In this article:
Overview
A sole proprietorship is a business you own and operate yourself, with no separate legal identity from you. You can open a Wealthsimple business chequing account for it whether or not it's registered with a provincial or territorial business registry.
Eligibility
There are two paths, depending on your registration status:
-
Registered sole proprietorships:
- You operate under a business or trade name that's different from your own legal name
- We verify your business with your provincial or territorial business registry
- We'll ask for your registration date, registered address, mailing address, industry, and province or territory
-
Unregistered sole proprietorships:
- You operate under your own personal legal name
- You'll confirm your business details yourself. We'll still ask for some basic information about your business, including your source of funds, the nature of your business, and your industry code
We're currently working on supporting Newfoundland and Labrador (NL) sole proprietorships. Once available, we'll let you know.
How to open your account
You can open a business chequing account for your Sole proprietorship from the Wealthsimple app or web. Follow these steps:
Ensure you have the latest iOS or Android version of the Wealthsimple app.
- Log in to the Wealthsimple app
- From the Home tab, scroll down to your accounts
- Tap the add (+) button
- Tap Open a new account
- Under Business, tap Business chequing
- Tap Open an account
- Select your business, or tap Add a new business
- When asked about your business's legal structure, select Sole proprietorship
- Complete the short onboarding steps
- Log in to your Wealthsimple profile on a laptop or computer
- From the Home page, click Add account in the top right corner
- Go to the Business category
- Click Business chequing
- Click Open account
- Select your business, or click Add a new business
- When asked about your business's legal structure, select Sole proprietorship
- Complete the short onboarding steps
If your registered sole proprietorship's status comes back as inactive during the registry check, learn how to fix it.
How your account name appears
- If your business is registered (as a corporation or a registered sole proprietorship), your account nickname defaults to your legal business name
- If your sole proprietorship is unregistered, your account nickname defaults to Business chequing unless you set up a custom nickname
Payment methods details and cash deposit limits
- Cash deposits: Your $9,000 cash deposit limit applies on a rolling 24-hour basis and is shared across all your Wealthsimple accounts, including your personal accounts and your sole proprietorship business chequing account. Your sole proprietorship business chequing account doesn't get a separate limit.
- Cheques: Cheques, cheque books, and void cheques use your "Operating as" name.
- Wires: Wire instructions show your personal legal name.
- Interac e-Transfer®: You can send and receive e-Transfer deposits in your Business chequing account via your business email. Learn how to set up e-Transfer deposits through your business email.
- Tax payments: If you're a registered sole proprietorship with a business number, you can make CRA payroll, GST/HST, and Revenu Québec payments the same way as other Wealthsimple business accounts. Unregistered sole proprietorships can't make tax payments through this flow yet.
CDIC coverage
Your sole proprietorship account is covered by the Canada Deposit Insurance Corporation (CDIC) up to $100,000, the same as our other business chequing accounts.
Frequently asked questions
Can I open an investing account for my sole proprietorship?
Not right now. We currently support only business chequing accounts for sole proprietorships.
I haven't registered my sole proprietorship. Can I still open an account?
Yes. You'll confirm some details yourself, like your source of funds and industry code.
Why should I get a business chequing account?
It keeps your business money separate from your personal money. That makes bookkeeping easier, simplifies your taxes, and gives your business a more professional look to clients.
I'm just starting a business. What do I do first?
Decide how you'll operate: under your own legal name, under a trade or business name, or as a corporation. Then open a business chequing account so your business finances are separate from day one.
Do I need to register once I earn over $30,000 CAD?
Yes. Once your business earns more than $30,000 CAD in revenue over four consecutive quarters, you have to register for a GST/HST number, no matter what name you operate under.
Can I get a card with my business account for my sole proprietorship?
Not yet. Cards aren't available for business accounts at this time, but we're working on adding them.
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