Elements of a Corporate Name

A corporate name should consist of 3 elements:

1)-a distinctive element;
2)-a descriptive element and;
3)-a legal element.

The distinctive element can be a dictionary word or a word thought of by the user in order to produce a unique name and distinguish it from others. It can consist of initials, a made-up word, a last name etc.

The descriptive element is a word or words that describe the type or nature of the business.

The legal element is mandatory and identifies the name as a corporation. You must use one of the following:

i) Limited, Ltd. or;
ii) Corporation, Corp., or;
iii) Incorporated, Inc.

Who Can Be a Director of a Canadian Corporation? *

A director must be:

- at least 18 years old;
- of sound mind (i.e. not a person a court has determined to be of unsound mind);
- an individual (a corporation cannot be a director); and
not in bankrupt status.

Ordinarily, at least 25 percent of the directors of a corporation must be resident Canadians. However, if a corporation has fewer than four directors, then at least one of them must be a resident Canadian. In addition, corporations operating in sectors subject to ownership restrictions (such as airlines and telecommunications) or corporations in certain cultural sectors (such as book retailing, video or film distribution) must have a majority of resident Canadian directors. For these specific sectors, we strongly suggest that you see legal advise prior to incorporation.

Directors may hold shares of a corporation where they are directors. However, the directors of a corporation are not required to hold shares in the corporation unless the Articles of Incorporation make this a requirement for the directors.

* From the Guide to Federal Incorporation, please visit Corporation Canada website for more information.

Business Opportunities in Ougadagou, Burkina Faso

The last portion of my long business trip was to stop in the city of Ougadougou in Burkina Faso. Once again, I was pleased to see how people are welcoming and extremely nice. I had a chance to meet with several entrepreneurs and businessmen and I can assure you that they are looking forward to build strong relationship with Canadian entrepreneurs. The demand for technology is huge and really important in Burkina Faso (mostly to build intranet and network for commercial clients). Actually, I am currently looking for a Canadian company to introduce to one of my client there. If you think that the market is not big enough, well I would like to reassure you, this company is making 34 Millions US$ in revenue and its only in Burkina Faso... Further, one the of most successful industry of Burkina Faso is construction - (building roads, bridges, airports etc. etc.) Few clients of mine explained me that they are bidding on several projects across the country and the magical part is that if they win the tender, well they are directly paid by international organizations. Becaise, most of these projets are funded by organizations such as the UN, the African Development Bank, the African Central Bank and the International Monetary Fund, etc. Once again, these companies are looking for partnership with Canadian companies to learn new techniques and technologies. More importantly, you can rest in peace knowing that you will get paid directly by these reliable organizations. I am now back in Ottawa, and my next blog will talk about business law but I tought it would be great to share so tips and opportunities regarding my trip. I will go back in June, therefore; If you any comments and/or requests and/or questions regarding my trip, please do not hesitate to email me at hugues.boisvert@andrewsrobichaud.com