Canadian Regulations for Travel Agencies in a Nutshell

We have a pretty comprehensive article on US Seller of Travel Laws (SOT), but we don’t want to leave out our neighboring Canadian travel agents.

In our 2024 Travel Advisor Survey, more Canadian advisors completed Host Agency Reviews' Travel Advisor survey than ever before. During Host Week, we have a day centered around the host agencies that cater specifically to Canadian advisors. Plus, from a design standpoint, the Canadian flag is pretty awesome.

Want to fast-forward to a specific province? Here you go:

For simplicity's sake, all currency amounts in this article refer to Canadian dollars (CAD)! So if you see $50, that would be CAD$50.

⭐️ HAR ARTICLE HIGHLIGHTS: ⭐️

Canadian Travel Agency Licensing Regulations in a Nutshell:

Three provinces have specific regulations for selling travel—Quebec, Ontario, and British Columbia. In short, this means that if you are a travel agent that operates your business in any of these provinces OR if you sell to any residents of those provinces, you need to comply with each province’s regulations.

There are no extraterritorial laws, so agencies that want to operate in or sell to clients in multiple of these provinces will need to register for licensing in EACH of those provinces. There’s no reciprocity, my friend.

Here it is, simplified into a nifty infographic:

Of course, that's just the beginning. Read on for more details on each province's regulations.

Quebec Travel Agency Licensing Regulations

Quebec is a bit complex, and not only because my French is veeeeeeeery rusty. But, in the spirit of licensing, there are oodles and oodles of bureaucratic hoops to jump through.

Like most licensing requirements, the Quebec Office of Consumer Protection (OPC) differentiates between travel agencies and travel counsellors. This is a line that can be pretty blurry for hosted agents, but I’ll bring it into focus below. There are two primary pathways for licensing and certification in Quebec:

1. An agency owner/manager: Requires license and certification

2. An "external agent" (we refer to this as a hosted agent) that operates under the umbrella of a licensed agency and deals directly with clients. Requires certification only. For hosted agents, I don’t want to mince words.

Here’s OPC’s definition of an external agent verbatim: “travel agents who are contractually bound to a single travel agency. Most of the time, they do not work in the office. These counselors may not receive clients at home unless a duplicate of the travel agency's permit has been issued for an establishment located at their address.”

To become an agency manager, you need a general permit (or restricted permit) and certification. To become an external or hosted agent, you only need certification (and you must operate under a licensed agency).

Here's how to embark on that process!

HERE’S WHAT YOU NEED AS A HOSTED/EXTERNAL AGENT in Quebec

To be licensed as a hosted agent in Quebec, you must have a Travel Counsellor Certificate.

The process for receiving the certificate is relatively straightforward. Here’s how to do it:

1. Create an account: To get the ball rolling, create an account through ClicSÉQUR

2. Pass the Travel Counsellors Exam: You can register for your exam through the Institute of Tourism and Hotels of Quebec (ITHQ). The exam runs $69 and there are optional study guides and exam simulations (not required) also available for purchase. The exam consists of True/False questions and applicants need to score 65% to pass.

3. Align with a licensed agency: While you can start researching licensed host agencies earlier in the process, you have two years from taking your exam to align with a licensed agency. Any longer than that, you will need to retake the exam.

4. Request your certificate: Before you even apply, you must hold a Travel Agency Steward Certificate. This runs $69 and you must renew it annually (the renewal is now $35).

The caveat here is that everything you do and sell must be under the umbrella of your host agency (including service fees). This means that while you can have your own travel agency brand, you will still need to disclose to clients the name of the host agency you sell under, and you cannot accept money from your clients (only commissions from your host).

If you curdle at the thought of selling under the umbrella of a different brand or not having the flexibility to take on your external agents (aka, independent contractors “ICs”) to grow your agency, don’t fret. You can apply for a Travel Counsellor General Permit.

