Guide to Applying for SUV Open Work Permit in Canada

The Canadian government recently introduced a new three-year open work permit for entrepreneurs who have applied for Canadian permanent residency under the Start-Up Visa (SUV) program. The new open work permit allows applicants to work for any employer in Canada to supplement their income while they continue developing their start-up projects in Canada.

In this article, we’ll guide you through how this new SUV open work permit works, why it’s a game-changer for entrepreneurs, and how to use it to grow your business in Canada.

Who Can Apply for a New SUV Open Work Permit?

To qualify for an open work permit under the Canada Start-Up Visa program, applicants must:

Have applied for permanent residence (PR) through the SUV program. If the applicant is a part of an investor/founder group, all designated essential members must have pending PR applications.
Hold an Acknowledgement of Receipt (AOR) letter from the IRCC.
Be an essential member of the startup’s entrepreneurial team.
Demonstrate that their business will provide significant economic benefits to Canada.
Have sufficient funds to support themselves and their family in Canada.
Have sufficient funds for their business in Canada.

What Documents Are Required for the SUV Open Work Permit?

To apply for an open work permit under the Start-Up Visa program, SUV applicants must submit the following documents:

Acknowledgement of Receipt: A letter from the IRCC confirming the submission of PR application.
Letter of Support: Issued by a designated organization endorsing your business.
Proof of Funds: Evidence that you can support yourself and your family for 52 weeks in Canada.
Proof of Investment Funds: Evidence that you have available liquid funds to start your business in Canada (initial investment amount according to the business plan).
Medical Examination Results.
Valid Police Certificate.
Business Plan and Pitch Deck
Business Execution Report: Highlight what has been accomplished since receiving the commitment certificate from a designated organization.
Operational Plan for Canada: Includes details of hiring plans, supplier discussions, and site selection.
Educational and Work Experience documents: include the applicant’s resume, educational credentials, language test results and reference letters to establish relevant work experience. Officers must be satisfied that the applicant will be able to perform the work sought in Canada.
Proof of Investment Funds: Ensure that these are separate from personal support funds.

How To Apply for the SUV Open Work Permit

Step 1: Submit Your Permanent Residency Application

Apply for permanent residence under the SUV program before your Letter of Support expires. Ensure you are named essential member(s) in the Commitment Certificate, detailing why the urgent presence of those members in Canada is required.

Step 2: Collect Your Documents

Using the list above, collect all the required documents, arrange the translations in English or French and organize them in PDF format not exceeding 4 MB. Pay attention to the following documents:

Proof of investment funds: your funds must be available, transferable, and unencumbered. Officers will focus on the liquidity of your funds and their source. If you have unexplained large sum deposits in your bank account, explain the source of funds for these deposits and provide evidence.
Ensure your passport has at least three years of validity. If not, the work permit duration may be limited to your passport’s expiry date.
Include evidence about the ties to your home country, such as assets you own, family ties (make sure to complete Family Information Form IMM 5645), and other obligations to strengthen your case.
Conduct an upfront medical examination and obtain police certificates from countries where you’ve lived for more than six months.

Step 3: Wait for the Acknowledgment of Receipt

Once IRCC receives your permanent residence application, they will issue an AOR, usually within 3-6 months.

Step 4: Create an Online Profile

Use the IRCC portal to create a temporary residence profile and upload all your collected documents according to the checklist generated by the IRCC.

Step 5: Complete Biometrics

If you haven’t done biometrics before, complete this step when instructed by the IRCC.

Step 6: Wait for a Decision

After submitting all documents, wait for IRCC to approve your application. Once approved, you will receive Port of Entry (POE) letters allowing you to travel to Canada.

Benefits of the SUV Open Work Permit

The Start-Up Visa Open Work Permit offers a range of benefits that provide both flexibility and support for entrepreneurs building their businesses in Canada.

Work for Any Employer: You can supplement your income by working for any employer while developing your start-up.
Bring Your Family: You can bring your spouse and unmarried children under the age of 22 to reside with you in Canada. Your spouse may also get an open work permit and work in Canada.
Free Education For Children: Children under 18 can attend public schools in Canada for free.
Start Another Business: You have the flexibility to start another business, but be mindful of your commitment to your start-up business.
Access to Healthcare: Benefit from Canada’s subsidized healthcare system for yourself and your family members.

