Business owners seeking only temporary residence – [R205(a) – C11] – International Mobility Program

This section contains policy, procedures and guidance used by IRCC staff. It is posted on the department’s website as a courtesy to stakeholders.

In these instructions, “officer” refers to employees of both Immigration, Refugees and Citizenship Canada and the Canada Border Service Agency.

The instructions on this page should be reviewed in conjunction with

Under the International Mobility Program (IMP), administrative codes are used to identify different kinds of work that the Department has determined may create significant social, cultural or economic benefits or opportunities for Canadian citizens or permanent residents as described in R205(a). IRCC establishes eligibility criteria and specific codes for these situations under R205(a).

Important: This authority should not be used for the sake of convenience or in any other manner that would undermine or try to circumvent the labour market test in the work permit process. Rather, it is intended to address situations where the significant social, cultural or economic benefits to Canada of issuing the work permit are so clear and compelling that broader economic, cultural or other competitive advantages are gained for Canada.

Officers must also always be satisfied that all requirements of section 200 are met before a work permit may be issued. The administrative code C11 is the code for the work permit category that describes the work of certain foreign nationals who are seeking only temporary resident status to enter Canada to run, including establishing, their own business, which may create significant benefits as stated in R205(a).

Foreign nationals intending to seek permanent residence should be assessed under provincial or territorial business candidates or Quebec self-employed applicants approved for a Quebec selection certificate seeking eventual permanent residence [R205a) – C60] or the Start-up business class permanent residence applicants [R205(a) – A77] (i.e., where dual intent exists).

Definitions
Eligibility
Place and method of application
Documentary evidence
Application assessment
- Review of the offer of employment
Significant benefit considerations for business owners seeking temporary entry
Degree of ownership
Proof of support and business funds
- Support funds
- Business funds
Temporary or seasonal period of stay
Final decision
- Approval
- Refusal
Extensions
Related links
Previous updates

Definitions

Business owner

A person who is self-employed or an entrepreneur.

Self-employed

A person who works for themselves as the owner of a business and rarely hires people outside of their family members. While the self-employed person manages the business as the owner, they usually also conduct the operational work of an employee, unlike an entrepreneur, who will hire employees to carry out the activities of the business while they manage it.

Important: Any period of self-employment is not calculated toward the period of work experience for the Canadian Experience Class.

Regardless of the ownership structure (for example, incorporated or sole proprietorship), if the business only employs the owner and family members, the foreign national is still considered self-employed.

Entrepreneur

A person who organizes and operates a business or businesses, taking on greater than normal financial risks to do so. They hire employees other than their family members to carry out the activities of the business.

Important: Work experience gained as an entrepreneur does not qualify for experience in the Canadian Experience Class.

Eligibility

Foreign nationals seeking to operate, including establishing, their own business in Canada must demonstrate that

the work is on a temporary or seasonal basis and that they have plans to leave Canada in a specified period of time
they have sufficient support funds to support themselves (and their family members, if applicable) separate from the funds required for the business
they have business funds separate from support funds to carry out their proposed work as a business owner
the work will generate significant economic, social or cultural benefits, or opportunities for Canadian citizens or permanent residents under paragraph R205(a)
- For self-employed workers, since their businesses will rarely benefit more than themselves, the economic, social or cultural benefits to Canadian and permanent resident clients of the self-employed worker may also be considered in this case, particularly if the worker is providing a service not normally found in the area. Applicants should demonstrate how the goods or services offered by their business would otherwise be difficult for Canadians and permanent residents to access in a particular area.

Place and method of application

Applications should be received electronically unless the applicant is exempt from the mandatory requirement to apply online.

For applicants outside of Canada, refer to the ministerial instructions on the submission of online applications for temporary resident visas and other documents due to reduced processing capacity during the COVID-19 (coronavirus) pandemic for overseas applicants.
For in-Canada applicants, refer to programs exempt from the in-Canada mandatory electronic application (e-application) requirement for temporary residents.

Although TRV-exempt foreign nationals may apply for a work permit in an IMP work category at the port of entry, due to the complexity of the application and for reasons of client service and program consistency, foreign nationals should be encouraged to submit their work permit application to IRCC under the administrative code C11 online.

