Going out on your own

How to start a drain and sewer business in Ontario

Drain companies brand as drain companies, not plumbers: camera inspections, flushing, clog emergencies, and trenchless sewer replacement. It is equipment-heavy, emergency-priced, and one of the most franchise-contested niches in the trades.

The steps to start your drain and sewer business

1. 1

   Incorporate your company

   Most contractors incorporate (Ontario or federal) to limit personal liability, look credible to larger clients, and access tax advantages once profitable. You choose a named or numbered company, set directors and share structure, and file the articles. Budget roughly $400–$600.

   Full guide: Incorporation
2. 2

   Register your CRA accounts

   Get a Business Number, then register for HST/GST (mandatory once you exceed $30,000 in revenue, and worth registering sooner to claim input tax credits), a payroll account if you will hire, and corporate income tax. This is free and done through the CRA.

   Full guide: CRA Registration
3. 3

   Register for WSIB

   Construction is a mandatory WSIB sector. Independent operators and partners in construction generally must register even with no employees, and clients and general contractors will require a valid WSIB clearance certificate before letting you on site.

   Full guide: WSIB & Provincial
4. 4

   Handle drain & sewer services licensing & permits

   Nuanced: drain cleaning, camera inspection, and flushing are generally not licensed plumbing work — but repairing or replacing drains and sewers is plumbing (306A, compulsory) and needs permits, and many municipalities require a licensed plumbing contractor to work on the sanitary lateral. Most serious drain businesses run licensed plumbers for the repair side. Municipal sewer-lateral subsidy programs (for replacing clay pipes, removing roots) feed steady work.

   Full guide: Trade Licensing
5. 5

   Get insured

   Carry Commercial General Liability (typically $2M, $5M for commercial/industrial work), plus tools and equipment, commercial auto, and — depending on scope — builders risk and professional liability. Many contracts and clients specify minimum coverage before you can quote.

   Full guide: Insurance
6. 6

   Set up health, safety & compliance

   Meet your Occupational Health and Safety Act duties: a health and safety policy, required training (WHMIS, Working at Heights where applicable), and — for commercial and public work — often COR® certification. This is also where any trade-specific safety tickets live.

   Full guide: Safety Compliance
7. 7

   Stand up your operations

   Open business banking, set up construction-specific accounting, and understand your trust obligations under the Construction Act (holdback, prompt payment, and adjudication). This is the back office that keeps you paid and out of trouble.

   Full guide: Operational Setup
8. 8

   Get bid-ready and win work

   Assemble your prequalification package — incorporation and WSIB documents, insurance and bonding letters, safety program, key personnel, and project references — then quote, send proposals, and collect on invoices. This is where a construction business actually makes money.

   Full guide: Bid Readiness

Insurance for a drain and sewer business

Sewage backups and flooded basements drive claims — carry $2M CGL with explicit water/sewer-backup response, plus equipment coverage for cameras and flush units (a camera rig alone is five figures).