Foreign Investment Guide in Vancouver, Canada

Why Invest in Vancouver?

Vancouver is a major business centre in Western Canada. Its location on Canada's Pacific coast makes it an important connection point for trade with Asia-Pacific markets, while its regional economy includes technology, natural resources, transportation, professional services, healthcare and advanced industries.

1. Access to Canadian and International Markets

Businesses based in Vancouver can serve customers in British Columbia and across Canada. The region is also connected to international markets through the Port of Vancouver, Vancouver International Airport and Canada's trade agreements.

Invest Vancouver describes Metro Vancouver as Canada's Asia-Pacific Gateway. Its regional market-access information highlights access to international trade markets and transportation infrastructure supporting global business.

2. Technology and Innovation

Metro Vancouver has an established technology ecosystem. Companies operate in software, artificial intelligence, cybersecurity, cloud services, digital platforms, financial technology and other high-tech fields.

The region's universities, research organizations, technology companies and startup community can provide opportunities for investors looking for businesses with innovation and export potential.

3. Skilled and International Workforce

Vancouver has a diverse labour market with professionals working in technology, engineering, finance, healthcare, business services, research and creative industries. International businesses may benefit from access to people with experience in different markets and languages.

4. Established Business Infrastructure

The region offers access to commercial property, logistics facilities, transport infrastructure, universities, research institutions, professional advisers and business-support organizations.

5. Opportunities in Growing Industries

Invest Vancouver identifies high-tech, clean technology, digital media and entertainment, and life sciences as key regional industries. These sectors offer potential opportunities for companies developing new products, expanding operations or seeking partnerships.

Explore Invest Vancouver's official industry profiles →

Foreign Investment Opportunities in Vancouver

Foreign investment opportunities in Vancouver are not limited to traditional industries. The region has established businesses and emerging companies across technology, healthcare, clean energy, logistics, finance and creative industries.

1. Technology and Information Technology

Technology is one of Metro Vancouver's important investment sectors. Businesses operate in software development, cloud computing, artificial intelligence, cybersecurity, data services, enterprise software and digital platforms.

Potential investment opportunities include:

• Software-as-a-Service (SaaS) businesses.
• Artificial intelligence and machine learning companies.
• Cybersecurity and data protection services.
• Cloud infrastructure and enterprise software.
• Technology consulting and managed IT services.
• Digital payment and financial technology platforms.
• Research and development businesses.

Technology investors should assess intellectual property ownership, customer contracts, data privacy obligations, cybersecurity risks, employee agreements and the company's ability to scale.

Technology Companies in Vancouver →

2. Clean Technology and Renewable Energy

Clean technology is a significant regional specialization. Businesses in the sector develop products and services relating to energy efficiency, clean energy, hydrogen, fuel cells, low-carbon transportation, waste management and environmental solutions.

Invest Vancouver reports that more than 260 cleantech businesses operate in the region. Its cleantech industry profile also highlights investment activity in areas such as energy and power, agriculture and food, materials and chemicals, waste and recycling, and transportation and logistics.

Potential investment areas include:

• Clean energy technologies.
• Hydrogen and fuel-cell solutions.
• Energy storage and battery technologies.
• Building energy efficiency.
• Electric vehicle infrastructure.
• Waste reduction and recycling technology.
• Environmental monitoring and services.

Explore the Invest Vancouver Cleantech industry profile →

3. Life Sciences and Healthcare

Vancouver and British Columbia have a substantial research and healthcare ecosystem. The region includes biotechnology companies, medical technology businesses, pharmaceutical research, health technology firms and organizations supporting clinical and scientific research.

Possible investment opportunities include:

• Biotechnology and life sciences startups.
• Medical devices and diagnostic technologies.
• Digital health and healthcare software.
• Drug discovery and research partnerships.
• Clinical research services.
• Laboratory and scientific equipment businesses.

Life sciences investments may involve complex regulatory approvals, intellectual property rights, clinical evidence, research partnerships and specialized facilities. Investors should evaluate these requirements before committing capital.

4. Digital Media, Entertainment and Gaming

Metro Vancouver has an established digital media and entertainment industry. Businesses work in film and television production, animation, visual effects, interactive digital media, gaming and related creative technologies.

