ENTREPRENEUR

Source: IRCC Statistics and Open Data

Important note: This program has been permanently closed, and there are no plans to be reopened.

Background:

The Government of Canada terminated the Federal Immigrant Entrepreneur Programs since they provided limited economic benefits to Canada. Eliminating the program will permit Canada to examine new ways to generate venture capital investments to support early-stage Canadian companies.

Most immigrant investors are not making a long-term positive economic enrichment to Canada. They report employment and investment income below Canadian averages and those of most other economic immigrants. Over a 20-year career, an immigrant investor pays about $200,000 less in income taxes than a Federal Skilled Worker immigrant and almost $100,000 less in taxes than one live-in caregiver immigrant.

The official language ability is a vital part of the successful integration of immigrants. A recent survey concluded that immigrant investors, including refugees, have the lowest authorized language ability of any immigrant class. Data also indicate that immigrant investors are less likely than other immigrants to stay in Canada over the medium to long term.

The program is of limited economic benefit to Canada. There is very little “new” money coming into Canada. Almost all initial investments made through the program come from loans from Canadian banks to provincial governments. Furthermore, the Federal Entrepreneur Program was created in the 1970s when Canada’s economic priorities were quite distinct from what they are today. Then, the focus was on safeguarding jobs in Canada. While that is still necessary today, a more globalized economy requires a shift towards innovation, productivity, and creating better jobs and more substantial businesses that can compete globally.

Program objective:

The Canadian Immigration Entrepreneur Program was created to attract qualified entrepreneurs who intend to own and actively manage a business in Canada to advance the Canadian economy. Once approved under this program, the investors and their immediate families can apply for their Canadian Permanent Residency. The candidates must either establish a new business or acquire at least 33.3% equity in an existing and qualified Canadian Business. Applicants must actively manage their business and create at least one new employment position for a Canadian citizen or permanent resident.

What are federal Entrepreneurial program requirements?

• A personal net worth of a minimum of $300,000 was legally obtained.
• Intent to live anywhere in Canada except Quebec.
• Manage and establish/acquire 33.33% inequity of a qualifying business.
• Create at least one new job for Canadian residents or citizens
• Having enough business experience, such as managing and owning a qualified business.

How Can We Assist You?

At ARNIKA VISA, we help business owners, entrepreneurs, self-employed persons, and investors find the most cost-effective programs that achieve their business and immigration goals. From filing a business proposal to guiding businesses during interviews/meetings with immigration officials, we take care of it all. We can assist you entirely or partially based on our different packages. We can advise you professionally regarding the required personalized supporting documents to increase the chance of your approval and, finally, submit your application to IRCC on your behalf as an authorized representative. Suppose you want to discover how the RCIC can help you. In that case, the first step is to complete the Assessment Form (To detail your personal, educational, and employment information) available on the site.

What is StartUp Visa in Canada?

Upon termination of the Federal Entrepreneur Program on April 1, 2013, the Canadian government created the Startup Visa (SUV) Immigration program. The government initially set it as a pilot program for only five years. On July 28, 2017, the IRCC announced they would proceed with SUV with a permanent immigration project. Due to its narrow-minded focus, the Startup Visa expects a limited number of applicants. Still, the core focus is on quality, not quantity, and delivering a track record of accomplishment to become a critical long-term project in Canada. Besides, the annual maximum SUV approval applicants have increased to 2,750, available to countries across the globe.

Canada is open for business to the world’s startup entrepreneurs. Successful candidates can support by funding, guidance, and expertise in opening their enterprise in the country. Canada’s new Startup Visa is the first of its kind amongst other countries, linking entrepreneurs with experienced private sector organizations with expertise working with startups.

With the SUV, Canada is targeting entrepreneurs who have the potential to create innovative companies (New or/and innovative business concepts) that can compete on a global scale and create jobs to promote and attract innovative technologies and create more entrepreneurial opportunities. It is worth remarking that the startup visa program is only suitable for innovative businesses. In other words, regular companies would not meet the SUV requirements as the Canadian government is working to boost the country’s local competitiveness in innovation.

Who can apply for Start Visa?

To be eligible for the Startup Visa Program, the applicant must:

• Have a Qualifying existing innovative business or a business idea
• Get a letter of support from a designated organization
• Meet the language requirements
• Bring sufficient money to settle in Canada

Qualify Business Requirements

A qualifying business means you created a company that meets the following conditions:

• Up to 5 applicants for one company are allowed if each holds at least 10% voting rights. (If the IRCC rejects the essential applicant, the other applicants will reject automatically)
• Applicants and the designated organization jointly hold over 50% of the voting rights attached to all corporation shares.
• It will create jobs for Canadians and the potential to compete globally.
• At the time you obtain your permanent residence:
  • You provide active and ongoing management of this business from within Canada.
  • An essential part of the operations of the business happens in Canada.
  • This business is incorporated in Canada.

