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What is the OINP Entrepreneur Stream?
Are you an entrepreneur with business ideas? Do you want to start your own business in Ontario? If the answer is yes, the OINP Entrepreneur Stream is the program for you!
As per the Government of Ontario website, “The Entrepreneur Stream is an immigration stream under the Ontario Immigrant Nominee Program (OINP). It is established under the Ontario Immigration Act, 2015 and its regulations”.
If you’re an entrepreneur living outside Canada and you wish to either:
- Start your own business in Ontario; or
- Buy an existing business in Ontario.
You can apply to be nominated for a permanent residence (along with 1 foreign national business partner) through the OINP Entrepreneur Stream once you’ve successfully established your business in Ontario.
Once you’re nominated for permanent residence under the OINP Entrepreneur Stream, the Immigration, Refugees and Citizenship Canada (IRCC) will make a final decision on permanent residence based on Canadian immigration law.
OINP Entrepreneur Stream Application Process
The OINP Entrepreneur Stream application is divided into two broad stages that are as follows:
STAGE 1
Step 1: To participate in the OINP Entrepreneur Stream, you must first register an online Expression of Interest (EOI). It is therefore necessary to prepare the necessary documents before registering an EOI.
Step 2: Once you’re ready, register an online EOI.
Step 3: After registering, wait for an Invitation to Apply. If you are invited to apply, you’ll need to prepare an application to the Entrepreneur Stream.
Step 4: Next, go ahead and submit your application online along with the relevant supporting documentation to validate the information in your EOI. While submitting your application, you should ensure that:
- All the mandatory fields are answered correctly
- All supporting documents are attached
- All declarations are agreed to
- The required application fees is paid ($3,500 per applicant)
Step 5: As part of the application assessment, you will be required to attend a mandatory interview. To ensure accuracy, legitimacy, and completeness, all information provided in your online application will be verified. The application will not be processed if it is incomplete, and your payment will be refunded.
Step 6: If your application is accepted, you will be required to sign a Performance Agreement detailing your commitment to make investments and generate employment in Ontario.
STAGE 2
Step 1: For establishing your business in Ontario, you will receive a temporary work permit support letter from Immigration, Refugees and Citizenship Canada (IRCC).
Step 2: You will have 20 months to establish your business and put your Ontario Immigrant OINP Entrepreneur Stream Business Plan into action once you’ve landed in Ontario with a temporary work permit.
Step 3: You may qualify for nomination by the OINP for permanent residence if you adhere to the terms of your Performance Agreement.
Step 4: You have 6 months from the time the OINP nominates you to apply to IRCC for permanent residency in Canada. Once permanent residency has been attained, post-nomination monitoring will last for 36 months.
OINP Entrepreneur Stream Minimum Eligibility Requirements
Minimum Eligibility Requirements for Applicants
1) Experience: You should have at least 24 months of full-time business experience in the last 60 months as a:
- Business owner, or
- Senior manager (business management).
[important title=”Note”]It is important to select only one of your experiences for your EOI and for your application: your business owner experience or your senior manager experience. Either experience will suffice, i.e., whatever is the most recent or most relevant.[/important]
2) Net Worth: Considering your intended business location, you should have the following minimum net worth:
- Proposed business located within the Greater Toronto Area (GTA): Minimum net worth of $800,000.
- Proposed business located outside the GTA: Minimum net worth of $400,000.
- Proposed business in the Information and Communications Technology (ICT) /Digital Communications sector (irrespective of the location): Minimum net worth of $400,000.
3) Personal Investment Funds: You need to make the following minimum personal investment towards expenditures that are essential to the establishment and operation of the business depending on the location of the proposed business (excluding cash, cash equivalents, working capital, or wages paid to you or a family member):
- Proposed business located within the GTA: Minimum personal investment of $600,000.
- Proposed business located outside the GTA: Minimum personal investment of $200,000.
- Proposed business in the ICT /Digital Communications sector (irrespective of the location): Minimum personal investment of $200,000.
4) Active Business Involvement: You must regularly and actively participate in the management of the proposed business.
5) Minimum Equity: You must individually own at least 33% (one-third) of the total equity in the proposed business.
6) Purpose of Capital Investment: Capital investment in the proposed business must not serve as your primary method of generating interest, dividends, or capital gains.
7) Job Creation: You must commit to creating at least the following number of jobs for Canadian citizens/permanent residents depending on the location of the proposed business:
- Proposed business located within the GTA: At least two permanent full-time jobs.
- Proposed business located outside the GTA or is in the ICT /Digital Communications sector: At least one permanent full-time job.
8) Business Visit: If you intend to purchase an existing business, you must make a business visit to Ontario at least once in the last 12 months from the date of registering an Expression of Interest.
