As you learned in the "All About You" feature, the decision to incorporate or not is complex. After you have completed your post-secondary business education, you may be an entrepreneur and may need to decide if and when to incorporate your business. And if you decide to incorporate, you will also need to know more about how.
Instructions
Go to the website of Corporations Canada, part of Industry Canada, at corporationscanada.ic.gc.ca. Click on "FAQs" (frequently asked questions).
(a) What are the benefits of incorporating with the federal government?
(b) What kinds of businesses can incorporate under the Canada Business Corporations Act?
(c) Who can form a corporation?
(d) Go to the FAQ "If I decide to incorporate, what next?" When are corporations formed? Describe the information required in the Articles of Incorporation (forms 1 and 2).
(e) What are the advantages of incorporating online?
(f) On the Corporations Canada homepage, go to "Incorporate a Business" and then click on the "Guide to Federal Incorporation." Go to Chapter 6, Other Obligations of the Corporation. Answer the following questions:
1. By what date do the annual financial statements have to be prepared?
2. The financial statements are required to be prepared in accordance with generally accepted accounting principles (GAAP). For Canadian corporations, where is GAAP set out?
3. Does a company have to appoint auditors?
4. What corporate records are required to be kept by a corporation?