Documentary evidence

Officers should be aware that for business owners, the foreign national is both employer and employee. They must meet the requirements for both roles.

To prove eligibility, a foreign national must provide

either
- an offer of employment number generated by the Employer Portal when they submit the offer for themselves, or
- the Offer of Employment to a Foreign National Exempt from a Labour Market Impact Assessment (LMIA) form [IMM 5802] if authorized by the Client Support and Engagement Branch to submit the form (see Alternate submission [IMM 5802] for details)
proof of payment of the employer compliance fee
an application for a work permit
supporting documentation that shows
- the degree of ownership of the business
- an indication of the temporary nature of their stay to satisfy an officer that their stay is temporary or seasonal and that they will leave Canada and are not attempting to become de facto residents
- how the work of the foreign national will create or maintain significant cultural, social or economic benefit, such as
  - market expansion
  - significant opportunities for employment in the area
  - advancement of existing technology or processes in Canadian industries
proof of support funds
proof of business funds to run or establish the business separate from the support funds.

Note: The IMM 5802 form is authorized only in rare situations. Instructions are available in the Employer Portal enrolment guide. Officers must confirm that the IMM 5802 form was authorized (by checking the client note) before processing the work permit application.

Important: It is the applicant who must provide sufficient supporting documentation to satisfy an officer that they will be engaging in genuine business activities and show how they provide a significant social, cultural or economic benefit with their application.

Application assessment

Review of the offer of employment

When assessing the significant benefit of the foreign national’s work, officers should review the following fields under the Employment Details tab in the Global Case Management System (GCMS) for information provided by the employer (who may also be the work permit applicant) or the matching fields on the IMM 5802 form (if authorized).

Field	Considerations
LMIA Exemption Title and Code	The employer is required to select this from a drop-down list of values in the Employer Portal. This code cannot be changed on the offer of employment. Employers should select C11 – Business Owner - Temporary Purpose
Requirements Exemptions Met	Information in this field outlines how the business and therefore the work of the applicant will benefit Canada, not just the worker and their family members. Important: Employers can upload a longer or separate explanation into the Employer Portal. This document can be found under Incoming Correspondence labeled “LMIA exemption explanation.” See Significant benefit considerations(opens in a new tab) . Separately, the applicant may also upload their business plan, etc. as part of the work permit application documentation.
NOC and Job Title	For self-employed applicants: The National Occupation Classification (NOC) and the job title should match the duties described and not be the generic entrepreneurial code. For example, if the self-employment is “Gold Miner,” then they could use NOC 8614 Mine labourer or 9411 Machine operator, depending on the exact nature of their intended work. For entrepreneurs: Generic NOC code: 88888 Job title: Entrepreneur
Duration	Maximum of 18 months Officers should review the duration of employment as specified in the offer. This should be an indication of how long the foreign national is expecting to stay. Does the length of time align with a temporary purpose?
Duties	These are the activities that the foreign national will be performing. Do they align with the significant benefit and the activities required for entrepreneurship?
Job Requirements	Are there specific requirements that align with the benefit? For example, experience managing a business in the same industry sector, proof of cultural status, experience in the occupations in the business, or language requirements to perform the work.
Minimum Education Requirements	Are the educational requirements compatible with the stated significant benefit outlined in the Offer of Employment? The client’s education may have some bearing on whether the client meets the job requirements; however, its relative weight may be less if their work experience is sufficient.
Other Training Required	The self-employed worker may require specialty training as a requirement, for example, food safety training if running a restaurant or workplace hazard training.
Provincial/Federal Certification, Licencing or Registration	Documented evidence should be provided with the application. However, some occupations may require the foreign national to write an exam after they enter Canada (for example, for a licence from a regulated body, or a first aid certificate). For the self-employed applicant, this could also include municipal business licences or membership in an occupational association.

Refer to Employer-specific work permits — General processing — International Mobility Program for further guidance on reviewing offers of employment.

Significant benefit considerations for business owners seeking temporary entry

In addition to the considerations regarding what “significant” means and what are economic benefits provided in Significant benefit to Canada [R205(a) – C10], officers should assess any spin-off benefits from the work of the applicant in their business.

