Immigrant Investor Venture Capital program for Canadian permanent residence requires all the potential applicants to demonstrate their net worth of $10 millions acquired through business or investment activity. Any assets which do not fall under these activities are deemed not eligible for consideration under the Canadian immigration program through investment. So what is business activity or investment activity that Citizenship and Immigration Canada would consider when assessing the net worth claim by foreign investors.
According to Citizenship and Immigration Canada, the business and investment activities for the purpose of Immigrant Investor Venture Capital program can include following:
- income or capital gains acquired through the ownership or management of commercial, for-profit entities;
- funds acquired through private sector activities, such as public equity investments or private equity placements.
The foreign investor who are applying for Canadian immigration investor program must be involved actively in running a business and income from such business is considered business activity.
Additionally, the income earned through investment in public equity investment plans are also eligible under the program to include in the net worth statement.
However, foreign investors cannot add the valuation of their residence in the net worth statement. Similarly any assets acquired through incoherence are also not considered as part of the net worth under the investor immigrant program.
Citizenship and Immigration Canada has designated third party auditors to provide due diligence report of the applicant’s business and investment activities to support the application for Immigrant Investor program. However, the due diligence report is not required to be submitted with the application at the initial state. Once the application is short listed for further consideration, the applicant is then asked by Citizenship and Immigration Canada to submit the due diligence report within a specified time frame.
It will be the responsibility of the applicant to obtain the report by paying the service fee and submit the due diligence report to Citizenship and Immigration Canada.