May 16, 2010

Registering an Alberta Small Business

The statute that governs the registration of an Alberta sole proprietorship is the Partnership Act (Alberta). The statute refers to an Alberta sole proprietorship as an Alberta trade name.

The Alberta Partnership Act indicates that any person who (i) is engaged in business for trading, manufacturing, contracting or mining purposes; and (ii) is not associated in partnership with any other person or persons and uses as the person’s business name some name or designation other than the person’s own, or the person’s own name with the addition of “and company” or some other word or phrase indicating a plurality of members in a firm; shall file with the Alberta Registrar a declaration in writing of the fact. Before you register your Alberta trade name it might be advantageous for you to review the clauses in the Alberta Partnership Act with respect to registering a trade name in Alberta.

In layman’s terms what the statute is trying to say is that any individual who is operating under a name other than his or her own name must register an Alberta sole proprietorship. A sole proprietorship registration in Alberta must be filed six months from the date it commences business in Alberta.

You are not required to provide an Alberta Nuans name search report to register an Alberta Registration such as a sole proprietorship. The Partnership Act (Alberta) has no requirement for an Alberta trade name /Alberta sole proprietorship name to be unique. Any company, sole proprietorship or partnership can register the same Alberta business name at the same time. This does not mean that you should just go ahead and register any name you wish. It is important that you make all attempts to have a distinct name for an Alberta Registration that is very different from all names out there.

A preliminary name search should be done to ensure your name is available and a search house can do this for you for a small fee. Many search houses will clear your name in advance for free if you chose their service when registering your Alberta trade name.

An individual can conduct business as a sole proprietorship by using his or her name and not registering an actual Alberta trade name. In fact the Alberta government will not allow you to register a sole proprietorship under your personal name. In some cases though it might be advantageous to have an Alberta registration in place such as when a corporate client wishes the sole proprietorship to acknowledge he or she has a valid business registration in place or in some cases where ancillary licenses are required for the company and a Alberta registration document must be shown. The federal government does not care if you have a Alberta sole proprietorship registration in place in order to issue you a federal Business Number. The federal business number is connected to the individual rather than the Alberta trade name registration.

It is not possible for you to register a sole proprietorship on your own. The Alberta government mandates that a service provider must assist you. This is really a good thing since if you pick the right service provider they will check your name in advance for you free of charge. Look for this type of provider before you register and then you can be assured that your name is not only available in Alberta but clear right across Canada.

To terminate an Alberta trade name registration a form must be filed called a Declaration of Ceasing to Carry on Business under a Trade Name.

Alberta Sole Proprietorships are perpetual. This means they will stay in place until you dissolve the registration.

Resources for Canadian Business Owners can assist you with your Alberta Trade Name and Alberta Business Registration or Preliminary Name Search

categories: law,legal,business services,advice,services,business,government,home business,business_and_finance,small business,entrepreneurs

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