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57% Of US Employers Want To Expand To Canada

Blog posted on by Evelyn Ackah in Business Immigration to Canada

57% Of US Employers Want To Expand To Canada

A survey of 500 human resource professionals and hiring managers in the United States found that 57% of respondents said they either want to expand to Canada or already have. The 2021 Immigration Trends Report by Envoy Global also said that 55% of U.S. employers are considering Canada as part of their talent acquisition strategy.

According to the survey, Canada is an attractive alternative to placing foreign nationals in the U.S.:

Despite North American border closures, immigration still remains a strategic priority for Canada, and the country still remains of interest to employers looking to source or place talent and expand internationally. The Canadian Parliament this year announced plans to welcome 401,000 new permanent residents to the country in 2021 as it seeks to rebuild the economy and foster innovation post-pandemic.
Q: Are you considering Canada for your company’s expansion?
  • 70% of respondents have either sent more people to Canada or hired more Canadian foreign nationals over the past 2-3 years.
  • 37% of respondents said access to talent was their primary reason for considering expansion to Canada.
  • 52% of respondents say Canada's immigration policies are more favourable to employers than U.S. immigration policies.

Do You Want To Expand Your Business To Canada?

Canada has a highly skilled workforce. There are many opportunities to expand your business to Canada:

1. Nearshoring

Nearshoring, also called outsourcing or nearsourcing, is an opportunity for foreign companies to fill tech jobs and other jobs with workers in Canada. Canadian businesses and the government have worked together to create programs and initiatives that attract global technology talent.

2. Intra-Company Transfers

Qualified intra-company transfers provide an opportunity for highly skilled global workers to live and work in Canada, enhance Canada's competitiveness in the global economy and improve Canada's managerial and technical skills.

3. Open A Branch Location or Subsidiary

To open a branch office a foreign corporation must apply as an extra-provincial or foreign corporation in each province in which the business intends to operate.

A subsidiary is a Canadian corporation whose shares are held by a foreign parent company. A subsidiary can be incorporated federally or provincially. Compared to a branch office, incorporating a subsidiary gives the parent company limited liability from the actions of the subsidiary.

Are You An American Business And Want to Open A Business in Canada?

You do not need to be a Canadian citizen or resident to open a business or branch in Canada. Canada is a good option for Americans to open a business because we share a common language, similar work and home cultures, education goals and are in the same time zones with shared borders. Many American workers welcome the opportunity to move to Canada's progressive society with free and accessible education and health care.

The guidance of an experienced Canadian immigration lawyer can be very helpful if you are planning to incorporate a company in Canada as a non-resident, or hire Canadian workers to work for an American company. Different provinces have different residency requirements to open a business - and different tax rates:

  • Ontario requires that 25% of directors must be Canadian in order to incorporate.
  • If 51% of the shareholders of a Canadian corporation are non-residents of Canada you will lose the small business tax deduction, and your corporate tax rate will increase to 26.5% instead of 15%.
  • In Ontario, profits distributed from a Canadian corporation to non-resident shareholders are subject to a withholding tax that can range from 5% to as high as 25%.

Have An Immigration Lawyer On Your Side

You need to have the right information and resources to prevent costly business decisions. Consult a Canadian immigration lawyer BEFORE you cross the border if you are considering opening a branch location, starting a new business, or nearshoring to Canada.

Contact Ackah Law today at (403) 452‑9515 Ext. 100 or 1-800-932-1190 or email us directly at [email protected].


Evelyn L. Ackah, BA, LL.B.

Founder/Managing Lawyer

Ms. Ackah is passionate about immigration law because it focuses on people and relationships, which are at the core of her personal values. Starting her legal career as a corporate/commercial ...

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I used Ackah Business Immigration Law to assist me during my application process for a work permit. Evelyn and her team provided great support whenever I needed it and made it possible for me to perform my one-year internship at McGill University. I had the feeling that they cared about by immigration to a high extent and without their help, I would not have been able to get my work permit.

– Steffan Noe Christiansen, MSc student in Molecular Medicine, Aarhus University

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