Business Class

 

Overview

The Business Immigration Program pursues economic development and employment objectives in Canada by attracting people with capital and strong business and entrepreneurial skills. The Program also seeks to develop new commercial opportunities and to venture into foreign markets by encouraging immigrants who are familiar with foreign markets.

 

The Business Immigration Program currently has three categories: Entrepreneurs, Investors, and the Self-employed category. Generally Applicants fall within one of these three categories, depending on their business plans for Canada. Provincial Nominee Programs are also now being used to facilitate the entry of business persons into Canada.

 

The Business Immigration Program is different from the Independent Immigrant Category in that substantial net worth and business-related experience is required. Certain documentation must be provided to the visa office, to establish a strong business background along with a solid and liquid asset base.

 

The Point System

Similar to the Skilled Worker Category for permanent residence, the Business Immigrant Program selection criteria are based on a point system. The pass mark for this criteria is 35 points. There are five (5) selection factors within the point system by which the Applicant is assessed, namely:

• Business Experience (maximum of 35 points) – the amount of business experience the Applicant has obtained beginning five years prior to the date of application.
• Age (maximum 10 points) – The current age of the Applicant. The ideal age is between twenty-one and forty-nine (21-49) years.
• Education (maximum 25 points) – The highest level of education attained, and the total number of years of education by the Applicant.
• Language Ability (maximum 24 points) – The Applicant’s ability to speak, listen, write, and read in either one or both of Canada’s official languages - English or French. Please note that if the Applicant claims points under the language factor, proof of language proficiency must be provided.
• Adaptability (maximum 6 points) – The elements for receiving points under this factor vary depending on the category chosen.

Entrepreneur Category

In order to successfully apply as an Entrepreneur, the Applicant must meet the specific requirements and comply with the selection criteria. Most important is the Applicant’s intent and ability to do business in Canada. Business experience is the best indicator of the Applicant’s intent and ability to perform in Canada. In order to meet this requirement, the Applicant must show they have managed a Qualifying Business and controlled a percentage of equity of a Qualifying Business for at least two years in the period beginning five years prior to the date of application.

 

There are a number of factors that a visa officer will consider when assessing whether an Applicant qualifies under the Entrepreneur category. These factors include the following:

• Net worth (minimum of CDN$300,000.00);
• Past and present fields of activity;
• Level of expertise; 
• Specialized business training; 
• Standing and recognition in the business community; 
• Market research; 
• Exploratory visits to Canada; 
• Preparation for the move to Canada; 
• Educational background; 
• Memberships in professional associates; 
• Official language proficiency; 
• Ownership of assets in Canada; 
• Relatives in Canada; and 
• Other knowledge of Canada or connections with Canada.

As a condition of qualifying under this program, the Entrepreneur must control and actively manage a Qualifying Canadian Business for a period of one year, within three years of coming to Canada, and the business must employ at least one Canadian citizen or permanent resident (other than the entrepreneur and his/her dependents).

 

Qualifying Business

A Qualifying Business is one that was not operated primarily for the purpose of gaining investment income (i.e. interest, dividends or capital gains). In each of any two years in the five year period prior the date of application, the business:

• The percentage of equity multiplied by the number of full-time job equivalents is equal to or greater than two full-time job equivalents per year;
• The percentage of equity multiplied by the total annual sales is equal to or greater than CDN$500,000.00; 
• The percentage of equity multiplied by the net income in the year is equal to or greater than CDN$50,000.00; and 
• The percentage of equity multiplied by the net assets at the end of the year is equal to or greater than CDN$125,000.00.

Qualifying Canadian Business

A Qualifying Canadian Business is one that is operated in Canada by the Entrepreneur, but is not operated primarily for the purpose of gaining investment income (i.e. interest, dividends or capital gains). Further, the Entrepreneur must show that in any year within the three-year period after he/she became a Permanent Resident that:

• The percentage of equity multiplied by the number of full-time job equivalents is equal to or great than two full-time job equivalents per year; 
• That the percentage of equity multiplied u the total annual sales is equal to or great than CDN$250,000.00;
• That the percentage of equity multiplied by the net income in the year is equal to or greater than CDN$25,000.00; and 
• The percentage of equity multiplied by the net assets at the end of the year is equal to or greater than CDN$125,000.00.

