Intra Company Transfer Canada: How to Expand Your Business to Canada

The Canadian immigration framework provides for various business immigration routes. Canada’s Intra Company Transfer (ICT) program is well-suited for foreign business owners with established business operations who wish to expand their existing operations to Canada. On this page, you will learn the details of the ICT program, including the program requirements, advantages, and application process.

What is Intra Company Transfer?

ICT is an immigration pathway under the International Mobility Program that allows qualified foreign business owners to transfer their businesses to Canada and acquire a work permit. Through the ICT pathway, you will be able to secure an ICT Work Permit and may bring your family members to Canada. In most cases, the principal applicant’s spouse and children will gain open work and study permits, respectively. The ICT program is governed by Immigration, Refugees and Citizenship Canada (IRCC), ensuring compliance with Canada’s immigration policies and potentially paving the way for long-term benefits such as citizenship.

ICT Canada is not the only business immigration program available to you. Take our free instant assessment and learn about your immigration options. You can also receive valuable advice from our business immigration lawyers during our comprehensive consultation.

Who Can Apply for ICT Program?

The intra-company transfer program is designed to attract established companies from all around the world to expand their operations to Canada. There are 3 categories of individuals who may benefit from this program:

• Business owners, entrepreneurs, and shareholders of successful companies who are currently holding executive positions in that company and who intend to do similar work in Canada.

• Senior managers and functional managers who are currently working in a foreign company and intend to occupy a similar position in Canada.

• Key personnel of a business who have advanced specialized knowledge that is unique or uncommon.

Individuals who occupy one of the positions above must also meet several additional requirements as described below in order to secure a work permit under the ICT program.

Intra Company Transfer Canada Requirements

Entrepreneurs who own successful businesses in their home countries can apply for the ICT WP to expand their multinational corporation to Canada. There are several additional requirements that entrepreneurs must meet in order to secure a work permit under the ICT program, including the following:

• The home company must be operational for at least 12 months (but ideally for at least 3 years) before expansion to Canada;

• The home company must be financially sound and capable of supporting foreign operations in Canada;

• The applicant seeking an ICT WP must be working/engaged with the home company for at least 12 months in the past three years prior to the immigration application;

• The home company must be related to the company in Canada as a parent, subsidiary, or affiliate company; and

• Canadian operations will be a viable enterprise and result in job creation for Canadians.

If it is an initial expansion to Canada of a foreign company, then immigration officers will also check to confirm the following:

• Is there a sound business plan that demonstrates that Canadian operations will be a viable enterprise and can generate sufficient revenue to cover its costs and compensate its employees?

• Will this expansion result in job creation for Canadians?

• Will the company be large enough to require an executive or a manager in Canada?

Thus, if it is the first ICT application in Canada, companies are required to establish that expansion to Canada makes business sense for the company and that the newly established operations in Canada are likely to succeed and become large enough to hire local staff. Therefore, for companies expanding to Canada for the first time, it is critical to present a solid business case and explain the rationale for expansion in addition to meeting basic eligibility criteria for the ICT applications.

Investment Amount for the Initial Expansion of Your Business to Canada

The Canadian government does not set any minimum investment amounts for companies expanding to Canada. However, the companies must be financially sound and have the required capital to support their new operations in Canada and hire local talent.

Therefore, in our experience, companies must be able to demonstrate solid gross sales exceeding $250,000 per year and access to liquid funds in the amount of at least $100,000 to cover the first year’s operational costs. In addition to the initial investment capital, applicants should demonstrate that they have access to additional funds or assets to support the business in Canada if it does not reach self-sufficiency by the end of year 1.

How to Apply for Intra Company Transfer Work Permit?

To apply for any immigration program in Canada, applicants must first confirm if they meet the eligibility criteria for that program. Applicants must also develop a solid strategy on how to present their case to the Canadian immigration authorities. Next, applicants must collect strong evidence to support their immigration application and include detailed explanations on how they meet the eligibility criteria and why their presence in Canada is required.

Recent updates to the ICT work permit guidelines have significant implications for foreign companies looking to establish operations in Canada.

