Immigration to Canada

Canadian startup visa

The Canadian start-up visa is intended to attract entrepreneurs with the ability to launch innovative enterprises and create jobs. Canada has a particularly clear strategy for the future of this visa, the objective of which is to increase Canada’s competitiveness in attracting entrepreneurs.
The purpose of Canada’s startup visa is to create an atmosphere that is similar to Silicon Valley in the United States, attracting the world’s top entrepreneurs.

Application requirements for a startup visa in Canada

Obtain a minimum IELTS score of 5
Obtain a letter of support.
Have completed at least one year of university studies.
Do not have a criminal record or a physical condition that would bar you from entering Canada.
You must be capable of supporting yourself and your family financially for 6 months.

The steps required to obtain a Canadian startup visa

First step: prepare your startup idea.

It is vital to provide a technologically advanced and globally applicable innovative Idea.

Creating a business plan and identifying a sponsoring organization for your idea.

Receiving a letter of support after agreeing with the sponsoring organization is the second step.

The sponsoring organization delivers the letter of commitment to the Canadian Immigration Department along with the letter of support.

Step three: You now own a letter of support. Discussions with the Canadian Immigration Department commence.

Documentation and application for a resident visa and a work visa.

The fourth step involves the issuance of a work visa within three to six months.

(Remember that your permanent residence project is concurrently ongoing. Thus, you remain under the control of the Department of Immigration.)

Fifth step: commitment letter, copy of the business validation package, and review of designated organizations.
Sixth step: notifying the immigration office of the results
Seventh step: gaining permanent residency

You are no longer accountable for the project.

Canadian startup visa cycle

Conditions of sponsoring organizations:

What is the difference between venture capital, angel investors, and incubators?

Venture capitals

Typically, they seek larger ideas that have advanced beyond the early stages of development. Therefore, do not send them an email containing an idea that has been in your head for several years. Typically, ventures inquire about your sales history at the outset. Our experience has shown us that Venture capitalists seek a business idea that has the potential to earn several million dollars and has already generated several hundred thousand dollars in sales.

angel investors

They are private investors and medium-sized firms that are more open to new ideas than venture capitalists. Angel investors typically donate a significant amount of money in exchange for a percentage of a company’s shares, giving the companies a new impetus to grow.

Incubators

Incubators are development organizations. Incubators do not give money to startups, but they do receive money. Incubators prepare startups to start the business. They teach how to start and run a business, as well as how to raise capital. Incubators also provide mentorship and conduct research on the early stages of a company’s growth.

Angel investors and venture capital investments share the following traits:

They invest in innovative Ideas.
They contribute between $75,000 and $200,000 to invest in these ideas.
The applicant is not compelled to pay these companies any fees.

Characteristics of incubators:

They are development organizations.
They earn a sum for conducting business training courses and mentoring.
These sums are typically between $50,000 and $100,000 for each business.

Canadian startup visa fees

Cost per Essential Applicant to apply for a labor visa in the startup program
Job offer	$230
Work permit	$255
Work permit	$255
Visitor visa	$100
Cost per Essential Applicant to apply for permanent residency in the startup program
Permanent residence	$2,140
Spouse’s permanent residence	$1,365
Residence of each of the children	$230

The required proof of funds should be provided to the immigration office.

You must have sufficient funds for your first year of living in Canada to meet basic expenses for you and your family.

Based on the LICO table, it is decided whether or not you can cover at least 50 percent of your own and your family’s cost of living. (This table is published annually by Canada’s Department of Immigration.)

here is a summary of your requirement.

(Amounts are based on six months or fifty percent of the LICO table for 2022.)

The required amount for immigration under the startup program for individuals:

Single: around $13,000 Canadian
Married without children: around $17,000 Canadian
Married with one child: around $21,000 Canadian
Married with two children: around $25,000 Canadian

Letter of Support in the startup program

The initial phase of the Canadian startup program is to request a letter of support from accredited investors. In this letter, one of Canada’s approved organizations expresses their interest in supporting your idea or plan. You will receive a letter of support as the project manager.
Concurrently, these supportive organizations send a letter to the Canadian Immigration Department. In the following, you will become acquainted with this letter.
The letter of support must be included in the work visa and permanent residency application file submitted to the immigration office.

