Record immigrants move to Canada under Canada Startup Visa

Author: Nationwide Visas

A record number of 250 overseas nationals have settled in Canada through the Canada Startup Visa in the past five months. It indicates that many immigrants have established new ventures in Canada. This also places Canada on the path to accepting 600 fresh PR Visa holders through the program in 2022. It is the highest figure after the launch of the program in 2013 as a 5-year pilot program.

The allocation of PR status through Startup Visa was paused for a while during the pandemic. With the reopening of international borders, the program rebounded to welcome 385 fresh PR Visa holders in 2021.

The requirements to apply for the Canada Start-up Visa

The application for the Start-up Visa program requires confirmation from a designated Venture Capital /VC Fund for the investment of a minimum of $200,000 for the business.

Alternatively, applicants can also become eligible by obtaining 2 or multiple commitments from VC Funds amounting to $200,000. Additionally, 1 or multiple Angel Investors have to make investments of a minimum of $ 75,000 for the business.

Next, a designated Business Incubator has to accept the SUV applicant into its venture incubator program. The responsibility of the immigrant investor includes developing a feasible business plan that will fulfill the due diligence criteria of the designated entities approved by the Government.

Essential eligibility requirements for the Canada Startup Visa are:

Have an eligible business

An eligible business implies that you have set up a business that fulfills the below criteria.

While receiving a designated organization’s commitment:

  • Every applicant possesses 10% or more of the rights to vote linked with total shares of the corporation outstanding at that period of time (maximum 5 individuals can apply as proprietors), and
  • The designated organization and the applicants together possess 50% plus of the total rights to vote linked with total shares of the corporation outstanding at that period of time

While receiving your status as Permanent Resident:

  • You offer continuous and active management of the business in Canada
  • You are a vital participant in the business operations happening in Canada
  • Your business has Canada incorporation

Obtain a letter of support from a nominated organization

You are required to obtain a support letter from a designated agency (a business group that has approval for investing in or supporting likely Startups).

You must:

  • Connect with the designated agency for finding out the method of getting support
  • Persuade the agency that your business idea deserves support
  • Obtain a support letter from the designated agency

The process for pitching your idea differs based on the organization as each organization has unique requirements. For instance, you can be asked to offer your business idea personally or present a comprehensive plan of business.

You will receive a support letter from the designated agency if an agreement is concluded. This letter has to be included in the application form. It is proof required to demonstrate that the business incubator, angel investor group, or venture capital fund is backing your business idea.

The agency will also share a certificate of commitment with IRCC. Both the support letter and certificate of commitment will be used for assessing your application. It can seek extra business details for reaching a final decision about your application. Failure to offer a support letter or fulfill any other criteria will result in the rejection of your application.

Fulfill the language requirements

The competency for communicating and working in English or French or both will assist your business in succeeding in Canada. You have to appear for a test for language from an authorized agency and offer results with your application. Otherwise, your application will not be processed.

You have to fulfill the least level of 5 CLB - Canadian Language Benchmark in French or English in all 4 sections:

  • Speaking
  • Listening
  • Reading
  • Writing

You must use your results from the test for identifying your CLB level. Your application will be refused if you do not fulfill the minimum proficiency level in the language.

Carry adequate money to settle

The Canadian Government does not offer monetary aid to freshly arrived immigrants on Start-up visas. You have to offer evidence with your application of possessing funds for supporting yourself and your family members upon arrival in Canada. This money cannot be borrowed from another individual.

The required amount depends on your family size and is updated annually by IRCC.

Funds required in CAD

Number of

family members

13,310

1

16,570

2

20,371

3

24,733

4

28,052

5

31,638

6

35,224

7

3,586

For every extra family member

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