Potential opportunities include:

• Animation and visual effects studios.
• Video game development.
• Digital content production.
• Film and television production services.
• Virtual reality and augmented reality.
• Creative software and production technology.

Investors should examine intellectual property rights, production contracts, financing arrangements, tax-credit eligibility and the availability of skilled creative professionals.

5. Finance, Banking and Fintech

Vancouver has banks, credit unions, wealth management companies, insurance providers, investment firms and financial technology businesses.

Investment opportunities may include:

• Financial technology and payment services.
• Wealth management and financial advisory businesses.
• Insurance technology.
• Financial data and analytics.
• Accounting and professional services.
• Commercial lending and financial services.

Some financial activities require registration, licensing or regulatory approval. Investors should identify the relevant federal and provincial regulators before launching or acquiring a financial-services business.

Finance and Banking Companies in Vancouver →

6. Trade, Transportation and Logistics

Vancouver's port, airport, rail connections and road network support businesses in international trade and logistics.

Potential investment areas include:

• Freight forwarding and customs services.
• Warehousing and distribution.
• Supply-chain technology.
• Transportation and logistics software.
• Import and export businesses.
• Cold-chain and specialized storage.
• Port-related services.

Investors should consider land-use requirements, transportation access, environmental regulations, customs compliance and the cost of operating logistics facilities.

7. Tourism, Hospitality and Visitor Services

Vancouver attracts domestic and international visitors. Tourism-related businesses include hotels, restaurants, attractions, tour operators, event services and travel technology companies.

Potential investment opportunities include:

• Accommodation and hospitality businesses.
• Tour and experience operators.
• Food and beverage businesses.
• Visitor services and travel platforms.
• Conference and event services.
• Tourism technology.

Tourism businesses may need municipal licences, health approvals, zoning compliance, insurance and other permits depending on their activities.

8. Commercial and Industrial Real Estate

Commercial property investment can include offices, industrial facilities, warehouses, retail premises and development projects.

The Vancouver region has different property markets and planning requirements. Investors should review zoning, permitted use, environmental conditions, financing, property taxes, leasing arrangements and development approvals.

Residential property investment requires additional care because foreign-buyer restrictions and provincial taxes may apply. These rules are explained separately below.

Metro Vancouver's Business and Investment Advantages

Vancouver's investment appeal is closely connected to the wider Metro Vancouver region. An investor does not necessarily need to locate every operation within the City of Vancouver itself.

Asia-Pacific Gateway

The region's location supports trade and business relationships with markets in Asia-Pacific and beyond. Port, airport, rail and road infrastructure can be relevant for companies involved in international supply chains.

Invest Vancouver highlights the region's location, transportation connections and access to international markets as important advantages for businesses.

Read about Metro Vancouver's location and market access →

Research and Education

Universities and research institutions contribute to the regional talent and innovation ecosystem. Investors in technology, engineering, life sciences and advanced research may find opportunities for collaboration with local organizations.

Regional Business Network

Metro Vancouver includes several municipalities with different business districts, industrial areas and commercial property markets. Companies can assess locations according to access to staff, suppliers, customers, transport and facilities.

International Business Connections

Vancouver's international population and business community can support companies seeking to develop relationships with overseas customers, suppliers and partners. However, local market research is still necessary: international connections do not guarantee demand for a particular product or service.

Investment and Business Structures in Vancouver

Foreign investors can use different legal structures depending on the purpose of the investment, ownership arrangements, liability considerations, tax position and long-term plans.

1. British Columbia Corporation

A British Columbia corporation is a separate legal entity registered under the BC Business Corporations Act. It can own assets, enter contracts, employ staff and conduct business in its own name.

This structure may be suitable for an investor establishing a new company or operating a Canadian business with a local corporate presence.

BC incorporation requires the appropriate incorporation documents, registered office information, share structure and company filings. A company must maintain corporate records and meet ongoing reporting obligations.

BC Corporate Online – company registration and filings →

2. Federal Corporation

A business may also consider federal incorporation under the Canada Business Corporations Act. Federal incorporation and provincial registration are different processes.

A federally incorporated company that carries on business in British Columbia may also need to register extra-provincially in BC and comply with applicable provincial requirements.