To apply for the General Permit, you must do all the above to get your Travel Agency Certificate, plus you get to have a little extra bureaucratic fun. Here’s the deets:

HOW TO GET A TRAVEL COUNSELLOR GENERAL PERMIT IN QUEBEC

First things first, Quebec’s Travel Counsellor General Permit has two categories:

General Permit: Required by any agent that organizes trips and makes accommodations or transportation reservations for clients. If you’re a travel advisor or travel company that offers packages that include transportation OR if you provide activities outside Quebec, you need this. (Probably you.)
Restricted License: There are three types of restricted licenses that cater to different travel businesses outside travel agencies. These include outfitters, adventure-focused tour operators, and tourist associations that sell accommodation or access to attractions. Restricted licenses are for activities that do not include transport beyond offering a transfer directly between the airport and the outfitter itself. (Probably not you.)

For the purposes of this resource, I am referring to the General Permit. The Restricted License applies more to on-site guides, accommodations, tour operators, or DMCs (Destination Management Companies). While we dabble in all things travel on this site, our bread and butter is travel agencies :)

How to Apply for a Travel Agency General Permit in Quebec

1. Another exam! Joy! Instead of the Travel Counsellors Exam, agency managers get to take the Travel Agency Managers Exam. It runs $77 and lasts 90 min. If you’re taking the exam for the first time, you must pass it before you apply. But if you’re renewing (which you will do annually), you just need to make sure you pass the exam before the renewal date of your license.

2. Permit Application: To qualify for a permit, agents must fill out this application in addition to paying fees and passing the Travel Agency Manager Exam. (Here’s a guide on how to fill out the application.)

3. Permit Costs: The cost of a general permit is $92/mo for the main establishment and $58/mo per branch office. ¹

4. Financial Requirements:

Proof of $5,000 in working capital: Assuming this is your first rodeo, you need to prove you have $5,000 in working capital. This amount increases with renewal as your agency brings in the moolah. So be sure to refer to the most current numbers based on your agency income if you’re a seasoned rodeo hand.

$25,000 Bond: This is used to compensate customers in the event the agency fails, closes, or needs to provide compensation for services promised then not rendered. None of this will apply to you, but it’s a safety net that will help you as much as it will help your clients. 🙂 If the bond is a bearer bond or cash (CHA-CHING!), you also need to submit a Merchant’s commitment form (so you can’t go all anonymous superhero and sell travel under cover of night). However, there are four different options to submit your security bond and they each have their own flavor! Like the financial requirements, your bond amount will increase as you renew your license annually depending on how much your agency earns.

5. Copy of the agency's opening documents and signature from each trust account signed by its financial institution.

6. Register Your Business: Registraire des entreprises du Québec. If your company is registered outside of Quebec, you need a certificate of compliance from Registraire des entreprises du Québec.

The licenses are issued 15 days after the completed application is received but can be rushed in 3 days if you’re really in a pinch. ²

Did I mention my French is horrible? If I missed anything, let me know.

Ontario Travel Agency Licensing Regulations—TICO Registration

Ontarians have two pathways to becoming TICO-certified. There is a simpler process for hosted advisors, who only need to a.) align with a TICO-certified agency and b.) have a “pass certificate” (proof they passed the TICO exam).

If becoming an advisor under the umbrella of a host agency doesn’t suit you to the full glory of a Canadian Tuxedo, then the process is a bit more rigorous.

What does this mean? It means that in addition to passing the TICO exam, you’ll need to undergo some fun bureaucratic procedures to get your travel agency on the up-and-up with Ontario.

Lucky for you, dear Ontarian, we outline both processes below!

Licensing needed to be HOSTED in Ontario

In addition to the regular rigamarole of becoming a travel agent, Ontarians have a few things to consider to keep them on the up and up. The good thing is that it’s relatively simple. All you need to do is:

find a TICO-registered host agency and
pass (TICO) Education Standards Exam

Here’s how to check those boxes for the steps to become a travel advisor in Ontario.

How to find a TICO-registered agency:

There’s two options for finding a TICO-registered agency.