Minimum Eligibility Requirements for Businesses
- Business activity must be aimed at making a profit from active income (earned) not passive income (unearned).
- The business must follow any local laws that govern its operation. This includes Ontario labour laws, including employment standards, health and safety and labour relations legislation.
- The proposed business in Ontario must be a permanent one as project-based or seasonal businesses are not eligible.
- A place of business in Ontario must always be maintained by the proposed business.
- Schedule I or Schedule II Banks, as well as institutional investors, are acceptable third party investors.
- You must submit a business plan that illustrates how the business will be successful and how it will likely contribute significantly to the local economy where the business will be situated or to the overall economy of Ontario.
Minimum Eligibility Requirements while Buying an Existing Business
- For you to purchase an existing business, it must have been in continuous operation for the last 60 months by the same owners (individually or combined).
- Post-purchase, the previous owner cannot retain any shares of the business and the 100% ownership must be transferred to:
- You,
- Your business partner(s), and/or
- Your third-party investor.
- The proposed business to be acquired shouldn’t have been previously owned/operated by any current or former OINP business stream nominees.
- All existing permanent full-time jobs must be preserved and
- For businesses located within the GTA, you must create two new full-time permanent jobs and must maintain, at a minimum, the current wage levels and employment terms of existing staff.
- For businesses located outside the GTA or in the ICT /Digital Communications sector, you must create one new full-time permanent job and must maintain, at a minimum, the current wage levels and employment terms of existing staff.
- There should be a proposed business plan that shows how you intend to grow the proposed business to be acquired.
- Minimum 10% of your personal investment should be towards improving and expanding the business in Ontario.
Types of Businesses Ineligible for OINP Entrepreneur Stream
As per the Application Guide: Entrepreneur Stream published by the Ministry of Economic Development, Job Creation and Trade, there are a few businesses that are ineligible for OINP Entrepreneur Stream. These include:
Ineligible businesses in the GTA:
- Existing Franchises in Ontario (new foreign franchises expanding into Ontario are permitted)
- Gas Stations
- Tire Recycling
- Scrap Metal Recycling
- Pawnbrokers
- Bed and Breakfasts
- Holding Companies
- Laundromats
- Automated Car Wash Operations
- Payday Loan and related businesses
- A business that was ever previously owned or operated by a person who received a certificate of nomination in the entrepreneur category or under the investor component of the Opportunities Ontario program
- Businesses involved in producing, distributing or selling pornography or sexually explicit products or services, or providing sexually oriented services
Ineligible businesses outside the GTA:
- Tire Recycling
- Scrap Metal Recycling
- Pawnbrokers
- Holding Companies
- Laundromats
- Automated Car Wash Operations
- Payday Loan and related businesses
- A business that was ever previously owned or operated by a person who received a certificate of nomination in the entrepreneur category or under the investor component of the Opportunities Ontario program
- Businesses involved in producing, distributing or selling pornography or sexually explicit products or services, or providing sexually oriented services
OINP Entrepreneur Stream Business Plan
[related_post id=”13894″]
While submitting an online application for Entrepreneur Stream, a business plan is one of the most vital elements of your application. Your proposed business plan should demonstrate how you intend to grow your company and how your business will provide material economic benefits to the province in general or the local area where the business will be located.
The business plan will be reviewed once it has been submitted to ensure it complies with program requirements and commitments in your Expression of Interest (EOI). Your application will be rejected if your business plan does not align with the points you claimed in your EOI and even your application fee will not be refunded. Consequently, this business plan is a crucial component of your application, so you should draft it carefully.
At OGSCapital, our team of Professional Business Plan writers can provide you with all the guidance and support that you need to create a successful business plan. We understand the importance of having a strong business plan in place. That’s why we provide our clients with expert guidance and support throughout the process of creating their business plans. We work diligently to ensure that each plan is tailored specifically to the needs of your business, so you can be confident that it will help you achieve your goals and make the most of your investment.
FAQ
- What are the minimum criteria for the OINP Entrepreneur Program?
The minimum eligibility criteria for the OINP Entrepreneur Program are already covered in the above article. For more detailed information, we’d suggest you refer to the ontario.ca website. - What is an Entrepreneur Stream?
As per the ontario.ca website, “The Entrepreneur Stream is an immigration stream under the Ontario Immigrant Nominee Program (OINP).”
It is a two-phase process for entrepreneurs from outside Canada who wish to start a new business or purchase an existing business in Ontario. For more information, read here. - What is the minimum score for OINP?
Applicants must have 400 or more CRS (Comprehensive Ranking System) points to be considered for OINP. - What is a good EOI score in OINP?
To be considered for the EOI selection process, your business concept score should be at least 37 out of 74 possible points (50%).
OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.
