Going out on your own
How to start an engineering firm in Ontario
The P.Eng licence from Professional Engineers Ontario (PEO) is what lets you call yourself an engineer, take responsibility for engineering work, and stamp drawings. One licence covers all disciplines — civil, structural, geotechnical, mechanical, electrical, transportation — with you responsible for working only within your competence. This is the shared credential; for the actual businesses, see the discipline playbooks (structural, civil, geotechnical, mechanical, electrical, transportation).
Professional Engineer at a glance
- Credential
- Reserved title — a PEO P.Eng licence is required
- Path in
- CEAB-accredited degree → 2 yrs experience (CBA, from Jul 2026) → NPPE
- Regulated by
- Professional Engineers Ontario (PEO)
- Insurance baseline
- Professional liability (E&O); disclosure required by PEO
- Professional body
- Professional Engineers Ontario (PEO)
You must be licensed first. A practice can only offer professional engineer services to the public once it holds the regulator’s firm authorization, which requires a licensed principal and professional liability insurance. Sort the firm authorization before you take work.
The steps to start your practice
- 1
Get a PEO Certificate of Authorization
Holding a P.Eng lets you practise; a Certificate of Authorization (C of A) lets your business offer engineering services to the public. PEO requires the C of A holder to have professional liability insurance arrangements in place before serving the public.
Certificate of Authorization — PEO ↗ - 2
Incorporate (or form a professional corporation)
Most professionals incorporate to limit liability and for tax efficiency. Several regulated professions (architects, engineers) can form a professional corporation with a Certificate of Authorization — confirm the right entity type with your regulator before filing.
Full guide: Incorporation - 3
Set up your CRA accounts
Register for a Business Number, HST/GST (mandatory above $30,000 in revenue), payroll if you will hire, and corporate income tax. Professional service fees are HST-taxable.
Full guide: CRA Registration - 4
Carry professional liability (E&O) insurance
Errors & omissions insurance is the core coverage for a professional practice — and a firm-authorization condition for regulated professions. It protects against claims arising from your professional advice, designs, or certifications.
Full guide: Insurance - 5
Stand up your practice operations
Business banking, professional accounting, engagement letters and contracts, and the project and document workflows a practice runs on. This is the back office that keeps you paid and protected.
Full guide: Operational Setup
Your launch checklist
The whole page in one list.
- Get a PEO Certificate of Authorization
- Incorporate (or form a professional corporation)
- Set up your CRA accounts
- Carry professional liability (E&O) insurance
- Stand up your practice operations
Let AEC Stack handle the business side
Incorporation, CRA, insurance, and the operations to run a practice, set up so you can focus on the professional work.
Start your practice