Professional Corporation Services

A Professional Corporation (PC) is a type of business structure in Canada specifically designed for licensed professionals, such as lawyers, doctors, accountants, engineers, etc.

The primary purpose of a PC is to provide a legal and tax-efficient way for professionals to conduct their business and protect their assets.

One of the main advantages of a PC is that it provides limited liability protection for the shareholders. This means that the shareholders’ personal assets are generally protected from the debts and liabilities of the corporation. Additionally, a PC allows for income splitting among the shareholders, which can result in significant tax savings.

However, there are also some limitations and regulations that must be followed when operating a PC. For example, a PC must comply with the rules and regulations set out by the governing body for the profession, such as the Law Society of Ontario or the College of Physicians and Surgeons of Ontario. Additionally, there may be restrictions on the types of services that a PC can offer, depending on the profession and jurisdiction.

Overall, a Professional Corporation can be a beneficial business structure for licensed professionals in Canada, offering limited liability protection and tax advantages and providing a professional and credible business image.