Why You Should Register Your Freelance Business

Why You Should Register Your Freelance Business

Why you should register your freelance business

If you’ve landed on this blog you’re most likely working as a digital freelancer or doing gig work, and you’re aware that the demand for your work has skyrocketed in 2020. You’re probably wondering whether you should register your freelance business in Canada. So, we came up with a list of reasons that will assure you that registering your freelance gig work as a formal business entity is the right decision. We’ve also got a list of key steps to help prepare you for registering your business online!

Maybe you’ve been hired to do project-based freelance jobs by word of mouth or referrals, but many successful digital freelancers have found full time work by using some of these common freelance job websites:gig economy

  1. Fiverr
  2. Upwork
  3. Bark
  4. TaskRabbit
  5. DesignBro

Do you need to register your freelance business?

There are several benefits to registering your digital freelancing gig, but we’ve chalked it up to 3 of the most important ones:

  1. The amount of companies and small businesses that are hiring digital freelancers continues to increase 
  2. You will perform your work as a formal business entity, gaining credibility in your field
  3. You will be protected from personal liability and most importantly, you will stay out of trouble with the Canadian Revenue Agency (CRA)

What Are The Steps To Register My Freelance Business?

  1. Organize your business documents

Before you register your business we recommend getting into the habit of keeping all of your business documents together in an organized filing system. This will be very beneficial to you come tax season. You can use a filing cabinet to keep in your office space, or if you prefer to keep all of your documents online, you can use platforms like Google Drive, OneDrive, or Hubdoc.

2. Familiarize yourself with contracts

When you use websites like Fiverr and Upwork, they normally handle all of your contracts. Before you register your business, it might be handy to have your own go-to contract template if you start doing business outside of these websites.

3. Choose a business name

When you register your business, you’ll have to register under a business name or number. Whether you have an idea of what you want to name your business, or you have no clue where to start, CorePro8 can guide you on choosing the right name for your business.

4. Know your business startup costs

Before you turn your digital freelance work into a formal business entity, it’s important to know what startup fees you might be looking at. For example, will you need to invest in some new software or rent out an office space? Click here to download our Free Money-Saving Guide to get your business finances organized and maximize your tax write offs!  

5. Determine your business structureregister your digital freelance and gig work to gain credibility

You will be registering as either a sole proprietor, partnership, or incorporation. There are several factors that go into determining which of these business structures is right for you, and this decision begins with understanding what each structure is. Take a look at this blog to learn the differences between sole proprietorship, partnership, and corporation. We also go over the startup costs associated with registering as these structures!

Don’t waste your time searching for accurate answers to your business startup questions. CorePro8 has them!

CorePro8 will guide you step-by-step through each business decision including choosing a business name or number, which business structure is right for you, how to file your taxes and how to pay yourself, how to find a good bookkeeper and accountant, and any other areas that you might have questions about. 

Don’t worry about Googling each question you have and hoping that you read accurate information. CorePro8 will be here for you to ensure you feel confident in each step of registering your business.

About Coreina Hubert

Coreina Hubert is the founder and CEO of CorePro8, a program that guides business owners step-by-step through the process of registering or incorporating their business. Previously, Coreina worked as an accountant at her company, Book-it Bookkeeping Inc.

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Sorry to see you go, but hope to see you come back when you are ready to register you business.
From CorePro8 Team