Canada Business Corporations Act information →

3. Canadian Subsidiary

An international company may establish a Canadian subsidiary to operate in Vancouver. The subsidiary is a Canadian legal entity, separate from its foreign parent company.

This structure can help separate Canadian operations from the parent company's other activities, although the actual legal, tax and reporting consequences depend on the ownership and business arrangements.

4. Branch Office

A foreign company may consider operating in Canada through a branch rather than forming a separate subsidiary. A branch is generally an extension of the foreign company, not a separate Canadian corporation.

The business may need to register in the relevant jurisdiction and comply with Canadian tax, licensing and reporting requirements.

5. Partnership or Joint Venture

A foreign investor can consider working with Canadian partners through a partnership or joint venture. This may be useful when local expertise, technology, distribution networks, capital or market access are important.

The parties should establish clear agreements covering ownership, management, capital contributions, profit sharing, intellectual property, decision-making and exit arrangements.

6. Investment in an Existing Canadian Business

Investors may acquire shares, assets or an ownership interest in an existing Canadian company. Acquisitions require careful financial, legal, tax and commercial due diligence.

Depending on the transaction and investor, the Investment Canada Act and other regulatory requirements may apply.

How to Start Investing in Vancouver as a Foreign Investor

A structured approach can help investors avoid unnecessary costs and identify regulatory requirements before committing capital.

Step 1: Research the Vancouver Market

Identify the industry, target customers, competitors, suppliers and potential business partners. Assess whether the opportunity is best located in Vancouver or another Metro Vancouver municipality.

Review local demand, operating costs, labour availability, commercial property and access to transportation.

Step 2: Define the Investment Structure

Decide whether to establish a new company, acquire an existing business, form a subsidiary, open a branch or invest in a Canadian company.

The appropriate structure depends on the investment's purpose, ownership, tax position, liability and plans for future expansion.

Step 3: Review Federal Investment Rules

Check whether the proposed investment is subject to the Investment Canada Act. Some investments require notification, while certain acquisitions may require a review. National security screening can apply to investments of any size.

The rules can be particularly important for investments involving sensitive technology, critical infrastructure, important data or other strategically significant assets.

Step 4: Register the Business

If you are establishing a company in British Columbia, review the official incorporation and registration process.

You may need to:

• Choose an appropriate business name or numbered company.
• Prepare the incorporation documents.
• Establish the company's share structure.
• Provide registered office information.
• File the required documents with the BC Registry.
• Maintain corporate records and annual filings.

A business may also need a CRA business number, tax accounts, municipal business licences and industry-specific registrations.

Start a Business in Vancouver →

Step 5: Review Tax and Accounting Requirements

Obtain advice on federal and BC corporate income tax, GST/HST, payroll deductions, withholding tax, transfer pricing and other obligations relevant to the investment.

Foreign ownership can affect tax treatment. Do not assume that a company qualifies for a small-business tax rate simply because it is incorporated in British Columbia.

Step 6: Check Permits and Licences

The permits required depend on the activity and location. Businesses may need municipal licences, building permits, environmental approvals, professional licences or sector-specific regulatory authorization.

Step 7: Arrange Banking and Financing

A Canadian business may need a commercial bank account, accounting system, payment services, insurance and suitable financing arrangements.

Banks and financial institutions conduct their own identity, ownership and anti-money-laundering checks. Foreign investors should be prepared to provide corporate documents, beneficial ownership information and source-of-funds documentation.

Step 8: Build a Local Team

Depending on the business, local support may include accountants, lawyers, commercial real estate advisers, employees, technical specialists, distributors and industry partners.

Step 9: Review Immigration Requirements

Owning or investing in a Canadian company does not automatically give a foreign investor the right to live or work in Canada. Anyone planning to manage or work in the business from Canada should check the relevant immigration rules.

Investment Canada Act: Rules for Foreign Investors

The federal Investment Canada Act (ICA) is a central part of Canada's foreign investment framework. It applies to certain investments by non-Canadians who establish a Canadian business or acquire control of an existing Canadian business.

The Act has two major objectives:

• Assess whether certain significant foreign acquisitions are likely to provide a net benefit to Canada.
• Allow the government to review investments that may raise national security concerns.

Who Is Considered a Non-Canadian?

