Disagree. As a Canadian entrepreneur and someone who has previously worked as a sole proprietor for many years you should absolutely consider incorporation.
If you are a sole entrepreneur looking to go with a Canadan Controlled Private Corporation you should NOT pay a lawyer to get your business set up. Do your research, choose the jurisdiction that fits you best and get to it. It's dead simple and once you've determined the correct steps you can easily accomplish what need in a matter of days, or less.
Secondly, if you are paying $2k+ for your first fiscal year (let's assume that the company has not broken even) then you are being ripped off, plain and simple. You do not need audited accounts at this time. I paid roughly $450-550 annually for the first couple of years for the services of a very competent firm who I would refer in a heartbeat.
Being a sole proprietor is simple, both from the tax and setup perspectives however it is not without some drawbacks. The tax rate is much higher than that of a corporation and you will be doing business as yourself. This has far reaching legal ramifications if you want to accept money from people you don't know (online sales for your SaaS, for example) and many things that you will need to get to this stage are going to require a registered business at the very least. There are also some avenues that will be inaccessible to you because of your sole proprietor status (certain grants, tax credits, etc.) and you will constantly be fighting the little guy image.
The moral of the story is, if you ever want your business to move "beyond yourself", you should seriously consider incorporating.
If you are a sole entrepreneur looking to go with a Canadan Controlled Private Corporation you should NOT pay a lawyer to get your business set up. Do your research, choose the jurisdiction that fits you best and get to it. It's dead simple and once you've determined the correct steps you can easily accomplish what need in a matter of days, or less.
Secondly, if you are paying $2k+ for your first fiscal year (let's assume that the company has not broken even) then you are being ripped off, plain and simple. You do not need audited accounts at this time. I paid roughly $450-550 annually for the first couple of years for the services of a very competent firm who I would refer in a heartbeat.
Being a sole proprietor is simple, both from the tax and setup perspectives however it is not without some drawbacks. The tax rate is much higher than that of a corporation and you will be doing business as yourself. This has far reaching legal ramifications if you want to accept money from people you don't know (online sales for your SaaS, for example) and many things that you will need to get to this stage are going to require a registered business at the very least. There are also some avenues that will be inaccessible to you because of your sole proprietor status (certain grants, tax credits, etc.) and you will constantly be fighting the little guy image.
The moral of the story is, if you ever want your business to move "beyond yourself", you should seriously consider incorporating.