Are you thinking about starting a business in Toronto? Sounds like a great idea, especially in Toronto, one of Canada’s top cities for entrepreneurs. The strong economy and friendly neighborhoods give you the best business opportunities. You’ll need to handle licensing, permitting, and inspections to legally open your business.
You need to follow proper steps as part of the starter process. Don’t forget to register your business with the provincial government (Ontario). It is a part of the legal structure you are using with a business. It is also important in the calculation of your taxes.
How to Start a Business in Toronto: Step by Step
Follow these steps to launch a successful business in Toronto:
It is important to conduct market research before investing your money and time. which is important to understand your potential customers. That demand for your product and service.
- Start by understanding market demand and writing down your vision. A solid business plan maps out where you’re headed and how you’ll get there.
Your Business Plan includes.
- Executive summary
- Company description
- Market analysis (based on your research).
- Organizational structure
- Product or service offering
- Marketing & sales strategy
- Financial projections
- Funding request (if applicable)
- Then you need to create a market plan. Having a great product or service is not enough for your business. Your business needs visibility. Your plan outlines how you are going to promote your offers and reach the target audience.
- Then you need to choose your business structure. It affects your liability and tax obligations. According to the business structure in Canada, it can be a sole proprietorship, a partnership, or a corporation.
- After deciding on your business structure, it’s time to register your business. You must register your business name in Toronto under your name. It can be done through a business registry or in person at the small business enterprise centre.
- It is important to secure your financing. You can secure financing from traditional banks, private lenders, or government-supported programs.
- Now you have to choose your business location before signing a lease or buying a property. Choosing the right location and zoning regulations can save you from costly headaches. For details, visit your nearest Toronto Building Customer Service counter.
- Now it’s the right time to apply for a business license. The business license depends on what kind of business you are opening. In Toronto, many businesses require a Municipal licence issued by the Municipal Licensing and Standards Division.
- It’s important to understand your tax requirements when starting a business in Canada. CRA is your main point of contact.
For more help on registering and getting started, check out Bestax Canada. Offer great tips, guides, and support for small businesses.
Comparison Table: Toronto Business Ideas (2026)
Here are business ideas that thrive in Toronto and why, plus estimated startup costs:
| Business Idea | Why It’s Good in Toronto | Start-Up Cost |
|---|---|---|
| Food Delivery / Cloud Kitchen | Toronto loves food! Low rent, high demand | Low–Medium |
| Cleaning Services | Homes and offices always need cleaning | Low |
| Pet Care / Grooming | Toronto is full of pet owners | Low–Medium |
| Eco-Friendly Goods | Many choose green, sustainable products | Low |
| Wellness & Fitness Services | Health is growing—yoga, massage, therapy | Medium |
| Tech Startup | Great for AI, fintech, and innovation | Medium–High |
| Home-Based / Online Business | Work from home and sell online | Very Low |
| Landscaping / Gardening | Houses with yards = demand for green services | Low–Medium |
Ideas for the best business to start in Toronto
Here are the best business ideas that work well in Toronto, including
1. Delivery Services Business
Delivery is a fast and flexible business to start.. Delivery right to the people. Delivery service includes collecting, transporting, and delivering goods from one location to another. The delivery person needs to pick up the items from a designated location. Then they need to deliver it safely to its destination point.
Especially nowadays, delivery services have become a favourite and popular choice for businesses. It is a cost-effective solution for shipping methods. Most often, companies use GPS tracking and logistics monitoring to ensure that the goods are received quickly without any delay.
Many of the delivery businesses also add additional value to their services. for example, root planning, updated notifications, and a contact list pick-up option. Advancement Technologies are putting Great Value in this business. What is the most demanding supply chain requirement across many popular industries?
How to start delivery services
Starting a delivery service in Toronto can be a rewarding experience. And an opportunity for growth and financial stability across many industries.
- First, you should research the market and find target customers. Find out how you stand out from competitors after analysing the market. You need to develop ideas. Then the next step is to get a license, permit, and insurance.
- Making a business plan is important. You should highlight the pricing and services. Having secure transportation is also crucial. As an entrepreneur, you can buy your vehicle or use a third-party courier service.
- Having good networking with clients is important for growth.
- Finally, you can generate interest through advertising and marketing. The online advertisement boosts the visibility of the delivery service in Toronto and generates organic customer engagement.