The Act uses specific definitions to determine whether an individual or entity is Canadian or non-Canadian. The analysis can involve citizenship, ownership, control, beneficial ownership and the structure of the investing entity.

A foreign company should not assume that using a Canadian subsidiary automatically removes the investment from the Act. The ownership and control arrangements must be considered.

When Is a Filing Required?

Depending on the transaction, a non-Canadian investor may need to submit a notification or an application for review. Establishing a new Canadian business and acquiring control of an existing business can trigger filing requirements, unless an exemption applies.

The federal government states that a notification is generally required no later than 30 days after implementation for investments that are not subject to a reviewable transaction process.

The filing requirements and applicable review thresholds depend on the investor, the nature of the transaction, the type of business and other legal factors.

National Security Review

The federal government can review foreign investments for potential national security concerns, including investments that are not otherwise subject to the standard net-benefit review thresholds.

Sensitive areas can include critical infrastructure, advanced technology, important data, defence-related activities and other strategically important businesses.

Investors should consider regulatory advice before completing transactions in sensitive industries.

Official Investment Canada Act information →

Investment Canada Act – official frequently asked questions →

Corporate Taxes for Foreign-Owned Businesses in Vancouver

Companies operating in Vancouver may be subject to both federal Canadian corporate income tax and British Columbia corporate income tax. The applicable rates depend on the type of corporation, the income earned, the company's tax status and whether it qualifies for a particular deduction or credit.

British Columbia Corporate Income Tax Rates

British Columbia has a general corporate income tax rate and a lower small-business rate for qualifying corporations.

The BC provincial rates are:

• 2% small-business rate: Applies to qualifying active business income of eligible Canadian-controlled private corporations (CCPCs), subject to the applicable business limit and other rules.
• 12% general rate: Applies to other taxable corporate income in BC, including income that does not qualify for the lower rate.

Check official British Columbia corporate income tax rates →

Check federal and provincial corporate tax rates with the CRA →

Goods and Services Tax (GST)

Businesses operating in Canada may need to register for GST/HST depending on their taxable supplies, revenue and circumstances. British Columbia uses the federal GST system and also has a provincial sales tax (PST) on many taxable goods and services.

The general GST rate is 5%. BC PST is generally 7% on taxable goods and certain services, although exemptions and special rules apply.

Foreign businesses selling goods or services into Canada should examine whether they have Canadian registration, collection, reporting or import obligations.

CRA GST/HST information for businesses →

British Columbia Provincial Sales Tax information →

Withholding Tax and International Payments

Payments from a Canadian business to foreign residents may be subject to Canadian withholding tax, depending on the type of payment and applicable tax rules. Examples can include dividends, interest, royalties and certain service payments.

Canada has tax treaties with many countries. A treaty may reduce withholding tax in certain circumstances, but eligibility and documentation requirements must be checked for each payment.

International groups should also consider transfer-pricing requirements when transactions take place between related companies in different countries.

Tax Incentives and Investment Credits in British Columbia

British Columbia has several tax-credit and support programmes for qualifying businesses and investors. Eligibility depends on the type of activity, company, investment, approval process and other programme conditions.

Small Business Venture Capital Tax Credit

BC operates a Small Business Venture Capital Tax Credit programme intended to encourage investment in eligible small businesses. The programme can provide tax credits for qualifying investments made through registered venture capital corporations or eligible business corporations.

The provincial programme describes a 30% tax credit for eligible investments. However, investors should not assume that every startup investment qualifies. The company and investment must meet the programme's requirements, including the necessary authorization.

BC Small Business Venture Capital Tax Credit →

Research and Development Tax Incentives

Companies carrying out eligible scientific research and experimental development may be able to claim federal and, where applicable, provincial tax incentives. Eligibility depends on the nature of the work, qualifying expenditures and documentation.

CRA Scientific Research and Experimental Development (SR&ED) programme →

Film, Television and Digital Media Credits

British Columbia has tax-credit programmes for certain film, television and digital media activities. These programmes have detailed eligibility rules relating to production, labour, expenditures and other requirements.

Investors considering production or digital media businesses should check the current programme rules before including tax credits in a financial forecast.

British Columbia corporate tax credits →

Foreign Investment in Vancouver Real Estate

Real estate is an important part of the Vancouver investment market, but foreign investors need to distinguish between commercial property, residential property and different types of ownership.

