How to Expand Your Business to Canada and Secure a Work Permit
Expanding your business to Canada offers incredible opportunities for growth in one of the world's most dynamic markets. The Canadian government’s Intra-Company Transferee (ICT) program is designed to facilitate this process by allowing businesses to open a subsidiary or affiliate in Canada and transfer employees to kickstart operations.
What Is the ICT Program?
The ICT program allows companies abroad to transfer employees to Canada to launch or manage operations in a new Canadian subsidiary. This program is frequently used by:
Business owners seeking to establish operations in Canada.
Managers or specialized employees who are integral to the company’s expansion strategy.
However, recent changes to the program have introduced new eligibility requirements, particularly for businesses based in countries without free trade agreements with Canada.
Changes to the ICT Program (October 2024)
As of October 2024, companies from countries without a free trade agreement (FTA) with Canada must meet additional requirements to utilize the ICT program. Specifically:
Three Countries Rule: Companies must already have a second company operating in another country before opening a third company in Canada.
Operations Requirement: The second company must be operational before applying for a work permit to transfer employees to Canada.
How Does This Affect Companies?
The new rules primarily affect businesses from countries without FTAs with Canada. For example:
A company based in India must establish and operate a second company in another country, before opening a third company in Canada.
Only after fulfilling these steps can the company apply for a work permit to transfer owners, managers, or specialized workers to start operations in Canada.
Countries with Free Trade Agreements
Businesses from countries with FTAs, such as the United States, Mexico, Chile (and many more), are not subject to the "three countries rule." In these cases, businesses only need to:
Have a registered and operational company in their home country.
Open a Canadian subsidiary or affiliate.
Apply for a work permit through the ICT program.
Why the Change?
The Canadian government aims to attract larger, multinational corporations through these updates. By requiring additional steps for certain countries, the program ensures that companies expanding to Canada have a broader international presence and are well-established, increasing their chances for success and growth in Canada.
Planning to Expand Your Business to Canada?
If you’re considering opening a company in Canada in 2025 and want to secure a work permit, preparation is key. At North Horizon Immigration, we specialize in helping businesses navigate the ICT program and meet all eligibility requirements.
Book a consultation today to discuss your business expansion strategy with Rita Benkhalti, our Regulated Canadian Immigration Consultant. Let’s make your Canadian business dream a reality!