If it is your first ICT application, follow the steps below:

• Step 1: Register your company in Canada as a parent, subsidiary or affiliate of your home company

• Step 2: Prepare a business plan outlining the proposed business activity, market research, and how you plan to run a profitable operation in Canada. Make sure to include your hiring plan and cash flow projections for at least 2-3 years in accordance with industry standards.

• Step 3: Collect all the required documents (such as bank statements, articles of incorporation, evidence of investment funds, etc.) and prepare your work permit application and

• Step 4: Submit your work permit application and wait for the decision.

It is important to note that the process varies greatly depending on the applicant’s nationality. Some countries benefit from free trade agreements with Canada, which allows their citizens to have a more lenient immigration journey under the ICT.

If the applicant is a citizen of a visa-exempt country, they may be able to apply for an ICT WP at the port of entry (POE).

Canada Intra Company Transfer Visa Processing Time

Generally, standard processing times apply to the ICT WP applications and can be checked on the IRCC’s website, which is specific to your country.

In our experience, the following are the average processing times for specific offices around the world:

• Ankara Office: 6+ months

• New Delhi Office: 3-4 months

• Abu-Dhabi Office: 6+ months

• Ho Chi Minh City: 3+ months

Please note that ICT applications for executives and managerial staff are often processed by the CPC-Edmonton office in Canada. This office seems to use a case processing technology, “Chinook,” and therefore delivers decisions in an expedited manner. If your application is sent to the CPC-Edmonton office, it is likely that you will get a decision in 1-2 months. However, in our practice, we noticed that the rejection rates from the CPC-Edmonton office are usually higher than in other offices. Thus, strategizing with an immigration lawyer about where to send your application might be a good idea.

ICT Work Permit Duration

ICT work permits are usually issued for 1 – 2 years. If they are employed by a start-up company, the WP will only be valid for 1 year. Some nationals from visa-exempt countries benefit from a 3-year WP. The WP can be renewed for an additional 2 – 3 years, for a total of up to 5 years for specialized knowledge workers and 7 years for executives and managers.

However, immigration officers may issue work permits for only one year to individuals who will be employed by newly established companies in Canada. US nationals and other citizens from visa-exempt countries (like Australia, UK, EU, Japan, etc.) may benefit from their countries’ Free Trade Agreements with Canada and obtain a three-year ICT work permit.

Under the program, it is possible to obtain a WP through a Labour Market Impact Assessment (LMIA) exemption (C12). However, in some cases, LMIA will be required.

Intra Company Transfer Canada and International Free Trade Agreements

Several countries benefit from international agreements with Canada, which allow for special benefits under Treaty ICT applications. For example, nationals of the following countries can utilize Treaty ICT regulations: United States (CUSMA), Mexico (CUSMA), Chile, Columbia, Peru, Korea, European Union (CETA), Australia (CPTPP), Japan (CPTPP), Mexico (CPTPP), and New Zealand (CPTPP) and many other countries covered by these agreements.

Frequently Asked Questions About Intra-Company Transfers to Canada

Below are answers to commonly asked questions about expanding a company to Canada.

Q: How long is the initial Intra-Company Transferee work permit valid for, and can it be renewed before its expiry?

The initial work permit obtained through the Canada ICT program is usually granted for 1 year. In certain cases, the IRCC may issue a work permit for 2 years, provided that the company in Canada is a subsidiary of the established foreign company. The Canadian ICT work permit can be renewed several times (for 2-3 years at a time and up to 7 years in total) provided that all the requirements of the program are met (such as having an office in Canada, employing a Canadian PRs or citizens and having active businesses in both, Canada and the home country).

Q: What happens if my Canadian company is not profitable in the first year?

There is no legal requirement to be profitable in the first year. It takes time and consistent effort to build a profitable company in Canada and anywhere in the world. However, your company must be genuine and actively engaged in business, which means it must be offering services or goods to its customers in Canada or abroad. Also, your company must have a physical location (office or warehouse) and employ at least one Canadian employee who is a PR or a citizen of Canada.

Q: Do you guarantee a positive result? Is there a possibility that my application for an ICT work permit may be refused?