The officer’s assessment should be of the significant benefit that would be generated from the applicant’s work in Canada during the period of the work permit as opposed to some future time, after the applicant has left.

Officers should review the business plan to determine if it provides a concrete plan for business start-up or if it is simply a detailed market analysis of the particular industry.

Questions to consider in determining whether paragraph R205(a) is met (regardless of what percentage of the business in Canada is owned) and whether the offer of employment is genuine include, but are not limited to, the following:

What are the specific economic benefits that the work of the foreign national will be providing? Does the applicant show how their work will contribute to or foster
- advancement of Canadian industries through market expansion, extensive job creation, and product or service innovation such as
  - job creation that has an impact on the job market in the location of the business
  - development in a regional or remote setting that will increase the economy in the location of the business
  - expansion of export markets for Canadian products and services
  - preventing the disruption of employment for Canadians or permanent residents
- advancement of a Canadian industry beyond what currently exists such as
  - technological development
  - product or service innovation
  - opportunities for improving the skills of Canadians
  - using their considerable work experience in negotiating and concluding business transactions that would benefit the Canadian economy
Is there a business plan or documentation that clearly shows that the applicant has thought about the real steps or actions required to initiate their business? For example:
- Location – Is the location a large metropolitan area or a rural location? The impact will change based on location.
- Product – Are they supplying a service that requires installation of a product? Where will they buy the product? Will it be from Canadian suppliers or imported? If it is imported, have they considered the cost, duties and taxes of importing? How will the imported product be an improvement over what is currently available in Canada?
- Finances – Have they costed what the financial requirements will be to get set up, purchase supplies, pay initial wages, etc.? Do they have sufficient funds to cover these costs or are they relying on immediate sales? How will the investment have a significant impact on the location chosen?
- Marketing – How will they obtain customers? What will the cost be? Do they need to set up contracts with third party marketers?
- Customers – Who will be their customers? Are they expanding the industry market to new customers or entering an established market? Are they creating a new customer base or taking customers away from established Canadian businesses?
Is the work likely to create a viable business that will benefit Canadian or permanent resident workers or provide economic stimulus to the area?
- Are the number of jobs to be created significant for the area of intended operation?
- Are the number of jobs to be created sufficient to start the business?
- Are the wages to be paid at median salary or higher in order to not depress or suppress wages in that occupation?
Does the applicant have a particular background or skills that will improve the viability of the business?
- How will their specific skill set or knowledge be transferable in a Canadian setting? How will they be expanding or innovating markets?
Does the applicant have the language abilities needed to operate the business? Will they be able to perform the duties needed to set up the business?
Is the business of a temporary nature (for example, seasonal businesses)?
Is the foreign national establishing a long-term business that will require their presence indefinitely (for example, an auto mechanic shop)?
- If the business is a permanent or long-term business, does the applicant explain why they want to start the business in Canada? How does it benefit them if they are not intending to manage it permanently?

When officers are reviewing the significant benefits of the proposed business, it is not necessarily the type of business (sole proprietorship, franchise, corporation, etc.) that makes it a significant benefit, or even how much is spent on it. Instead, it is how the work of the business owner will provide opportunities for Canadians or permanent residents, or a benefit to a local or regional economy.

Example

A convenience store located on Yonge Street in Toronto that hires 2 people may not make any real difference to the local economy, and 2 jobs may not be significant. In addition, opening a relatively small business with a low number of employees being paid low wages (and minimal taxes) in a market like Toronto in a sector where existing Canadian businesses are already active does not “create jobs” or a significant economic benefit or opportunity. Instead, such a business venture would involve hiring workers that would presumably otherwise be hired at an established Canadian business to meet market demand and offer goods or services that directly compete with Canadian businesses.

But if that same convenience store is established in a small rural area where the nearest grocery store is 20 kilometres away, then it may be a benefit as it would hire from a much smaller pool of local people where jobs may be scarce, and it could enhance the economies of other businesses around it by attracting people to the area.

Or in the case of a franchise, is it the only Tim Hortons in the town and therefore attracting people into the town from a much broader area? Or is it 1 of many Tim Hortons restaurants in a small radius in a city where the opening would not have a significant impact?

Degree of ownership

The issuance of work permits for business owners should be considered only when the applicant controls at least 51% of the business in question.

