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Owner-Operator LMIA Applications
A proven pathway for foreign nationals to purchase or establish a Canadian business, obtain an LMIA-based work permit, and transition to permanent residence.
ESDC Business PlansLabour Market Impact AssessmentBusiness AcquisitionWork PermitPNP Pathway
The owner-operator LMIA stream bridges temporary work authorization with a clear path to permanent residence through provincial nomination.
Owner-Operator LMIA
200(1)
IRPR Work Permit Section
50%+
Minimum Ownership Stake
2+
Canadian Jobs Created
C11
LMIA Exemption Code
Quick Answer
What ownership percentage is required for an owner-operator LMIA?
ESDC typically requires the applicant to hold a controlling interest in the Canadian business, which generally means at least 50% plus one voting share. In some cases, a significant but non-controlling interest may be sufficient if the applicant can demonstrate that they will have genuine decision-making authority over the business operations. The ownership structure must be clearly documented through share certificates, corporate resolutions, and other corporate records.
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PROGRAM OVERVIEW
The Owner-Operator LMIA Stream
The owner-operator LMIA stream enables foreign nationals to obtain a work permit to operate a business they own or are purchasing in Canada. Unlike standard LMIA applications, which require an employer to demonstrate that no Canadian worker is available for a specific position, the owner-operator LMIA is assessed under a distinct framework that evaluates the benefits the business will bring to the Canadian labour market: including job creation, capital investment, and skills transfer. The legal authority is section 200(1) of the IRPR, and applications are processed by Employment and Social Development Canada (ESDC) under dedicated owner-operator guidelines.
Applicants must hold a controlling ownership interest, typically at least 50% plus one share, in the Canadian business. The business must be genuine and operational (or have a credible plan to become operational), and the applicant’s role must be substantive and essential to the business’s operations. ESDC evaluates whether the owner-operator’s presence in Canada will create positive labour market effects, including the creation of jobs for Canadian citizens and permanent residents.
BUSINESS PLAN REQUIREMENTS
Preparing the ESDC Business Plan
A comprehensive business plan is the most critical component of an owner-operator LMIA application. ESDC requires the business plan to demonstrate the viability of the business, the applicant’s qualifications and experience to operate it, the projected employment of Canadian workers, capital investment details, market analysis, and financial projections for a minimum of three years. The plan must clearly articulate how the business will create or maintain employment for Canadian citizens and permanent residents.
At Lexaltico LLP, we work with our clients and their financial advisors to prepare business plans that meet ESDC’s expectations. Our plans typically include executive summaries, industry and market analyses, descriptions of products or services, marketing strategies, management structures, staffing plans with detailed job descriptions for Canadian positions to be created, and comprehensive financial projections including income statements, balance sheets, and cash flow forecasts. We also prepare the LMIA application forms, transition plans, and supporting documentation for submission to ESDC.
PATHWAY TO PR
From Work Permit to Permanent Residence
While the owner-operator LMIA itself results in a temporary work permit, it is frequently used as a stepping stone to permanent residence through provincial nominee programs. Many provinces: including Ontario, British Columbia, Saskatchewan, and Manitoba, offer entrepreneur or business nominee streams that recognize owner-operators who have successfully established and operated businesses in the province. After meeting the province’s requirements for business performance, job creation, and residency, the owner-operator may receive a provincial nomination certificate, which significantly accelerates the federal permanent residence application.
Owner-operators may also accumulate Canadian work experience that qualifies them for Express Entry programs such as the Canadian Experience Class (CEC) under section 87.1 of the IRPR, provided they meet the relevant National Occupational Classification (NOC) requirements and other eligibility criteria. Our team advises clients on structuring their Canadian work experience to maximize eligibility across multiple permanent residence pathways, ensuring that temporary status is leveraged effectively toward long-term settlement in Canada.
Common Questions
Frequently Asked Questions
What ownership percentage is required for an owner-operator LMIA?
ESDC typically requires the applicant to hold a controlling interest in the Canadian business, which generally means at least 50% plus one voting share. In some cases, a significant but non-controlling interest may be sufficient if the applicant can demonstrate that they will have genuine decision-making authority over the business operations. The ownership structure must be clearly documented through share certificates, corporate resolutions, and other corporate records.
