Once you incorporate, one of the first practical jobs is opening a bank account in the corporation's name. It is tempting to keep running everything through your personal account for a while. Do not. A corporation is a separate legal person, and its money needs to live somewhere separate too.
Here is how to open a business bank account in Canada and what you will need.
Why a separate account matters
Mixing personal and corporate money is one of the most common early mistakes, and it undercuts the whole reason you incorporated.
- It keeps the legal separation real. Commingling funds can weaken the corporate wall you paid to build.
- It makes bookkeeping and your corporate tax return far simpler, because the corporation's transactions are all in one place.
- It looks right to the CRA, clients, and anyone who ever reviews your books.
What you need to open one
Banks want to see that the corporation exists and that you are authorized to act for it. Requirements vary, but most ask for a similar set of documents.
- Your certificate of incorporation and articles of incorporation.
- Your CRA business number.
- Government-issued photo ID for the directors or signing officers.
- Sometimes a recent corporate profile report or details from the minute book, to confirm the directors and share ownership.
If you are not sure what articles of incorporation are or where to find yours, we cover them in a separate guide.
Choosing an account
The big banks offer business accounts with in-person service and easy access to credit, usually with monthly fees and per-transaction charges. Newer digital business accounts often have lower fees and faster online opening, but less of a branch relationship. Compare monthly fees, transaction limits, and whether you need to walk into a branch to open it.
Where Korporex fits
Banks will ask for your incorporation documents before they open the account. Korporex delivers those documents, the certificate, the articles, and the minute book, within 24 hours of filing, so you can open your account right away.