Canada is making a significant shift in its business immigration strategy, announcing a pause on key components of its Start-Up Visa Program as it prepares to launch a new, more targeted entrepreneur pilot in 2026. The changes, confirmed by Immigration, Refugees and Citizenship Canada (IRCC), are part of broader efforts to manage backlogs, reduce temporary resident numbers, and align with the country’s 2026–2028 Immigration Levels Plan.
Effective immediately, IRCC has stopped accepting new applications for the optional work permit linked to the Start-Up Visa (SUV) program. The only exception applies to founders already in Canada who hold an SUV-specific work permit and are applying to extend it. At the same time, IRCC announced that it will prioritise permanent residence applications from these in-country SUV founders, subject to annual immigration targets, reinforcing a policy shift toward transitioning existing residents to permanent status.
The pause becomes more extensive at the end of 2025. From December 31, 2025, at 11:59 p.m., Canada will stop accepting new Start-Up Visa applications entirely, except in a narrow case: entrepreneurs who secured a valid commitment certificate from a designated organisation in 2025 but had not yet submitted their application will still be allowed to proceed. For all other prospective applicants, the program will effectively close.
IRCC has also extended its suspension of the Self-Employed Persons Program until further notice, signalling a wider tightening of business and self-employment immigration routes. According to the government, these measures are intended to address a growing inventory of applications and uneven outcomes under existing programs, while laying the foundation for a new pilot tailored to attract what officials describe as higher-quality entrepreneurial talent.
The upcoming entrepreneur pilot, expected to be detailed in 2026, is likely to focus on founders with stronger business fundamentals, clearer funding pathways, and a higher probability of long-term economic impact. IRCC has indicated that the current SUV program became unwieldy over time, with long processing delays and mixed success rates in translating startup approvals into sustainable businesses and job creation.
For foreign entrepreneurs affected by the pause, alternative pathways remain available. Several provinces continue to operate entrepreneur streams under the Provincial Nominee Program, typically requiring applicants to invest in, acquire, or actively manage local businesses. Other options include intra-company transfers for founders expanding existing companies into Canada, employer-specific work permits such as those under the Global Talent Stream, or even education-led pathways that later transition to permanent residency.
The SUV pause comes amid a broader recalibration of Canada’s immigration system. The federal government has already reduced study permit allocations for 2026 by introducing provincial and territorial quotas, building on an international student cap first introduced in 2024. That cap has significantly reduced the number of study permit holders, from over one million in early 2024 to around 725,000 by September 2025. Financial thresholds for skilled migrants have also been raised, reinforcing a move toward tighter, more selective immigration pathways.
Taken together, these changes signal a clear direction: Canada is narrowing entry points, prioritising quality over quantity, and redesigning its entrepreneur immigration framework to better match economic outcomes with immigration targets.