Challenges and Common Issues With the SUV Open Work Permits

One key challenge is the long wait time for Acknowledgement of Receipt, which sometimes can take up to 1 year. This delay prevents applicants from applying for the SUV open work permit during this period. However, with more recent applications, we notice that the IRCC is issuing the AORs within the first 3-6 months, which would greatly benefit start-ups and accelerate their progress.

Pro Tip: While waiting for the AOR, explore the C11 work permit category to bridge the gap.

Another challenge involves demonstrating full dedication to your start-up. Applicants who take on multiple jobs may be rejected for not showing adequate commitment to their business. Balancing other employment or commitments with start-up dedication can be a challenge for many applicants.

Pro Tip: Prioritize your start-up over other employment to show full commitment to your business venture. Document your involvement with the start-up, saving evidence like meeting notes, progress reports, and business milestones to be ready if asked for proof.

Additionally, only essential entrepreneurial team members are eligible for the Open Work Permit, which disadvantages non-essential team members.

Pro Tip: Consider bringing non-essential team members on a closed work permit, such as a C10 or other work permit.

Lastly, start-ups lacking initial capital may face hurdles, as businesses that plan to raise funds within Canada are only eligible to apply for work permits with proof of available financial resources. Start-ups relying on future investments from Canadian sources may find this restriction limiting.

Pro Tip: Secure initial funding or venture capital outside of Canada before applying to meet the program’s financial requirements.

How Sobirovs Can Help

Sobirovs Law Firm can expertly guide you through the complexities of the Start-Up Visa Open Work Permit application process. Our team will meticulously review your eligibility, assist in gathering the required documentation, and provide strategic advice to maximize your chances of approval. With our in-depth knowledge of Canadian immigration law and a proven track record of success, we will handle your Start-Up Visa application with the utmost care and professionalism, ensuring a smooth and efficient process. Let Sobirovs Law Firm be your trusted partner in achieving your entrepreneurial dreams in Canada. Talk to our senior lawyer today.

Frequently Asked Questions about the SUV Open Work Permits

What is the significant benefit, and how can it be shown for the SUV Open Work Permit?

A “significant benefit” to Canada under the Startup Visa program includes creating jobs, innovating products or services, boosting remote (rural) economies, or offering training opportunities to Canadians. To prove this, applicants should provide supporting documents showing their entrepreneurial experience and how their business will create at least one of these benefits.

It is crucial to include these documents in your work permit application to avoid a refusal.

How much investment do I need to show to get the SUV Open Work Permit?

As part of your application for an open work permit under Canada’s Start-Up Visa program, you must provide proof of funds to demonstrate you have enough liquid assets to start your business in Canada. This amount should align with the details of your business plan and reflect the initial investment necessary for your share of the business. These funds must be separate from personal living expenses and demonstrate that you can cover business start-up costs.

For example, if your business plan indicates that in Phase 1 of your start-up project, you will focus on developing a Minimum Viable Product (MVP) and the projected operational costs are roughly $200,000 in Years 1 & 2, covering payments for IT professionals and market research, you must show that (a) the company has the necessary funds to start the operations in Canada; and (b) you have liquid funds proportional to your share.

Thus, if you own 10% shares in the start-up, you need to show proof of at least $20,000 in liquid assets. Additionally, you must provide evidence that the remaining $180,000 has been deposited in the company’s bank account, or it will come from other shareholders, including their bank statements.

Can I show assets instead of liquid funds as proof of funds for the SUV open work permit?

No, you must prove that your funds are liquid, transferable, and unencumbered. Assets like property or investments may not meet these criteria.

Do I have to show the source of investment funds for the SUV open work permit?

Yes, you need to provide evidence of where your investment funds come from and ensure they are accessible and legitimate.

Can my SUV open work permit application be rejected even if I meet the eligibility criteria?

Yes. Even if you meet the eligibility criteria, your application can be rejected based on other factors, such as incomplete documentation, inadmissibility, or lack of ties to your home country.

Can my family join me under the SUV open work permit?

Yes. Your spouse can apply for an open work permit, and your children can accompany you to Canada and attend public school.

I have a closed work permit; can I now apply for an SUV open work permit?

Yes, you can apply for the new SUV open work permit, provided you meet the necessary conditions outlined above, have applied for permanent residency under the SUV program, received your AOR, and have sufficient funds to support yourself, your family, and your business.

I am not an essential member of the SUV project; can I still apply for the new SUV open work permit?

No. Only essential start-up team members, as named in the Commitment Certificate, can apply for the SUV open work permit. However, you can apply under a different work permit category to join your team in Canada if necessary.