Investor Category

Investors must have successfully operated, directed or controlled a Qualifying Business, and have an accumulated net worth of at least CDN$800,000.00. The Federal Investor Program is for those Applicants who plan to reside in a province or territory other than Quebec. Should an Investor wish to reside in Quebec, he/she should apply directly to the Quebec Immigrant Investor Program.

 

The Investor participating in either of the Federal Investor or Quebec Investor Programs, will be required to invest CDN$400,000.00, which will be allocated to participating provinces and territories in Canada. These governments use the funds to in the generation of Canadian business. There is no day-to-day work required to support the investment, and no conditions that are attached to the Permanent Resident (unlike the Entrepreneur category). The full amount is guaranteed by the participating provinces and territories and is returned to the Investor after five (5) years without interest.

 

Self Employed Category

Self-employed Applicants are required to either purchase or establish a business in Canada in which they themselves will be employed. Most Applicants applying under this category have a career that is either of a cultural or artistic nature such as a farmer, musician, athlete or artist. Their business plan must be such that it provides for themselves and their families and will also benefit Canada’s culture and economy. Thus, the Applicant is required to show all documents relating to the money that they have earned form their previous endeavours as well as the taxes that have been paid. Previously owning a business is not a requirement for the Self-Employed Applicant, providing that the Applicant can show that he/she has the ability to support his/her family.

 

Spouses

A spouse is defined as and individual who is 16 years of age or older and is a:

• spouse by marriage;
• common-law partner; or 
• conjugal partner

Dependents

A dependent child is defined as:

• A child under the age of 22 and does not have a spouse or common-law partner; 
• A child who has been and still is a full time student and is substantially dependent on a parent for financial support since before the age of 22; or 
• A child who financially dependent on a parent since before the age of 22 because of a disability.

Medical Examinations

The Applicant and each of his/her dependents (whether accompanying the Applicant or not) is required to undergo a Medical Examination. The Medical Examination must be performed by a physician who has been approved by Citizenship and Immigration Canada to perform these important exams. The Applicant and each dependent must pass the Medical Examination, therefore showing that neither of them has a medical condition that creates a danger to public health, or would cause significant demands on Canada’s health and/or social services.

 

Police Certificates

Each Applicant and dependent over the age of eighteen (18) must provide police clearances from each country in which they have resided for more than six months. The Applicant may have to consult various Consulates, Embassies and High Commissions for countries where difficulties arise in obtaining the required clearances.

 

Leaving Canada

A Permanent Resident is free to travel in and out of Canada. However, if order to comply with the residency obligations, he/she must accumulate two years of physical presence in Canada for every five-year period after they become a landed Permanent Resident (arrived in Canada). An exception to this rule would only apply to any one of the following:

• The Permanent Resident is accompanying a Canadian-citizen spouse or common-law partner; 
• The Permanent Resident is a child under 22 years of age, accompanying a Canadian-citizen parent; 
• The Permanent Resident is employed on a full-time basis by a Canadian business, the Public Service of Canada or the public service of a Canadian province; or
• The Permanent Resident is a child under 22 years of age, accompanying a permanent resident parent who is outside Canada and employed on a full-time basis by a Canadian business, the Public Service of Canada or the public service of a Canadian province.

A Permanent Resident may lose his/her status if she/he fails to comply with the residency obligations. When a Permanent Resident fails to meet their residency obligations, a departure order may be issued. This order requires that person to leave Canada. The decision to issue a departure order may be appealed to the IAD within 30 days of receiving the notification.

 

For further information regarding the procedures for applying for Canadian Permanent Residence under the Business Category, please contact our office.