Canada Investor Visa (Comparison Of ICT, C11, SUV And WP2PR)

The Government of Canada has created various immigrant investor programs that lead to permanent residency and potential citizenship. Various immigration programs in Canada are tailored to foreign entrepreneurs, investors, and companies which make applicants eligible for permanent residency. As a result, there is no single Canada Investor program; instead, there are numerous options for investor immigration. These options can be divided into federal and provincial programs. Choosing the right immigration program, federal or provincial, will play a big role in the success of your immigration strategy. It is essential to select the program that is the most suitable for your business and your personal background.

The following are business immigration programs that are created on the federal level

Canada’s Intra Company Transfer (ICT) Program

The Canadian immigration framework provides for various business immigration routes. Canada’s Intra Company Transfer (ICT) program is well-suited for foreign business owners who wish to expand their existing operations to Canada. ICT is an immigration pathway under the International Mobility Program that allows qualified foreign business owners to transfer their businesses to Canada and acquire a work permit. Through the ICT pathway, you will be able to secure an ICT Work Permit and eventually permanent residence (PR). In most cases, the principal applicant’s spouse and children will gain an open work permit and study permit, respectively.

Who Can Apply For ICT Program?

• Business owners, entrepreneurs, and shareholders of successful companies who are currently holding executive positions in that company and who intend to do similar work in Canada.
• Senior managers and functional managers who are currently working in a foreign company and intend to occupy a similar position in Canada.

Key employees of a business who have advanced specialized knowledge that is unique or uncommon.

Intra Company Transfer Canada Requirements

Entrepreneurs who own successful businesses in their home countries can apply for the ICT WP to expand their business to Canada. There are several additional requirements that entrepreneurs must

meet in order to secure a work permit under the ICT program, including the following:

• The home company must be operational for at least 12 months (but ideally for at least 3 years) before expansion to Canada;
• The home company must be financially sound and capable of supporting foreign operations in Canada;
• The applicant seeking an ICT WP must be working/engaged with the home company for at least 12 months in the past three years prior to the immigration application;
• The home company must be related to the company in Canada as a parent, subsidiary, or affiliate company; and
• Canadian operations will be a viable enterprise and result in job creation for Canadians.

If it is an initial expansion to Canada of a foreign company, then immigration officers will also check to confirm the following:

• Is there a sound business plan that demonstrates that Canadian operations will be a viable enterprise and can generate sufficient revenue to cover its costs and compensate its employees?
• Will this expansion result in job creation for Canadians?

Will the company be large enough to require an executive or a manager in Canada?

Thus, if it is the first ICT application in Canada, companies are required to establish that expansion to Canada makes business sense for the company and that the newly established operations in Canada are likely to succeed and become large enough to hire local staff. Therefore, for companies expanding to Canada for the first time, it is critical to present a solid business case and explain the rationale for expansion in addition to meeting basic eligibility criteria for the ICT applications.

Note: The Canadian government does not set any minimum investment amounts for companies expanding to Canada. However, the companies must be financially sound and have the required capital to support their new operations in Canada and hire local talent. Therefore, in reality, companies must be able to demonstrate solid gross sales exceeding $250,000 per year and access to liquid funds in the amount of at least $100,000 to cover the first year’s operational costs. In addition to the initial investment capital, applicants should demonstrate that they have access to additional funds or assets to support the business in Canada if it does not reach self-sufficiency by the end of year 1.

C11 Work Permit

The C11 Entrepreneur Work Permit was created under the International Mobility Program (IMP) and allows foreign entrepreneurs and investors to obtain a work permit in Canada as self-employed individuals. The Initial work permit is usually issued for two years and can be extended several times, provided that your business in Canada is active and profitable. Self-employed entrepreneurs and business owners in Canada operating their businesses under the C11 work permit may eventually become eligible for permanent residence in Canada.

Who Should Apply For A C11 Entrepreneur Work Permit?

The C11 work permit is suitable for the following categories of individuals:

• Self-employed individuals that would like to start a business in Canada;
• Entrepreneurs who would like to buy a business or franchise in Canada;
• Individuals selected under any of the Entrepreneur streams of the Provincial Nominee Programs;
• Startup founders who have submitted their PR application under the Startup Visa Program.

This program is perfect for those who:

• Do not plan to spend significant time in Canada but rather come to Canada temporarily to establish a business;
• Those who intend to establish businesses in remote areas;

Those who offer unique services or products that are likely to benefit Canadians.

If you are considering the C11 work permit, you will need to convince the immigration officer that:

• You own your business or a majority share of your business in Canada (at least 50%);

• You have the relevant experience and capacity to operate your business in Canada;
• You have the financial capacity to execute your business plan;
• Your business plan is feasible and can be implemented;
• You have taken significant steps to execute your business plan;

Your business will generate “significant benefit to Canada.”

