Business immigration: starting small business in Canada
Canada is often chosen as a country for business immigration due to the opportunities that this state can offer to foreign entrepreneurs. The basis of this statement is a number of indisputable facts:
- In the world, the Canadian economy ranks 14th in terms of GDP when it comes to purchasing power parity, and GDP per capita is almost $ 47,000;
- Proximity to the US has become an incentive to sign free trade agreements between countries;
- The Canadian economy is based on industry and services, which employ about 70% of the population. The tertiary sector of the economy generates 23% of GDP;
- Sources of substantial income include tourism – Canada is one of the five most visited countries;
- A foreigner from any country has the right to register a business. The procedure takes from 24 hours to five business days. However, some types of entrepreneurial activities, for example, the provision of medical services, can only be done by Canadian citizens who have documented their level of professionalism;
- Local tax authorities are loyal to the mistakes of beginning businessmen and help entrepreneurs correct them in a timely manner.
3 Main Types of Business Visa to CanadaA foreign entrepreneur who has decided to register a company in Canada must obtain a visa according to one of the business programs, each of which presents to the applicant certain requirements regarding education and the amount of investment in the economy. The applicant can use one of three types of visas:
- Self-employed Persons Program. The labor activity of an immigrant should be related to: culture, art, sports, farming. Immigrants can be professional: writers, designers, athletes, artists, librarians, journalists, musicians, engineers. The advantage of the Self-employed Persons Program is the lack of age restrictions and strict requirements for knowledge of English or French;
- Start-up Visa. To take advantage of this program, it is necessary to prepare a business project, correctly present it and find a Canadian sponsor (angel investor). The difficulty lies in the fact that it is important for a foreign entrepreneur to prove the profitability of a future enterprise. On the other hand, the process of evaluating start-ups is well-established – 7 methods that have proven their effectiveness are widely used;
- Immigrant Investor Venture Capital Pilot Program. The program is intended for the most wealthy foreign entrepreneurs. According to the conditions, the businessman must invest 2 million Canadian dollars in the economy. The money will be spent on funding Canadian startups. The state does not guarantee a refund. Also, a foreigner must have at least 10 million Canadian dollars earned from conducting a legal business in his bank account.
Forms of Business and Their Impact on Citizenship LeadershipIn Canada, there are 3 ways of doing business, according to the territorial scope:
- Federal. A company can conduct business throughout the country, but at least a quarter of its leaders must be Canadian citizens;
- Provincial. The functioning of the company should not go beyond the boundaries of the province in whose territory it is registered. In most regions, 25% of a company’s management team should be Canadians;
- EPC (Extra-Provincial Corporation). Such an enterprise may be registered outside the province. To conduct business in this region, he allows a special license.
- Corporation – personalized for everyone;
- General Partnership – collective;
- Limited Partnership – on the basis of a partnership agreement between the partners;
- Sole Proprietorship – complete for a single owner for all obligations.