|
|
|
Investor
It was on April 1, 1999, a new Federal Immigrant Investor Program came into effect. It was designed to be simpler and fully guaranteed by the Government of Canada. It is for applicants who intend to live in any provinces or territories other than the Province of Quebec. Applicants who intend to live in Quebec must apply to Quebec Investment Program.
This program was designed to attract experienced business people and capital to Canada. For the last five years, 6878 investors have landed in Canada with over $ 2.591 billion invested.
Requirement
To be an investor, the requirements are the following:
-
Managed and controlled a business for at least two years in the five years prior to submitting their application for immigration in Canada
- Legally obtained a net worth of at least $800,000
- Make an investment of $400,000 CDN with the Receiver General for Canada for five years and two months. The full amount of the investment (without interest) is repaid to the investor after approximately five years. The return of the investment is fully guaranteed by participating provinces and territories
- Must have either:
- controlled a portion of the equity of a qualifying business
- been responsible for the management of the equivalaent of at least five full- time jobs per year in a business, for at least two years in the five years prior to submitting their application for immigration in Canada.
Qualifying Business
To establish whether the business qualifies under the program, the applicant must provide documented proof supporting two of the following criteria:
- the percentage of equity, multiplied by the number of full-time job equivalents, is equal to or greater than two full-time job equivalents per year;
- the percentage of equity, multiplied by the total annual sales, is equal to or greater than $500,000
- the percentage of equity, multiplied by the net income in the year, is equal to or greater than $50,000; or the percentage of equity, multiplied by the net assets at the end of the year, is equal to or greater than $125,000
For applicants electing to qualify under the ownership option, the qualifying business must meet any two of the following criterias:
|
Ownership Option - Management of a qualifying business |
|
|
Attribute |
Percentage Ownership of Business |
|
|
|
100% |
50% |
20% |
|
(i) |
FULL-TIME EMPLOYEES |
2 |
4 |
10 |
|
(ii) |
SALES (CAD) |
$500,000 |
$1,000,000 |
$2,500,000 |
|
(iii) |
NET INCOME (CAD) |
$50,000 |
$100,000 |
$250,000 |
|
(iv) |
EQUITY (CAD) |
$125,000 |
$250,000 |
$625,000 |
- Management Experience
As an alternative to actual ownership, investors may qualify by providing documentary proof that he or she, over any two of the last years, has managed at least five full time employees in a business. Broadening the definition to include individuals who have exercised significant senior managerial control over businesses of a substantial size allows for the selection of senior management in a relatively larger organizations, notwithstanding that such managers may have not have an ownership interest or have assumed entrepreneurial risk directly.
- Selection Grid
In addition to the above requirements, investors have to obtain a minimum 35 points against the following selection grid.
| Factors Assessed | Maximum Points |
| Education | 25 |
| Business Experience | 35 |
| Age | 10 |
| Proficiency in English and/or French | 24 |
| Adaptability | 6 |
| Total | 100 |
Unlike the Independent Immigrant Program, investor applicants are only required to attain a total of 35 points in order to qualify for immigration in Canada.
The investment of $400,000.00 is interest free and non-transferable. However, it is fully guaranteed by the participating provinces by a promissory note. Guaranteed repayment, without interest, is made five years and two months after the date in which payment in received.
Applicants can make their $400,000.00 CDN investment anytime after an application has been submitted. However, payment is not required until immediately prior to visa being issued. In other words, visas will not be issued until payment is made to the Receiver General for Canada, at:
Citizenship and Immigration Canada
Revenue Accounting
Jean Edmonds Tower North
4th Floor, 300 Slater Street
Ottawa, Ontario
Canada
K1A 1L1
In the event of an investor has made an investment and a visa is refused, applicants will be advised and will be refunded their investment of 400,000.00 CDN within 90 days of a request for refund.
It is possible for applicants to make arrangements for financing the $400,000.00 investment. If the Investor Immigration Program's Promissory Note is pledged as collateral, applicants must arrange with the lender to notify Citizenship and Immigration Canada (CIC). Immigration officers will confirm receipt of any such arrangements directly with the lender.
Applicants must enter into a Subscription Agreement with Citizenship and Immigration Canada (CIC). As a legally binding contract, applicants must sign two copies and send it to Ottawa, along with the $400,000.00 payment. Citizenship and Immigration Canada (CIC) will then execute the "Subscription Agreement" and return one copy to the applicant, along with a receipt for the $400,000.00.
|
