Do I need to transition my company?

When the Business Corporations Act came into existence on March 29, 2004, one of its effects was to require all active British Columbia companies to file a transition with the Corporate Registry. All companies were given two years to file this transition and the deadline for filing was March 29, 2006.

What is a transition?

A transition is not a complicated process. First, a resolution authorizing the Company’s transition under the Business Corporations Act must be passed by the Company’s shareholders or directors. Second, a mandatory electronic filing must be made with the Corporate Registry. This electronic filing allows a company to confirm its current information, provide a mailing address for the company’s registered and records office and provide an address for directors’ residences.

What happens if I have missed the deadline?

The key issue at this time is what happens to a company that has not filed its transition before the deadline. Failure to file means that a company will be dissolved and struck from the Corporate Registry. However, this will not happen immediately. The Corporate Registry will send a letter advising a company of its pending dissolution.

In the mean time, how does the failure to file affect your company? Ultimately, a company who has not yet submitted its transition is no longer considered up-to-date with the company’s filings. This may have an impact on the company’s ability to deal with its financial institution and/or licensing and regulatory authorities.

It is not too late to file your transition if you have missed the deadline. File your transition as soon as possible to ensure you bring your company back up-to-date.

If you would like further information, or would like to know how we can help you in getting your transition completed, please contact our offices at 604-581-4677.

The contents of this article are for informational purposes only and should not be construed as legal advice.