Qualifying as a Business Immigrant
Qualifying as a Business Immigrant
Canada welcomes business immigrants who have the ability and resources to invest in or establish businesses in Canada. During 1998, business immigrants invested more than $437 million in Canada. The Business Immigration Program allows immigrants to enter Canada provided they meet the program’s criteria and strictly follow the ministry or government guidelines. As regulations change from time to time, and vary from Province to Province, anyone interested in this program should check with the appropriate authorities to ensure that they have the most current information.
All business immigrants must apply for immigration from outside of Canada. Business immigrants must apply at one of nine ‘Business Immigration Centres”, which are located in Beijing, Berlin, Buffalo, Damascus, Hong Kong, London, Paris, Seoul and Singapore.
Obtaining entry into Canada can take anywhere from six months to a year or longer, depending upon how complete the application is when it is submitted. The process includes; submitting the application, attending a personal interview at a Canadian embassy, and medical and security checks. As the application requires the preparation of a business plan or proposal, it is advisable that a prospective immigrant consults a lawyer and a professional accountant for assistance. You can visit the Government of Canada site on immigration information for more information at www.canadainternational.gc.ca.
Business immigrants can apply to enter Canada in one of three ways:
1. As an entrepreneur
2. As an investor
3. As a self-employed person
Qualifying as an Entrepreneur
An entrepreneur must establish or buy a business in Canada. There is no set amount to invest, but it should be sufficient to establish the business within two years, while supporting the entrepreneur and his family. The entrepreneur is expected to participate actively in managing the business. The business must contribute to the Canadian economy and create one or more jobs in Canada in addition to the jobs created for the entrepreneur and his family. The entrepreneur is admitted on the condition that these requirements are met within two years of landing, and is expected to meet regularly with an immigration officer to monitor compliance with the terms and conditions. In most cases, a successful applicant will be given conditional landed immigrant status for two years. Permanent landed immigrant status is only granted if the business is established within two years and the applicant meets the Ministry guidelines.
An immigrant is not required to have past business experience or make a substantial investment, but they are required to create employment and to have ongoing management of the business. Regardless, past business experience and a substantial investment will improve an immigrant’s chances of being approved for immigration. Although immigration is the responsibility of the Federal Government, immigration officials are influenced by guidelines of the respective Provincial Government about what type of applicants is preferred.
Prospective immigrants who wish to make an application under the Business Immigration Program should prepare a business plan that will persuade an immigration officer that the proposed investment will be successful. As many applications are declined, an individual should not make an investment or sign any agreement before receiving official permission to immigrate, unless they are willing to make the investment without immigrating to Canada.
Qualifying as an Investor
This category is the easiest and quickest way of becoming a landed immigrant, and is attractive if you do not wish to be actively involved in running a business in Canada.
To qualify as an “investor” you must meet the following criteria:
* You have operated, controlled or directed a financially successful business,
* You have by your own efforts accumulated a net worth of at least $800,000, and
* You are willing to make an irrevocable investment of at least $400,000 in a fund secured and managed by the Government.
Applicants make their $400,000 investment to the Receiver General for Canada at National Headquarters in Ottawa (NHQ). NHQ acts as agent for the approved provincial funds by collecting the investments and distributing them according to the IIP allocation formula (50 percent divided equally among approved funds and 50 percent distributed according to provincial gross domestic product). The provincial funds are responsible for investing their allocations to strengthen their economies and to create or continue employment. They report to NHQ annually, and after the five-year holding period remit the $400,000 investment back to NHQ. Upon receipt, NHQ then returns the investor’s $400,000 (without interest). Participating provinces secure their own funds’ allocations.
Qualifying as Self-Employed
Many immigrants apply under this category, but few applications are accepted. A self-employed business immigrant is considered to be a person who intends to, and has the ability to, establish a business in Canada that will create an employment opportunity for himself or herself alone. This person must also be willing to make a significant contribution to the economic, cultural, or artistic life of Canada. The self-employed category is mainly intended for farmers, sports personalities, artists, writers, and others working in theatrical, cultural or artistic endeavors.
Norman P. Friend
President
Franchise 101 Incorporated.
