How to open a business bank account in Canada

Considering launching a business in Canada, or expanding your UK business there? It’s easy to understand why, as the country offers a stable economy, low corporate taxes, a skilled workforce and plenty of support for startups and SMEs.

And of course, it’s a staggeringly beautiful country, with vibrant cities, friendly people and an excellent standard of living.

One of the first things you’ll need to start a business there is a local bank account. We’re here to help with this, with a comprehensive guide on how to open a business bank account in Canada.

So read on for info on the process (including how it works for foreign-owned businesses), the documents you’ll need, any costs and a rundown of expat-friendly Canadian banks.

We’ll also show you an alternative way to manage business finances in Canada, with the powerful Wise Business multi-currency account.

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What kinds of corporate entities typically exist in Canada?

Canada supports several types of businesses, including:

• Sole proprietorships
• Partnerships
• Corporations
• Cooperatives.

Some business types are legally required to have their own separate business bank account, such as corporations. Even if it’s not mandatory - such as for sole proprietorships, for example - it’s still good practice to keep personal and business finances separate.

Can I open a business bank account in Canada as a foreign entity?

You can open a business bank account in Canada as a foreign entity, but it’s likely that you’ll need to register the company (or a subsidiary) in Canada first.

Most banks will ask for proof of registration, and they may also ask for ID documents issued in Canada (for example, a Canadian passport or birth certificate) as well as proof of address in Canada.¹

So, you may also need to have at least one director or signatory who is a citizen or at least a resident in Canada.

What’s the process for opening a business bank account in Canada?

Opening a business bank account in Canada is fairly straightforward, as in many cases you can at least start the process online. However, many banks will require you to visit a branch in person to verify your identity and activate your account. So, you’ll need to schedule in at least one visit in person if you’ve not yet moved to Canada.

You’ll just need to make sure you have your paperwork in order.

The required documents will vary depending on the company type, and on the bank. Sole proprietorships are only likely to need a few documents, such as valid photo ID, Social Insurance Number (SIN) or Business Number (BN) from the Canada Revenue Agency (CRA).

But for corporations and other entities, here’s what you’re likely to need:²

• Valid passports and government-issued IDs for all directors, owners and signatories on the account
• Proof of address for all directors, owners and signatories
• Proof of business address
• Certificate of Incorporation for the business
• Articles of Incorporation or other relevant company formation documents
• Business Number (BN) from the CRA
• Partnership agreements (if relevant)
• Board resolutions or minutes authorising the opening of the account
• Detailed business plans outlining the intentions and operations of the company
• Invoices and contracts demonstrating the operational presence of the business.

How long does it take to open a business bank account in Canada?

The time it takes to get your new Canadian business account up and running can vary, depending on the bank and on the complexity of your business.

Local businesses can have their accounts open in just a day or two, but for foreign-owned companies it can take much longer. You may even be waiting between 3-6 weeks for approval, verification and due diligence checks to be completed.²

Can I open an account in Canada as a non-resident?

You may struggle to open a business bank account in Canada if you’re not living there. This is because many banks ask for proof of address in Canada.

You may be able to contact the bank and find out whether it accepts applications from non-residents. And if so, what the requirements are and what documents you’ll need.

Can I open a business account in Canada online?

In most cases, you can start the process of applying for your business account online. This includes uploading your documents and providing all of the required details. But in order to comply with the country’s Know Your Customer (KYC) laws, most Canadian banks will ask you to visit the branch in person to verify your identity.

So, you can’t complete the process wholly online.

What bank should I open an account with?

There are lots of banks in Canada, but your best bet as a foreign applicant is one of its ‘big five’. These are:

• RBC Royal Bank (Royal Bank of Canada)
• TD Bank (Toronto-Dominion)
• Scotiabank
• BMO (Bank of Montreal)
• CIBC (Canadian Imperial Bank of Commerce)

RBC Royal Bank

One of Canada’s largest banks and one of the biggest in the world, RBC has a range of accounts and services for businesses. This includes digital-only accounts with a low monthly fee ideal for small businesses, along with full-featured chequing accounts for larger companies.

The bank also has a popular ‘Newcomers to Canada’ program, which extends to business owners and entrepreneurs too. This offers expat-friendly accounts and banking services, as well as dedicated support and advice as you start your business in Canada.

TD Bank

A multinational banking and financial services company based in Toronto, TD Bank operates throughout Canada - and in other countries including the US.

It offers dedicated accounts, cards, loans, insurance and other services for small businesses, as well as for larger companies.

