Entrepreneurs eyeing Canada’s Start-Up Visa (SUV) Program face an abrupt halt after IRCC announced on 19 December (publicly disseminated 20–21 December) that it will no longer accept applications for the optional employer-specific SUV work permit. Moreover, as of 11:59 p.m. on 31 December 2025, new permanent-residence applications under the SUV will cease—except for founders who already hold a 2025 commitment certificate.
IRCC says the freeze will let officers prioritise files of entrepreneurs already in Canada and clear a backlog nearing 6,000 cases. The department plans to unveil a “targeted entrepreneur pilot” in 2026, which officials hint will favour scale-ready ventures that directly address productivity gaps.
Amid this shifting landscape, VisaHQ’s Canada team can help founders navigate alternative work-permit or visa routes, compile compliant documentation, and stay ahead of policy changes; learn more at https://www.visahq.com/canada/.
![Ottawa Freezes Start-Up Visa Work Permits and New Applications Ahead of 2026 Entrepreneur Pilot]()
In the interim, foreign founders must pivot to other pathways: the International Mobility Program’s C10 “significant benefit” work permit, provincial entrepreneur streams, or Labour-Market Impact Assessment-based hiring. Incubators and designated organisations should suspend new Letters of Support until Ottawa publishes pilot criteria.
Legal advisers warn that missing the 31 December deadline could push founders into limbo for at least 18 months. Investors should revisit term sheets to ensure milestone clauses account for immigration risk.
The policy change reflects broader government efforts to temper temporary-resident growth while tightening program integrity. Observers expect similar reforms to other business-class streams once IRCC reviews intake data in Q2 2026.
IRCC says the freeze will let officers prioritise files of entrepreneurs already in Canada and clear a backlog nearing 6,000 cases. The department plans to unveil a “targeted entrepreneur pilot” in 2026, which officials hint will favour scale-ready ventures that directly address productivity gaps.
Amid this shifting landscape, VisaHQ’s Canada team can help founders navigate alternative work-permit or visa routes, compile compliant documentation, and stay ahead of policy changes; learn more at https://www.visahq.com/canada/.
In the interim, foreign founders must pivot to other pathways: the International Mobility Program’s C10 “significant benefit” work permit, provincial entrepreneur streams, or Labour-Market Impact Assessment-based hiring. Incubators and designated organisations should suspend new Letters of Support until Ottawa publishes pilot criteria.
Legal advisers warn that missing the 31 December deadline could push founders into limbo for at least 18 months. Investors should revisit term sheets to ensure milestone clauses account for immigration risk.
The policy change reflects broader government efforts to temper temporary-resident growth while tightening program integrity. Observers expect similar reforms to other business-class streams once IRCC reviews intake data in Q2 2026.