Canada has federal restrictions on certain residential property purchases by non-Canadians. British Columbia also has a separate additional property transfer tax that can apply to foreign nationals, foreign corporations and taxable trustees in specified areas.

Federal Ban on Certain Residential Property Purchases

The federal Prohibition on the Purchase of Residential Property by Non-Canadians Act restricts certain non-Canadians from purchasing residential property in Canada. The prohibition has been extended and is scheduled to remain in effect until January 1, 2027, subject to the law and any subsequent changes.

The legislation includes specific definitions and exemptions. Some work permit holders and other categories may qualify for an exception if the relevant conditions are satisfied.

Do not assume that every foreign national is eligible to purchase a home or that every type of property is covered in the same way. The legislation and regulations must be checked for the specific transaction.

Read the federal government's explanation of the extension to January 1, 2027 →

BC Additional Property Transfer Tax

British Columbia applies an additional property transfer tax to certain residential property purchases by foreign nationals, foreign corporations and taxable trustees in specified areas.

The additional tax is generally 20% of the fair market value of the foreign buyer's proportionate interest in the property in the designated areas. Metro Vancouver is among the specified regions.

This tax is separate from the regular BC property transfer tax. Exemptions and special rules may apply, and the buyer's status and ownership structure matter.

Official BC Additional Property Transfer Tax information →

Check the BC regions covered by the additional property transfer tax →

Commercial Property Investment

Commercial property is subject to different rules from the federal residential property prohibition. Potential investment categories include:

• Office buildings and commercial units.
• Industrial buildings and warehouses.
• Retail and mixed-use commercial premises.
• Business parks and logistics facilities.
• Development and redevelopment projects.

Commercial property investors should examine zoning, permitted use, environmental liability, financing, leases, property taxes, building condition and local planning requirements.

Property Investment Due Diligence

Before purchasing or financing property, investors should obtain professional advice on:

• Whether the buyer is legally eligible to purchase the property.
• Federal and provincial foreign-buyer restrictions.
• Additional property transfer tax and regular transfer tax.
• Title, ownership and registered charges.
• Zoning and permitted use.
• Environmental and building assessments.
• Financing and mortgage conditions.
• Rental rules and tax obligations.

Startup and Venture Capital Investment in Vancouver

Vancouver has an active startup and innovation ecosystem. Investors can explore early-stage companies, technology businesses, research-driven startups and companies developing products for international markets.

Startup Investment Sectors

• Artificial intelligence and software.
• Clean technology and climate solutions.
• Life sciences and biotechnology.
• Digital media and gaming.
• Financial technology.
• Cybersecurity and cloud services.
• Advanced manufacturing and engineering.

Ways to Invest in Startups

Investors may participate through equity financing, convertible instruments, venture capital funds, private investment funds or direct acquisitions. The appropriate structure depends on the company's stage, valuation, investor rights and applicable securities laws.

Startup investments carry significant risks. A company may fail, take longer than expected to reach profitability or require further financing that dilutes existing shareholders.

Due Diligence Before Investing

Before investing in a startup, review:

• Company incorporation and ownership records.
• Shareholder agreements and capitalization table.
• Financial statements and cash-flow forecasts.
• Product development and intellectual property ownership.
• Customer contracts and revenue assumptions.
• Market size and competition.
• Management experience and hiring plans.
• Existing debts, legal disputes and regulatory obligations.
• Future fundraising requirements and exit options.

Support for Investors and Businesses

Invest Vancouver works to attract and support strategic investment in Metro Vancouver's key industries. Its industry and regional information can help investors understand the local business environment and identify relevant contacts.

Visit Invest Vancouver →

Explore Canada's investment promotion resources →

Immigration and Work Permits for Foreign Investors

Investing in a Canadian company does not automatically provide a right to live or work in Canada. Business ownership, immigration status and authorization to work are separate legal matters.

A foreign investor who plans to move to Vancouver and actively manage or work in a business should investigate the immigration category that applies to their circumstances.

Business Ownership Does Not Automatically Grant a Work Permit

A person may own shares in a Canadian company without necessarily being authorized to perform work in Canada. The rules depend on the person's immigration status and the activities they intend to carry out.

