A sole proprietorship is the most basic form of a business organization.
A sole proprietor is an individual who carries on a business by him or herself.
They can carry on business under their own name or under a trade name;
However, any trade name that a sole proprietor wishes to use must be registered in accourdance with the business names act. Regardless of what name is used a sole proprietor will be personally responsible for any liabilities of the business.

2. What is a partnership?

For legal purposes a partnership is a relationship between two or more people carrying on a business in common with a view towards profit. Partnerships are governed by the partnerships act. As with a
sole-proprietorship a partnership may conduct business under the names of the partners, or may use a trade name if that name is registered by them pursuant to the business names act. Again as with a sole proprietorship partners are personally responsible for the liabilities of the partnership.

3. What is a limited partnership and how is it different from a partnership?

A limited partnership is a form of partnership where there's at least one general partner, and at least one limited partner. The general partner or partners have unlimited liability for the debts and obligations of the partnership, the limited partner may enjoy limited liability for the debts and obligations of the partnership but will also have limited control over the business of the partnership. A Limited partnership is governed by the limited partnership act and must be registered under that act.

4. What is a business corporation?

A business corporation is an organization which is created by law to be a separate legal person or entity.  A business corporation has its own existence, and rights and duties which are separate from those of the individual shareholders of the corporation. It can own and acquire property and has obligations separate from the individual shareholders. The shareholders of the corporation are separate from the corporation and as such are not liable for the liabilities of the corporation. Also the corporation is not liable for the obligations of the individuals. At the same time it's important to remember that the assets of the corporation are not the assets of the shareholders.

5. How do I incorporate a business?

Ontario business corporations are governed by the Ontario business corporations act. This act governs the structure and functioning of business corporations. It requires that any Ontario business corporation must be properly incorporated and registered. Al Ontario business corporations must have at least one shareholder and at least on director. The act governs such issues as the roles of officers, directors and shareholders and outlines the reporting and record keeping requirements of the corporation. If the corporation wishes to operate under a name other than its official name the corporation must register that name pursuant to the business names act.