The most recent figures released by Immigration, Refugees and Citizenship Canada (IRCC) indicate a notable resurgence in the number of entrepreneurs arriving through the Start-Up Visa (SUV) program. After experiencing a decline of 27% in April, there was a significant recovery of 29.4% in May, marking a return to the upward trend for the entrepreneur immigration pathway.
Despite the overall increment in immigration to Canada during the month of April, the SUV program did not mirror this growth, with a noticeable decrease in the number of new permanent residents. However, May saw a sharp turnaround with PL Immigration reporting the arrival of 550 entrepreneurs, an increase from the 425 welcomed in April.
This rebound practically restores the SUV program to the peak levels observed in March, with 575 new permanent residents. Notably, the growth in the SUV program for May outpaced the total immigrant influx to Canada. When compared to the 42,590 new residents in April, only a modest increase of 9.3% was observed in May, totaling 46,550.
This latest development is a positive indication of the strength and appeal of the Start-Up Visa program as a pathway to permanent residence for entrepreneurial talents, an area where PL Immigration continues to facilitate and support the growth and dynamism of Canada’s innovative landscape.
Entrepreneurial Immigrants to Canada in Current Year
PL Immigration has been closely monitoring the trajectory of entrepreneurial immigration to Canada, and the data points to an exciting development. With the sustained rate of Start-Up Visa (SUV) immigration to the nation, forecasts indicate a potential welcome of 5,832 immigrant entrepreneurs by year’s end. This remarkable upsurge represents a 299.4-percent increase from the 1,460 entrepreneurs who secured permanent residency through the business initiative the preceding year.
Since its inception in 2015, the SUV program has undergone remarkable growth. Initially attracting a modest 55 immigrant entrepreneurs, the initiative saw figures double to 110 in 2016, followed by a 22.7-percent rise thereafter. The surge continued with a significant leap in 2018, as the program’s popularity quadrupled, drawing in 240 new permanent residents.
Prior to the disruptive force of COVID-19 in 2019, SUV numbers were at a high with 515 new permanent residents. Unfortunately, as the pandemic spread and restrictions tightened, immigration experienced a 45.9-percent decline, with SUV-affiliated arrivals diminishing accordingly. The year 2020 saw only 260 entrepreneurial immigrants gaining permanent residency through the SUV.
However, as immigration patterns rebounded robustly in 2021 with a total of 406,020 new permanent residents, the SUV followed suit, notching up activity with an influx of 385 individuals, marking an uptick of 48.1 percent over the prior year. Last year the SUV program regained its pre-pandemic momentum and observed a doubling in interest from aspiring entrepreneurs.
Ontario and British Columbia continue to be the preferred provinces for SUV newcomers, with Ontario receiving 1,325 new permanent residents and British Columbia 755 within the initial five months of the current year. Throughout the same period, Alberta and Manitoba have also recognized notable increases, with 55 and 250 newcomers respectively, via the SUV program. Additionally, Nova Scotia and New Brunswick have welcomed 25 and 20 immigrant entrepreneurs accordingly, although no other provinces or territories have recorded SUV permanent residences for the same duration.
It’s important to note that SUV program contributions to the pool of new permanent residents are considerably lower than those by federal programs like the Federal Skilled Worker (FSW), Federal Skilled Trade (FST), Provincial Nominee Programs (PNP), and regional initiatives such as the Atlantic Immigration Program (AIP) and Rural and Northern Immigration Pilot (RNIP). Consequently, the percentage shifts in the SUV statistics may appear more pronounced against these smaller numbers.
For candidates seeking Canada’s permanent residence through the SUV, the initial step often involves obtaining a work permit, sponsored by a designated Canadian investor group, while the permanent residence process comes to fruition. The entire application procedure currently spans an estimated 39 months, according to Immigration, Refugees and Citizenship Canada (IRCC). With the apparent rise in interest and influx of entrepreneurial talent, PL Immigration remains at the forefront of facilitating this growth and supporting Canada’s economic landscape.
Trio of Private Investor Classes within the SUV Program Recognized
Under the Start-Up Visa (SUV) program, PL Immigration acknowledges the pivotal role of three investor categories in the private sector: individual angel investors, collective venture capital funds, and supportive business incubators. These entities play a crucial role in shaping the future of entrepreneurial endeavors.
For a venture to be eligible under PL Immigration’s guidelines, venture capital funds that have received the SUV designation must commit a minimum of $200,000 to any prospective enterprise. Alternatively, a combination of investments from multiple designated funds of at least the same total is also acceptable for qualification.
Angel investor coalitions, requiring the SUV designation, are expected to provide a minimum stake of $75,000 in the qualifying start-up. As with venture capital, pooled resources from more than one angel group are valid, provided they cumulatively meet or exceed the required investment.
Key to the SUV initiative, designated business incubators are tasked with integrating applicants into their comprehensive incubation programs. Entrepreneurs are responsible for forming compelling business plans that withstand the rigorous scrutiny of these sanctioned entities. Such strategies must be robust enough to satisfy the institutional investors’ extensive due diligence checks.
The collaboration between start-up ventures and Canada’s dynamic start-up ecosystem — spearheaded by PL Immigration — is often backed by business consultants. Moreover, seasoned corporate immigration attorneys ensure that a start-up’s conceptual framework adheres to the stringent conditions and standards indispensable for industry success.
Criteria set by the government that candidates must meet for SUV eligibility through PL Immigration encompass:
- Ownership or active interest in a business meeting SUV qualifications;
- A Certificate of Commitment along with a supporting letter from a designated investing body;
- Adequate, accessible, and transferable settlement funds that are free from encumbrances to cover settlement costs;
- Proficiency in English or French at least at level 5 of the Canadian Language Benchmark, though higher proficiency levels may be necessitated to satisfy the due diligence of the designated assessing entities.