Go straight to the source: TICO Travel Agency/Website Search Directory
Use HAR’s Host Agency Filter: You can also use HAR’s filter to see who accepts Ontarian advisors.
Go to HAR’s full host list
Click more filters
Select “Ontario” under “Seller of Travel State”

Voila! Now you’ve got options. Tons and tons of options. Want to narrow them down further? No stress. You can go ahead and download our Host Comparison Chart below

Exam Costs:

So, here's the info that will help ensure you're legal! The (TICO) exam currently rings up at $35 for travel counsellors, $35 for managers/supervisors, and $50 for the combined travel counsellor/manager-supervisor test. If you take the test and don’t pass, it’s $24 every time you retest.

The good news is that the study guide and sample tests are free! Yes, they really are! All you have to do is start a free myTICO account.

Want more info? Check out TICO’s site on the exam process.

Licensing Your Travel Agency in Ontario

To start your own travel agency, your business must be registered with Ontario on the provincial and federal levels (Go here for the provincial application and the federal application).

Getting registered as a TICO agency is going to require quite a bit more moola and legwork (yes, even beyond registering your business in Ontario). You can find more specifics on the requirements of the TICO agency registration on their site but we've summarized the requirements for you below.

Please note that if you’re starting your own agency in Ontario, someone (maybe you!) must be a dedicated supervisor/manager for your location. If this is you, you’ll need to fulfill those requirements as well or appoint someone else in your agency to do so!

Eligibility requirements:

Bare basics: You need to be 18 years old and a resident of Canada
Prove you’re you: with a photo ID, background check, a Stakeholder Declaration Form (and more if you’re a corporation or holding company).
Background check

Financial requirements:

There's a $3,000 application fee for new agencies
You need to show financial statements proving you have $5,000 in capital to work with
A $10,000 security deposit via letter of credit or a registered cheque. (This is returned to you after 2 years of showing you're not going to rip anyone off.)
Financial statements

Proof of two bank accounts designated as “General Account” and “Travel Industry Act Trust Account.” (Here’s more info on a trust account.)

Paperwork:

Business information (You can use HAR’s Travel Agency Business Plan Template if you need to put one together)
Proof of business name and registration (You can register your business on the provincial level here and the federal level here.)
Key Stakeholder Declaration Form
Corporate organization chart if your structure includes multiple companies.

Extra fun for managers/supervisors:

Minimum of three years of industry experience
TICO education certificates for counsellor and supervisor/manager exam
Supporting documentation such as CV alongside letters of reference, tax/income/employment records

Extra fun for corporations/holding companies:

The big extra for corporations holding companies is that in addition to all above requirements, they must also submit a Key Stakeholder Declaration Form.

Another key thing to know if you’re a corporation or holding company is that your application must include information for every stakeholder—each partner, officer, and/or director of the agency.

This means each stakeholder needs to provide ID, background check, disclose bankruptcies, Canadian residence (which does not apply to corporate or partnership applicants), and fill out the Corporation Shareholder Information Form. In case you forget something, they've provided a handy-dandy checklist here: Registration Checklist for Travel Sellers.

A few final notes for once you get up and running:

Renewal Fees: Annual renewal fees will depend on your sales volume and whether you’re a main office or a branch office. Check this out for details.
The TICO agency registration is NOT transferable. So if you were looking to buy an agency, know that the costs to re-register will be significant.
Branch offices have lower application fees ($800) and a simplified application process. Go here for those details.

Ontario Licensing Documents, at a glance

Woof. That’s a lot. Below is a list of resource documents to help you out with getting Ontarian licensing for your agency. (All you need, and maybe more!)

TICO Main Office Application Kit
TICO Branch Office Application Kit

If you get tangled up, your best bet is to go direct to the source. Here’s how to reach TICO with any questions about your travel agency licensing registration.

TICO Contact for Registration:

Phone: TICO’s registration department at 905-624-6241 ext. 291 or 1-888-451-8426 ext. 291
Email: registration@tico.ca.