Work Permits and Business Activities

Some foreign nationals may qualify for work authorization under specific Canadian immigration categories or exemptions. The requirements depend on the applicant, the business, the proposed role and the applicable programme.

Investors should not rely on general claims that Canada offers an automatic visa for anyone who starts or invests in a business.

Official Government of Canada work permit information →

Explore the Vancouver Visa and Immigration Guide →

Where to Invest in Metro Vancouver

The best location for an investment depends on the business model, customers, employees, suppliers, transport requirements and property costs. Metro Vancouver is made up of several municipalities, each with different commercial and industrial areas.

Vancouver

The City of Vancouver offers access to professional services, technology companies, financial institutions, retail businesses, creative industries and a large customer market. It may suit companies that need a central business location or close connections with clients and partners.

Burnaby

Burnaby has commercial and industrial areas, technology businesses, research connections and access to major transportation routes. Businesses may consider Burnaby for offices, technology operations, industrial premises and regional distribution.

Richmond

Richmond is strategically located near Vancouver International Airport and has businesses in logistics, trade, manufacturing, technology, retail and professional services. Its location can be relevant for companies with international transport or supply-chain requirements.

Surrey

Surrey is a major urban centre in the region with commercial, industrial, healthcare, education and technology-related activity. Investors may assess opportunities connected to population growth, business services, construction and industrial development.

Coquitlam and Port Coquitlam

The Tri-Cities area includes commercial and industrial locations that may suit businesses serving customers across the eastern part of Metro Vancouver.

New Westminster

New Westminster offers commercial and professional services, transportation connections and access to surrounding communities. Businesses may consider it for offices, services and customer-facing operations.

North Vancouver

North Vancouver has businesses connected to professional services, technology, marine activities, manufacturing and the wider North Shore economy.

Investors should compare specific sites rather than choosing a municipality based only on its general reputation. Local zoning, business licences, property availability, taxes and transport access can make a significant difference.

Risks and Due Diligence for Foreign Investors

Vancouver offers a range of business and investment opportunities, but foreign investment involves financial, legal, tax and operational risks.

Regulatory Risk

Some investments require government notifications, approvals, licences or regulatory registration. This is particularly important in financial services, telecommunications, transportation, healthcare, energy and other regulated sectors.

Tax Risk

Corporate tax treatment can depend on ownership, control, the type of income, the location of business activities and international tax arrangements. Incorrect assumptions about small-business rates, tax credits or withholding tax can materially affect expected returns.

Currency Risk

Foreign investors may fund Canadian operations in another currency while earning revenue and paying expenses in Canadian dollars. Exchange-rate movements can affect investment costs, profits and the value of future distributions.

Market and Competition Risk

A successful business in another country may not automatically succeed in Vancouver. Customer preferences, local competition, labour costs, regulation and distribution arrangements can differ.

Real Estate Risk

Property investment involves market, financing, vacancy, construction, maintenance, zoning and regulatory risks. Foreign buyers must also consider the federal residential property prohibition and BC additional property transfer tax where relevant.

Employment and Immigration Risk

Employers must comply with Canadian employment standards, payroll obligations and applicable immigration rules. A foreign owner should not assume that ownership of a company gives them permission to work in Canada.

Professional Due Diligence

Before making a substantial investment, consider obtaining advice from:

• A Canadian corporate lawyer.
• A British Columbia tax accountant.
• An immigration lawyer or regulated immigration professional, if relocation is planned.
• A commercial real estate lawyer or qualified property adviser, if buying property.
• An industry specialist familiar with the relevant regulatory framework.

Official Foreign Investment Resources in Canada

The following government and regional organizations provide information that can help foreign investors research Vancouver and British Columbia.

Invest Vancouver

Invest Vancouver provides information about Metro Vancouver's key industries, regional advantages and investment environment.

Visit Invest Vancouver →

Invest in Canada

Invest in Canada provides information and support for international companies considering investment and expansion in Canada.

Visit Invest in Canada →

Investment Canada Act

Innovation, Science and Economic Development Canada provides official information about foreign investment notifications, reviews and national security screening.

Investment Canada Act – official website →

BC Registry Services

The BC Registry provides online services and information for registering and maintaining companies in British Columbia.