Can I purchase an existing business and apply for an owner-operator LMIA?
Yes. The owner-operator LMIA stream accommodates both the establishment of a new business and the acquisition of an existing business. For acquisitions, ESDC will evaluate the purchase agreement, the business’s financial history, and the applicant’s plan for continuing and growing the business. The business plan must explain how the acquisition will maintain or increase employment for Canadians and demonstrate the viability of the business under new ownership.
How many Canadian jobs must the business create?
There is no prescribed minimum number of jobs, but ESDC evaluates the positive impact on the Canadian labour market, and job creation is a central consideration. Most successful owner-operator LMIA applications involve businesses that create or maintain at least two to three full-time positions for Canadian citizens or permanent residents. The business plan should include detailed staffing plans with specific job descriptions, compensation levels, and hiring timelines.
What is the processing time for an owner-operator LMIA?
Owner-operator LMIA applications are typically processed by ESDC within 2 to 4 months, although processing times can vary depending on the volume of applications and the complexity of the case. After a positive LMIA is issued, the work permit application is submitted to IRCC and processed within its standard timelines. The total time from LMIA submission to work permit issuance is generally 3 to 6 months.
Can my spouse work in Canada while I hold an owner-operator work permit?
Yes. If your work permit is classified at a NOC skill level of TEER 0, 1, 2, or 3, your spouse or common-law partner may be eligible for an open work permit under paragraph R205(c)(ii) and exemption code C41. This allows your spouse to work for any employer in Canada without the need for a separate LMIA or employer-specific work permit.
What happens if the business underperforms after the LMIA is issued?
A positive LMIA and work permit are not automatically revoked if the business underperforms. However, if you apply for a work permit extension, ESDC will assess the business’s performance against the original business plan and may require updated financial statements and revised projections. Significant deviations from the business plan, particularly failure to create the promised Canadian jobs, could result in a negative LMIA on the renewal application.
Can an owner-operator LMIA lead to permanent residence?
Yes. The most common pathway is through a provincial nominee program (PNP) entrepreneur stream. After operating the business for a specified period (typically 18 to 24 months) and meeting performance benchmarks such as job creation and revenue targets, the owner-operator may be nominated by the province for permanent residence. Additionally, owner-operators may qualify for Express Entry programs like the Canadian Experience Class if they accumulate sufficient qualifying work experience in a NOC TEER 0 or 1 occupation.
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Immigration consulting services are provided by Regulated Canadian Immigration Consultants (RCICs) in good standing with the College of Immigration and Citizenship Consultants (CICC) under the College of Immigration and Citizenship Consultants Act, S.C. 2019, c. 29, s. 292.
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The complimentary 15-minute initial assessment is a brief introductory conversation. It does not include a review of your documents and does not constitute legal advice. Lexaltico LLP charges a fee for substantive consultations, including civil litigation, criminal defence and immigration matters; the firm may waive that fee at its discretion. Any fee is disclosed in advance and credited in full toward your account if you retain the firm. Documents are reviewed and advice given only at a paid consultation or once the firm has been retained. No solicitor-client relationship arises, and no duty of confidentiality applies, until confirmed in writing.
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Where we refer a matter to another firm, including through LexKonnect, we comply with Rule 3.6-6.1 of the Law Society of Ontario’s Rules of Professional Conduct. Any referral fee is set out in the Law Society’s standard referral agreement, signed by you before the referral proceeds, and no fee is payable to us unless and until the receiving firm has been paid for its work. You are never obliged to accept a referral and are free to retain any firm you choose. No referral arrangement affects the independent professional judgment of any lawyer at this firm.
Limitation Periods
Failure to commence proceedings within applicable limitation periods may permanently bar your claim. In Ontario, the general limitation period is two (2) years from discovery under the Limitations Act, 2002, S.O. 2002, c. 24, Sched. B. Seek legal advice promptly.
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Our Telephone Line
Our line is answered 24 hours a day, every day of the year. Outside office hours calls are taken by our intake service, who record your details and pass them to the firm. A lawyer responds during the next business day, or sooner if the matter is urgent. Answering the telephone is not the same as giving legal advice: no advice is given on that call and no solicitor-client relationship arises from it. If you or a child are in immediate danger, call 911.