It is essential to understand that, in general, when assessing the “significant benefit to Canada” requirement, the immigration officer will review whether:

• Your business will create an economic benefit for the Canadian economy. You can satisfy this requirement by creating new jobs, actively participating in the economic development of a region, or contributing to Canadian exports.
• Your business will contribute to the advancement of a particular industry in Canada. You can satisfy this requirement by innovating products or services, contributing to technology innovation, or creating opportunities for Canadian workers to improve their skills and gain experience.
• Your business will have a negative effect on the Canadian economy. Make sure to avoid activities that could potentially have harmful consequences on Canadian culture, economy, or society.

Note: When you apply for the Entrepreneur Work Permit, C11, your family members can also immigrate to Canada with you. For instance, your spouse could be eligible for an open work permit, while your children could receive study permits.

Start-Up Visa Canada

Canada’s Start-Up Visa (SUV) allows foreign entrepreneurs to obtain permanent residence in Canada through business immigration. Owners of innovative start-ups or established foreign companies may be able to use this program to permanently relocate to Canada along with other founding partners (up to 5 partners), provided that they meet other requirements for the program.

Start-Up Visa Canada: Eligibility Requirements 2023

Below is the list of requirements as set by the Canadian immigration authorities for entrepreneurs who wish to apply for permanent residence in Canada under the SUV program:

• Foreign nationals must get a Letter of Support or investment commitment from one of the Designated Organizations in Canada;
• Each foreign national must own at least 10% of the shares in the startup. Foreign nationals and their Designated Organization must jointly have more than 50% of the total shares (voting rights) in the start-up venture;
• Each applicant must meet the minimum English or French language skill at CLB level 5; and
• Each applicant must have sufficient funds to settle in Canada (at a minimum, between $12,960 – $34,299, depending on the size of the applicant’s family).

In addition to the above, to be successful in this program, entrepreneurs should be prepared to also meet the following basic criteria:

• Ownership of an innovative or successful business that is generating scalable and sustainable revenue or has strong market validation;
• Access to capital fund your start-up venture, usually around $200,000 at a minimum per applicant;
• Have highly specialized knowledge or unique experience in your field or have solid managerial experience; and

Have an upper-intermediate level of English and/or French language skill(s).

Who Should NOT Apply For Canada’s Startup Visa

The Start-Up visa program is NOT the right program for foreign entrepreneurs who have limited capital to invest in their start-up venture in Canada. One of the key requirements for the Start-Up Visa program is to obtain a letter of support or investment commitment from one of the Designated Organizations in Canada. The chances of getting support from a Designated Organization are close to zero if you (or your company) do not have sufficient capital to invest into your venture.

Although the SUV program is advertised as “no minimum investment is required”, in reality, your venture should be well-capitalized in order to receive support from the Designated Organizations. It is naive to believe that if you have a great idea, VCs or Angel Investors in Canada will invest in your venture and provide you with the seed capital. This is usually not the case. VCs and Angel Investors always look for great companies with a history of traction and generating millions in revenue before they invest any funds. Thus, if you are an entrepreneur with a great product or service and limited capital to grow your venture (less than $200,000), the Start-Up Visa program might not be the right pathway for you. Don’t be discouraged, we will discuss alternative pathways below.

Work Permit To Permanent Residence’ (WP2PR) Program

WP2PR is not an official federal or provincial program, it is based on the existing immigration rules, regulations, policies and programs. WP2PR is essentially “self-sponsorship” where the applicant’s own business effectively “sponsors” him or her for permanent residence. There are no minimum net worth or investment requirements, but applicants should have sufficient net worth and funds to support themselves in Canada while starting up and operating their business. Applicants should also possess functional English or French language skills. Normally, the applicant must also have a post-secondary education credential to qualify.

The WP2PR pathway only has a few major steps. We usually start by applying for an initial work permit for the client so that they may come to Canada to buy or start a business, although a work permit is not strictly required. Once the business is operational, apply for a Labour Market Impact Assessment (LMIA), which is typically processed quickly. After obtaining the LMIA, the applicant is usually eligible to apply for permanent residence through the Express Entry system.

WP2PR highlights:

• Get a work permit quickly
• Rapidly establish a Canadian business
• Obtain permanent residency quickly for the family
• Spouses get open work permits
• Minor children may attend Canadian schools for free
• Access Canada’s excellent healthcare system
• No minimum net worth requirements. Please note that while there are no minimum requirements, you should be able to demonstrate the financial means to start and operate a business in Canada
• No minimum investment requirements

Note: ICT and C11 is not direct pathway to immigration but OINP is. In OINP we are doing normal PNP, which is outside under Express Entry so it is not point-based but rather on how business is running, so age requirement, language requirement and other requirements are there.