“Discovering How to Register Your Business in Canada as an Immigrant
Registering your business as an immigrant in Canada might sound daunting, but it’s entirely achievable. The good news is that you can even do it without physically being in Canada. We’ll delve into that later in this article.
For now, let’s focus on the step-by-step process of registering your business in Canada as an immigrant.
How to Immigrate to Canada for Business: The Procedure
It all starts with a clear idea of the type of business you want to establish in Canada and at what scale. In Canada, three major types of businesses thrive:
1. Sole Proprietorship
– A sole proprietorship is a business funded and managed by a single individual. It’s the simplest business structure and tends to be cost-effective compared to other options.
– However, you’ll need to navigate through necessary procedures such as business name registration and licensing.
– One drawback of a sole proprietorship is that all liabilities rest solely on the owner, which means their assets are at risk. Additionally, the owner is subject to direct taxation.
– You can team up with two or more individuals who share a similar innovative business idea. The concept of a partnership is to distribute the liabilities among partners by sharing a portion of the profits and losses.”
“Understanding Business Registration by Province
In Canada, each province has its distinct partnership legislation. Having knowledge of these provincial business laws and assessing the level of risk you are willing to undertake is a wise approach to making informed decisions.
A corporation is a legal entity with the authority to own assets, borrow, lend, and conduct business activities. It possesses the capacity to take legal action and be subject to legal action as well. Shareholders operate this type of business, but it’s important to note that the shareholders do not have ownership of the business or its assets. In most cases, they are not responsible for its liabilities, except in rare situations where they need to support the business to prevent it from folding. The liability of corporations is limited.
Corporations possess valuable characteristics, such as longevity and liquidity in asset transfers. They are taxed as legal entities and are among the most popular business choices in Canada.
Your preference may lean towards sole proprietorship, partnership, or incorporation. Regardless of your choice, you’ll need to follow the standard procedure listed below for immigrating to Canada for business purposes.
Step 1: Apply for a Start-up Visa Program
As an immigrant aspiring to start a business in Canada, your initial step is to apply for the Start-up Visa program. This program has stringent criteria to ensure you meet the requirements for immigrating to Canada for business. In addition to your business being resourceful, it should fulfill the following prerequisites:
– The business should be capable of generating employment opportunities for Canadians.
– It should have the potential to thrive on a global scale, competing internationally.
Moreover, during your journey, you must fulfill the following:
– Obtain support from one or more designated organizations in Canada before applying for the Start-up Visa. Your business ideas must have their backing.
– Demonstrate proficiency in one or both of Canada’s official languages, which are English and French.
– Maintain a convincing account balance to sustain you throughout the business registration process.
Please note that registering or initiating a business in Quebec has its unique set of requirements.”
“Immigrating as a Self-Employed Individual
The Self-Employed Person Program provides a pathway to immigrate to Canada as a self-employed individual. To qualify for this program, you must meet the following prerequisites:
– Demonstrate expertise in athletic or cultural activities and be willing to be self-employed in Canada.
– Show your commitment to making a positive contribution to the Canadian economy.
– Be proficient in any of the Canadian official languages.
– Possess a medical certification and provide a police report.
Initiate the application process for the Self-Employed Person Program here. It’s important to note that while your application for permanent residence is being processed, you can also apply for a temporary work permit.
Understanding the Process of Business Registration in Canada
If you don’t meet the requirements for the visa application mentioned above, don’t worry. You can explore the next steps for launching a business as an immigrant in Canada. Understanding how business registration works in Canada is the key to pursuing your dreams. This process involves various steps and requirements, which we’ll delve into shortly.
#1. Applying for a Multi-Entry Visa
Commencing your journey to establish a business in Canada can be time-consuming. To maintain a flexible travel arrangement between Canada and your home country for up to 10 years, consider applying for the Canada Multi-Entry Visa program. This is particularly advantageous if you anticipate the need for repeated visits to conduct research and business inquiries. To be eligible, you’ll need to complete the required paperwork and pay the application fee. Additional prerequisites include:
– A mandatory medical examination. Additionally, you may be requested to provide your biometrics and photographs.
– Submitting your application from outside Canada, not within the country.
Also, be sure to review the citizenship requirements in Canada, as these are essential for a smooth application process.”
#2. Register your business
Before taking the step of registering your business and making it recognized by the government, be sure that you have decided on the following:
- Location of your business’s main office
- Determine how many other provinces in Canada you plan to run your business.
- Choose a unique business name. Choose a name that projects your business brand and make sure the name hasn’t been taken already.
- The business structure you wish to run. This means whether you want to run a sole proprietorship, a partnership, or a cooperation
Business registration alone is not the go-ahead for business activities. You must take one more vital step and that’s to apply for LMIA so that your business can be well-regulated.