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Reviews shown on this site are written by third parties and published on platforms we do not control. Each describes one person’s experience of one matter. They are not a promise, a prediction or a guarantee about any other matter, and they should not be read as a statement about the quality of legal services generally. Every case turns on its own facts.
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Lawyers, Paralegals and Consultants
Not everyone at the firm is a lawyer. Licensed paralegals in Ontario may act only within the scope permitted by the Law Society of Ontario, which does not include most family, estate or criminal matters. Immigration consulting may be provided by Regulated Canadian Immigration Consultants, who are not lawyers. Each page and each biography states which applies. Ask us at the outset who will handle your matter and under which licence.
Languages
We serve clients in a number of languages. Every page of this site is written and published in English. Where a document, a summary or a conversation is provided in another language, the English version governs in the event of any difference. If you need an interpreter, tell us when you book and we will arrange one.
Lexaltico LLP
Legal Notices
How Lexaltico LLP handles personal information, under PIPEDA and Ontario law.
What we collect
What you give us
When you use a form on this site, email us or telephone us, we collect what you choose to send:
your name, email address, telephone number and a description of the situation. Nothing on this
site requires you to give more than that.
What is collected automatically
We collect non identifying technical information when you browse: IP address, browser type, pages
viewed and time spent. It is used to understand how the site is used and to improve it. It is not
used to identify you.
What we do not collect here
We do not collect sensitive personal information through this website. Detailed personal and legal
information is collected only after a solicitor client relationship exists, through the channels
set up for that purpose.
How we use it
Purpose
What you send is used to reply to you, to run a conflict check, to assess whether the firm can
assist, and, if a retainer follows, to carry out the work.
Marketing
We do not use your personal information for marketing without your express consent, and we
do not sell, rent or trade it. If you consent to receive anything from us, every message
carries a way to stop, as required by Canada’s Anti Spam Legislation.
Sharing and disclosure
Privilege
Information given to us in the course of a legal matter is protected by solicitor client
privilege. We do not disclose privileged information without your consent, except where the law or
a court order requires it.
Service providers
Non privileged contact information may be shared with the providers who help us run the firm and
this website, and with people engaged on your matter such as translators, agents and court
reporters. All of them are under confidentiality obligations.
Processing outside Canada
Information submitted through a form travels through third party services in order to reach us by
email, and may be processed or stored outside Canada, where it can be subject to
the laws of that place. Submitting a form is your consent to that transfer. If you would rather
not, telephone us instead.
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What is set, and when
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Accept. If you press Decline, measurement is switched off for you entirely, nothing further
is sent, and anything already stored on your device is cleared. The site works either
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You can change your answer at any time by clearing this site’s cookies in your browser, which
brings the question back.
Your rights, and how long we keep things
Your rights under PIPEDA
Under the Personal Information Protection and Electronic Documents Act,
S.C. 2000, c. 5 you may ask what personal information we hold about you, ask us to correct
anything inaccurate, and withdraw consent to our use of it, subject to legal and contractual
limits. We reply within thirty days or explain why we need longer.
Retention
Client files are kept for the period the law and the Law Society require, ordinarily
seven years after a matter closes, which reflects limitation periods and the
possibility of later proceedings. After that they are securely destroyed or anonymised. You may
ask for earlier deletion, subject to those obligations.
Enquiries that do not become files
If you contact us and no retainer follows, what you sent is retained only as long as our conflict
records require, then destroyed.
If you are not satisfied with our answer you may complain to the Office of the Privacy
Commissioner of Canada.
Short, and written to be read rather than scrolled past.
The four things that matter most
Nothing on this site is legal advice, however specific it looks.
Using the site or sending a form does not make us your lawyers.
Do not send confidential information before a retainer is signed.
Past results depend on their own facts and do not predict yours.
What this site is
Information, not advice
This site publishes several hundred pages about Ontario law. They are written carefully, they cite
statutes and cases by name, and they are reviewed. None of that makes them advice about your
matter. Law is applied to facts, and we do not know yours.