British Columbia Travel Agency Licensing Regulations

This section was updated Updated 02.12.2022

In BC, you'll need licensing regardless of whether you plan to be a hosted travel advisor or want to get your own travel accreditation. Big picture, if you want to get licensed in BC, here's what you need to do:

Register your business with the BC Corporate Registry (Tele: 1-877-526-1526, $40 registration fee and $30 name approval fee for Sole Proprietors, or $305 for LLCs)
Apply for your license to sell travel through the Consumer Protection BC (Tele: 1-888-777-4393, $1,293 fee for travel agencies/wholesalers and $839 for branch offices).

Here's a big whopping checklist of steps needed to get licensed in BC:

Here's a look at BC's license application checklist:

However, the process is going to be different for hosted advisors compared to independently accredited advisors. Below is a bit more detail:

4 steps to get licensed as a Hosted advisor in British Columbia, Canada

Hosted advisors are considered a branch office in the eyes of BC. The good news for all y'all hosted advisors is that this route is lighter on the paperwork.

Here's the steps to get licensed:

Provide your municipal business license
Set up a business phone number (must be public, searchable, and clearly listed on your website, invoices, and other public documents.)
Fill out a branch location license form.
[For home-based advisors only] Fill out this form if you want to operate your business from home.
Get knowledgeable about lots and lots of rules and regulations.

Get more details about licensing your travel agency in BC!

9 steps to get licensed as an independently accredited advisor in British Columbia, Canada

Fun for you, you get to fill out a lot more paperwork than your hosted peers! Here are the nine steps you need to get licensed as a "head office" in BC.

Provide proof of registration or incorporation. (Go here to register your sole proprietorship or general partnership.)
Provide your municipal business license
Get a criminal record check (for Canadian residents).
Obtain and provide financial security. (Cash, Letter of Credit, Surety Bond, or Safekeeping agreement are all acceptable forms. Go to this link for more details.)
Set up a business phone number (must be public, searchable, and clearly listed on your website, invoices, and other public documents.)
Provide financial information. (This ensures you have enough working capital to operate.)
Fill out a branch location license form.
[For home-based advisors only] Fill out this form if you want to operate your business from home.
Get knowledgeable about lots and lots of rules and regulations.

Get more details about licensing your travel agency in BC!

List of Canadian Hosts by Province

Here's a handy dandy guide to see which Canadian-based host agencies are licensed to operate in the provinces mentioned in this article:

Quebec:

Ontario:

British Columbia:

If you want to operate your agency in any province outside of QC, ON, and BC, AND you don't plan on selling to residents in any of those provinces, you're in the clear and don't need to worry about of this (but you're dang smart!).

Canadian + Fees.

This last part doesn't necessarily have to do with regulations but I figure since you've read the entire way through this, that you deserve a little pick me up. And I have just the thing for you.

Take some time to listen to a fellow Canadian who only sells air tickets (no he's not a corporate agent) and has come up with a way to charge a $60-500 ticketing fee for every ticket. 85% of his income comes from fees. Feeling inspired and curious? Have a seat and plug into an episode of our Travel Agent Chatter podcast!

Thank You!

But I'd like to extend a very special thank you to two excellent resources who shared their expertise for this article: Mike Foster, President of Nexion Canada, ULC, and James Shearer, Chief Operating Officer of Travel Masters who offered a ton of great insights and information for this article.

Do you have thoughts, comments, ideas, or experiences you’d like to share? We want to hear from you!

Source: https://www.opc.gouv.qc.ca/en/commercant/permis-certificat/agentsdevoyages/permis/demande/#c20986 ↩
If you want to rush your application, you'll pay 50% the cost of your entire permit. ↩

About the author

Mary Stein

Mary Stein has been working as a writer and editor for Host Agency Reviews since 2016. She loves supporting travel advisors on their entrepreneurial journey and is inspired by their passion, tenacity, and creativity. Mary is also a mom, dog lover, fiction writer, hiker, and a Great British Bake Off superfan.

ByMary Stein

Last updatedAugust 23, 2024

PublishedFebruary 27, 2020