Canada Start-Up Visa: How You Could Immigrate To Canada In 2022

Colin R. Singer
janvier 13, 2022

The Canada Start-Up Visa is set to be an important pathway in helping Ottawa hit its target of 411,000 new permanent residents in 2022. and drive the creation of many small businesses.

In 2020, Ottawa announced it would welcome 401,000 new permanent residents in 2021, 411,000 in 2022 and 421,000 in 2023.

Canada’s Start-Up Visa Program is one of the ways the country is hoping to drive the growth of new businesses and help grow the economy.

The program offers both the flexibility to start a wide variety of businesses and the opportunity to gain permanent residency in Canada for foreign nationals.

Canada Start-Up Visa Video

To receive permanent residence in Canada, the following criteria must be met under the Start-Up Visa Program:

Applicants must be actively involved in the management of the business within Canada;
The operations of the business, or an essential part, must take place in Canada, and;
The business must be incorporated in Canada.

Canada’s Start-Up Visa program does not apply to applicants who intend to reside in the province of Quebec.

Successful candidates to the Canadian Start-Up Visa Program receive a letter of support from a government-designated entity (angel investor group, venture capital fund or business incubator).

Start-Up Visa Requires Approved Business Plan

The government-designated entity is primarily responsible to determine the viability of the applicant’s intended business and present an approved project along with a Commitment Certificate to immigration authorities. Applications are assessed on a pass-fail basis. See the list of designated entities.

Applicants to Canada’s Start-Up Visa program must meet four basic eligibility requirements:

Have a qualifying business
Obtain a commitment from a designated entity in the form of a Commitment Certificate and Letter of Support;
Have sufficient unencumbered, available and transferable settlement funds, updated each year (the requirements are identical to those for skilled workers);
Demonstrate sufficient proficiency in English or French through standardized testing (Canadian Language Benchmark level 5) ;

The required commitment from a designated entity must meet the following criteria:

A designated angel investor group must confirm that it is investing at least $75,000 CAD into the qualifying business, or two or more commitments from designated angel investor groups totaling $75,000 CAD, or;
A designated venture capital fund must confirm that it is investing at least $200,000 CAD into the qualifying business or two or more commitments from designated venture capital funds totaling $200,000 CAD, or;
A designated business incubator must confirm that it is accepting the applicant into its business incubator Program.

In order to qualify, the intended business must be incorporated and carrying on business in Canada at the time the commitment is made and:

The applicant owns a least 10 per cent of the voting rights in the corporation, and;
No other person holds 50 per cent or more of the total amount of voting rights in the corporation.

Up to five applicants may have their application for permanent residence supported by the same business investment. However, certain applicants may be designated essential to the intended business. If any of the essential applicants withdraw their application or are refused for other reasons, all other applicants under the same business investment will see their applications terminated.

Entrepreneurs Can Get Short-Term Work Permits To Start Businesses

Applicants who have secured a Commitment Certificate from a designated entity, and who wish to begin working in the business during the processing of their permanent residence application may apply for a short-term work permit on the basis of their Commitment Certificate if the designated entity supports such a request.

To receive a work permit, an applicant must provide:

A letter of support from the designated entity; and
Proof they have sufficient funds to meet the low-income cut-off (LICO) for their family size, for one year.

To receive permanent residence, the following criteria must be met:

Applicants must be actively involved in the management of the business within Canada;
The operations of the business, or an essential part, must take place in Canada; and
The business must be incorporated in Canada.

Designated entities that may support an application under the Start-Up Visa program are:

Designated Venture Capital Funds

Designated Angel Investor Groups

Designated Business Incubators

Through its Toronto based facilities, Immigration.ca works extensively with industry-acclaimed designated entities in the Canadian start-up ecosystem. The firm provides a range of hands-on business advisory services to help intending entrepreneur immigrants and their start-up business concept meet all industry requirements.

To find out if you qualify for the Start-Up Visa program, click here.