Commitment certificate in the startup Program

The company that provided you with the letter of support will simultaneously write a letter to the immigration office introducing the group members and the project in issue. Therefore, the certificate includes details regarding the agreement between the applicant and the investing organization.

What is the difference between Essential and non-Essential Applicants in a startup program?

Essential Applicants are members who are indispensable to the startup project. Suppose, for instance, that your idea relates to a mobile application; in this scenario, the person who developed the software or the idea will be an indispensable member of the team, and the development of the idea will be impossible without his participation. If for whatever reason the cases of key members are rejected, the cases of all other individuals indicated in the letter of commitment will also be rejected.
Applicants who are non-essential are those without whom the open project would be viable. In the preceding example, the marketing manager for the same project is likely one of the group’s non-essential applicants. If he is not in the group, the idea’s development may not be much impacted.
If one of the group’s essential applicants is denied for whatever reason, the entire group will be denied and the case will be closed. Even if one of the dependents of the essential applicants is rejected, such as the child or spouse, the case of the entire group will be rejected.

Canada Startup Visa Work Permit

The Canadian Startup Visa work permit enables you to establish your business as an entrepreneur. This one-year visa will allow you to work in Canada while your permanent residency application is being processed. During this year, the majority of permanent residence applications are processed. Otherwise, this license extension will be possible.
This short-term work permit is restricted to individuals who have acquired a commitment certificate and a letter of support from the organizations introduced. If qualified, you must apply for this permission prior to applying for permanent residence.

Requirements for obtaining a work permit for a Canadian startup visa

To qualify for this work permit, you must:
• Intend to live in a province or territory of Canada, other than Quebec
• Pay the employer agreement fee ($230)
• Have received the letter of commitment and letter of support from the introduced organizations
• Have enough funds to cover your and your family’s living expenses for 52 weeks

Can the wife and children also get accompanying visa?

Under certain situations, you can bring your spouse and dependent children with you to Canada if you apply for a Work Permit.

Spouse

If your wife wishes to work in Canada, she can apply for an Open Work Permit and complete the necessary paperwork as the spouse of a skilled worker.

children

If your dependent children plan to study or work in Canada, they must get a study permit (study permit) and fill out the relevant paperwork.

What are the requirements for registering a business in the startup program?

The business in question must be founded and run in Canada.
The applicant must possess at least 10 percent of the company’s voting rights.
No one else may own more than 50 percent of the company’s voting rights.

How does Canada use Peer Review to evaluate the work practices of advocacy organizations?

What is Peer Review? The secret police regulate the job quality of investment organizations.
Who are the secret police? The NACO organization, which is in charge of regulating the activity of angel investors, and the CVCA organization, which is in charge of regulating the operations of venture capitals, are the startups’ secret police.
Immigration Canada is devoted to fraud prevention. Peer Review’s purpose is to ensure the legality of the transaction between the investor and the idea investor.
Peer review can occur when officials have doubts about the relationship between the investor and the entrepreneur, or it might occur randomly.
Officers deliver the commitment letter to the organizations responsible for Peer Review to inform them that they are informed of the parties’ agreement. For these groups to carry out their quality control duties, investor organizations should also supply the package to which they agreed with the investor.

What are the reviews of ventures, angels and incubators before issuing a letter of support?

What level of review did the organizations who issued the letter of support conduct?
What agreements were made between the applicant and the organization issuing the letter of support?
Ensure the company is registered in Canada.
ensuring compliance with the share structure.
Ensuring that the startup’s focus is on ideas with rapid growth potential.
Assuring the startup’s participation in incubator programs (regarding the support letter of incubators).
Ensuring that the startup’s management team has safeguarded the company’s intellectual property.

The immigration status of family members of the startup applicant

All members of the applicant’s family are eligible to apply for an accompanying visa. This law applies to spouses and children younger than 22 years old.

Accompanying visa during work permit

If the applicant is included on the list of key business members, he or she is eligible to apply for a work visa. Concurrently, his spouse will be eligible to apply for an open work visa. This visa permits the spouse of an applicant for a Canadian startup to work in Canada without limits.

Children of Canadian startup candidates also have the opportunity to study at Canadian rates.

Accompanying visa for permanent residence in Canada

During the application process for permanent residency in Canada, the applicant’s spouse and children will accompany him. It is possible for the applicant’s entire family, including spouse and children under the age of 22, to apply simultaneously for permanent residence in Canada.