Frequently Asked Questions
Welcome to our FAQ page, where you can find answers to the most common questions about our services. We’re here to help you better understand Lexstart and make launching a business clearer and more accessible.
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FAQ
Answers to your frequently asked questions.
The shareholders' agreement is a private and confidential document. It is not filed with the REQ and is not publicly accessible, unlike the articles of incorporation which are public. It remains between the shareholders and the corporation.
Yes. A corporation is a separate legal entity and must maintain its own bank account. Mixing personal and corporate funds can undermine the legal protection offered by incorporation.
Corporate transparency rules require, where applicable, the disclosure of ultimate beneficiaries, meaning individuals who exercise significant control over the corporation. This requirement aims to increase transparency of corporate structures in Quebec.
Yes, but the Privacy Policy must specify with whom the data is shared and for what purpose. Partners must also comply with applicable data protection requirements.
The address provided is located in Old Montreal, a professional legal address recognized by government registries, banks, and business partners. This address can be used immediately after subscribing for articles, REQ filings, Google Business Profile, and all administrative procedures.
Yes, it is generally possible to regularize. The sooner you act, the simpler it is. If the corporation has not yet been cancelled, you can file missing declarations and pay applicable fees to restore compliant status. If already cancelled, a reinstatement procedure is required. The Lexstart team can assess your situation and guide you.
No. The annual update confirms or updates information filed in the public registry. Any change to the corporation's articles, such as a name change or share structure modification, requires a separate formal amendment process handled by Barricad Avocats.
An amendment to the articles is required when changes affect the corporation's foundational elements: name change, modification of share structure, addition or removal of share classes, amalgamation, or continuation. These changes cannot be made through a simple annual update and require the intervention of Barricad Avocats.
Yes. The Quebec enterprise registrar publishes certain corporate information, including directors' names and addresses. Following transparency reforms, ultimate beneficiaries must also be declared. Understanding this level of disclosure is important before incorporating.
Yes. The Lexstart team can assist you in both French and English. The platform and documents are available in both official languages.
An employment contract is a legal agreement between an employer and an employee that defines the terms and conditions of employment. It outlines the role, compensation, work schedule, obligations, and termination conditions.
The template is designed for entrepreneurs, freelancers, e-commerce businesses, and SMEs that sell products or services and want to structure their sales professionally.
Yes. Even when shareholders serve as directors, the agreement remains essential to regulate share transfers, exit mechanisms, and protections in case of strategic disagreements.
Tax registration depends on your revenue level and business activities. Once the small supplier threshold is exceeded, registration becomes mandatory. Even below the threshold, voluntary registration may be strategically beneficial depending on your business model.
Contract templates are delivered immediately after purchase and are non-refundable once downloaded, as the service has been rendered. For incorporations, if the file has not yet been submitted to the government registry, a refund request may be considered. Government fees already paid to the authorities are never refundable. Full details are specified in Lexstart's General Terms of Sale.
Reactivation generally requires filing outstanding declarations, paying applicable fees and submitting a formal reinstatement request to the REQ. The faster the intervention, the simpler the process and the lower the legal and banking impact.
General Terms of Sale help secure your commercial transactions, clarify the rules applicable to your customers, and reduce the risk of disputes.
No. Following the implementation of Law 25 in Quebec, the Privacy Policy is a separate document from the Terms of Use. Both must be published separately: Terms of Use to govern service use, Privacy Policy to govern personal data management. Lexstart offers both as separate products.
Incorporation creates a legal entity separate from you personally. The corporation can sign contracts, own assets, hire employees, and open bank accounts. It becomes relevant when you aim to structure long-term growth, limit commercial liability, and build a transferable or sellable business. It also allows proper share structuring and strengthens credibility with banks and suppliers.
The minute book is the corporation's official internal record. It contains the articles, resolutions of directors and shareholders, share certificates, and mandatory registers. In Quebec and federally, it is legally required. Although many entrepreneurs overlook it, failing to maintain one can create significant legal and tax issues.