It is illegal under Canadian law to guarantee a positive outcome in any kind of visa or immigration application. What we can guarantee you is that we will do our best to get you the desired outcome and that we will pursue your interests with the utmost diligence and perseverance. However, some ICT applications (5%-10%) get refused for various reasons. The most common reasons for refusal are (1) the officer doubts the viability of your business in Canada and (2) the financial capacity of the foreign company to support operations in Canada.

Q: If my ICT work permit gets refused, will your law firm reimburse my money?

In certain cases, we might be able to refund your money if your WP application is rejected, subject to the terms and conditions of the retainer agreement that you signed with our firm. Although we cannot guarantee the result, we are motivated to achieve the best results for you and your company. Please keep in mind that the ultimate decision-maker is the Government of Canada and/or the relevant Canadian embassy/consulate.

Q: Can my spouse and children join me in Canada if I get an Intra-Company Transfer work permit?

Yes. Business owners and key employees may bring their families to Canada during their employment period in Canada under the ICT program. Spouses are eligible for an open work permit and children can attend excellent public schools in Canada for free. The applicant and his/her family enjoy the same access to premium-free health care which is available to all residents and citizens of Canada.

Q: Do I have to apply for permanent residency after 1 year of working in Canada under the ICT program?

There is no obligation to apply for PR after 1 year of working in Canada as an ICT WP holder. If you wish to continue working in Canada, you may choose to renew your ICT WP and continue residing in Canada as a temporary foreign worker. However, if you wish to obtain permanent resident status in Canada, you can do so as early as 12 months after working in Canada provided that you meet all other eligibility requirements of the suitable PR program.

Q: What is a qualifying relationship in ICT?

There must be a qualifying relationship between the Canadian company and the foreign enterprise in which the foreign national is employed. The relationship between the companies can be in the form of a subsidiary, branch, affiliate, or when one of the companies is a sole parent company of another. It is important to note, that both companies will be or are conducting business with each other. They must both be active companies for the time when the foreign national is in Canada.

Q: What are the key benefits of the ICT work permit program?

There are many benefits of the ICT program. Just to mention a few of them:  

• Live and work in Canada: you and your family can live and work in Canada.

• Send your children to Canadian public schools: your children can attend public schools in Canada for free.

• No English language is required: you may obtain a WP to work in Canada without the need to demonstrate your knowledge of English or French languages. A minimum of 1 year of managerial experience is required for managerial positions.

• Access to free health care: After three months of work in Canada, you may be eligible for free medical coverage.

• You can reside in your home country: You are not required to reside in Canada full-time and can continue your business in your home country.

• Business opportunities: You will have access to the Canadian and US markets for expanding your business, a secure and stable banking system, financing capital, and business opportunities.

• PR: You may be eligible to apply for Canadian PR. After living in Canada for 3 years as a PR, you can apply for Canadian citizenship and obtain one of the most desirable passports in the world.

• Bring workers from your country: You can bring your key workers from your home country to work for your company in Canada.

• And many more case-specific benefits that depend on your personal circumstances.

Q: What are the three main categories of intra-company transferees?

Intra-company transfer program allows global companies to transfer 3 categories of employees to Canada: executives, senior managers and specialized knowledge workers.

Executives (usually the company’s owners, key shareholders or partners) are the employees who are primarily responsible for directing the management of the organization or its major function. They set the organization’s goals or senior management teams and exercise wide latitude in decision-making. An executive does not generally perform duties necessary in the production of a product or in the delivery of a service. They manage managers who, in turn, manage teams responsible for product creation or service delivery.

Senior Managers refer to positions in which employees primarily supervise and control the work of other supervisory, professional, or managerial employees. They can also manage an essential function within the organization or a department or subdivision of the organization. Senior Managers usually do not deliver service to customers or participate in product creation.

Specialized Knowledge ICT applicants would be required to demonstrate a high degree of both proprietary knowledge and advanced expertise, making them specialized knowledge workers. Proprietary knowledge alone or advanced expertise alone is not sufficient to qualify the applicant to come to Canada without first obtaining a positive LMIA.

You can read more about Specialized Knowledge Work Permit from one of the previous clients we have handled.

