Things to consider

– Considerations in selecting form of practice

  • Taxation– get professional advice including on whether to begin as a solo and then incorporate; consider Section 85 of the Income Tax Act
  • Liability – guarantor issues, including spouse/relatives
  • Succession/dissolution

– Solo practice

– Partnership

– Professional corporation

  • Articles of incorporation
  • Shareholders, officers, chief operating officer

– Limited Liability Partnership

– Consult with CPA

– Specialized/General practice

– Partnership Agreement in writing

  • Capital/equity from partners
  • Withdrawal/retirement issues
  • Compensation and profit distribution
  • Each partner’s role in the practice (Managing partner, Rainmaker, etc.
  • Establish a clear evaluation matrix and expectations)


Fuchs, Pablo (April 15, 2014) “How to decide on a business structure for your law firm” Canadian Bar Association (retrieved February 2, 2016)

Frazer, Joceyn and Nerino J. Petro Jr. (Jan/Feb 2014) “The GPSolo Guide to Opening a Law Office” American Bar Association (retrieved February 9, 2016) [requires ABA login]

Lockwood, Frank (Jan/Feb 2014) “Ten Things a Small Firm Owner Should Never Do” American Bar Association (retrieved February 9, 2016) [requires ABA login]