Where an individual is a partial owner with a smaller percentage (less than 51%) and is coming to work in the business, they are required to apply for a work permit as an employee rather than as a business owner and may therefore require a work permit with an LMIA or a work permit under the IMP outside the C11 business owners category.

A virtual employer-employee relationship, or the appearance of such, is not a true reflection of a business operation. For more information, see ICT Qualifying relationship between the employer and the foreign worker.

Proof of support and business funds

Applicants should demonstrate that business funds separate from their support funds are available to pay themselves.

Support funds

To ensure they have the ability to support themselves and any dependents as required by section 39 of the IRPA, applicants should show that they have transferable and available funds unencumbered by debts or other obligations in an amount that is equal to the LICO for their family size for a minimum of 18 months or equivalent to their stay in Canada if shorter.

Proof of funds can be in the form of

cash (or bank deposits that are available while in Canada)
documents that show transferable and available funds unencumbered by debts or other obligations payable to the applicant (stocks, bonds, debentures, treasury bills, etc.)
documents that guarantee payment of a set amount of money, payable to the applicant (such as bank drafts, traveller’s cheques or money orders)
wages from their existing business

The amount of money required is determined by the size of the family. The low-income cut-off (LICO) table is updated every year.

Business funds

To assess whether the applicant is able to perform the work sought as per paragraph R200(3)(a), and to ensure the offer of employment is genuine as per R200(5), applicants should demonstrate that funds separate from their support funds are available to pay themselves. Officers maintain discretion in assessing the funds required to establish or run an existing business.

In addition, applicants should be able to provide proof of provenance of funds that they indicate they will be investing to establish or run a business.

Temporary or seasonal period of stay

To reflect that the work of the foreign national is temporary or seasonal, the period of work in Canada would normally not exceed 18 months.

If a duration of work longer than 18 months is requested, the foreign national must satisfy the reviewing officer that their planned stay is temporary. This generally means showing that they have a definite plan to transition out of managing or running the business.

Seasonal businesses (such as bed and breakfast operators, gold miners and wildlife guides) are examples of self-employment that is temporary in nature.

Year-round businesses (such as automotive repair shops, hair-dressing salons and IT companies) would require more evidence that the foreign national only intends to remain for a temporary period. Applicants should provide a transition or an exit plan for managing or maintaining their business after their departure from Canada.

For example, the business owner is planning to hire a business manager to maintain their business after their departure from Canada.

The applicant must be able to demonstrate that their work in Canada will be of a temporary nature, that they maintain the capacity and willingness to leave Canada, and that they maintain stronger ties to their residence outside of Canada.

Foreign nationals who have repeatedly been issued work permits over several years with no break in stay may no longer meet R200(1)(b). Foreign nationals who leave Canada for frequent short breaks, but spend the majority of their time in Canada should be closely examined to ensure that they have not become a resident of Canada.

If the foreign national has been in Canada for several years and appears to have primarily established their life here, officers may request additional evidence of ties to their home country and plans for departing Canada at some point. Foreign nationals cannot reside permanently in Canada simply because they are business owners.

If officers have concerns about the temporary nature of the work in Canada, they may refuse the application or limit the duration of a work permit to a specific season or period. See Conditions of the work permit including validity period.

Final decision

Approval

If the officer is satisfied that the work of the applicant would create or maintain significant social, cultural or economic benefits or opportunities for Canadian citizens or permanent residents as per paragraph R205(a) and all other requirements of R200 are met, a work permit may be issued.

Under the Application screen, officers should enter the information below in the specified fields.

