# EQ Bank Business Account for a sole proprietor — what it needs (verified 24 Oct 2026)

## The order of operations matters
EQ Bank **does not accept unregistered sole proprietors**. Their own business page lists what they
support and flatly excludes the rest:

> "We do not currently support trusts, partnerships, charities, not-for-profit businesses,
> **unregistered sole proprietors**, or businesses owned by another business."

So there are two separate registrations, in this order:

1. **Ontario business name registration** — Ontario Business Registry, **$60**, valid **5 years**
   (renew within 6 months before / 60 days after expiry; same $60). Ontario.ca "Register your
   business online": Sole Proprietorship – $60. Registration is required under the Business Names Act
   if he trades under any name other than his own legal name.
2. **EQ Bank Business Account application** — online, free, after #1 (and after an EQ personal
   account exists — see below).

## What EQ's Business Account actually is
| Feature | EQ Bank Business Account |
|---|---|
| Monthly fee | **$0**, no minimum balance |
| Interest | **2.25%** on the entire balance |
| Interac e-Transfers | **50 free** (their comparison table puts other banks at "up to 20 free") |
| Sign-up | Fully online, "in minutes" |
| Support | 7 days a week |

## Documents / inputs required for a registered sole proprietor
From EQ's own "checklist for documents required":
- **Personal identification**
- **Business registration** (the Ontario registration from step 1 — BRN/name and address must match
  the Business Registry exactly)

Eligibility rules that will bounce an application:
- Canadian resident, age of majority in his province
- **SIN required** (optional only for corporations)
- Must have authority to bind the business
- **A Canadian mobile phone number is required to sign up online**
- **Only one individual per business may open the account**
- **Not available to Quebec residents/businesses**, trusts, partnerships, charities, NFP, or a
  business owned by another business
- If he wants both personal and business accounts: **open the personal account first and use the
  same email address** for both

Most common application failures, per EQ: phone number in the existing personal profile is missing or
wrong, or the application doesn't match the Business Registry (address, BRN, director info).

## The CDIC point that changes the plan
EQ's business FAQ: deposits by a **sole proprietorship are not separate from the sole proprietor** —
they are **combined with the individual's personal deposits** for CDIC purposes.

Consequence: putting $100,000 of business money in the EQ Business Account does **not** create a new
$100,000 CDIC bucket. It shares his existing personal $100,000 at Equitable Bank. Max insured at EQ
for the whole household is still $100k personal + $100k Kiratee personal + $100k joint = $300k
(see eq_bank_joint_cdic.md, 23 Oct). A business balance above his personal headroom is uninsured.

## Blocked on
- **The business name he wants to register** (and the address for service) — needed before the $60
  registration, and the exact name must then match between Ontario registry and EQ.
- Whether the business is truly a **sole proprietorship** (this task) or CADsmart is already a
  corporation — if incorporated, EQ wants business registration + director information + CRA Program
  Account Number instead, and he must be a >25% shareholder, signing officer and director.