Get a letter of support from a designated organization for your business.

They are getting a Letter of Support from a designated organization (a Venture Capital fund, an Angel Investor, or a Business Incubator). Designated organizations are experienced private sector business groups approved to invest in or support possible startup ideas through the Startup Visa Program. Successful applicants are required to secure a minimum investment for their Canadian startup business. The minimum financial commitment of $200,000 from a venture capital fund, OR $75,000 from an angel investor OR acceptance into a business incubator program.

Each designated investment organization has its requirements for securing a letter of support. In their selection standards, they have outlined that they are looking for innovative companies with proprietary knowledge, intellectual property, or technological knowledge/ownership that set high barriers to entry into their sectors by potential competitors. To maximize growth and ensure sustainability, they look for a commitment to the business with clear strategies and adjustability.

What are the applicant’s requirements for Startup Visa?

• Meet language requirements of a minimum CLB level of 5 in English or a minimum NCLC level of 4 in French for each language skill area.
• Proof of sufficient Settlement funds: The applicant must prove they have enough funds, excluding any investment made by a designated organization into their business, available for settlement in Canada at the time of application and when the application is finalized.
• Pass Canadian criminal and security check, medical clearance
• Plan to settle in a province other than the Province of Quebec

How to apply for Startup Visa?

1. Get the program application package, including optional documents
2. Pay your application fees, including processing fees, the Right of Permanent Residence Fee (RPRF), biometrics fees, third-party fees (medical exams, police certificates, language testing)
3. Submit your complete application to the proper processing center or visa office to address the instruction guide of the program by answering all questions, signing all application forms, including the supporting documents

How long does a Canadian startup visa take?

IRCC assesses your application to verify your qualification and eligibility for approval for this program. To avoid any possible delays, the applicants must inform IRCC about any changes to their personal information. The applicants must pass the police and medical check before coming to Canada. If IRCC approves the application, they’ll issue the applicant a permanent resident visa, including the Confirmation of Permanent Residence (COPR) and the applicant’s entry visa.

Is it easy to get a startup visa in Canada?

IRCC may also assess the business commitment. So, in such scenarios, peer reviews may be required. A peer review is an independent evaluation of a commitment by a panel of specialists from the industry association representing the lead designated organization on the commitment certificate. The peer-review process was designed to protect against fraud and ensure that designated organizations and applicants’ activities align with industry criteria. As the peer review committee is not under the Minister’s administration, the officer deciding whether the applicant meets the requirements for the Visa does not necessarily need to consider the assessment. An applicant’s business idea and plan or entrepreneurial project play a crucial role when applying for SUVs. It is an essential element proving why the designated organization will probably support the business or investment project.

Advantages of the Canada Startup Visa Program

• Getting Authorized status quicker: Essential applicants can obtain a Startup Work permit to manage the business in Canada within 8-10 weeks while IRCC processes their application for permanent residency. They may receive a Permanent Residency 12-16 months after completing the application.
• Access to venture capital and resources: The applicants receive support from Canadian private sector business groups that may include business facilities, teams, training, and financial aid (Angel investors OR Venture Capital funds)
• No personal investment funds requirements: A reasonable net worth and sufficient liquid funds are necessary to get through the program.
• The “one-step” federal immigration program: SUV is a federal immigration stream, so there is no need to go through the provincial nomination stages. When you arrive in Canada and obtain permanent residency at the port of entry (It is a direct immigration pathway to Canada)
• Unconditional irrevocable Permanent Residence (PR): Unlike other business programs, Startup Visa applicants will receive unconditional permanent Residence status in Canada based on their intentions to establish a business in Canada. Your PR status is not performance-based, meaning that it is not contingent on the performance of the startup company, even if the best efforts are required.
• The cutting-edge business concept is not always required. It means the business concept is not limited to hi-tech or apps and can be in almost any industry.
• English proficiency exam scores: The minimum scores are relatively easy to achieve.
• IRCC processing times: The program’s timeline is reasonable from start to finish.
• Applicant Family Legal Status: the spouse can apply for an open work permit together while the dependent children under 18 have access to a study permit and free education like other Canadian residents. Finally, the applicant’s family can obtain permanent residency in Canada.
• No geographical restrictions: the applicants can live in any city or province in Canada to build up their Startup
• Not a based points system
• Previous business ownership or management background: is not required.

