Side hustles are getting serious: Nearly one in four Canadians has one, but many aren't taking the entrepreneurial leap -- Ownr data reveals

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2026 Canadian Side Hustle Report reveals a gap between Canadians' entrepreneurial ambition and confidence in formalizing a business

TL;DR

• Almost half of Canadians (47%) currently have a side hustle or are aspiring side hustlers
• 19% of current side hustlers say they are likely to leave their current job and pursue their venture full-time, rising to 29% among Gen Z side hustlers
• 37% of side hustlers don't know when they need to register their business
• 38% don't understand the legal requirements that apply to them

TORONTO, Oct. 8, 2026 /CNW/ -- As Canada marks Small Business Month, new data from Ownr, the incorporation and business registration platform for entrepreneurs, shows that side hustles are no longer a side story. Nearly one-quarter of Canadians surveyed (23%) earn income through their side hustle, according to its 2026 Canadian Side Hustle Report. And for many Canadians, what starts as a way to earn extra income has the potential to become something more, but in doing so, thousands of Canadians also face new legal and tax decisions they are unprepared for.

Nineteen per cent of current side hustlers say they are likely to leave their job and pursue their venture full-time, while 22% say their side hustle already generates enough income that they don't need a regular job.

The shift is particularly pronounced among Gen Z side hustlers. RBC data showed nearly half (46%) of Gen Z business owners have a side hustle and a full-time job. When Gen Z respondents to Ownr's survey were asked about their side hustle: 55% consider what they're doing a real business, 31% say it generates enough income that they don't need a regular job and 29% say they're likely to pursue it full-time.

"There's a lot of entrepreneurial ambition in Canada, and this data proves that even more of it may be hiding in plain sight," said Jordan Casey, chief executive officer, Ownr. "Eventually, a side hustle becomes something more than extra income -- it becomes a business. We want to help give those Canadians the confidence and tools they need to turn what they're building on the side into their dream business."

Why do Canadians start side hustles
Almost half of Canadians (47%) currently have a side hustle or are aspiring side hustlers.

Financial pressures are a major motivation:

• 39% want to supplement their regular income
• 33% cite the rising cost of living
• 26% want to pay down debt

But for some, it's also about turning an interest into an opportunity, with 21% motivated by the chance to turn a hobby or skill into income and 12% seeking greater flexibility and control over how they work.

Side hustles test Canadians' time
Twenty-eight per cent of Canadians say that the biggest challenge to running a side hustle is finding the time for it between another job and life obligations. Side hustlers currently spend an average of 13 hours a week on their ventures.

Other barriers include preventing burnout and maintaining work-life balance (25%) and not knowing where to start (25%).

"What starts as extra income often becomes a realization: 'I'm actually good at this.' Then comes the thought, 'I could do this full-time.' That's where it gets hard," said Casey. "It's daunting for a reason. Side hustlers are already short on time, and when they're focused on making the leap to full-time, it's the legal and compliance steps that tend to fall through the cracks -- whether they realize it or not."

Confidence drops when it's time to make things official -- especially for women
While side hustlers are generally confident managing the side hustles they have today, many are less certain about what's needed to take them to the next level. More than one-third (37%) don't know when they need to register their business and 38% don't understand the legal requirements that apply to them.

The confidence gap is particularly pronounced among women. Fifty-eight per cent of women say they know when they need to register their business, compared with 69% of men. Women are also less likely to understand the legal requirements that apply to them (58% vs. 67%) and their tax obligations (67% vs. 74%).

Turning a side hustle into something bigger
For Canadians considering whether their side hustle could become a full-time business, Casey points to three things worth considering:

• Know your numbers. Set clear income and profitability milestones before making a major change. The research shows those are the two biggest signals side hustlers are looking for before going full-time.
• Know when it's time to make it official. As a side hustle grows, understand when registration may be required, what legal and tax obligations apply and whether incorporation makes sense. Tools like Ownr can help simplify those steps, from registering or incorporating a business to managing ongoing compliance and tax requirements.*
• Know what growth looks like for you. Going full-time isn't the only measure of success. Consider what you want the business to become and what milestones would tell you it's ready for its next stage.

Read Ownr's 2026 Canadian Side Hustle Report and access more tips for entrepreneurs at www.ownr.co/.

Survey Methodology
These are the findings of an Ipsos survey conducted on behalf of Ownr between September 1 and 8, 2026. A total sample of n=1,501 Canadians aged 18+ participated via Ipsos' online panel. Quotas and weighting were used to align the sample with Canadian population statistics based on census parameters. The credibility interval for the total sample is ±3.1 percentage points, 19 times out of 20. Unless otherwise noted, questions asked only of respondents who reported having a side hustle are based on a subsample of n=834 and have a credibility interval of ±4.2 percentage points, 19 times out of 20. Credibility intervals are larger for demographic and other subgroups of the population.

About RBC
Royal Bank of Canada is a global financial institution with a purpose-driven, principles-led approach to delivering leading performance. Our success comes from the 105,000+ employees who leverage their imaginations and insights to bring our vision, values and strategy to life so we can help our clients thrive and communities prosper. As Canada's biggest bank and one of the largest in the world, based on market capitalization, we have a diversified business model with a focus on innovation and providing exceptional experiences to our more than 19 million clients in Canada, the U.S. and 27 other countries. Learn more at rbc.com.‎

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About Ownr
Ownr is on a mission to help make Canadian small business a big deal. With our all-in-one digital platform, everyday entrepreneurs can streamline registration and incorporation, and manage ongoing corporate and business needs – all without high legal* fees and confusing jargon. Join over 250,000 Canadians who launched their dream business with Ownr. Ownr is a portfolio company of RBCx, a division of Royal Bank of Canada (RBC). Follow Ownr on LinkedIn or Instagram.

*Ownr does not provide legal, tax, or financial advice.

For further information, please contact:
Nicole Grossman, Craft Public Relations (for Ownr)
[email protected] | 647-986-1266

SOURCE RBC