The tricky part for many people who want to register a charity or non-profit is to figure out which one they should register.
Often, there are elements of the organization and it’s goals that could define them as either one. If this is the case, it’s a good idea to speak to a professional, who can help you to weigh the pros and cons of each.
It can be a little harder to register a charity because it involves applying to the CRA for charitable organization status.
This is not required for non-profits. But, although both are usually exempt of the requirement to pay income tax, non-profits cannot issue tax receipts when they collect funds. Which can make it trickier to raise funds.
On the other hand, charities have spending requirements. This means that they are legally required to donate a predefined portion of the money they collect to qualifying organizations.