When you run a business as the sole owner, under a name other than your personal name, you will need to register this trade name. In operating under a trade name registered to you personally, you take on all of the debts and liabilities of the business. In Alberta, the terms “Trade Name” and “Sole Proprietorship” are used interchangeably.
Trade Name Advantages:
- Low cost to set up
- Very little annual maintenance (only a small fee to let Corporate Registry know if you move or change your name)
- Simple business structure
Trade Name Disadvantages:
- No liability protection
- May have fewer tax advantages or options to distribute revenue from the company. Please consult your lawyer.
- Cannot protect the company name
How to Register a Trade Name
Registering a Trade Name is a simple process and takes only about 10 minutes – we can do it at the counter while you wait.
Fill out the Declaration of Trade Name form. We can also provide the form in our office. The key information that you will need to know in order to fill out this form:
- The full legal name and address of the owners of the business.
- The type of products or services the business will offer.
- The city, town or village in of Alberta where the business will be located.
- The business name you have selected.
- The date the business started. The commencement date may be in the past or up to six months in the future.
Please also be prepared to show valid government-issued ID (passport, Driver’s Licence or PR Card) and to pay the $52 (inlcudes GST) Trade Name Registration Fee.
Terminating a Trade Name
If you are no longer going to be using the Trade Name to conduct your business, it is recommended that you come into Registries Plus to close the Trade Name so that it is no longer associated with you. The cost for terminating a Trade Name is $27.30 (includes GST).