Starting a small escort business in Nova Scotia
It is relatively easy to start a small escort business in Nova Scotia — especially if your business is designed to be easily run and managed by a small number of persons. When starting your escort business, you'll want clearly define what your business does, who manages it and who receives profits. The simpler the layout, the easier it will be to register and file business reports and taxes yearly. Learn why it is important to register your small escort business in our article Don't get busted for tax evasion: Why registering your escort business is the only option.
As registering your business name does not necessarily guarantee exclusive usage of the name and two companies may function with the same name, it's a good idea to make sure the name you're thinking of is not too similar to one already being used in your area. You can do a basic business name search at Access Nova Scotia » Search Our Database for names you want to avoid or to see how similar escort services in your province are naming their businesses.
Step four: Register your business / business name
Sole proprietorship / partnership
In Nova Scotia you are not required to register your business sole proprietorship or partnership if you are working under your own name. But if you are going to take on a business name, you'll have to reserve and then register that name with the Registry of Joint Stock Companies. This two-part process will give you a BN (business number) that will make access to several local and federal governments easier when paying taxes and applying for any needed permits.
To register your name you must first reserve it with a NUANS (Newly Updated Automatic Names Search) name search, specifically in the Atlantic-based provinces, and pay a $54.91 fee (includes HST). If you intend to use "Canada" or "Canadian" in your business name you'll also have to do a federal NUANS search and pay an additional $68.64.
Once you've received approval of the name you must then file an Application for Registration of a Business Name, which specifies what your service provides and who owns / manages the company. When registering, the terms partner and partnership are often used and there's room for filling in all of the "partners" of the company. If you're a sole proprietor don't worry: basically you are a partnership of one (yes, weird) and use the same forms throughout.
You can find these forms to register online, mail in or hand deliver to a local office at the Registry of Joint Stock Companies.
Upon confirmation of your registration you'll get your BN number, which you can then use with the Canada Customs and Revenue Agency when applying for employer programs or paying taxes.
Corporation
To register your corporation in Nova Scotia, you'll have to file your Articles of Incorporation.
Because of the highly intricate legal nature of starting a corporation, it is highly recommended that you seek the advice of a business lawyer and accountant.
Not all of the forms necessary for incorporation are available online, and as you'll need to appoint officers and work through a recognized agent, this can get complicated.
When you register a corporation in Nova Scotia you're registering a Limited Company. So you'll first have to obtain a NUANS (Newly Updated Automatic Names Search) name search, specifically in the Atlantic-based provinces, and pay a $54.91 fee (includes HST). If you intend to use "Canada" or "Canadian" in your business name you'll also have to do a federal NUANS search and pay an additional $68.64.
Once you have this approved you'll file a Statutory Declaration and an Appointment of Recognized Agent form. Currently incorporation costs $365 in fees, plus added costs for a NUANS search and a yearly renewal of incorporation.
You can find more information on incorporation and all available forms at the Registry of Joint Stock Companies.
For more information on registration requirements for all business structures visit Service Nova Scotia and Municipal Relations.
Step five: Register for / pay business taxes
- The Corporate Income Tax applies to all companies serving Nova Scotia, and currently rests at 4.5% for businesses that make less than $400,000 in profits yearly. For more information go to the Nova Scotia Department of Finance. If you have two more employees and qualify under other specifications, you may be eligible for the New Small Business Tax Deduction that will free you from this tax for the first three years of operation.
- If you are a sole proprietorship or partnership, you'll have to report your self-employment income on your federal T-1 General return.
- The HST tax for Nova Scotia currently sits at 15%, and is applied to all goods and services, combining provincial and federal sales and service taxes. For more information on the HST tax in Nova Scotia visit the Nova Scotia Department of Finance.
- If you have employees you'll have to register with the Workers' Compensation Board of Nova Scotia. Employers in Nova Scotia pay the highest rates nationally for coverage for their employees due to the high volume of work-related injuries in the province. But this registration is vital (and legal) if you hire employees in your escort service. You can also register automatically with your Nova Scotia Business Registry at Access Nova Scotia.
For more information, go to Access Nova Scotia — Business Services
Step six: Get necessary licenses and permits
Registering your business or business name and any articles of incorporation will get you your BN and general business license. But you may be required to have permits for your business in your province or municipality. To enter your specific information and find out what permits are applicable to your business, go to BizPal: The Online Business Permits and License Service.
More information on starting a business in Nova Scotia
Find out how to register an escort business in each state of the USA and by province in Canada.
Please note: Dating.com is not a legal service, nor are we tax advisors or accountants. We do offer you what we consider our best advice, but if at all in doubt, please consult a professional.