Accounts range from basic, low-fee, low-frills current accounts, through to unlimited plans which offer higher limits and more services.

Scotiabank

Another of Canada’s major banks, also headquartered in Toronto, Scotiabank offers both personal and business banking.

For businesses, it has a choice of three current accounts - including a basic account and online account (both with low monthly fees) and a more comprehensive Select Account.

It also has credit cards, loans and leasing, credit lines, savings and many other services.

BMO

The Bank of Montreal (BMO) is one of the largest in North America, and is also one of Canada’s oldest banks. As well as personal banking products, it offers dedicated accounts and services for businesses.

In fact, it’s one of the most flexible options for businesses, as it offers a huge range of plans tailored to companies at different stages of growth. This includes an eBusiness Plan and a series of tiered Business Builder plans, each offering increased limits and more services.

There’s also a standard basic current account, options for community and non-profit organisations, and a choice of savings accounts.

CIBC

The Canadian Imperial Bank of Commerce (CIBC) offers personal as well as business banking, despite its name.

There’s a choice of business current accounts available, including basic and premium operating accounts. Each has a monthly fee, but this can be waived if you meet conditions (for example, maintaining a minimum daily balance).

CIBC also offers US dollar accounts for companies that trade with the US, savings accounts and not-for-profit solutions, along with a range of other business banking services.

Banking fees and charges in Canada

Anywhere you open a bank account, you can expect it to come with a long list of fees. Canada is no exception, but the fees its banks charge tend to be pretty standard.

You can expect monthly or annual maintenance fees, as well as debit fees, ATM withdrawal charges, and fees for depositing cash.

If you’re planning to transfer money abroad from Canada, you may also want to look out for foreign transfer fees. Sometimes these aren’t too expensive, such as at RBC where outgoing international transfers start at $15 CAD.³ But these fees can sometimes be quite large, such as at TD Bank where you’ll pay a whopping $50 CAD per outgoing international payment.⁴

Unfortunately, these fees also go the other way, and you will likely be charged for incoming international SWIFT transfers into your Canadian bank account as well. For example, at TD Bank, you’ll pay $17.50 CAD every time an international transfer lands in your account.⁴ This can make it extremely expensive to run any kind of globally operating business.

So if you’re frequently transferring money between countries, using an alternative such as Wise Business is likely the easiest and most cost-effective solution to avoid some of those painful international fees. By splitting your payments into a series of local transactions instead of a single international transfer, you’ll save on fees - and Wise always exchanges your money using mid-market exchange rates (meaning that, unlike with regular bank transfers, there’s no hidden markup on the currency conversion rate).

Discover the Wise Business account

Banks aren’t the only way to manage your business finances in Canada.

If you’re looking for a flexible and quick-to-open alternative, check out Wise Business. It's specially designed to cut the cost of international payments, and you can manage business finances in 40+ currencies including Canadian dollars (CAD) and GBP.

Cover expenses with Wise Business debit cards, make easy batch payments to employees worldwide, and integrate with business tools for easier accounting.

You can even earn a return on the money you hold in certain balances your multi-currency account with Wise Interest. Investments can fluctuate, and your capital is at risk. Interest is offered by Wise Assets UK Ltd, a subsidiary of Wise Payments Ltd. Wise Assets UK Ltd is authorised and regulated by the Financial Conduct Authority with registration number 839689. When facilitating access to Wise investment products, Wise Payments Ltd acts as an Introducer Appointed Representative of Wise Assets UK Ltd. Please be aware that we do not offer investment advice, and you may be liable for taxes on any earnings. If you're uncertain, we urge you to seek professional advice. To find out more about the Funds, visit our website.

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*Disclaimer: The UK Wise Business pricing structure is changing with effect from 26/11/2025 date. Receiving money, direct debits and getting paid features are not available with the Essential Plan which you can open for free. Pay a one-time set up fee of £50 to unlock Advanced features including account details to receive payments in 22+ currencies or 8+ currencies for non-swift payments. You’ll also get access to our invoice generating tool, payment links, QuickPay QR codes and the ability to set up direct debits all within one account. Please check our website for the latest pricing information.

Sources used:

1. TD Bank - Open a Small Business Bank Account
2. Commenda - How to Open a Business Bank Account in Canada as a Foreigner
3. RBC - Business accounts and services - Standard fees and charges
4. TD Bank - Small Business Accounts Service Plans and related products

Sources last checked on date: 09-Sep-2025