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How To Apply For Canada’s Start-Up Visa From Israel

Israel has an active start-up ecosystems that has thousands of established innovative companies featuring AI that could thrive with access to the Canadian market through Canada’s Start-Up Visa program.

Israel has an established start-up track records dating back thirty years, from when the government successfully began bringing investment into the public sector. The Israeli Ministry of Economy ranks number one for the availability of scientists and engineers in the country, for the numbers of start-up per capita, and venture capital investments per capita.

Data from 2019 puts Israel significantly ahead of the United States in terms of venture capital investments per capita, at $414 compared to $282. Israel also has one of the world’s top start-up ecosystems, with over 6,000 start-ups in a country with a population approaching nine (9) million.

Canada’s Start-Up Visa grants permanent residence of Canada to eligible immigrant entrepreneurs. It plans to attract innovative entrepreneurs to Canada and link them to Canadian investors so these budding entrepreneurs can establish their businesses in Canada.

Under the Canada Start-Up Visa programs, three (3) types of private-sector investors are considered:

  • Angel investors,
  • Venture capital funds,
  • And business incubators.

A designated venture capital fund must confirm that it is investing a minimum of $200,000 into the qualifying business.

Candidates may also qualify with two or more commitment from designated venture capital funds totaling $200,000. A designated angel investor group must confirm to invest at least $75,000 into the qualifying business.

Candidates may also qualify with two or more investment from angel investor groups totaling $75,000. A designated business incubator must accept the candidate into its business incubator program. It is up to the immigrant investor to develop a reliable business plan that will meet the due diligence requirements of these federal government-approved designated entities.

That’s usually done with the help of business consultants in Canada’s start-up ecosystem with supervision from experienced corporate business immigration Attorneys who can ensure a start-up’s business concept meets all industry-required term and conditions.

Applicants under the Start-Up Visa program can initially move to Canada on a work permit supported by their designated Canadian investor before their application for Canadian permanent residence is finalized.

The basic government-imposed candidate eligibility criteria for the Start-Up Visa program are:

  • a qualifying business;
  • a commitment certificate and support letter from a designated entity;
  • sufficient unencumbered, and transferable settlement funds to meet settlement fundings, and;
  • proficiency in French or English at the minimum Canadian Language Benchmark level Five (5). However, it
  • frequently occurs that higher levels of English are required to meet due diligence requirements imposed by government approved designated entities.

Canada does not give financial aid to new Start-up Visa immigrants. When applicants apply, they need to demonstrate that they have the finances to support themselves and their loved ones in Canada. This money cannot be borrowed.

In addition, it often happens that candidates will need to show extra sufficient funding to meet start-up cost of their business project, as a condition of investment by a designated entity (VC or Angel investor).

This is an aspect where experienced legal consulting will prove very important. The amount of settlement funding required depends on the size of the candidate’s family.

Settlement Funds Required Under Start-Up Visa Program

Number of family members Funds needed
1 $12,960
2 $16,135
3 $19,836
4 $24,083
5 $27,315
6 $30,806
7 $34,299
Each additional family member $3,492

 

The Start-Up Visa program is increasingly growing in popularity. In 2019, the total number of new permanent residents-approved admissions reached 510, more than twice the 250 welcomed in 2018. The figures have been steadily increasing over the last five years.