Prince Edward Island Entrepreneur
Prince Edward Island Entrepreneurship Pathway – Work Permit Stream
Suppose you are interested in immigrating to Prince Edward Island and would like to invest in and run a business. In that case, you may be eligible for a nomination for permanent residency through the Work Permit Stream of the Prince Edward Island Provincial Nominee Program (PEI PNP).
This stream is for foreign nationals with business ownership or extensive management experience who want to move to PEI to start their business and eventually become permanent residents.
Am I eligible to apply For the Prince Edward Island Entrepreneur program?
To be eligible for nomination through the work permit stream you must:
- Have a minimum verifiable personal net worth of $600,000 which has been accumulated through legal and legitimate sources in your own right.
- Have a minimum education of secondary school equivalent.
- Be within 21-59 years of age at the time of application.
- Have transferable management skills and past employment or business ownership experience.
- Meet minimum language requirements equivalent to a CLB/NCLC 4.
- Intend to live and work in PEI while providing day-to-day active and ongoing management of your PEI-based company.
- Attend an interview with staff from the office of immigration.
- Meet the terms and conditions of the performance agreement signed with the office of Immigration.
Find out if you are eligible to get in Canada →
Eligibility Criteria for Businesses in the Business Impact Category
This category evaluates only businesses that generate income through selling goods or services to unrelated third parties. It excludes entities primarily focused on investment income, property management, loan investments, and similar passive investment ventures. Prospective entrepreneurs interested in acquiring an existing business must secure approval from the PEI Office of Immigration to confirm the business aligns with program standards.
Key Eligibility Criteria for Businesses
To qualify under the Business Impact Category, a business must:
- Be a profit-oriented entity incorporated under the Companies Act of PEI or the Canada Business Corporations Act.
- Aim primarily to earn profits through active operations by offering products or services.
- Comply with all provincial financial obligations.
- Have been operational for at least 12 months before the proposed start date, with evidence provided in the Purchase and Sale Agreement.
- Locate its corporate headquarters within PEI.
- Establish a ‘permanent establishment’ in PEI as per the Income Tax Act, regulation 400 (2).
- Be subject to income tax on its taxable income.
- Show strong prospects for ongoing commercial success.
- Agree to participate in the PEI PNP’s evaluation process, including annual reporting to the Office of Immigration for up to five years.
- Demonstrate potential for substantial economic contributions to PEI.
- Fulfill all conditions outlined in the Business Performance Agreement.
Exclusions for Business Applications
The following types of businesses are not eligible under the Business Impact Category:
- Businesses or related group members that have received Provincial Nominee Program investments within the last 48 months.
- Bed and breakfasts, hobby farms, and home-based enterprises.
- Inns or Boutique Hotels, unless they meet specific criteria including having at least 5 rooms with three-piece baths, annual revenues of $100,000, and eligible operating expenses of $75,000.
- Businesses offering payday loans, cheque cashing, currency exchange, and ATM services.
- Pawn shops.
- Businesses selling second-hand items, except those dealing in collectibles or offering value-added services like repairs or refurbishing.
- Construction/Renovation companies must employ at least 3 non-family full-time staff for 6 months annually, operate from a non-residential space, and demonstrate relevant expertise or 5 years’ experience.
- Real estate development, except when significantly benefiting the PEI economy.
- Insurance or business brokerage firms.
- Franchises, unless pre-approved by the PEI PNP office.
- Start-ups with less than 100% ownership by the applicant, unless significantly benefiting the PEI economy.
- Businesses established solely for immigration-driven permanent residency.
- Professional practices, financial services, and consulting firms.
- Entities unable to issue shares.
- Entities as defined in IRPA Regulations 87(6)(a).
- Any business potentially damaging to the program’s or PEI government’s reputation.
Business Plan Essentials
For the in-person interview at the PEI Office of Immigration, business applicants should be ready to elaborate on their business proposal and plan, including:
- An overview of the company.
- Details about products/services, industry analysis, and market competition.
- A comprehensive marketing strategy.
- The management team and staffing plan.
- The applicant’s role in the business and how their experience is relevant.
- The business’s potential economic impact on PEI.
- Historical financial statements (for purchased businesses).
- Financial projections prepared by a certified accountant (for new businesses).
Procedure for Applying to the Work Permit Stream
- Initial Step: Prospective business applicants are advised to carefully assess the Work Permit Stream’s eligibility requirements before creating an Expression of Interest (EOI) profile. This pre-application step is crucial to determine if they fulfill the program’s criteria.
- Second Step: Set up an EOI profile, ensuring to include a valid email and accurate identification details. Keep in mind that this profile is active for six months and represents an interest in the Business Impact Category — Work Permit Stream, not a formal application.
- Third Step: Those selected from the EOI pool will receive an invitation to apply for the Work Permit Stream. Upon invitation, candidates have a 60-day window to submit their full application to the PEI PNP.
- Fourth Step: Invited applicants need to fill out all necessary forms and compile the required documentation for their application. The PEI Office of Immigration may ask for additional documents during the application process.
- Fifth Step: Submit the complete application and any fees to the PEI Office of Immigration within 60 days of the invitation. This submission can be made in person, by courier, or by mail.
- Sixth Step: Successful applicants will be called for an in-person interview. During this interview, they must present a detailed discussion of their business proposal and show a comprehensive understanding of their business plan. Refer to the PEI application guide for the complete list of required forms and documents for the interview.
- Seventh Step: Sign and submit a Performance Agreement detailing the business establishment conditions.
- Eighth Step: On receiving a letter of support from the Government of PEI, the applicant can proceed to apply for a work permit with IRCC.
- Ninth Step: If the work permit is granted, the applicant must visit the PEI Office of Immigration in person within 30 days of arrival in Canada to comply with the agreement terms.
- Tenth Step: Once in PEI, a Settlement Officer will be assigned to assist in establishing and managing the business. Regular progress updates will be required. If the Performance Agreement and nomination criteria are met, the Government of PEI will issue a nomination for Canadian permanent residence, after which the applicant can apply to IRCC.
Performance Agreement and Nomination Conditions
To receive a provincial nomination for Canadian permanent residence, Work Permit Stream applicants must adhere to specific terms in the Performance Agreement. These include:
- Residing in PEI while managing the business and being physically present for at least 274 days per year.
- Investing at least $150,000 in the business within the first 12 months in PEI.
- Operating the business for a minimum of 12 consecutive months.
- Actively and continuously managing the business from PEI.
- Providing financial statements with a minimum of $75,000 in eligible operating expenses.
- Complying with all other terms of the Performance Agreement.
