IN THIS GUIDE · Assess the operating business, the investor and the commitment as separate questions
Explain nationality and decision rights
Identify the investor’s treaty nationality and the enterprise’s ownership structure. Show the agreements that establish the applicant’s ability to develop and direct the business, including any retained rights of a seller, partner or lender. Canadian permanent residence does not establish Canadian nationality. A share percentage is relevant but should be read with the actual control arrangements. At least 50% of the enterprise must have the relevant treaty nationality through its ownership. The investor must actually develop and direct it, through at least 50% ownership or other qualifying operational control; review both nationality and control rather than treating them as one test.
Trace the source and commitment of funds
Create a dated path from the lawful source to the investment, identifying transfers, currency conversions and agreements. Personal unsecured loans and loans secured by the investor’s own non-enterprise assets may count. Debt secured by enterprise assets does not count, even when personal assets also secure it. Hypothetical example: a Calgary purchaser has a loan secured by several assets. Review the complete security documents instead of deciding eligibility from the word personal on the term sheet.
Read escrow and business costs together
The FAM recognizes qualifying investment-in-process and escrow arrangements, including certain visa-contingent purchases. Identify release, refund and cancellation conditions before payment. Substantiality is assessed relative to the cost of the business; there is no universal E-2 minimum that replaces the analysis. Distinguish money being discussed, money committed under terms and amounts already spent.
Show a real enterprise beyond the applicant’s household
The business must satisfy the non-marginality requirement. Explain its operating activity, resources and supported financial expectations rather than relying on unexplained growth figures. Distinguish historical results from a forecast, especially after a change of ownership. Canadian citizens generally require an E visa for this route; confirm the applicable consular instructions and do not assume another category’s visa exemption applies. A nonmarginal enterprise has present or future capacity to provide more than a minimal living for the investor and family, or to make a significant economic contribution; future capacity should generally be realizable within five years. The investment must be at risk and committed, and the applicant must intend to depart when E status ends.
Sources reviewed 2026-09-07. This guide covers a preparation focus; it is not an individual eligibility assessment.