Q: Is ICT an open work permit?

No, an ICT is not an open work permit, and intra-company transferees in Canada must work for the Canadian company/employer specified in their work permit. They are not allowed to enter the Canadian labour market without first obtaining a positive LMIA decision to work for another employer in Canada.

Q: Is Canada ICT Visa location specific?

Foreign workers who hold a work permit under the ICT program are required to work for the employer mentioned on their work permit and at a specified location that was proposed during their application to Canadian immigration authorities. Therefore, companies can choose where to base their operations in Canada and make it clear during the application process where the foreign worker will be located. However, if there are multiple locations or even provinces where the foreign worker is expected to work, this information must be clearly indicated during the work permit application stage to the IRCC so the work permit is issued for the intended locations.

Q: How to convert ICT to PR in Canada?

There are multiple strategies the ICT work permit holders can use to convert their temporary status to permanent resident status in Canada. The most popular strategy is to apply for permanent residence using the Express Entry program, where work permit holders can receive an additional 50 or 200 points, depending on the nature and length of the work they do in Canada, after 12 months of employment for the same employer in Canada. However, recently, this strategy has been affected by the change in Canadian immigration regulations. So, we suggest you contact your business immigration lawyer for the available opportunities for PR. There might be some additional strategies to transition to permanent residence depending on your background, duties and location of employment in Canada.

Q: If I come to Canada on an Intra-Company Transfer (ICT) work permit and find a business opportunity, can I switch to work on that business?

If you come to Canada on an Intra-Company Transfer (ICT) work permit and find a business opportunity, you can switch to work on that business, but it may require changing your immigration status. The ICT program is particularly beneficial for multinational corporations looking to relocate key employees to Canadian branches, thereby enhancing operational continuity and contributing positively to Canada’s economy. Engaging in a new business venture might necessitate applying for a different work permit or adjusting your immigration pathway to align with your new activities. This process involves meeting the criteria of the new pathway, which may include demonstrating the viability of the new business and its contribution to the Canadian economy. It’s essential to consult with immigration professionals to ensure a smooth transition and compliance with Canadian immigration laws.

Contact the experienced Canadian corporate and business immigration lawyer at Sobirovs Law Firm to learn how we can help you with your ICT work permit application!

Start with completing this short Free Instant Assessment, and then book your 1-hour Strategy Meeting with a senior immigration lawyer by clicking here.

Two Essential Tips About ICT Canada

Most often, ICT applications are refused on the grounds of insufficient evidence or in cases when it’s a start-up ICT – poor presentation of a business case for Canada by the foreign company. Below are some tips on how to improve your chances of getting a positive decision when applying for ICT work permits:

Focus on evidence: it is critical that you provide all the necessary documents to the immigration officers with your ICT work permit application. Most often, applicants forget to include evidence about foreign company’s active engagement in business or company ownership documents that immigration officers want to see. On the other hand, do not include too many unnecessary documents that may confuse the officer. Officers are usually very busy and have limited time to go through your application.

Therefore, if you include too many unrelated documents and do not effectively organize your documents, you are risking that officers may overlook a key piece of evidence that you’ve provided. Your focus should be on providing all the required documents (while leaving all unnecessary documents aside) and effective organization of your documents to make it easy for the officer to process your application.

Make a solid business case for your company in Canada: if it is a start-up ICT application, your business plan is an important document that you should include with your application. Often, we see the applicants either skipping the business plan entirely or retaining one of the companies they find on the internet to draft a business plan for them. This is a big mistake. Business plans must be developed in collaboration with your immigration lawyer/advisor who has experience with ICT applications since it has key components about your business and Canadian company, market entry strategy and feasibility assessments that the IRCC officer will assess.

Outsourcing it to non-immigration professionals may result in your business plan not aligning with your immigration strategy and application set by your lawyer/ specialist (or even contradicting it sometimes), which in turn can result in rejections. In general, we develop our business plans in-house or by using a professional company that has been carefully selected and vetted by our team. We also review business plans carefully to ensure they match our legal submissions and the overall immigration and business strategy that we selected for the specific ICT clients.