A service agreement is a legal contract that governs the relationship between a service provider and their client. It specifies the services offered, the parties' obligations, payment terms, liability, and termination conditions. It is an essential safeguard to prevent misunderstandings and secure the business relationship.
It typically includes the position, job description, salary, benefits, work schedule, vacation, confidentiality, intellectual property, and termination conditions.
Yes. As long as the corporation has not been formally dissolved, it must file its annual update, even if it generated no revenue or conducted no business. The obligation relates to maintaining registration and legal compliance.
The Lexstart team can initiate a direct referral to Barricad Fiscalistes based on your situation. You can also contact Barricad Fiscalistes directly through their website to schedule a consultation. Your corporation's information already documented at Lexstart facilitates rapid file handling.
Ideally from the moment of incorporation. A CPA accountant can help you determine whether to register for GST/QST immediately, how to structure your compensation, which expenses are deductible, and how to file your first corporate tax return. The earlier you work with an accountant, the more costly mistakes you avoid.
The corporation first accumulates late fees. Its status in the public registry becomes non-compliant, which can affect credibility with banks, partners and investors. If the default persists, the REQ may administratively cancel the corporation. It then loses its active legal status and can no longer legally operate under that name until reinstated.
Ideally on the same day or in the days immediately following incorporation. Once the corporation is established and shares are issued, getting signatures becomes harder because shareholders already hold rights. Many entrepreneurs postpone this step and find themselves in difficulty when a disagreement arises. It should be treated as a step concurrent with incorporation.
An up-to-date minute book includes the articles of incorporation, all amendments, annual resolutions of directors and shareholders, share registers, issued certificates, and ultimate beneficiary declarations. It must accurately reflect the corporation's current legal situation.
Yes. In a 50/50 structure, a shareholders' agreement is especially important to establish deadlock resolution mechanisms in case of major disagreements.
Processing time depends on the complexity of the file and REQ timelines. Once the required information is confirmed, the filing is completed within applicable deadlines to maintain compliant corporate status.
The template includes: right of first refusal (obligation to offer shares to existing shareholders before selling to a third party), buy-sell mechanism for death or disability with a valuation method, non-competition and non-solicitation clauses, governance and decision-making rules, share transfer restrictions, and deadlock resolution mechanisms for 50/50 structures.
Yes, but these clauses must meet strict criteria to be valid in Quebec: reasonable duration, territory, and scope. Proper drafting is essential to ensure enforceability. For sensitive situations (technology, trade secrets), Barricad Avocats can assist with custom drafting.
Yes. The clause should specify how long data is retained and how it is secured or deleted at the end of that period.
The shareholders' register officially records share ownership, issuances, and transfers. It serves as critical legal evidence during audits. Proper maintenance of this register is a fundamental corporate obligation.
Yes. The Lexstart team validates all information before proceeding with the filing. If anything is ambiguous or incomplete, we contact you directly to clarify. It is not a fully automated system: a qualified person reviews every file before filing.
Even though a verbal agreement can be valid, a written contract helps clarify expectations and reduce the risk of disputes. It serves as proof in case of disagreement and clearly defines the scope of services, timelines, and compensation.
Lexstart applies security measures compliant with Law 25: encryption of transmitted data, restricted access to information by authorized team members, and secure file retention. You can exercise your rights of access, correction, or withdrawal of consent by contacting the team directly.
A probation period allows the employer to evaluate whether the employee is a good fit for the role and the company. It provides greater flexibility in case of termination during the first months.
Ideally before starting any service. Having the contract signed in advance ensures the collaboration begins on clear and professional terms, and prevents misunderstandings about scope, timelines, and compensation.
They are not always mandatory, but they are strongly recommended. They become essential as soon as you sell online or want to clearly define your sales conditions.
The annual update is the mandatory yearly confirmation of corporate information. A current update must be filed whenever a change occurs during the year, such as a change of address, director, or business activity. Both filings ensure that the public record remains accurate with the REQ.
