Establishing a Professional Corporation
Under the Veterinarians Act, licensed veterinarians are permitted to establish a corporation for the purpose of practising veterinary medicine. Licensed veterinarians who intend to incorporate must follow the regulations and restrictions outlined in both the Ontario Business Corporations Act and the College By-Laws.
All shareholders in a professional corporation must hold a licence with the College. Further, a shareholder may hold shares of the professional corporation through a holding company, if all of the shares are held by individuals holding licences issued by the College.
The application process may take up to three business weeks. However, the Certificate of Authorization will be dated and will take effect from the date that the College received the fully completed application, including all required documentation. The rules governing professional corporation names are strictly enforced. The College will not issue a Certificate of Authorization if the name of the professional corporation does not follow the format set out in the application instructions. Licensed members are encouraged to review all instructions before filing for incorporation.
The College does not provide legal or accounting advice related to the issuance or renewal of Certificates of Authorization. The College recommends veterinarians seek appropriate professional advice to establish a personally suitable professional corporation.
What is the difference between a professional corporation and a business corporation?
Professional corporations have restrictions on their activities. The Ontario Business Corporations Act restricts professional corporations from carrying on a business other than the practice of the profession and related or ancillary activities. Veterinary professional corporations are regulated by the Veterinarians Act and College By-Laws.