The Difference Between a Business License and a Business Registration in Ontario

Many new entrepreneurs in Ontario confuse business licenses with business registrations, but they’re two very different things — and failing to get the right one can cause major legal issues.

This post explains what each means, when you need them, and why you might need both.


What Is a Business Registration?

  • Done through the Ontario Business Registry
  • Registers your business name with the province
  • Required for most businesses that are not sole proprietors using only their legal name
  • Does not grant permission to operate — only a name registration

What Is a Business License?

  • Issued by your municipality
  • Grants permission to operate your business within city limits
  • Ensures compliance with zoning, safety, and health standards
  • Often requires inspections before approval

When Do You Need Both?

Example: A restaurant in Toronto would need to register its business name with Ontario and get a Toronto business license to operate legally.


Why the Confusion?

Many people assume a business name registration automatically means they’re licensed to operate — but that’s not true.


How We Can Help

We help you determine which documents you need, prepare both registrations and licenses, and ensure you’re 100% compliant.

📄 Don’t risk fines or shutdowns. Contact us today to make sure you have the correct business license and registration for Ontario.

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