How Can We Assist You?

At ARNIKA VISA, we help business owners, entrepreneurs, self-employed persons, and investors find the most cost-effective programs that achieve their business and immigration goals. From filing a business proposal to guiding businesses during interviews/meetings with immigration officials, we take care of it all. We can assist you entirely or partially based on our different packages. We can advise you professionally regarding the required personalized supporting documents to increase the chance of your approval and, finally, submit your application to IRCC on your behalf as an authorized representative. Suppose you want to discover how the RCIC can help you. In that case, the first step is to complete the Assessment Form (To detail your personal, educational, and employment information) available on the site.

What is Canada Entrepreneur Program?

Business Immigration seeks to bring individuals with business and managerial experience who will contribute significantly to the Canadian economy. Canada offers a uniquely high quality of life and excellent education and healthcare systems. You can come either in as a Passive Investor under the Quebec Immigrant Investor Program (“QIIP“) or as an entrepreneur under one of the Provincial Nominee Programs (“PNP“).

Can entrepreneurs get PR in Canada?

Each province operates its entrepreneur programs and follows a multi-step process to get permanent residency (Canada PR).

1-Applicants submit an expression of interest and wait for an invitation to apply. Selected applicants submit a complete application which is evaluated by the province’s immigration authorities.

2-If approved, candidates must sign a Performance Agreement, apply for a work permit, and enter Canada as a worker.

3-If the Performance Agreement requirements are met at the end of an assigned period, candidates obtain the provincial nomination.

4-Based on that selection or nomination, they may apply to Immigration, Refugees, and Citizenship Canada (IRCC) for permanent residence.

What is the purpose of the provincial nominee program?

Canada’s provinces and territories offer a range of entrepreneur categories within their Provincial Nominee Programs (PNP). Immigrant entrepreneurs can settle in a particular province or territory through one of these categories. Mid-range net-worth individuals with qualified entrepreneurial experience may be eligible under one of many Provincial Entrepreneur programs as a part of their PNPs. The PNPs can nominate eligible business immigration candidates for permanent residence to settle in that province based on their own economic needs.

How much money do you need to immigrate to Canada as an entrepreneur?

PNPs’ business immigration classes exist for individuals beginning or investing in a Canadian business venture. In the PNP Entrepreneurial streams, you will be required to start or purchase a business by investing at least CAD$150,000 and a net worth of 500,0000. The minimum investment and net worth requirements vary from province to province as each PNP business immigration program creates the conditions that best suit that province.

Every PNP business immigration program requires the applicant to present a detailed business plan. The plan must describe the type of business being bought or established, as well as detailed financial projections confirming the company’s purchase will benefit the local economy and labour market.

Another feature unique to all the PNPs’ business immigration programs is the necessity for business management experience. Certain provinces establish a minimum number of years of work experience in this capacity, ranging from 2 – 5 years of full-time experience. Other areas may ask for this requirement but do not require minimums.

Most of these provincial business immigration programs require that the applicant participates in the active day-to-day management and participation of a business based on a specified investment and job creation. In most cases, a performance agreement is required as a mandatory requirement. Each business class has additional selection criteria ranging from language to age requirements. Apart from Ontario & Quebec, all PNPs business immigration programs have either optional or required government deposits, which are refundable once the business has been established. These deposits guarantee the applicant will make the investment they committed to in their application. Some provinces may require the optional exploratory visit, which is strongly Recommended. Under provincial nominee programs, applicants first apply to be nominated by an area and, based on that nomination, may obtain permanent residence following federal health and criminality checks.

Can I migrate to Canada as a businessman?

Canada offers a variety of options for qualified Business Immigrants to enter Canada at the Federal and Provincial levels. In return, the eligible business applicant is granted Permanent Residency (Canada PR) in Canada. Successful businesspeople looking for new possibilities and challenges are welcome in Canada. The purpose of the PNP business immigration program is to promote and ease the entrance of these people.

The Entrepreneur, PNP Immigration stream, is for high-net-worth businesspeople who can invest in and actively manage a valid business in provinces. This stream provides a pathway to Canadian permanent residence for experienced business people who can establish themselves in areas and invest in and operate a commercially viable business that significantly benefits the provincial economy. It is a points-based system.

Successful applicants will obtain a Work Permit. If the business operation in provinces fulfills the requirements of the stream on an ongoing basis, they will be able to apply for permanent residence in Canada through the PNP. Before registering, the PNP authorities encourage applicants to visit provinces to learn about opportunities and the local business environment. Registrants and applicants are not advised to make investments or financial commitments before signing a Performance Agreement with the PNP and obtaining a valid work permit from Immigration, Refugees, and Citizenship Canada (IRCC). Any investment made before an applicant receives a valid work permit is at their own risk.