They generally include pricing, payment terms, delivery timelines, refund policies, warranties, liability, and cancellation terms.
Lexstart does not directly handle bank account openings, but refers clients to the National Bank of Canada (BNC), a banking partner with streamlined processes for Lexstart clients that is familiar with the platform's documents.
Customization is recommended if you operate a marketplace, an app, a SaaS product, or if your platform involves complex features or specific regulatory requirements. A legal mandate can be opened with Barricad Avocats.
Yes. A standard confidentiality clause is included in the template. It governs the protection of information exchanged in the context of the service. If your mandate involves particularly sensitive data (source code, client data, financial information), an enhanced clause or separate NDA may be appropriate.
The Lexstart agreement is a standard model covering the most common corporate situations. A customized agreement from Barricad Avocats is tailored to the company's specific tax, financial, and strategic context, particularly when investors, complex preferred shares, or advanced estate planning are involved.
Terms of Use govern how the site or service is used: access rules, permitted behaviors, responsibilities. The Privacy Policy explains how users' personal data is collected, used, and protected. Both are distinct and complementary documents.
Yes. Law 25 applies to any organization in Quebec that collects personal information, regardless of size. A self-employed person with a website collecting emails is affected. Obligations include: designating a privacy officer, publishing an accessible Privacy Policy, obtaining consent for non-essential data, reporting incidents to the Commission d'accès à l'information (CAI), and responding to access requests.
The annual update is a mandatory filing confirming the corporation's public registry information. It keeps the company in good standing and prevents administrative cancellation, even if the company has no activity.
A shareholders' agreement is a legal contract between shareholders defining their rights, obligations, and protection mechanisms. It complements the articles of incorporation and establishes clear rules regarding governance and share transfers.
Yes, and it is strongly recommended if the employee creates content, code, designs, or any other material as part of their duties. Without an explicit clause, ownership of these creations can be ambiguous. The IP assignment clause ensures everything the employee creates in the scope of their work belongs to the corporation. The Lexstart template includes this optional clause.
Yes. A limitation of liability clause can be included to manage the financial risks related to your services, within the limits permitted by law.
Yes. It is strongly recommended that customers can review and accept the General Terms of Sale before completing a purchase so they are legally enforceable. Active acceptance (checkbox or I agree button) is necessary for important clauses.
If you have a commercial lease in your corporation's name, using that address as the registered office is perfectly valid. Domiciliation is most useful for entrepreneurs who work from home, do not yet have a fixed office, or want a prestigious address in Old Montreal to strengthen their image.
It includes the types of personal information collected, the purposes of collection, how data is stored and protected, sharing practices, the rights of individuals, and procedures for correcting or deleting data.
They generally include site access conditions, usage rules, intellectual property, limitation of liability, user accounts, and suspension or termination terms.
Yes. A shareholders' agreement can be amended with the consent of the parties according to its terms. Any amendment should be formally documented to maintain legal consistency with the corporate structure.
Lexstart is built entirely for the Quebec legal framework: civil law, QBCA, REQ, Law 25. As Barricad Avocats' own platform, every file is reviewed by real lawyers before filing. It is the unique combination of an accessible online platform and the rigour of a Quebec law firm.
Lexstart provides incorporation and annual REQ compliance solutions. For detailed and structured minute book updates, particularly in complex situations, specialized legal assistance through Barricad Avocats is recommended to ensure full compliance.
You can contact the team by email or via the contact form on the website. For an ongoing file, the most efficient method is to reply directly to the confirmation email received when placing your order, this allows the team to instantly identify your file.
Yes. They allow you to include clauses covering late payments, interest, service suspension, and collection fees.
Yes. Certain clauses vary depending on the nature of the business, especially regarding delivery, returns, warranties, and service performance. The Lexstart template is structured to cover most common situations but may require adjustments based on your activity. Barricad Avocats can assist with this adaptation.
