IN THIS GUIDE · Review the enterprise, the investor, and the funding commitment as three separate questions
Establish nationality and real decision rights
Identify the investor's treaty nationality and the ownership structure of the enterprise. Gather the agreements that actually show the applicant's ability to develop and direct the business, including any rights retained by a seller, co-owner, or lender. Canadian permanent residence is not Canadian citizenship, and a stated share percentage should always be read alongside the real control arrangements in the governing documents. Enterprise nationality generally requires at least 50% ownership by nationals of the relevant treaty country. The investor must develop and direct the business through at least 50% ownership or other qualifying operational control.
Trace the funds from source to commitment
Build a dated path from the lawful source of the money to the proposed investment, including any currency conversion or intermediate transfer. Personal unsecured loans may qualify; borrowing secured against the enterprise's own assets is treated differently. Hypothetical example: a St. Catharines purchaser's financing is described as a personal loan but is actually secured by the business's equipment. Review the complete security documents rather than relying on how the term sheet labels the loan. Personally unsecured borrowing or borrowing secured solely by non-enterprise personal assets may count under its actual terms. Debt secured by enterprise assets is excluded even when personal assets also secure it.
Read escrow and closing terms as conditions, not formalities
The Foreign Affairs Manual recognizes qualifying investment-in-process and escrow arrangements, including certain visa-contingent purchases. Identify exactly what triggers release, refund, or cancellation before any payment is made. Substantiality is judged relative to the cost of the particular business, and there is no fixed E-2 minimum dollar figure that substitutes for that analysis. The lawful capital must be genuinely committed and at risk, not merely available in a personal account.
Show a real operating enterprise, not just a purchase price
The business must satisfy the non-marginality requirement, meaning it must have the present or expected capacity to generate more than a minimal living for the investor and family. Explain the enterprise's actual operations, resources, and realistically supported financial expectations, and keep historical results distinct from a forecast, particularly following a change of ownership. Confirm the applicable consular process for the individual rather than assuming a different visa category's rules apply here. The alternative is capacity for a significant economic contribution. If nonmarginality rests on future capacity, that capacity generally must be realizable within five years after normal business activity begins. The investor must intend to depart when E status ends; Canadian citizens generally need an E visa.
Sources reviewed 2026-09-07. This guide covers a preparation focus; it is not an individual eligibility assessment.