Using the Provincial Nominee Program to Attract Active Investors

Using the Provincial Nominee Program to Attract Active Investors

Traditionally in Canada, we always had a certain amount of interest from overseas investors who want to invest in Canadian businesses in order to secure themselves immigration status.

Although there are various opportunities to do this in British Columbia, most of them require an active management component in order to be successful. Under the provincial nominee program, for example, there are three categories that cater to business immigrants, they predominantly require an active management component and give priority to candidates who not only would be bringing capital, but look to bringing a significant economic profits to the province.

The three categories are:

• Business Skills
• Regional Business
• Strategic Projects

A. Business Skills

Applicants for nomination in the Business Skills category will be required to:

1. Make a personal investment of at least $400,000 CAD to establish or to purchase and expand an eligible business anywhere in B.C.

2. Create at least 3 new jobs in the business for Canadians or permanent residents.

3. Own at least one third (33 1/3%) of the equity of the business.

4. Provide active and on-going participation in the day to day management and direction of the business.

5. Demonstrate that they have:

• the skills and experience necessary to establish and operate a commercially viable business in B.C.
• a personal net worth of at least $800,000 CAD obtained from legal sources
• sufficient unencumbered personal funds to make the required investment
• a viable business proposal

6. Sign a Performance Agreement with the Province of British Columbia.

7. Sign a Deposit Agreement with the Province of British Columbia, if they are seeking a Fast Track nomination.

Principal applicants in the Business Skills category may include one foreign key staff person as a co-applicant for nomination, but must still create three jobs for Canadians or permanent residents.

Applications will not be accepted from individuals who have an unresolved refugee claim in Canada, are in Canada illegally, are under a removal order in Canada, or are prohibited from entering Canada.

B. Regional Business

Applicants for nomination in the Regional Business category will be required to:

1. Make a personal investment of at least $200,000 CAD to establish or to purchase and expand an eligible business anywhere in B.C. outside of the Vancouver metropolitan area or the Abbotsford metropolitan area. This would be ideal then for the Okanagan or Vancouver Island.

2. Create at least one new job in the business for a Canadian or permanent resident.

3. Own at least one third (33 1/3%) of the equity of the business.
4. Provide active and on-going participation in the day to day management and
direction of the business.

5. Demonstrate that they have:

• the skills and experience necessary to establish and operate a commercially viable business in B.C.
• a personal net worth of at least $400,000 CAD obtained from legal sources
• sufficient unencumbered personal funds to make the required investment a viable business proposal.

6. Sign a Performance Agreement with the Province of British Columbia

7. Sign a Deposit Agreement with the Province of British Columbia if they are seeking a Fast Track nomination.

Applications in the regional business category are limited to principal applicants – there is no provision to include foreign key staff as co-applicants for nomination.
Applications will not be accepted from individuals who have an unresolved refugee claim in Canada, are in Canada illegally, are under a removal order in Canada or are prohibited from entering Canada.

C. Strategic Projects

The Strategic Projects category assists foreign-controlled companies establishing an eligible business in B.C. with the timely entry of foreign key managerial, professional or technical staff, up to a maximum of 5 per company, who intend to become permanent residents of Canada and settle in B.C.
Companies applying in this category will be required to:

1. Make a minimum equity investment of $500,000.

2. Create at least three jobs for Canadians or permanent residents in B.C. for each nominee applicant put forward by the company.

3. Demonstrate a record of good business practices and successful business operations outside of Canada that are relevant to the proposed business.

4. Establish or purchase and expand an eligible business anywhere in B.C.

5. Incorporate a Canadian subsidiary or register an extra-provincial company in B.C. to operate the proposed business.

6. Demonstrate that the nominee applicants are qualified senior personnel who are essential to establishing or expanding and operating the proposed business in B.C.

7. Sign a Performance Agreement with the Province of British Columbia