The Labour Market Impact Assessment(LMIA) is a check on your business that you do not give a negative influence on the Canadian labor market. This will make sure that the success of your business in Canada won’t weaken job opportunities for Canadians and the permanent residents
You’re eligible for LMIA positive response if you provide an innovative business plan, and your business can employ at least one Canadian citizen or a permanent resident.
Most importantly, you must prove to the Labour Market that your account balance is sufficient to sponsor yourself, your family, and your business.
You can apply for a work permit from outside Canada, inside Canada, or at a port of entry. Keep in mind that Visa is not a work permit, you need a Visa and a work permit to carry on with your business activities in Canada. After you’ve got the go-ahead from LMIA, the next step is to apply for a work permit.
Don’t forget you can apply for a temporary work permit. While you wait for the permanent residence permit. The process of getting a work permit in Canada can claim valuable months.
Applying for a work permit can be confusing and full of errors. You should hire a Canadian immigration representative this will help to avert the administrative errors that can result in a longer wait period.
The eligibility status for a work permit as an immigrant to Canada varies depending on where you are applying From. That is if you are applying from outside Canada, inside Canada, or at the port entry.
However, regardless of where you’re applying from, you must meet the following requirements
- Agree with the authority that you’ll exit Canada when your work permit expires
- Prove that you have enough funds to sustain yourself, your family, and your Business in Canada and to return to your country.
- You have to be law-abiding, keep in mind you may be asked for a police clearance certificate for criminal activities.
- Do not pose any threat to the Canadian Security
- Healthwise, you might be asked to take a medical assessment
More on this subject here
As you are consistent in the process of starting up your business in Canada, kindly take cognizance of the following tips for a successful business in Canada.
Canada is a country of diverse cultural values which affect their business discretions. Get to know their purchasing preference and the type of goods that thrive in specific areas. Know what they want, how they like it, and supply it with top-notch quality
Embrace their culture by joining a local gathering, or business organization where you can communicate with fellow businessmen.
2. Seek a Business Coach
You know what you want and how you want it. However, you will need the extra brain along the way. A good mentor is an asset and a catalyst to any establishment. It’ll Intrigue you to know that Canada is decked with good teachers that can help you realize your goals. Regardless, you should look before you leap
You need a good credit score to start up a business in Canada as an immigrant. Banks are always on the lookout for a client’s credit scores which is a determinant factor in whether to grant a loan approval or not
The sure way to get a credit score is to apply for Canadian credit cards. Be consistent in paying your regular fees and monthly levies. You’ll be good to go after at least six months.
You need money to migrate to Canada for Business registration, you need a little more money to remain and finish the process of your business registration.
You’ll be checked extensively on this. Your account balance should be long enough to sustain yourself, your family, and your Business in Canada. Or you can remain in your country and register your business in Canada.
This is the later part of the article I promised you at the beginning of the reading. There are three real-life approaches on how to register your business in Canada as an immigrant, one has been explained to you. Let’s see the summary of the remaining two
As an already established entrepreneur, you can expand your existing business into Canada. It’s simply opening a branch of the business you already have outside Canada in one or more of the provinces in Canada. It’s a healthy and recognized way of starting up a business in Canada for non-residents.
To be successful in this operation, you need the involvement of a Canadian citizen or a permanent resident.
You can operate in any of the provinces in Canada. Progressively, you’ll need an extra-provincial corporation if you wish to register under more than one territory.
Always remember, different Canadian provinces have their unique rules and regulations.
You can start a new business from scratch without seeing Canada.
The straight-up secret is to invest in an already existing business in Canada. That is, you can buy up the shares of a Canadian company and take over its ownership.
This is an achievable and legal feat as stated in the Investment Canada Act.
This is where you need a local agent to help you with the process of incorporation and a Canadian business director.
Aside from British Columbia which offers 100% ownership of the Canadian business to a complete foreigner, other provinces demand that citizens or certified permanent residents should take partial ownership of the business.
Yes, you can migrate to Canada for business with Your family. You can sponsor your family members to Canada if you’re a permanent citizen and over 18 years of age.
How can I get a good credit score?
You can get a good credit score by applying for Canadian credit cards. Be consistent in paying your accrued fees and monthly levies. At Least six months will turn out well on your scores
In summary, you’re on the right track. I have been meaning to say that to you. Keep in mind that success won’t happen overnight. And you must give it your best to be the best of yourself.
Three business structures thrive in Canada: Sole proprietorship, Partnership, and Corporation.
Also, you have to know how to register your business in Canada as an immigrant by applying for a start-up Visa and as a self-employed immigrant person.
If for any reason you didn’t qualify for the above programs, you should alternate; do the following: apply for a multi-entry visa program, register your business name, apply for a Labor Market Impact Assessment (LMIA) and lastly apply for a work permit in Canada. Let your long-term goals blind you to momentary setbacks. You’ll have all you want. Good luck.