Entrepreneur or Self-Employed Work Permit

Overview of the Entrepreneur/Self-Employed Work Permit

The Entrepreneur or Self-Employed Work Permit is designed for business individuals who intend to operate a business in Canada that is expected to deliver significant benefits to the country. To qualify, it is essential to demonstrate:

• The significant benefits that the business will bring to Canada.
• Ownership of at least 50% of the business in Canada, whether it's a startup or an established entity.
• The viability of the business.
• Temporary entry, typically for one year.

Demonstrating all of the above criteria justifies an exemption from the typically required Labour Market Impact Assessment, under exemption code C11.

Basic Requirements of the Entrepreneur/Self-Employed Work Permit

To qualify for an Entrepreneur/Self-Employed Work Permit, applicants must fulfill the following main criteria:

• ‍Self-Employment or Entrepreneurship: The goal for both is to operate a business. Self-employed individuals are primarily service providers or professionals who also manage the business and may involve family members in the operation. Entrepreneurs, typically executives or senior managers, hire others to work for them. This category encompasses both as long as all other requirements are met.‍
• Significant Benefits: The work must generate substantial economic, social, or cultural benefits, or opportunities for Canadian citizens or permanent residents. This is a crucial factor, and applications lacking evidence of significant benefits will be denied. Benefits should be well-defined and detailed; mere profitability does not qualify as significant. Significant benefits include: 1) Economic Support: Job creation, development in underserved areas, and the expansion of Canadian products and services internationally. 2) Industry Advancement: Technological progress, product or service innovation, and the enhancement of Canadian industry skills. 3) Health and Well-being: Improvement in the physical and mental health of Canadians, nationally or regionally. 4) Cultural and Social Integration: Promotion of tolerance, knowledge, and opportunities for cultural connections.‍
• Degree of Ownership: Applicants must own at least 50% of the business in Canada at the time of applying. Lesser ownership suggests insufficient control over the business, necessitating a Labour Market Impact Assessment (LMIA).‍
• Viability of the Business Plan: This is evaluated based on several factors, primarily the potential of the applicant’s work to create benefits and its feasibility given the applicant's education, skills, experience, and expertise. Applicants must have adequate financial resources, which should be their own, indicating a personal financial risk, rather than managing others' investments. Managing external funds suggests an employment relationship, requiring an LMIA for work permit issuance.‍
• Temporary Entry: Typically granted for one year, applicants must clearly demonstrate temporary intent, contrasting with plans for long-term involvement or seeking permanent residency in Canada. This includes intentions to launch or expand a business temporarily in Canada.

Application for an Entrepreneur/Self-Employed Work Permit: Documents, Process, and Timeline

Documents Required for the Entrepreneur/Self-Employed Work Permit Application:

• Completed and signed application forms for an LMIA-exempt work permit.
• An online offer of employment submitted via the Employer Portal.
• A comprehensive Business Plan.
• Documents proving ownership of at least 50% in the Canadian business.
• Evidence of preparatory work undertaken in relation to the business.
• Supporting documentation verifying the applicant's necessary education, experience, expertise, financial resources, and language proficiency to implement the plan.
• Documents substantiating that the work will generate significant benefits for Canada. This may include letters of support from related organizations, such as local or regional economic development organizations or chambers of commerce, among others.
• Evidence of the applicant's temporary intention to work in Canada for their own business.

Please note this is not a comprehensive list of supporting documents for an Entrepreneur/Self-Employed Work Permit application but serves as a foundational guide.

The Application Process

The application process for an Entrepreneur/Self-Employed Work Permit varies depending on the nationality and visa requirements of the applicant’s country of residnce. Temporary foreign workers from visa-exempt countries can apply for the permit directly at the port of entry (POE). All other applicants should submit their applications online. For example, entrepreneurs or self-employed individuals from the USA may apply at the POE. To strengthen their case and potentially reduce waiting time, a temporary foreign worker can request an opinion from the International Mobility Program Unit (IMWU) to determine if an LMIA (Labour Market Impact Assessment) exemption is applicable to their situation. While this request does not guarantee permit issuance, the opinion from the IMWU may be taken into consideration by the border services officer, which could expedite the process.

Applications for individuals intending to work for their own business are eligible for a 2-week processing time under the Global Skills Strategy, provided the job is classified under the Training, Education, Experience, and Responsibilities (TEER) categories 0 or 1 of the National Occupational Classification (NOC) system, and the applicant is applying from outside of Canada. If these conditions are not met, standard processing times will apply, which may vary depending on the applicant’s country of origin.

Duration of the Entrepreneur/Self-Employed Work Permit

The initial work permit for entrepreneurs or self-employed individuals is typically issued for a period of up to one year. Extensions and longer durations may be justified and granted in exceptional cases, particularly when the foreign national can demonstrate that they have a definitive plan to transition out of managing the business and require an extended stay, while not seeking to become de facto permanent residents.

Entrepreneur/Self-Employed Work Permit Case Studies

We have helped entrepreneurs from various backgrounds obtain significant benefit work permits to operate businesses in Canada. Below are some cases we are proud of:

• Buying a food industry business in rural Alberta to bring significant benefits under the management of an entrepreneur from the United Arab Emirates, with a very small investment.

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Call us at +1-416-915-0808 or email us at info@leromlaw.com for additional information you need to begin the process.