Start-up companies have been getting word of the cancellation of the Federal Immigrant Investor program. The Federal Entrepreneur program is also being canceled. What are the replacement programs?
The Start-up Visa Program and the Immigrant Investor Venture Capital Program that were set up in 2014 have been a sought after financing option for companies in Canada. Over 2,500 applicants a year that could push the market capitalization to over $750 million over the next few years.
The programs issue Canadian permanent residence to approved entrepreneurs and businesses. Its purpose is to bring new age entrepreneurs to Canada’s private sector businesses. These companies will be connected to investment and venture capital groups that will be a sort of catalysts for these start-up businesses and entrepreneurs.
To qualify for the Start-up Visa Investor Program, the businesses must go through a few stages to complete the process. Initially, the business is matched with an investor, then they receive a temporary work visa, and finally they will receive Canadian permanent residence. The process takes around 6 months for qualifying entrepreneurs.
Qualifying may be the most difficult part of the start-up program, but it is not out of reach. There must be written a letter of support from the government saying that the investor’s business is a business incubator program or an Angel or Venture Capital group confirms that it is investing in the applicant’s business. For Angel Investor Group it is $75,000 and for Venture Capital Group it is $200,000 as a qualifying investment. The entrepreneurs must also have a business background, formal education, and complete medical/security checks.
The Start-up Visa Investor Program is the fastest way to get residency in Canada for investors and entrepreneurs. The interview for is waived and there are not any conditions such as those in the Provincial Entrepreneur programs.