Field	Selection or input
Case type	52 when the offer of employment is submitted through the Employer Portal and an “A” number exists 20 only when authorized to submit the IMM 5802 form
Province of destination	The province of destination entered by the applicant should match the address of employment in the LMIA-exempt offer of employment. This information is under the Employment Details – LMIA-exempt tab.
City of destination	The city of destination entered by the applicant should match the address of employment in the LMIA-exempt offer of employment. This information is under the Employment Details – LMIA-exempt tab.
Exemption code	C11 This code is auto-populated from the LMIA-exempt offer of employment. For further instructions, see Changes between the offer of employment and the work permit application.
NOC	The NOC code is auto-populated from the LMIA-exempt offer of employment. Self-employed people should indicate their occupation.
Intended occupation	Job title This is auto-populated from the LMIA-exempt offer of employment.
LMIA/LMIA-exempt #	“A” number generated from the Employer Portal when a foreign national submits an offer of employment. (For self-employed people or entrepreneurs, the foreign national is both employer and employee.) Normally, this number is auto-populated from the work permit application, and it is what is used to “match” in the Portal. If the work permit application was submitted on paper or as a verbal application at a port of entry, the officer must manually enter the number.
Employer	Business operating name
Duration	Officers should not issue a work permit with a duration exceeding 18 months as the work is to be temporary in nature. Any initial offers of employment with a longer duration should demonstrate that they have a definite plan to transition out of managing the business.Refer to Validity period for work permits.

Note: When the foreign national is both employer and employee, as in the business owner situation, they are subject to regulatory imposed conditions based on the information provided in the offer of employment in addition to the conditions imposed on the work permit.

Refusal

When officers are not satisfied that the specific factors for this and R205(a) are met, they need to clearly document their reasons in the refusal note.

A decision is reasonable when the reviewing court is able to trace the decision maker’s reasoning, without encountering fatal flaws in the overarching logic, and is satisfied that there is a line of analysis within the given reasons that could reasonably lead the court from the evidence before it to the decision maker’s conclusion.

The officer needs to engage with the documentary evidence that was provided by the applicant. Simply stating “I have reviewed the submissions, and I am not satisfied that R205 is met” is not sufficient for a reasonable person to understand the logic of the decision without reviewing all of the evidence again.

For example, if the applicant has provided a detailed business plan, the officer should summarize the areas of the business plan they are not satisfied with in their notes and explain why they are not satisfied the applicant meets the requirements of this and R205(a).

Officers should follow the steps in Decision making: Standard of review and process for making a reasonable decision when finalizing their refusal notes.

The conclusion should provide an answer or make a finding of fact for each issue.

The refusal grounds should reflect what the officer has stated in their notes.

Work permits are issued if all of the requirements stated in R200 are met. Therefore, refusal grounds should be linked to 1 of those requirements. Below are examples of some of the requirements.

R200(1)(b) – The officer must be satisfied that the applicant will leave Canada at the end of their period of authorized stay, including any assessment of dual intent. If the officer is not satisfied that the work of the applicant is genuine, it may be reasonable to determine that they will not leave Canada at the end of their stay. However, officers must provide a reasonable, logical explanation of why they are not satisfied.

R200(1)(c)(ii.1) – The requirement is not met if the officer is not satisfied that the work of the applicant (i.e., the business) will provide a significant benefit or in other words the applicants work is not described in R205(a).

R200(3)(a) – The requirement is not met if the officer is not satisfied that the applicant will be able to perform the work offered. For example, they do not have required experience, education, language level or any other factors that the officer determines are required to perform the work.

R200(3)(f.1) – The requirement is not met if the offer of employment under R209.11 has not been completed or if the fee required under R303.1 has not been paid prior to the submission of the work permit application.

Extensions

There may be situations where the business owner needs more time than the duration of the initial work permit to establish or run their business temporarily.

When business owners apply in Canada for a subsequent work permit for the same business, officers must still be satisfied, as per paragraph R200(1)(b), that the foreign national will leave Canada at the end of their period of authorized stay. Officers can review the general instructions for all temporary residents for further information.

In addition to being satisfied of the temporary nature of the work, the officer should also confirm that the work of the foreign national continues to provide a significant benefit.

Foreign nationals who apply for an extension of their work permit because their business has not yet been established or to continue to operate their business in Canada should show how their work during the previous work permit period provided significant benefits and how their work during the next period will also provide significant benefits or opportunities.

Documentary evidence for subsequent work permits where there is no break in stay:

supporting documents that explain the requirement for more time in Canada (for example, unforeseeable circumstances that prevent them from fulfilling their business plan, being ill, not being able to find a suitable manager to oversee the management of the business when they leave Canada, etc.)
supporting documents that show what efforts the applicant has made to implement their business plan to establish a business

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Date modified:: 2025-05-27

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