If you’re currently dreaming about an entrepreneurial lifestyle from Canada, you’re in luck.

There has never been a better time or location to start a business. The startup industry is thriving in Canada, with double the venture capital investment in 2021 compared to the year before.

Is your ambitious business idea going to be next on the list?

Before you get going, learn the first fundamental steps you’ll need to take to get your Canadian startup launched. Here is our brief guide to setting up a new small business in Canada.

Find a Niche

Turning your small business idea into a stunning success will largely depend on how quickly you can grasp the attention of your target customer.

To do that, determine your niche (the more specific your niche, the better.)  Look at places like Google Trends and Pinterest Trends to get information on hot topics and in-demand products and services.

Do Your Research

Next, it’s time to research your target customer. Visit forums and Facebook groups to learn more about your target audience and what they need from a business like yours.

If you can, create and distribute a survey to help you determine what products and services to sell.

Pick a Business Name

Before legally creating your new business in Canada, you’ll need to decide on a business name.

Perhaps you have a name or word close to your heart that you can use in your business. Or maybe you’d prefer to use a word that’s closely associated with your product or service.

Alternatively, try an online business name generator to help spark ideas.

Write Your Business Plan

Before you can apply for business funding, you’ll need a formal written business plan, including a detailed budget.

Keep your business plan succinct. Ensure it gives the reader all the answers to their most pressing questions.

For example, explain how you’ll market your business, how you’ll make money, and what your expenses will be during the first year.

Choose Your Funding 

Now it’s time to find a funding source. The most common choices available for startups are:

  • Self-funded from personal savings
  • A business loan either via a bank or via the government
  • A government grant
  • Venture capital financing
  • A private loan from friends or family

Think about whether you can bootstrap your venture on a tiny budget before seeking external finance. If you need finance, make sure you factor in the repayments when writing your budget.

Get a License

As a business owner, you’ll need to apply for a business license or permit before starting a company.

The specific license you need will typically depend on your business and industry. Use the Bizpal resource to determine what license you need.

Register Your Business

Finally, don’t forget to register your company to ensure you’re paying the correct taxes before you start to run a business.

You’ll need to decide what classification of business to register. There are four choices: Sole proprietor, partnership, corporate and co-operative.

Head here for more info on business registrations.

Launch Your Small Business in Canada Today

The COVID-19 pandemic might have created upheaval, but it’s also uncovered new opportunities. There has rarely been a more promising time to start a business in Canada.

Did you enjoy this article? You can get more startup advice by checking out our business section.