Have you ever considered starting a business? If so, then Canada may be one of the best places to do so. This is because Canada offers ideal conditions for new businesses to grow. Additionally, its government offers immigration plans for foreign entrepreneurs and investors. In this article we will explore what makes Canada suitable for new companies and investors. Lastly, we will walk through the steps required to receive Permanent Residence through the Start-Up Visa and Investor PNPs.
Canada's Business Advantages
Canada is widely considered to be one of the best countries to start a business in. There are many reasons for this, and here we will explore a few. First, Canada is rich in natural resources. Because of its large sum of land, Canada has varied environments that contain very different resources. Thus, this country supports a variety of primary industries, including forestry, mining, fishing, agriculture, and many more. As a result, there is space to grow for new companies specializing in these fields, as well as plentiful cheap resources for secondary industries.
Beyond Canada’s natural advantages, the country’s socio-economic climate is extremely favorable for new businesses to grow. Being a capitalist country with free markets, everyone, including immigrants, has the same opportunity to mount a successful business. Further, Canada’s free market has led to low taxes and costs on companies and businesses. Consequently, the country’s workforce is highly skilled, educated, and well-trained. Lastly, Canada’s government is reliable, and its socio-economic structure is not subject to drastic change. In fact, Canada is the highest-ranking North American country in The Global Economy’s Political Stability Index.
The Start-Up Visa
This is the federal government’s immigration program geared towards foreign entrepreneurs and investors. This will be a summary of the program, though you can find an in-depth explanation of the Start-Up Visa in this article. For now, we can list an outline of the program’s requirements. First, applicants must have an eligible business, which means that it is incorporated and operated in Canada. Second, a CLB of 5 for English or French. Language requirements are not as strict as in programs like Express Entry. Lastly, applicants must have enough money to sustain themselves for a time in Canada.
Once requirements are met, the process can begin. First, your business needs funding. Thankfully, Canada has many investors looking to lend new start-ups a hand. You can receive different amounts of funds from various sources. If you find angel investors, they must pledge a total of $75,000 CAD. Alternatively, a designated entity (you can find a list of them here) must provide $200,000 CAD in total. Lastly, you can ignore said methods if you are accepted by a business incubator. Upon successful partnership through one of these methods you can apply for a work permit and Permanent Residence.
The Start-Up Visa program has some unique advantages. First, applicants can receive Permanent Residence very quickly and simply. In fact, all that is needed is approval from the necessary investors. Additionally, there can be up to 5 Permanent Residence candidates within the same start-up. However, remember that each applicant must gold at least 10% of company voting rights. Lastly, the Start-Up Visa allows you to live anywhere in Canada, except Quebec, which has its own immigration systems.
PNPs for Investors and Business
One alternative to the Start-Up Visa programs are PNPs that focus on foreign investors. PNPs, or Provincial Nomination Programs, are created by each province to find individuals that can have positive impact on their economies. You can read this article to learn more about PNPs. This method may be more costly than the Start-Up Visa, but it can be less complicated. However, Permanent Residence will take longer to achieve through this route.
Most provinces and territories in Canada have at least one PNP that focuses on investors. The base requirement for each is a minimum net worth along with an investment spread over 1-2 years. Most provinces will have a minimum net worth requirement of around $500-600 thousand CAD. However, competitive provinces like Ontario and Quebec can require as much as $900 thousand CAD. Additionally, most provinces require a minimum investment between $150-250 thousand CAD. Often, some provinces will have additional requirements like experience with management, or a job creation quota.
Want to Do Business? So Do We
Canada offers a variety of immigration options for foreign entrepreneurs and investors. At Gentium Immigration we wish to help you make the right choices along the way. In fact, our consultation services can provide personalized professional advice and ease the immigration process. Book an appointment with one of our certified consultants today to start your journey! We hope to hear from you!