Business Category Stream (OINP)

Business Category Stream (OINP):

OINP Business stream targets profiles who are looking to do or buy an existing business in Ontario.

Steps to apply under this stream

This stream is a two-part process:

Part 1

  1. You need to prepare to apply with an online Expression of Interest (EOI).
  2. You need to register with online EOI in OINP.
  3. If you have an invite then prepare an application for Entrepreneur Stream.
  4. Submit your application with all the papers and pay the application fee.
  5. You need to attend an interview for the review of your application.
  6. After OINP approves your application then you need to sign a ‘Performance Agreement’.

Part 2

  1. You need to get temporary work permit support letter to apply for a work permit with IRCC in OINP.
  2. You will have to arrive on a temporary work permit to set up a business in Ontario. You will have 20 months to set and fully operate your business.
  3. If you meet terms of Performance Agreement then you will receive a nomination.
  4. You will have to apply to IRCC for permanent residence within 6 months. The govt will observe you for 36months post nomination.

 

Eligibility for applicants

All applicants have to submit Expression of Interest (EOI) to apply for OINP Business Stream.

You must have at least 24 months of work experience within 60 months. You need to have this experience as a business owner or senior manager.

  1. If you have experience as both a business owner and senior manager then you can show only one. Also, you need to be an active business owner with at least one-third ownership in the business.
  2. As a senior manager, you need to show that you have senior decision-making responsibilities in the business.
  3. You need to show a min. net worth as per the province areas. Like you must show the net worth of $800,000 for businesses in the Greater Toronto Area (GTA). And a min net worth of $400,000 for businesses outside GTA. Finally IT/Digital Communications business must show a net worth of $400,000.
  4. You need to give the third-party valid, verifiable proof of your net worth.
  5. You need to show proof of personal investment in your business. Like for proposed business in GTA the min. investment is $600,000. And for proposed businesses outside GTA, it’s a min of $200,000.
  6. You need to have a min. one third equity ownership.
  7. GTA businesses must have 2 full-time jobs for Canadians or permanent residents.
  8. Businesses outside GTA must have 2 fulltime jobs for Canadians or permanent residents.
  9. You must have 2 full-time jobs other than your staff, if you are a GTA business, buying another business.
  10. You need 1 full-time job other than your staff, if you are a business outside GTA, buying another business.
  11. After submitting your EOI you need to visit once if you are buying a business in the province.
  12. You need to be an active participant in the operations and management of your proposed business.
  13. Your sole purpose of the business investment must not be just for capital gains, dividends and interests.

 

Eligibility for the business proposed

These are the following terms that your proposed business must meet:

  1. The aim of your business should be to profit in the goods and services sector.
  2. You should have active (earnings) income sources and not passive (unearned) income.
  3. Your business must be legal and should have a licence to operate in Ontario.
  4. Your business should follow all health, employment and safety laws.
  5. OINP should be able to consider your business as permanent in Ontario.
  6. Your third party investors must be authorised Canada or foreign banks/institutions/investors.

 

Eligibility for buying a business in Ontario

  1. Before buying a business, the owner(s) must have a current business running for at least 60 months.
  2. You need to show proof of your business, intention/receipt to buy a business.
  3. You must have complete ownership of the business you are purchasing.
  4. You as the new owner must keep all existing permanent jobs in the business.
  5. You must have 2 full-time jobs other than your staff, if you are a GTA business, buying another business.
  6. You need 1 full-time job other than your staff, if you are a business outside GTA, buying another business.
  7. You need to show a profitable business plan.
  8. You need to allocate 10% of your investment in growing and expanding your business in Ontario.

 

OINP terms: To consider your profile under Entrepreneur Stream

OINP will consider your profile after you have a running business in Ontario. And also meet the terms of the performance agreement. After you get an invite to apply then you can apply to the govt for permanent residence.

You must follow these terms after setting your business, and not while applying in OINP Entrepreneur Stream.

  1. You need to show min. language skills for English or French.
Skills IELTS CELPIP TEF TCF
Listening 4.5 4 145-180 331-368
Reading 3.5 4 121-150 342-374
Writing 4.0 4 181-225 4-5
Speaking 4.0 4 181-225 4-5
  1. You need to live in Ontario to set up your business for a period of 9months. As written in Performance Agreement terms.
  2. You as a business owner must have active involvement in the operations and management of your business.

 

Expression Of Interest (EOI)

An EOI is not an application but a proof of you wanting to be a part of OINP Entrepreneur Stream. When you get an invite you can submit a complete application in the Entrepreneur Stream. The EOI is a point-based system. You need to assess your points as per the terms in the EOI. Your total score will help OINP in selecting the right applicant.

In EOI you can calculate your points under three categories:

EOI – Factors and Points
Business Concept 74
Investment Factors 46
Human Capital Factors 80
Total Points 200

 

These are the factors as per which you can assess your score for applying in the OINP Entrepreneur Stream.

Business Concept

This term consists of:

  1. Business Model
  2. Market Research
  3. Business profitability under in-demand sector for Ontario
  4. Investment Plans
  5. Place of Business
  6. Creating Job Opportunities

 

Business Model

In this factor, the applicant has to present a business concept. A business concept is a document that explains the proposed nature, operations and plans of your business.

Your business plan needs to show:

  1. The purpose and nature of your business.
  2. List of proposed activities to achieve your business goals.
  3. List short-term and long-term operational and financial goals.
  4. List of proposed challenges affecting the business.
  5. Propose methods/steps to overcome the mentioned challenges.

As per OINP, your business plan must prove its credibility. It needs to show profitable steps and figures for a successful selection. Also, not only should your plan must meet OINP terms but also meet your claims in the EOI.