What are the minimum business requirements for PNP streams?

The PNP will consider registrations to establish a new business, purchase an existing one, form a partnership with an existing one, and partner with a local or foreign entrepreneur to develop a new one. The registration must include a brief business concept that will be assigned points based on proposed commercial transferability, the viability of the candidate’s skills, and economic benefits. If candidates are subsequently invited to apply, they must submit a comprehensive business plan.

The proposed business must be operated for the primary purpose of earning profits by providing products and services. Additionally, the company must have a strong potential for sustained commercial success. The PNP does not pre-approve or endorse business proposals.

Franchises may be considered eligible businesses by demonstrating that the proposed franchise is well-established. The PNP will only consider purchasing an existing franchise location as a qualified business if it includes an expansion/improvement plan consistent with franchiser requirements. The PNP will not consider a business proposal for a seasonal business unless the proposed business operates for at least eight months per year.

What are Ineligible businesses under PNP business streams?

An immigration-linked investment scheme under Provincial Immigration Programs Regulation section 6(e) and the Immigration and Refugee Protection Regulations (IRPR) section 87(5)(b) and as defined in IRPR 87(9), Any business where the terms of investment include a redemption option under IRPR 87(6)(d):

• Bed and breakfasts, hobby farms, and home-based businesses
• Payday loan, cheque cashing, money changing, and cash machine businesses
• Pawnbrokers
• Scrap metal recycling
• Coin-operated laundries
• Automated car wash operations
• Companies selling used goods (excluding companies that provide value-added services such as repairs, refurbishing, or recycling)
• Real estate development/brokerage, insurance brokerage, or business brokerage
• Businesses involved in producing, distributing, or selling pornography or sexually explicit products or services or providing sexually oriented services
• Any other type of business that by association would tend to bring the PNP or the Government of provinces into disrepute

What are the requirements under PNP business streams?

Each PNP program has unique requirements, but most programs require the following.

• Language ability: Prove minimum language proficiency of CLB 4-5 before PR application
• Education: Post-secondary education OR active business owner-manager experience with 100% ownership for three of the last five years.
• Relevant Business Experience: Prior qualifying business and work experience as an active business owner-manager and as a senior manager in the past ten years
• Personal net worth and source of funds: At least a minimum net worth, legally obtained, will need to be verified by an independent accounting firm designated by the province.
• Business Establishment Proposal (Plan) includes proposed investment and job creation Investment of a substantial minimum amount in a qualifying business in the province and ownership of a prescribed 33.3% of the qualifying business. Some areas accept a partnership with a local business/person or can partner with up to 9 other applicants who must comply with all the criteria.
• Restricted Business: Since some types of businesses are prohibited, the qualifying business in Canada must meet PNP eligibility requirements.
• Where you can live in Canada: The applicant must reside in the province for at least 75% of the time while on a Work Permit before the registration and has active and ongoing management of the day-to-day business operations in the province. Some provinces may require applicants to reside within 100 km of the business location.
• The qualifying business in the province must create 1-2 full-time jobs for Canadians (Non-relative workers) or Canadian permanent residents.
• Submit an Expression of Interest (EOI) and sign a Business Performance Agreement.
• Interview: may be required.
• PR application: After at least one year of business operations (Under a valid WP), you can apply before receiving a PR nomination.
• A Province Nomination: will be conditional on the applicant proving that the PNP requirements have been met.
• Adaptability
• Exploratory visit: Must make an exploratory visit within the last 12 months before submitting EOI
• Admissibility to Canada: The applicant must not be prohibited from entering Canada, have been in Canada illegally, have an unresolved refugee claim in Canada or be under a removal order in Canada.

How Can We Assist You?

At ARNIKA VISA, we help business owners, entrepreneurs, self-employed persons, and investors find the most cost-effective programs that achieve their business and immigration goals. From filing a business proposal to guiding businesses during interviews/meetings with immigration officials, we take care of it all. We can assist you entirely or partially based on our different packages. We can advise you professionally regarding the required personalized supporting documents to increase the chance of your approval and, finally, submit your application to IRCC on your behalf as an authorized representative. Suppose you want to discover how the RCIC can help you. In that case, the first step is to complete the Assessment Form (To detail your personal, educational, and employment information) available on the site.

Important note: Applications for component 1 of the Entrepreneur Program can be submitted from December 28, 2022, to December 31, 2023.

