A holdco was added later. Has anyone re-read the PREC articles since?

Structures get built in stages

The PREC came first, for the registrant income. The holding company came later, for a reason that made sense at the time. Each step was advised on its own, and each was probably right on its own.

Nobody re-reads the first document

What rarely happens is someone going back to the original articles and reading them against the structure that now exists around them. The articles were drafted for the corporation as it stood on day one, not for the arrangement it ended up inside.

Start with what is written down

Before anyone advises on the structure, it helps to know what the founding document actually says. That is what the free check is for.

How to check yours

The PREC Articles Health Check is free. You upload or paste your articles of incorporation and it reads them against both regimes that govern a PREC: the RECO registration conditions in Ontario Regulation 536/20, and the Canada Revenue Agency rules that decide how the corporation is taxed.

You get a Red, Yellow or Green rating for each regime, with every requirement named and what was actually found in your text. There are no forms to fill in.

Your articles are analysed in your browser. The document is never uploaded, stored, or sent to Capital Toolkit.

What it is, and what it is not

The Health Check produces a drafting-quality hint from the article text you provide. It is a starting point to bring to a qualified lawyer and CPA, not a legal finding that your corporation qualifies as a PREC, and not tax advice. Always have a professional review before you rely on or file anything.

It does not replace your lawyer or your accountant, and it is not meant to. It is meant to make the conversation with them shorter and sharper: you arrive knowing where your articles stand and which protections need attention, instead of paying for that discovery from scratch.

If you want the full analysis

The rating and the list of which protections are present or missing cost nothing. What is paid for is the PREC Deep Dive at $1,000 CAD: the full clause-by-clause written analysis of what is wrong, why it matters, and what to raise with your lawyer. HST is added at checkout.