 

The following points will be given as per your business concept:

Business Concept – Points (Max 15)
Unclear 0
Fair 7
Good 15

 

Market Research

In this factor, you need to show a market strategy for the proposed business. And also for buying a new business in the province. Your market research document should have:

  1. Market research in Ontario for proposing a business concept or buying an existing business.
  2. Submit data related to market factors – policies, pricing, marketing, advertising and competition. You also need outline steps for risk management.
  3. Show statistical data for the target market, current competition and market trends.

 

Market Research – Points (Max 15)
Unclear 0
Fair 7
Good 15

 

Business profitability under In-Demand Sector in Ontario

This factor assesses whether your business falls under the key sector. Your business should be able to benefit the province. Key sector refers to the business sectors that Ontario is looking to expand and grow. And these key sectors top Ontario’s prime economic needs:

  1. Aerospace
  2. Automotive
  3. Chemical and Biochemical
  4. Cleantech
  5. Financial Services
  6. Food and Beverage Manufacturing
  7. Industrial Automation and Robotics
  8. Information Technology
  9. Life Sciences
  10. Mining
  11. Tourism

 

Business Profitability in Key Sectors (Max 10 points)
Unclear 0
Fair 5
Good 10

 

Investment Plans

In this factor, you must show details of your investment plans for your business (proposed/buying).

Investment Plans (Max 10 points)
Unclear 0
Fair 5
Good 10

 

Place of Business

In this factor, OINP calculates population size in Ontario under the Census Metropolitan Area (CMA) and Census Agglomeration (CA).

Place of Business (Max 10 points)
CMA Population of 150,000 or more 0
CMA or CA Population more than 100,000 but less than 175,000 5
Population of 100,000 or below (other areas) 10

 

Job Opportunities

This factor will see the job creation possibility of your business for Canadians and permanent residents. Under this, you need to create at least 2 permanent full-time. This job needs to be a min wage level or more, 1560 paid hours job in a year.

Job Opportunities (Max 14 points)
In GTA – 2 jobs

Outside GTA – 1

ICT/ Digital Communications – 1

3
3 – 4 jobs 5
5 or more jobs 7

 

Investment Factors

 

Net Worth

Personal Net Worth (Max 15 points)
Business in GTA < $800,000 N.A
800,000 to $2,499,000 5
> $2500,00 10
OR
Business outside GTA

Or

Business in ICT/Digital Communication

< $400,000 N.A
$400,000 to $999,999 10
> $100,000 15

 

 

Investment Amount

Investment Amount (Max 25 points)
Business in GTA < $600,000 N.A
$600,000 to $1,499,000 10
$1,500,000 to $2,999,999 15
> $3,000,000 20
OR
Business outside GTA

Or

Business in ICT/Digital Communication

< 200,000 N.A
$200,000 to $499,999 15
$500,000 to $799,999 20
> $800,000 25

 

Business Visit

Under this factor, you have to visit Ontario for your proposed business or the business you are buying. This business-related visit has to be post submission of your EOI in the OINP.

Business Visit (Max 6 points)
No 0
Yes 6

After OINP, offers you an invite to apply, you must show proof of your business visits.

This can be done by submitting:

  1. Flight tickets and boarding passes
  2. Receipts of stay in Ontario
  3. Minutes of meetings with the itinerary
  4. Photographs
  5. Business cards or contact info from business dealings
  6. Email communication with a business in Ontario

 

Human Capital Factors

In this factor, OINP assesses your past work experience as a business owner or a senior manager. This experience has to be within 60 months, before submitting NOI. In case you are both the owner or a senior manager, you can only show one in your NOI. Therefore, you must show 36 months of experience under the min. eligibility term of the OINP Entrepreneur Stream.

 

  1. Business Owner/Senior Manager
  2. Past Business Experience
  3. Education Level
  4. Language Skill

 

Business Owner/Senior Manager

You can get points in this factor if:

  1. You need to own 33.3% equity shares of your business.
  2. You need to show active involvement in the management and operations of your business.
  3. As a senior manager, you should be a part of senior-decision making activities.

 

Owner/Senior Manager (Max 25 points)
Business Owner < 24 months N.A
24 to 47 months 13
48 to 59 months 19
60 months 25
OR
Senior Manager < 24 months N.A
24 to 47 months 13
48 to 59 months 19
60 months 25

 

 

Past Business Experience

OINP considers your past business experience in a specific sector. You must show proof of business growth in a high growth business or export trade. This experience has to be within 60 months.

  1. High Growth Business – You must show papers that prove that the business had a 20% revenue increase in the past 2 years. You can submit your papers once you receive an Invite to Apply.
  2. Export Trade Business – You must show papers for experience in export business. And your business should be exporting 20% of total goods/services to a foreign market.

 

Past Business Experience (Max 30 points)
Past Business Experience – 1 15
Past Business Experience – 2 25
Past Business Experience – 3 30

 

Education Level

In this factor, you can claim high points as per your level of education. There is no min. eligibility under the Entrepreneur Stream. If you receive an invite to apply then you must show proof of your studies.

Education Level (Max 10 points)
No Post-secondary Education 0
2 Year (College/University Degree or Diploma) 5
3 Year (College/University Degree or Diploma) 10

 

Language Skills

In this factor, you need to show proof of min. language skills to qualify. It is not compulsory to show proof of language skills for Entrepreneur Stream.

But, for OINP application you must show min. language skills to qualify and receive an invite for permanent residence. All applicants need to have a min. Canadian Language Benchmark (CLB) 4 score or more in English or French. You need to show proof for all language skills – Reading, Writing, Listening, Speaking. And OINP will assess your profile as per your language test scores. And, you can show IELTS/CELPIP/TEF Canada/TCF Canada scores for English and French.

Language Skills (Max 10 points)
CLB 3 or below 0
CLB 4 5
CLB 5 or higher 10

 

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