Temporary Residence > Doing Business

Doing Business

Most foreign nationals need an open or employer-specific Work Permit to work in Canada. To work means to enter a Canadian labour market, not simply conducting international business activities for the remuneration paid from a source outside Canada. In general terms, Canadian economic and social development policy prescribes that a foreign national can be authorized to work in Canada only if the Canadian citizens or permanent residents of Canada are not qualified to perform the job offered.

To better understand the rules of doing business in Canada, you need to learn more about the different categories of business participants and about the agreement that regulates their work.

The first thing you should know is that business visitors and business people are terms with a different meaning. Business people are those who come to do business under a free trade agreement. They can consider Canada investment immigration if they meet the criteria of one of these agreements:

  1. General Agreement on Trade in Services (GATS)
  2. North American Free Trade Agreement (NAFTA)
  3. Canada-European Union (EU) Comprehensive Economic and Trade Agreement (CETA)
  4. Or other Free Trade Agreements (FTAs)

Let’s go through the main ones to help you to understand your situation better.

General Agreement on Trade in Services (GATS)

Under this agreement, Canada decided to make right of entry to the Canadian services market for foreign business people easier. It covers more than 140 World Trade Organization associate countries.

There are three groups of business people under GATS:

  • Business visitors – people who look for ways of starting a business in Canada, investing or advancing their business relationships. They may need to apply for an eTA or a visa to come to Canada and identification cards or proof that they have a job.
  • Professionals
  • Intra-company transferees.

Besides, business immigration to Canada for eligible people is easier because they do not require a LMIA from the Government of Canada or, in the case of business visitors, a work permit.

North American Free Trade Agreement (NAFTA)

It allows people of Canada, Mexico, and the United States to get fast entry into each other’s countries for short-term business or investment reasons. These people do not need a LMIA. Under this agreement, business people must meet the general regulations for a temporary visit to Canada.

There are four groups of business people under NAFTA:

  • Business visitor – someone who visits Canada to take part in global business activities without being a part of the Canadian labor market. They can stay in the country for up to six months and don’t need a work permit.
  • Intra-company transferees – a person who transfers to another country but within the company. They necessarily have worked on an ongoing basis for at least one year in the last three years, for the same or a related employer and have a work permit.
  • Professionals – must be suitable to work in one of the NAFTA set jobs, have a Canadian business job offer in that sphere and have a work permit.
  • Traders and investors – A person that is involved in planning, as a supervisor or executive, or in a role that involves essential skills in a field of trade between Canada and their country. They must also meet any other rules of NAFTA and have a work permit.

Canada-European Union (EU) Comprehensive Economic and Trade Agreement (CETA)

It helps the entry of certain covered business persons who are citizens of Canada and EU member states by removing the requirement for Labour Market Impact Assessments. Under CETA, there are three categories of visitors for business purposes:

  • Key personnel: including investors, business visitors for investment purposes and company transferees;
  • Independent professionals and contractual service suppliers;
  • Short-term business visitors.

Note that all of the categories require work permits.

Other free trade agreements (FTAs)

All the agreements listed below are modeled on NAFTA to make it easier for business people from one country to go to another country for a short period. Also, the rules are similar to those under NAFTA.

The Canada-Korea FTA There are some differences in the categories of Business Visitors and Professionals, and in the inclusion of an additional sub-stream of ‘Intra-company transferees.’

The Canada-Chile FTA There are some minor differences in two of the categories of business persons – Business Visitors and Professionals. The rules for Intra-company transferees and Traders/Investors are the same.

The Canada-Colombia FTA – There is a minor difference in differentiating the “professionals” group and regulations of spouse rights of a temporary working person in Canada.

The Canada-Peru FTA – Proof of permanent resident status is an accepted document for presentation in support of an application too. But be aware that there are some differences in groups of business people under this agreement.

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