen if the agreement needs to be terminated.
Articles of association
These documents outline the purpose of a company and how it will be run. They set out rules and regulations for the structure of the company, its governance and its daily operations.
Business Notice of Assessment
This statement is issued by the Canada Revenue Agency after you file your business tax return at the end of the financial year. It summarizes the key details from your return, including your income and deductions as well as the amount of tax you owe or your refund amount.
Business Number
This nine-digit number is issued to your business by the Canada Revenue Agency. It’s used for all your interactions with the CRA for tax-related matters.
Social Insurance Number
Issued by Service Canada, this nine-digit number allows you to work in Canada as well as gain access to a range of federal government programs and benefits.
Government-issued ID
You’ll need to provide a valid, government-issued identity document to open a business account. A driver’s licence or passport are the most common examples of personal identification.
Compare business accounts you can open now
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How do I choose a business bank account?
Choosing a business bank account is a little overwhelming at first. To get started, make a list of all the key features you need in an account:
How many transactions will you need to make per month?
Do you need branch access or can you manage your account online and via mobile banking?
Do you regularly need to make cash or cheque deposits to your account?
Do you need to send or receive foreign currencies?
Are you willing to pay a monthly fee, or to keep your balance above a minimum level to have the fee waived?
Once you have a clear idea of what you need, you can start comparing business bank accounts across a range of financial institutions. Learn more about choosing an account in our guide to the best business bank accounts in Canada.
Can I open a business bank account online?
It depends on the bank you choose and the structure of your business.
Some banks don’t offer any option to fill out an online application form. You will instead need to book an in-person, phone or online consultation to begin the application process.
But it’s becoming increasingly possible to open a business bank account online, particularly if you’re a sole proprietor. You’ll need to upload copies of your business registration documents as well as proof of ID.
However, in some cases, you’ll still need to visit a branch in-person with proof of ID in order to activate your account.
Summary: How to open a business bank account in Canada
For detailed instructions on how to open a business bank account, check out our full guide. But if you’re in a hurry, here’s a quick rundown of the steps you need to follow.
Know your needs. Decide what features you want in an account, including how many monthly transactions you need and how you want to manage your money.
Compare business bank accounts. Compare business chequing accounts from a range of banks to find the right account for your needs.
Submit an application. Fill out an online application with your personal information, contact details and information about your business. Depending on the bank, you may need to visit a branch to finalize your application.
Set up your account. Sign up for online banking, download your bank’s mobile app and activate the debit card linked to your account.
Start banking. Deposit money into your account and start using it for your day-to-day business transactions.
Bottom line
It’s a little more complicated to open a business bank account compared to a personal account, but don’t let that put you off. Major banks and credit unions provide clear instructions on the documents you need to provide and the requirements you need to open an account, so it’s easy to get started. Compare business account options across a range of financial institutions before deciding where to open an account.
Frequently asked questions
You'll need to provide proof of ID for yourself and anyone with a 25% or greater ownership share in the business. You'll also need to provide business registration documents such as articles of incorporation or a master business license — the exact documents needed will vary depending on your business structure.
The monthly fee that applies to a business bank account depends on the number of transactions it supports — the greater the number of transactions, the higher the fee. Business bank account fees commonly range anywhere from $5 to $125, but there's often the option to have the monthly fee waived when you keep your balance above a minimum level.
Some providers also offer no-fee business accounts. Learn more about your options in our guide to the best free business bank accounts.
Yes. If you open an account with a CDIC member in the name of a partnership or corporation, eligible deposits of up to $100,000 are covered by CDIC insurance. These deposits are covered separately to any personal deposits you have. However, if you're a sole proprietor, separate protection for personal and business deposits is not available.
Tim Falk is a freelance writer for Finder. Over the course of his 15-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors. See full bio
Explore our top picks for the best business bank accounts in Canada.
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