Does the Start-Up Visa program still conduct a Peer Review process?
On August 1, 2024, the Canadian Department of Immigration, Refugees and Citizenship (IRCC) announced the suspension of all Peer Review processes under the Start-Up Visa program. This means that from that point onward, no new Peer Review requests will be accepted, and all ongoing Peer Review processes must be immediately cancelled. This decision has raised many questions from start-ups and organizations involved in the program regarding how their commitments will be assessed in the future.
What is Peer Review and what is its role in the Start-Up Visa program?
Prior to its suspension, Peer Review was an independent evaluation process conducted by a panel of experts established by relevant industry associations. This panel was responsible for reviewing and assessing the commitments of startups endorsed by designated entities, ensuring that their operations and commitments complied with industry standards. The process was designed to protect against fraud and ensure that startup commitments were credible and highly likely to succeed.
Specifically, the expert panel will examine the level of due diligence undertaken by the nominated entity, the terms of commitment, including the investment, services to be provided, and applicable fees for the applicant. Additionally, they will ensure that the business has been or will be established in Canada, that ownership has been verified, and that it meets the requirements of the start-up business class.
How will the suspension of Peer Review affect the Start-Up Visa program?
Although the Peer Review process has been temporarily suspended, IRCC officials will continue to process and evaluate applications based on available information. This means that the assessment of the feasibility and credibility of startups will depend entirely on IRCC officials, rather than on an independent panel of experts as before.
During the application review process, if IRCC officers have any concerns about the validity or likelihood of success of the startup project, they will send a procedural fairness letter to the applicant. This letter requests the applicant to provide additional documentation or further explanation regarding the issues identified by the officer. This ensures that the applicant has the opportunity to explain and supplement necessary information before IRCC makes a final decision on their application.
For applicants, this means they need to be more thoroughly prepared when submitting their applications, as they will no longer receive support or evaluation from the Peer Review process. Instead, they must ensure that all documents and information provided are accurate and complete from the outset to avoid their applications being rejected due to missing information or failure to meet program requirements.
Conclude
The suspension of the Peer Review process is a significant change to Canada's Start-Up Visa program. While this process has historically played a crucial role in ensuring the transparency and credibility of start-up business commitments, this suspension does not mean that the assessment standards will be lowered. IRCC officers will continue to ensure that applications are reviewed carefully and fairly, and will provide applicants with opportunities to supplement information if necessary. This requires start-ups to be more careful in preparing their applications, ensuring they can meet all the new requirements and challenges in the absence of Peer Review support.
