Canada has one of the most educated workforces today. It also has the lowest corporate taxes and is ranked 23rd on the ease of doing business index worldwide. It comes as no surprise that Canada is one of the most highly sought after countries to gain citizenship in as a business owner.
How to get Citizenship in Canada?
Becoming a Canadian citizen is no easy task and there are several requirements which must be proven in order to gain this status. Business owners and investors can gain Canadian citizenship by investing in Canadian businesses, however must still prove the following requirements:
- The applicant should have a permanent resident status
- The applicant should have physically spent 1,095 days (3 years) of the last five years in Canada
- The applicant should have regularly filed their annual income tax returns
- The applicant must pass a basic test on the rights and responsibilities of a Canadian citizen, and knowledge of Canada
- The applicant should possess basic language skills
The most challenging of the requirements is that the foreigner must first have permanent resident status. The primary difference between permanent residency and citizenship in Canada is that a permanent resident has been given this status by immigrating to Canada and are citizens of other countries. They are not allowed to vote or run for political office and cannot hold certain jobs requiring high-level security clearance. They do however enjoy Canadian health coverage, can live, work or study anywhere in Canada and are protected under Canadian law. Permanent residents are able to apply for Canadian citizenship if they meet all of the requirements.
How to become a Permanent Resident in Canada:
As a business entrepreneur, investor or owner, there are a few options that are generally available to gain permanent resident status. The following are the most effective and efficient ways:
- Executive Express Entry Program
- Provincial Nominee Programs
- Start-Up Visa Program
Executive Express Entry Program
Many business owners or investors get disheartened when they research the Express Entry Program as it is particularly targeted towards younger professionals (under 35 years old) with a stronger hold on language, higher qualifications, and work experience or study in Canada.
However, the executive stream of the Express Entry Program, provides senior business owners, managers, and investors 200 CRS for the category of “arranged employment” in Canada.
How to apply to the Executive Express Entry Program
The steps to becoming eligible to immigrate by way of the Executive Express Entry Program are as follows:
Establish your business in Canada
Applicants have four ways to invest in a business as a foreigner:
- Start a new business, where the minimum operational period for this type of business venture is at least 12 months before they can apply for permanent residency
- Buy an already operational business with no minimum operational period required. However, the applicant must own 51% of the business and have at least 1 Canadian employee
- Buy shares of an already operational business, which has been operational for 12 months and has sufficient working capital
- Buy a franchise of a pre-existing business. The requirement here would be to have at least one Canadian employee working for the franchise
All these businesses must be active for the permanent residence application to be eligible.
Getting a work permit
The applicant can choose from several different work permits available. The choice should be based on their particular background and immigration goals. Some of these options are:
- LMIA-based work permits,including Owner-Operator
- Intra-company transferees(“ICTs”)
- Investors under free-trade agreements
- Work permits for entrepreneurs and self-employed candidates
Operating your business for the required time period
The applicant is required to have an “active” business for a minimum period to be able to apply for permanent residency. The company needs to comply with the following conditions to be considered “active”:
- The company should be selling products or services to actual and existing customers
- The company should have all the licenses and permits necessary to operate in Canada
- The company should have a physical location within Canada
- The company should have at least one Canadian employee unrelated to the applicant
Applying for permanent residence
Once the business has been active for the required duration, the business owner or investor can apply for permanent residence by fulfilling these conditions:
- The applicant should have a minimum score of CLB 7 for their language skills
- The applicant should at least have qualifications that are equivalent to a high school degree
- The applicant should have a police clearance
- The applicant should have medical clearance
The benefit of choosing this option is that you don’t have to present a minimum upfront investment and the duration of getting your permanent residence is relatively short (12-18 months). However, there is still a high language level requirement with this particular option.
Provincial Nominee Programs (PNP)
This option is similar to the Executive Entry Program; the only difference is that you directly apply to the Provincial Nominee Program for business immigration.
How to apply to the Provincial Nominee Program
The exact application process varies from province to province, however below is a general outline:
- You will begin by registering an expression of interest with your preferred province
- Once you receive an application invitation, you will have to apply for the interview
- After passing the interview, you will have to sign a performance agreement with the province
- You will then apply for a Canadianwork permit
- Upon your arrival in Canada as a foreign worker, you’ll have to establish your business and operate it following the performance agreement you signed
- When you have fulfilled the requirements of your agreement, you will apply for nomination and, later on, permanent residence
The benefit of opting for PNP is that it has a substantially lower language skill requirement. Yet, this program requires proof of a larger initial investment and it takes longer for you to obtain permanent residence (an average of 24-36 months).
Start-Up Visa Program (SUV)
Canada offers a Start-up Visa program to attract businesses entrepreneurs who would establish themselves in the country and provide more job opportunities for Canadians. It is one of the most efficient ways of obtaining permanent residence and requires little investment capital.
Business immigration applicants through the Start-up Visa Program must fulfill the following conditions:
- Firstly, the applicant needs to present their business proposal to a Canadian-designated organization; that has been chosen to assess and support start-ups through the Start-up Visa Program
- The applicant must meet the minimum language criteria of CLB 5 in either English or French
- They should possess the funds required to settle in Canada (e.g., approx. USD 10,000 for a single person and USD 2,500 per family member)
- The applicant should reside in a province or territory in Canada other than Quebec
- Lastly, the applicant should clear the Canadian security and medical tests.
How to apply to the Start-up Visa Program?
Applying to a Start-up Visa Program depends on the designated organization. Each organization has its particular intake and review procedure. A general outline of the process is as follows:
- Pitch a deck and business plan to a designated organization
- Receive a Letter of Support from a designated organization, required by the program
- Submit Immigration Application (that fulfills the requirements of qualifying funds and minimum language criteria )
- Apply for a work permit and PR.
- Upon receiving their visa, they should relocate to Canada and fulfill the required operational period to apply for permanent residency.
The advantage of applying for the Start-up Visa program is that you do not require a minimum initial investment or a net worth requirement. The applicant can choose to live anywhere in Canada (other than Quebec). A bonus is that your permanent residency remains unaffected if your business fails.
Contact Titan Law Corporation
Applicants interested in business immigration to Canada can apply to any of the above mentioned programs. Applications can be filed independently, however it is strongly advised to hire a lawyer to help with the process, as it can often be a long and exhaustive one.
Our expert team of business immigration lawyers will help you analyze which program would be the most effective and efficient path for your to obtain Canadian citizenship. We will also assist you with filling out applications as well as connect you with other industry professionals to ensure all aspects of your immigration to Canada are taken care of.