The difference is practical rather than technical. A page explaining that spousal support is
usually indefinite after a twenty year marriage is accurate as a general statement and may be
wrong about you, because of a domestic contract you signed, a period of separation you have
forgotten, or an income that is not what a tax return says it is.
Law also changes. Pages carry a review date where one is relevant. A page reviewed last year may
not reflect an amendment made since, and a page about a subject currently before an appellate
court may be overtaken between your reading it and your acting on it.
When we become your lawyers
Three things must happen first
A conflict check must be completed. We act for a great many people and
businesses, and we cannot act against a current client or use what we learned from a former one.
That check happens before anything else and occasionally means we have to decline.
We must confirm in writing that we are prepared to act. Not every matter is one we
can take, and saying so early is better than taking a file we cannot properly serve.
A retainer agreement must be signed. It sets out what we are doing, what we are
not doing, who is responsible for what, and how fees work. Until it is signed no relationship
exists, whatever has been discussed.
Confidentiality before a retainer
Why you should not send us documents yet
Information sent through a form, or by email, before a retainer is signed is not covered by
solicitor client privilege. That is not a policy we chose. It follows from there being no
solicitor client relationship for the privilege to attach to.
It can also create a problem for you. If you send us detailed information about a dispute and we
are later approached by the other side, what you sent may affect whether we can act for either of
you.
So tell us the shape of the problem and leave out the detail: the area of law, roughly when it
arose, and whether anything is urgent. That is enough for us to say whether we can help. The
documents come after the retainer.
Results, testimonials and reviews
What they do and do not tell you
Case results described anywhere on this site are real and are described accurately, and they are
specific to their own facts. A settlement at three times the original offer happened because of
that employer, that contract and that person’s history. It says nothing about what your
matter is worth.
Client reviews are the views of the people who wrote them. We do not offer anything in return for
a review, we do not write them, and we do not ask only the clients we expect to be positive.
Calculators on this site produce estimates from the figures you enter. They apply published
formulas and they cannot know about the facts that most often change the answer.
Copyright, links and governing law
Copyright
The content of this site belongs to Lexaltico LLP or its licensors. You are welcome to read it,
print it and quote it with attribution. You may not republish it as your own.
Links
We link to statutes, regulations, court decisions and government pages because a reader should be
able to check us. We do not control those sites and are not responsible for them, and a link is
not an endorsement.
Limitation of liability
To the fullest extent the law permits, Lexaltico LLP is not liable for any loss arising from your
use of, or reliance on, anything published on this website.
Governing law
These terms are governed by the law of Ontario and the federal law of Canada that applies in
Ontario. Lawyers and licensed professionals at the firm are regulated by the Law Society of
Ontario, and marketing on this site is intended to comply with the
Rules of Professional Conduct.
Every limit on what this website tells you, and every thing it does not do, in one
place rather than in small print at the bottom of each page.
Before you rely on anything here
Four limits, and they matter in this order.
Not legal advice
Everything published on this website is general information. It is not legal
advice, it does not take account of the facts of any particular situation, and reading it does not
create a solicitor client relationship. Do not act, or decide not to act, on anything here without
speaking to a lawyer licensed in your jurisdiction about your own circumstances.
Jurisdiction
These pages describe the law of Ontario, and of Alberta only
where a page says so expressly. They do not describe the law of any other province, territory or
country. Law that looks similar across jurisdictions frequently is not.
Currency of the law
Each page states the law as at the review date shown on it. Legislation is amended and case law
develops. A page accurate when written may no longer be.
Generality
These pages describe how a rule usually works. That is not the same as how it applies to your
facts. The exceptions are where most real matters live, and a page written for a general reader
cannot tell you whether you are inside a rule or inside its exception.
If you contact us
If you are in danger
If you or a child are in immediate danger, call 911.
This website is not an emergency service. Enquiries sent through a form here are read during
business hours and a reply may take up to one business day.
Using this website, submitting a form, sending an email or speaking to us on the telephone does
not make us your lawyers. That relationship arises only when the firm has
confirmed in writing that it has agreed to act, a conflict search has been completed, and a
retainer has been signed.