The Terms of Use apply to anyone who browses lexstart.ca or uses Lexstart's services. By using the platform, the user accepts the conditions described in this document. It is recommended to read them before submitting an order.
This is a fundamental and often misunderstood distinction. An employment contract creates a subordination relationship: the employee works under the employer's direction, on their schedule, with their tools. A service contract is made with a self-employed person or company that maintains independence in how the work is performed. The distinction has major tax implications: the employer withholds source deductions for an employee, not for a contractor. If the relationship resembles employment but is structured as a service contract, tax authorities may reclassify it.
Lexstart is the online legal platform of Barricad Avocats. It allows Quebec entrepreneurs to incorporate and structure their business at a fixed price, without in-person meetings. We handle provincial (QBCA) and federal (CBCA) incorporation, annual REQ updates, and offer ready-to-use contract templates. Behind the platform, a real team of lawyers reviews every file.
After your order, you receive a confirmation email with your file summary. The Lexstart team takes over, validates the information, and proceeds with filing at the appropriate registry. You will be contacted if clarifications are needed. Average timelines are specified in the confirmation email.
No. The articles define the corporation's legal structure, while the shareholders' agreement governs the contractual relationship between shareholders. Both documents serve distinct and complementary purposes.
Lexstart offers contract templates prepared and validated by lawyers: shareholders' agreement, employment contract, service contract, T&C, GTS, and PIPP. These templates provide a solid legal foundation, ready to use as-is. No customization is performed on the platform. For a contract fully tailored to a specific situation, Barricad Avocats handles custom drafting.
No. Your accountant files the corporate income tax return (T2) and may update certain registry information, but they generally do not update the minute book. Corporate resolutions, share issuances, and transfers must be documented separately. The minute book is a distinct corporate responsibility.
Failing to file the annual REQ update can result in the company being struck off by Quebec authorities. A struck-off corporation loses its legal personality, which can have significant consequences on its contracts, bank accounts, and the personal liability of its directors. The Lexstart compliance subscription helps avoid this situation by ensuring annual obligations are met.
General Terms and Conditions of Sale are a legal document governing the sale of products or services. They define pricing, payment terms, delivery, warranties, and refund conditions.
Barricad Avocats supports entrepreneurs and SMEs in business law: drafting and reviewing shareholders' agreements, corporate restructurings, business purchase or sale transactions, custom commercial contracts, corporate governance, and legal structures tailored to growth. The team consists of lawyers who are members of the Quebec Bar.
Yes. A federally incorporated company must register in Quebec as soon as it carries on business there. This registration provides a Quebec enterprise number (NEQ) and makes the corporation publicly listed in the provincial registry. It is a separate obligation from federal incorporation.
The simple model includes two share classes: Class A shares with voting rights and an optional Class B without voting rights. This is sufficient for most entrepreneurs starting alone or with one partner. The advanced model includes up to 21 share classes with distinct rights (dividends, voting, liquidation). This is relevant if you plan to bring in investors, optimize dividend splitting between shareholders, or structure participation for key employees.
The annual update subscription covers preparation and filing of your REQ update, associated provincial and federal corporate filings, and simple annual resolutions. Each year, the team contacts you to validate information, integrates necessary changes, and files within required deadlines. It is a way to never miss this obligation without having to think about it.
You purchase your services on Lexstart (incorporation, shareholders' agreement, contract, etc.), then open your corporate account at National Bank within 3 months of your Lexstart order. The $350 refund is deposited directly into your BNC account no later than 2 months after account opening. To qualify, you must maintain the selected BNC products and services for a minimum of 24 months. The offer is not retroactive and cannot be combined with other BNC promotions.Lexstart will refer you
Contract templates (shareholders' agreement, service contract, employment contract, T&C, GTS, PIPP) are standalone products sold separately, available directly through the platform. Some are a natural complement after incorporation, particularly the shareholders' agreement for corporations with multiple partners.
