Prince Edward Island Business Impact
Prince Edward Island’s Business Impact Category has a dedicated entrepreneur immigration pathway known as the Work Permit Stream.
PEI is seeking experienced business people and entrepreneurs with the skills needed to help propel its provincial economy forward while creating job opportunities for other Canadian citizens and permanent residents alike.
PEI Work Permit
The Prince Edward Island Provincial Nominee Program (PEI PNP) Work Permit Stream is for individuals interested in owning and operating a business on the island. Approved business applicants obtain a temporary work permit with Immigration, Refugees and Citizenship Canada (IRCC) to establish their business and if the conditions of the Performance Agreement signed with the Government of Prince Edward Island are met, business applicants may apply for Canadian permanent residence.
The Work Permit Stream operates on an Expression of Interest (EOI) system, which is a points-based system used to assess potential candidates prior to the issuance of an invitation to apply to the PEI PNP Work Permit Stream.
Applicant Eligibility Requirements
In order to be considered eligible under the Work Permit Stream, individuals must:
Have a minimum verifiable personal net worth of $600,000 CAD acquired through legal and legitimate sources;
Have at least a secondary education level, or equivalent;
Have transferable management skills and past employment or business ownership experience;
Be within 21-59 years of age at the time of applying;
Meet the minimum language requirements equivalent to a Canadian Language Benchmark (CLB) level 4;
Intend to reside and work in PEI; and
Provide active and ongoing management of the proposed business from within PEI.
Business Eligibility Requirements
The Business Impact Category considers applications only involving businesses that generate revenue through the sale of goods or services at arm’s length to third parties.
This excludes businesses with the primary purpose of deriving investment income, real estate operations, loan investment companies, and other non-active investment.
Entrepreneur applicants looking to purchase an existing business must first obtain approval from the PEI Office of Immigration to ensure that the business meets program criteria.
In order to be considered an eligible business under the Business Impact Category, the business must:
Be a for-profit corporation incorporated under the Companies Act of PEI or the Canada Business Corporations Act;
Operate for the primary purpose of earning profits from active income through the provision of products/services;
Be in good standing with the province on all debts and obligations;
Have been an established commercial operation for 12 months prior to the intended business start date with validation provided to as part of the Purchase and Sale Agreement;
Maintain corporate headquarters in PEI;
Maintain a ‘permanent establishment’ in PEI as defined under the Income Tax Act by regulation 400 (2);
Be liable to pay income tax on taxable income;
Have good potential for sustained commercial viability;
Agree to participate in the evaluation process of the PEI PNP, which requires the business to report to the Office of Immigration on an annual basis for up to five years;
Have the potential to create significant economic benefits to PEI; and
Meet all terms listed in the Business Performance Agreement.
Work Permit Stream Application Process
STEP 1: Before submitting an Expression of Interest (EOI) profile, the PEI PNP encourages potential business applicants to review the eligibility criteria of the Work Permit Stream to know whether or not they meet program requirements.
STEP 2: Create an EOI profile and provide a valid email address and verifiable identification information. Profiles remain active for six (6) months. It is important to note that an EOI is not application for the Work Permit Stream, but an expression of interest in being considered as a potential applicant for the Business Impact Category — Work Permit Stream.
STEP 3: Candidates who are invited to apply for the Work Permit Stream will be removed from the EOI selection pool. Invited candidates have up to 60 days from the date of invitation receipt to submit a complete application package to the PEI PNP.
STEP 4: In preparing an application, invited candidates must complete all the relevant forms and gather the required supporting documentation. The PEI Office of Immigration may request additional supporting documents at any time during the processing of the application.
STEP 5: The complete application package and the application fee must be submitted to the PEI Office of Immigration within 60 days of receiving the invitation to apply. The application package may be submitted either in person, by courier or by mail within 60 days of receiving the invitation to apply.
STEP 6: If an application is approved, the PEI Office of Immigration will invite the applicant to attend an in-person interview. At the interview, applicants must be prepared to discuss their business proposal in detail and demonstrate a thorough understanding of the business plan. It is important to consult the PEI application guide for a list of forms and documents that must be completed and presented at the interview.
STEP 7: Submit a signed Performance Agreement that outlines the conditions of establishing the business.
STEP 8: If a letter of support is received from the Government of PEI, the applicant can apply for a work permit with IRCC.
STEP 9: If a work permit application is approved, the applicant must report to the PEI Office of Immigration in-person within 30 days of arriving in Canada in order to remain in compliance with the signed agreement.
STEP 10: After arriving in PEI, the business applicant will be assigned a Settlement Officer who will provide support throughout the process of establishing and operating the business. The Settlement Officer will be touch with the business applicant on a regular basis for progress reports on business operations. Business applicants who meet the conditions of the Performance Agreement and the nomination requirements will be issued a nomination from the Government of PEI. They may then apply for Canadian permanent residence with IRCC.
Performance Agreement and Nomination Requirements
The Performance Agreement outlines the terms that the Work Permit Stream applicant must meet in order to receive a provincial nomination for Canadian permanent residence from the Government of PEI.
In order to obtain a PEI nomination under the Work Permit Stream and meet the requirements of the Performance Agreement, the applicant must:
Maintain residence on the island while operating the business and be physically present in PEI for a minimum of 274 days of the year;
- Note: If a dependent child is attending a post-secondary institution outside of PEI, the PEI PNP does not require the child to be physically present in PEI for that time period.
Invest a minimum of $150,000 into the business within 12 months of landing in PEI;
Operate the business for a minimum of twelve consecutive months;
Provide active and ongoing management of the business from within PEI;
Provide prepared financial statements noting a minimum of $75,000 in eligible operating expenses; and
Meet all other terms and conditions of the signed Performance Agreement.