Confidentiality of enquiries
Do not send confidential or sensitive information through this website or by email until we have
confirmed in writing that we can act for you. Information sent before that point is
not treated as confidential and may prevent us from acting for you, or for
someone else, in a connected matter.
Response times
We aim to reply within one business day. Contacting us does not guarantee a reply within any
particular period, does not oblige the firm to act, and does not stop, extend or satisfy
any limitation period, filing date or court deadline.
Our telephone line
Our line is answered 24 hours a day, every day of the year. Outside office hours calls are taken
by our intake service, who record your details and pass them to the firm. A lawyer responds during
the next business day, or sooner if the matter is urgent. Answering the telephone is not the same
as giving legal advice, and no relationship arises from that call.
Who we are and how we are regulated
Law Society of Ontario
Lexaltico LLP is regulated by the Law Society of Ontario under the
Law Society Act, R.S.O. 1990, c. L.8. All lawyers practising in
Ontario through the firm are members in good standing.
Law Society of Alberta
Alberta matters are handled by lawyers licensed with, and in good standing with, the
Law Society of Alberta. A lawyer licensed in Ontario is not thereby licensed in
Alberta, and the reverse is also true.
Immigration regulation
Immigration consulting is provided by Regulated Canadian Immigration Consultants
in good standing with the College of Immigration and Citizenship Consultants under the
College of Immigration and Citizenship Consultants Act, S.C. 2019, c. 29,
s. 292.
Lawyers, paralegals and consultants
Not everyone at the firm is a lawyer.
Licensed paralegals in Ontario may act only within the scope the Law Society
permits, which does not include most family, estate or criminal matters.
Immigration consultants are regulated by the College, not by a law society,
and are not lawyers.
Law clerks and managers support files but do not give legal advice.
Each page and biography states which applies. Ask at the outset who will handle your matter and
under which licence.
Languages
We serve clients in thirteen languages. Every page of this website is written and published in
English. Where anything is provided in another language, the English
version governs in the event of a difference. If you need an interpreter, tell us when
you book and we will arrange one.
Fees
The initial assessment
The complimentary 15 minute initial assessment is a brief introductory
conversation. It does not include a review of your documents and does not constitute
legal advice.
The firm charges a fee for substantive consultations, including in civil litigation,
criminal defence and immigration matters. The firm may waive that fee at its discretion.
Any fee is disclosed in advance and credited in full toward your account if you retain the
firm.
Referral fees
Where we refer a matter to another firm, including through LexKonnect, we comply with Rule 3.6-6.1 of the Law Society of Ontario’s Rules of Professional Conduct. Any referral fee is set out in the Law Society’s standard referral agreement, signed by you before the referral proceeds, and no fee is payable to us unless and until the receiving firm has been paid for its work. You are never obliged to accept a referral and are free to retain any firm you choose. No referral arrangement affects the independent professional judgment of any lawyer at this firm.
What is published on this site
Calculators and estimators
They produce estimates from what you type and cannot know the rest. They do not
account for the terms of your contract, statutory exceptions, or the discretion a court will
apply. Do not make a decision on a number produced by a calculator.
Past results
Any outcome described happened on its own facts, before its own decision maker,
under the law as it stood at the time. Past results do not predict or guarantee the result of any
other case.
Reviews and testimonials
Reviews shown here are written by third parties and published on platforms we do not control. Each
describes one person’s experience of one matter. They are not a promise, a
prediction or a guarantee about any other matter.
Links to other websites
This site links to regulators, courts, government sources, professional associations and social
platforms, all operated by others. We do not control them, we are not responsible for
their content or accuracy, and a link is not an endorsement.
Other notices
Limitation periods
Failure to start a proceeding within the applicable limitation period may permanently bar
your claim. In Ontario the general period is two years from discovery
under the Limitations Act, 2002, S.O. 2002, c. 24, Sched. B.
Shorter periods apply to many claims. Seek advice promptly. Nothing on this website extends a
limitation period.
Accessibility
We aim to meet the Accessibility for Ontarians with Disabilities Act
and WCAG 2.1 Level AA. If any part of this site prevents you from reaching us, telephone
+1 416 333 6200 or write to
hello@lexaltico.com and we will provide the information
in another format, at no charge.
