doing business in canada - Davies Ward Phillips & Vineberg LLP

To be admitted under the family class, an applicant must be sponsored by a close family member who is aCanadian citizen or a permanent resident. Members of the family class include a spouse, a common law partner,a conjugal partner, a dependant child, a parent, a grandparent, or, in some cases, another close relative.Within the economic classes, persons in the "skilled workers" category are assessed based on a point systeminvolving a series of criteria including employment experience, education, proficiency in the official languages ofCanada, age, the existence of an arranged employment offer and adaptability.Certain of the economic classes, called "self-employed immigrants", "entrepreneurs" or "investors", can takeadvantage of the Business Immigration Program.THE BUSINESS IMMIGRATION PROGRAMThe Business Immigration Program is a special program designed to facilitate immigration for qualified businesspersons who intend to invest capital in Canadian business ventures. It applies to three categories of immigrants:"self-employed persons", "entrepreneurs" and "investors".In general, the Business Immigration Program gives people who want to engage in business in Canada priority inthe processing of their applications. Business immigrants may be conditionally or unconditionally admitted intoCanada, depending on the circumstances.The "self-employed persons class" are those with relevant experience who have the intention and ability tobecome economically established in Canada and who have previous experience as self employed persons incultural activities or athletics, who have participated at a world-class level in cultural activities or athletics, orwho have experience in farm management."Entrepreneurs" are people with the intention and ability to purchase, establish, or make an investment in abusiness or commercial venture in Canada, and who plan to take an active role in its management. Theentrepreneur must demonstrate a minimum net worth of $300,000. The Canadian business must contribute tothe Canadian economy and create jobs for Canadians. The entrepreneur is assessed on his or her track record,experience in a specific sector and on his or her financial capacity to undertake a significant enterprise. Theentrepreneur must demonstrate management experience and control of a percentage of equity in a "qualifyingbusiness". In order to qualify, the applicant's current business must meet certain standards regarding numberof full-time jobs, total annual sales, net income and net assets. After the entrepreneur arrives in Canada, his orher status as a permanent resident is conditional upon the establishment of a "qualifying Canadian business".Within three years of becoming a permanent resident, the entrepreneur must demonstrate that his or herCanadian business meets certain standards in respect of employment of Canadians, total annual sales, netincome and net assets. This class is intended for people who operate small to medium size businesses in themanufacturing or retail sectors."Investors" are people with a proven business record, who have accumulated some wealth and who are preparedto make an investment in Canada, but who do not wish to actively participate in its management. An investor isrequired to have a net worth of at least $800,000 and to invest a minimum of $400,000 for at least five years.An investor's business experience must include the management of a "qualifying business" and the control of apercentage of equity in that business. As is the case with entrepreneur applicants, in order to qualify, theinvestor applicant's business must satisfy certain standards regarding number of full-time jobs, total annualsales, net income and net assets.QUÉBECIf an immigrant's destination is Québec, a permanent resident visa will be issued if federal officials are satisfiedthat the immigrant meets the Canadian health and security criteria and a Québec officer has determined that, ifthe applicant is an economic immigrant, he or she meets the Québec selection criteria, or, if the applicant is an70 Temporary Entry and Permanent Residence