Is my business eligible to sell to immigrants through the Ontario PNP?
Canada has a long and proud history of welcoming immigrants into our society, but one entry method, in particular, should be of great interest to business owners hoping to sell their business in the next few years. It’s called the Provincial Nominee Program (or PNP).
It’s not just the buyers that need to fulfill requirements. In order for your business to make the cut for the Ontario program, you need to ensure it meets the following criteria:
- The value of your business must be high enough that it nears or meets the PNP participants’ required personal investment amount. Immigrant buyers must invest at least $500,000 of their own capital into the business (or $1,000,000 if it is in the GTA), so your business must have a value close to that amount. Thus, if your business is only worth $25,000, selling to an immigrant is not a good fit.
- Your business must have been in continuous operation by the same owner or group of owners for the last 5 years. Thus, if you have only recently started or acquired the business, or inherited it from a deceased spouse or parent, you would not be able to sell it to an immigrant applying to the PNP.
- You must be willing to completely transfer the ownership of your business to the new party. If you were intending on maintaining partial ownership of the business, this option isn’t for you.
- If you or any current or past owners are a former nominee of the Ontario Immigrant Nominee Program business stream, your business is not eligible.
- Your business must not be a project-based or seasonal business.
- Your business must not be any of the following:
- Scrap metal recycling
- Holding company
- Automated car wash
- Payday loan or related business
In addition to the above, if you are located in the Greater Toronto Area, your business must not be any of the following:
- A franchise
- Gas station
- Bed and breakfast
SuccessionMatching is developing specialized programming to help new immigrants in Ontario find PNP-eligible businesses to purchase. If you meet the criteria above and would like to sell your business to an immigrant applying to the OINP - Entrepreneur Stream, joining SuccessionMatching.com will give you to access that market. (Note: If your business is in Northern Ontario, you are eligible for a coupon code that allows you a SuccessionMatching membership free of charge. Contact Ryan Reynard for more information at (807) 467-4657 or via email at email@example.com) During sign-up, you will be asked to confirm your interest in selling internationally. This will ensure your business is included in a portfolio given to eligible PNP applicants seeking businesses for sale in Ontario.
SuccessionMatching.com is an online community for business buyers, sellers, and succession planning, professionals. SuccessionMatching.com does not charge a commission on the sale of a business or farm and offers three levels of privacy settings to give members complete control over who sees their information.