Do I Need Canadian Directors in My Ontario Corporation?


When establishing a corporation in Ontario, Canada, one of the critical decisions to consider is the composition of your board of directors. Specifically, if your corporation is foreign-owned or headquartered outside of Canada, you may wonder whether it is necessary to appoint Canadian directors. In this blog post, we will explore the requirements for directorship in an Ontario corporation, including the need for Canadian directors, and provide insights into how Falcon Law PC can assist you with this process. For expert legal guidance on corporate matters, please contact Falcon Law PC at 1-877-892-7778 or via email at

Directorship in an Ontario Corporation

Directors play a pivotal role in the governance and decision-making of a corporation. They are responsible for overseeing the company’s operations, making strategic decisions, and ensuring compliance with laws and regulations. In Ontario, the Business Corporations Act (OBCA) governs corporate directorship and outlines the requirements for director eligibility.

Do You Need Canadian Directors?

The OBCA does not mandate that a corporation must have Canadian directors. It is possible for a foreign-owned corporation to operate in Ontario without appointing Canadian residents as directors. However, there are essential considerations to keep in mind:

  1. Resident Canadian Agent: While Canadian residency for directors is not required, foreign corporations are typically required to designate a Canadian resident or a corporation with a registered office in Ontario as their agent for service of process. This agent is responsible for receiving legal documents on behalf of the corporation.
  2. Tax Implications: Appointing Canadian directors or having a significant presence in Canada may impact the corporation’s tax obligations, including federal and provincial taxes. Seeking advice from a tax professional is advisable.
  3. Practical Considerations: Having Canadian directors can offer practical advantages, such as a deeper understanding of local markets, networks, and business practices.
  4. Legal and Regulatory Compliance: Regardless of the composition of your board, it is crucial to ensure that your corporation complies with all relevant laws, including corporate, tax, and immigration regulations.

How Falcon Law PC Can Assist You

Navigating the complexities of corporate directorship in Ontario, especially for foreign-owned corporations, can be challenging. Falcon Law PC can provide valuable assistance:

  1. Legal Expertise: Our team of experienced corporate lawyers can guide you through the directorship requirements in Ontario, ensuring compliance with the OBCA and other relevant regulations.
  2. Canadian Resident Agents: We can assist in designating a Canadian resident or corporation as your agent for service of process, meeting a crucial requirement for foreign corporations.
  3. Tax and Compliance Advice: We offer insights into the tax implications and compliance requirements associated with your corporation’s structure and directorship choices.
  4. Strategic Guidance: We provide strategic advice to help you make informed decisions about the composition of your board of directors and corporate governance.
  5. Documentation: We can assist in drafting the necessary documents and agreements related to directorship, ensuring that they align with your business objectives.


While it is not mandatory to have Canadian directors in your Ontario corporation, there are practical and legal considerations to take into account. Appointing Canadian directors or designating a Canadian resident agent can offer advantages in terms of local knowledge and compliance. Falcon Law PC is here to provide you with expert legal guidance on directorship requirements, ensuring that your Ontario corporation operates smoothly and in compliance with all relevant laws and regulations. For personalized legal assistance on corporate matters, please contact Falcon Law PC at 1-877-892-7778 or via email at

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