2. Cleaning Services
Cleaning is always needed, either at home or in offices. Many people are willing to pay others to do it for them. It is an easy service to start. It gives you an opportunity as a potential business owner. You can start your business from home, cleaning, window cleaning, office cleaning, and air duct cleaning. It is a simple service. You can easily do so by hiring cleaners and gaining new recurring contracts.
How to start
You need to follow these steps when starting a commercial cleaning service business in Toronto.
- First, you need to decide on the type of clinic service. Either an office, a home, or a construction.
- Find out and consider what kind of equipment and supplies you need for your business.
- Like many local businesses, you may also have one certified Clean Master on staff. But it is not mandatory by law.
- Additionally, the City of Toronto benefits from specific mandatory training for those seeking to run certain businesses, such as healthcare or restaurants.
- It’s important to familiarise yourself with these laws before getting started.
- Finally, be sure to consider the market competition within your city, research other locally owned cleaning operations, and set up flexible payment terms that favorably compete with both large and small corporate operations.
3. Pet Care & Grooming
There is also a lot of demand from pet care lovers. For example, groom pets, and you can also offer pet daycare. It is a unique business, especially for those who love animals. The services are for bed sitting and dog walking. The business provides services such as animal care, companionship, house sitting, dog boarding, or drop-off transportation.
The services as a dog walker include cleaning up yards and scooping. You can also manage our services with flexible hours. Moreover, having a successful pet sitting can be extremely rewarding.
4. Affiliate Marketing
You can start a passive income without creating your own product. which is one of the smartest ways to do it. Companies pay you to promote their product. Affiliate marketing is an online service. You get paid for leads and sales. Through sharing unique referrals or codes on your website blocks and social media. You get a commission every time someone buys through a link.
Through your blogs, your social media, your website, and online communities, you can promote affiliate products.
How to Get Started:
- Sign up for an affiliate program on sites like ShareASale, CJ, or LinkShare.
- Pick products or services you want to promote.
- Get a unique affiliate link.
- Share it in your content.
- Earn a commission on every sale
5. Landscaping & Home Services
One of the popular businesses in sub-areas is gardening and home improvement. In the landscape business, services are related to landscaping. including gardening and groundkeeping. More offers design and installation services as ongoing maintenance of the ground. The services include everything from planting trees, weeding, aerating soils, and laying grass seeds to many other kinds of gardening tasks.
You may need permits if your work involves pesticides, tree removal, or major construction, but most landscaping and lawn care businesses don’t require a special license. However, property owners increase the value of properties with aesthetic improvements. The business provides a great value service for clients who care about having an attractive outdoor look. They keep the natural beauty well-preserved in this process.
6. Real Estate
For real estate, the Canadian market is massive. Yes, it can feel expensive for people buying homes; however, that’s exactly why it’s such a strong business. If you work as a real estate agent, manage rental properties, or even invest in condos and houses, there’s big potential to earn.
Even though the housing market has cooled a little. There are still many chances to grow. Real estate businesses in Toronto can be profitable, especially in property management and investment, though profit margins vary depending on the model.
This makes real estate a great choice for agents, property managers, mortgage brokers, and investors who know the local market well.
Where to Get Help and Money
- Starter Company Plus Grant offers $5,000, training, and advice to eligible Toronto entrepreneurs.
- Check the City of Toronto website for business grants and loan options.
- Government Help: The Futurpreneur offers free advice, loans, and support up to $15,000.
Want to Launch Your Dream Business in Toronto?
Are you looking to start your business in Toronto with an exciting and feasible idea? From low-cost ideas to tech startups, there are many options. Visit Bestax Canada for expert guidance and easy, friendly, and all-Canadian style.
You will get step-by-step information about the registration, plan, and funding for the best business to start in Toronto
Quick FAQs
Q: Can I start a business in Toronto with low capital?
Yes, you can start a business in Toronto with ideas like cleaning, pet care, or online ventures that can begin with very little cash.
Q: Are home-based businesses profitable in Toronto?
Yes Absolutely. Home-based businesses, like those from crafts to online services and low-cost and highly flexible.
Q: How do I test if a business idea will work?
Start with a simple pilot, test your idea on social media, ask friends, or do a garage sale.
Q: Do I need a licence to start?
For many services, yes. To need a license for business. Check with the City of Toronto’s business website for exact rules. City of Toronto, Ontario Business Grants
Disclaimer: The information provided in this blog is for general informational purposes only. For professional assistance and advice, please contact experts.