What are Quebec Entrepreneur Programs?

The Quebec Entrepreneur Program was designed to offer Canadian permanent residence to qualified entrepreneurs, business owners, and managers if they can effectively create or acquire an agricultural, commercial, or industrial business in Quebec. A successful applicant will receive a CSQ (Québec Selection Certificate) to become eligible to apply for Canadian permanent residence. So, applicants can immigrate to Quebec (Canada), where they will carry out their business projects.

The Quebec Immigration Ministry, the Ministère de l’Immigration, de la Francisation et de l’Intégration (MIFI), requires that entrepreneurs interested in obtaining permanent residence in Quebec must be 18 years of age or older and must operate a business by the requirements of the Entrepreneur Program. All Quebec Entrepreneur applicants must demonstrate the intention to reside in Quebec. While candidates can obtain additional points for French language proficiency, it is not required to apply to the program. All Quebec Entrepreneur Program applicants must submit a business project. This project is an essential factor in the assessment of an application. Following the initial evaluation of an application, Quebec entrepreneur candidates will be expected to attend a selection interview. The selection interview is the final step to completing the application process under the Quebec Entrepreneur Program.

How do I become an entrepreneur in Quebec?

The Quebec Entrepreneur Program operates two different streams, each with its distinct eligibility requirements:

Stream 1

To be eligible for this Stream, the applicants must settle in Quebec to create and operate a business supported by a service offer from a business accelerator, a business incubator, or a university entrepreneurship center to demonstrate successful evaluation of the business project by them. Up to three applicants may apply under the same immigration program and business plan. There is no stringent description of the types of organizations that can support through a service offer. However, generally, they should be an organization established in Quebec that offers support services, particularly assistance seeking financing or coaching services, to entrepreneurs whose projects aim to create or grow innovative businesses. They must prove their capacity to support the candidate and their business project.

The candidate must obtain a passing score of 41 points under all factors in the Quebec Economic Class selection grid for the Quebec Entrepreneur Program to be considered for selection. Candidates under Stream One can obtain points for factors such as education level (Minimum Secondary school diploma), training areas, age, language proficiency in French and English, and family in Quebec. No additional points are awarded for applicants with a spouse or common-law partner. Finally, the applicants must present their application form and business plan to MIFI by completing all required documents.

Stream 2

To be eligible for this Stream, the applicants must settle in Quebec to create a new business or acquire an existing business to manage the business operations. Successful applicants will have to make two financial deposits as part of their application:

(1) A security deposit of $200,000 serving as insurance that the business will be created that is refunded when the business plan is carried out successfully.

(2) A Startup deposit of $300,000 for businesses created in Montreal and $200,000 for businesses created outside Montreal.

All applicants must meet the following eligibility requirements:

• Have a net worth of at least $900,000 (Financial resources) that have been legally obtained with, where applicable, a spouse or common-law partner if they are accompanying the applicant.
• The application must be presented as a business plan and demonstrate a successful evaluation of the business project.
• If the applicant creates a new business, they must own and control at least 25% of its equity capital. If the applicant is acquiring an existing business, they must own and contain at least 51% of its equity capital.
• The business cannot be involved in the following activities: payday loans, cheque cashing, pawnbroking, real estate development, real estate or insurance brokerage, production/distribution/sales of pornographic or sexually explicit products or services.
• An acquired business must have been operating for five years before an application.

Foreign nationals will need a passing score of 81 points in all 13 factors under Quebec’s Economic Class selection grid to be considered. Candidates under Stream are awarded points for factors that include education level (Minimum Secondary school general diploma), training areas, age, language proficiency in French and English, and stay and family in Quebec. No additional points are awarded to an applicant with a spouse or common-law partner if the applicant can operate the business with them. Finally, the applicants must present their application form and business plan to MIFI by completing all required documents.

Stream One is focused on new businesses or Startups established in the province with the support of a business incubator/accelerator or university. In contrast, Stream Two is focused on owner-funded and operated businesses.

How Can We Assist You?

At ARNIKA VISA, we help business owners, entrepreneurs, self-employed persons, and investors find the most cost-effective programs that achieve their business and immigration goals. From filing a business proposal to guiding businesses during interviews/meetings with immigration officials, we take care of it all. We can assist you entirely or partially based on our different packages. We can advise you professionally regarding the required personalized supporting documents to increase the chance of your approval and, finally, submit your application to IRCC on your behalf as an authorized representative. Suppose you want to discover how the RCIC can help you. In that case, the first step is to complete the Assessment Form (To detail your personal, educational, and employment information) available on the site.