Growing
a startup
By Clarence Bennett,
Twila Reid and Nicholas Russon
W
hile the economy continues to see slow
growth, the startup community in Atlantic
Canada continues undeterred and thrives
with an energy that propels many great ideas
to success in the region. This is aided in part by local organizations, such as Startup Kitchen, which continue to host
great local events designed to inspire and allow for networking and the prosperity and growth of these new businesses.
However, despite this entrepreneurial spirit and an eager4 SUMMER 2013 Doing Business in Atlantic Canada
ness to see an idea succeed, it's important
from an early stage to seek advice to ensure that your ideas, when ready for fruition, are protected and well positioned to
be successful in the marketplace. Here are
a few things to consider:
Incorporation
While many new businesses avoid incorporating as some consider it unnecessary
and expensive, it should be considered
for a few important reasons.
First, if there's more than one owner
of your startup business, incorporating it
will allow for a simple way to explicitly
set out the ownership share and rights.
Restrictions include who owners may
transfer their interest to and how owners may exit the business. This is always
easier to do before the business is worth
anything.
Second, almost every investor will require you to be incorporated before they
provide any investment in your business.
Incorporating early on will allow for the
