Set up separate records from the first transaction. The Canada Revenue Agency says to keep separate records for each business you run, so the cleanest time to establish the boundary is before receipts, invoices and bank activity start accumulating.

This is a recordkeeping workflow, not tax or accounting advice. SilaTrail helps organize evidence and review work; it does not decide ownership, deductibility, allocation or filing treatment.

Start with the Business boundary

Create the new Business using its exact operating name and confirm who owns it. Do not copy transactions from another Business as a shortcut, and do not guess where unassigned historical records belong. If activity began before the Business was created in your system, gather that evidence separately and have the responsible owner or accountant confirm the correct destination.

Connect each record source

List the sources that will produce records for this Business:

• bank and card accounts used for its activity;
• supplier invoices and purchase receipts;
• customer invoices and payment confirmations;
• owner-paid expenses and repayments;
• vehicle and trip records; and
• contractor documents and correspondence.

Separate accounts are helpful when practical, but account separation alone is not enough. Each entry still needs a clear date, amount, source, business purpose and supporting document.

Build the intake routine

Decide where receipts arrive, who reviews them and how exceptions are handled. Use Business-specific receipt inboxes, file names or notes so a shared supplier email cannot silently place evidence in the wrong workspace. Invite only people who need access to this Business and review that access when their role changes.

The CRA requires records to be reliable, complete and supported by documents. Electronic records also need to remain accessible and readable. Keep your own retrievable copies rather than assuming a bank, email provider or other third party will retain them for the required period.

Run an early review

Complete a short review after the first week or first few transactions:

1. Confirm every record is in the intended Business.

2. Match receipts and invoices to the recorded amounts.

3. Identify personal payments and record the payer.

4. Resolve duplicates and missing evidence.

5. Export or preview the Business package to check that it stands on its own.

An early review catches setup problems before they spread across months of activity.

Frequently asked questions

Can I use one bank account for two businesses?

The account may show activity for both, but it does not replace separate business records. Document which Business each transaction belongs to and consider professional advice about a cleaner account structure.

Should I copy categories from another Business?

You can use a familiar category structure, but do not copy transactions, ownership assumptions or opening balances. Categories should describe this Business’s actual activity.

What if I find an old receipt after setup?

Preserve it, confirm which Business it supports and add it through a controlled correction workflow. Do not assign it based only on the supplier name.

Continue the workflow

Use SilaTrail’s multiple-business workspace, monthly review and year-end readiness pages to see how the records stay separated through review.

For authoritative guidance, see the CRA’s Business records and recordkeeping responsibilities.