The template is designed for Quebec SMEs and entrepreneurs who want to hire their first employees or structure their team with a clear and professional legal framework, compliant with Quebec's Act Respecting Labour Standards.
Lexstart collaborates with a specialized registered office partner, allowing entrepreneurs to use a professional address as their corporation's head office. This prevents personal addresses from appearing in public records. In Quebec, certain corporate information is publicly accessible, so using a registered office service enhances privacy while strengthening the company's professional image.
The template covers common use cases for a website or online service. For a SaaS or mobile app, additional clauses may be needed: acceptable use policy, service levels, B2B data confidentiality, and account access and termination rights. For a SaaS with enterprise clients, custom drafting through Barricad Avocats is recommended.
No. You are free to choose any financial institution. If you choose BNC, you benefit from the simplified process and the $350 refund. If you prefer another institution, Lexstart documents are recognized by all Canadian banks.
They can request access to their data, correction, deletion, and in some cases, object to processing or withdraw consent. These rights must be described in the Privacy Policy along with how to exercise them.
No. Electronic signatures are generally valid in Quebec, allowing agreements to be concluded quickly and remotely.
Although a corporation is a separate legal entity, directors may be personally liable in specific situations, such as unpaid payroll deductions, employee wages, or certain tax obligations. Diligent and compliant management significantly reduces these risks.
Essential clauses typically include right of first refusal, share transfer restrictions, buy-sell mechanisms for death or disability, governance rules, non-compete provisions, and dispute resolution mechanisms.
The Lexstart team generally responds within one business day. For urgent matters or questions about a file pending filing, responses are prioritized.
Yes. Lexstart supports the corporation in its annual compliance through the REQ update. For next steps, opening a bank account, choosing an accountant, protecting intellectual property, Lexstart refers to its specialized partners based on your needs.
Yes. Law 25 requires that it be easily accessible to anyone whose personal information you collect. It must be published on the company website in a visible and permanent manner.
Yes. Law 25 requires that individuals be informed about the types of information collected, the purposes, and their rights regarding their personal data. This information must be accessible and clearly written.
Yes. A significant portion of the information filed with the Quebec enterprise registrar is publicly accessible, including the head office address and the names of directors. It is important to keep this information accurate and up to date.
The template includes a refund policy section you customize according to your conditions (acceptable timeframe, product or service condition, exclusions). This section is often the primary source of client disputes and must be drafted with precision. The template also covers cancellation conditions before delivery and force majeure cases.
The template is designed for SMEs, startups, and entrepreneurs who collect or process personal information in Quebec and want to comply with Law 25.
Although the law governs many aspects of the employment relationship, a written contract helps clarify expectations, reduce the risk of disputes, and address elements not automatically covered by law.
Yes. General Terms of Sale typically include limitation of liability clauses within the limits permitted by law.
Yes. The address can be used immediately after subscribing, whether in the articles of incorporation, the Lexstart incorporation form, or for REQ filings. A 48-business-hour activation period applies for full setup of the client portal and operational mail management.
Terms of Use help protect your business by setting the rules for using your platform, limiting your liability, and regulating user behavior.
An incomplete minute book can create problems during a tax audit, business sale, banking review, or shareholder dispute. It may also weaken limited liability protection if corporate governance requirements are not respected.
Because entrepreneurs need predictability. When launching a business, you do not want a bad surprise on your legal bill. The fixed price covers the entire service from form submission to document delivery. The only variable costs are government fees set by law and imposed by the REQ or Corporations Canada.
Dissolution requires settling all debts, filing final tax returns, and closing government accounts. Once completed, articles of dissolution must be filed with the appropriate registry. Professional accounting guidance is strongly recommended to ensure compliant closure.
Yes. Amending the articles involves formal shareholder or director resolutions, legal analysis of the current structure, and a specific filing with the registry. It directly affects the corporation's legal structure. Barricad Avocats handles these procedures to ensure full compliance.
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