BC Corporate Online →

BC Government Business Information

The provincial government provides information about starting, operating and managing a business in British Columbia.

British Columbia business resources →

Canada Revenue Agency

The CRA provides information about corporate income tax, GST/HST, payroll, business numbers and other federal tax obligations.

Canada Revenue Agency →

Small Business BC

Small Business BC provides business education, advisory resources and practical information for entrepreneurs and companies operating in the province.

Visit Small Business BC →

Frequently Asked Questions About Foreign Investment in Vancouver

Can foreigners invest in Vancouver?

Yes. Foreign individuals and companies can invest in many Canadian businesses and commercial activities, subject to applicable federal and provincial laws. Some investments require notification or review under the Investment Canada Act. Other sectors may have additional ownership, licensing or regulatory requirements.

Can a foreigner start a company in Vancouver?

Foreign investors can establish businesses in British Columbia, subject to registration, tax and other legal requirements. The appropriate structure may be a BC corporation, federal corporation, subsidiary, branch or partnership. A foreign owner should check the rules that apply to their particular ownership and business arrangements.

Does a foreign investor need a Canadian business partner?

Not every business requires a Canadian partner. Whether a foreign investor can own and control a business depends on the applicable laws and the industry. Some regulated sectors have specific ownership or control restrictions.

What is the Investment Canada Act?

The Investment Canada Act is federal legislation governing certain investments in Canadian businesses by non-Canadians. It includes notification and review requirements for relevant investments and allows national security screening of foreign investments.

Do foreign investors need approval before investing in Canada?

Not every investment requires the same type of approval. Depending on the transaction, an investor may need to file a notification or application for review. National security screening can also apply to investments of any size. The rules should be checked before completing the transaction.

What are the best industries for foreign investment in Vancouver?

Potential sectors include technology, clean technology, life sciences, digital media and entertainment, finance, logistics, professional services and tourism. The best opportunity depends on market demand, the investor's experience, available capital and the business model.

Is Vancouver a good place to invest in technology?

Metro Vancouver has a technology ecosystem that includes software, artificial intelligence, cybersecurity, clean technology, life sciences and digital media. Invest Vancouver identifies high-tech and related sectors as important regional industries. Investors should still evaluate individual companies, competition, customers and financing needs.

What is the corporate tax rate in British Columbia?

The BC provincial general corporate income tax rate is 12%. A lower 2% rate can apply to qualifying active business income of eligible Canadian-controlled private corporations, subject to the applicable rules. Federal corporate income tax is separate and also applies.

Can a foreign-owned company qualify for the BC small-business tax rate?

Foreign control can prevent a corporation from qualifying as a Canadian-controlled private corporation. The 2% BC small-business rate is not automatically available to every company incorporated in the province. The company's ownership and tax status must be assessed.

Are there tax incentives for startup investors in British Columbia?

British Columbia has a Small Business Venture Capital Tax Credit programme for qualifying investments in eligible businesses. Other incentives may be available for qualifying research and development, film, television and digital media activities. Each programme has specific requirements.

Can foreigners buy property in Vancouver?

Certain non-Canadians are restricted from purchasing residential property under federal legislation, which is scheduled to remain in effect until January 1, 2027, subject to the law and any changes. Exemptions may apply. Commercial property is treated differently, but other rules and taxes can still apply.

What is the BC foreign buyer tax?

British Columbia has an additional property transfer tax that generally applies at 20% to the fair market value of a foreign buyer's proportionate interest in residential property in specified areas, including Metro Vancouver. It is separate from the regular property transfer tax, and exemptions may apply.

Can investing in a Vancouver business give me permanent residence?

No. Investing in or owning a Canadian business does not automatically grant permanent residence. Immigration eligibility depends on the specific federal or provincial immigration programme and the applicant's circumstances.

Can I manage my Canadian company while living outside Canada?

A foreign owner may be able to own shares in a Canadian company while living abroad. However, the company must still meet its Canadian legal, tax and reporting obligations. The tax treatment of the owner and company can depend on where management, control and business activities take place.

Where can I find help when investing in Vancouver?

Invest Vancouver, Invest in Canada, BC Registry Services, Small Business BC and the Canada Revenue Agency provide useful official information. For a specific transaction, investors should also consult qualified Canadian legal and tax professionals.