Foreign Investment in Québec, Canada

Why Invest in Québec?

Québec offers international companies access to a large Canadian province with established industrial ecosystems, research institutions, infrastructure and connections to North American markets.

Investissement Québec identifies several competitive advantages for international companies, including established innovative ecosystems, a skilled workforce, supplier networks and a stable energy supply. It also highlights Québec's expertise in strategic industries such as aerospace, defence and security, digital technologies, life sciences and clean technology.

• North American market access: Québec provides a base for companies operating in Canada and seeking access to wider North American markets.
• Established industry ecosystems: International investors can enter sectors with existing suppliers, customers, research organizations and specialized talent.
• Technology and innovation: Québec has established ecosystems in artificial intelligence, digital technologies, microelectronics, quantum technologies and other advanced fields.
• Research and universities: Québec's universities and research institutions provide access to highly trained graduates and research partnerships.
• Renewable electricity: Investissement Québec states that approximately 99% of Québec's electricity comes from renewable sources.
• Government investment support: Investissement Québec and other Québec institutions provide financing, investment support and assistance programs for eligible projects.
• International business support: Investissement Québec International has teams in Canada and internationally to help companies evaluate and establish projects in Québec.

Foreign Investment Opportunities in Québec

Foreign investors should generally begin by identifying the sector in which their company has a competitive advantage. Québec has specialized ecosystems rather than one single investment market.

Foreign Investment in Québec City

Québec City is the capital of Québec and an important regional business and investment centre. Investors considering Québec City should look beyond traditional tourism and government-related activities because the region has established technology, insurance, financial-services, manufacturing, life-sciences and clean-technology ecosystems.

Québec International identifies the following key sectors in the greater Québec City region:

• Insurance and financial services
• Information technology
• Life sciences and health technologies
• Clean technologies
• Manufacturing
• Biofood
• IoT and applied technologies
• Videogames and technocreative industries

Québec International also works with international investors and companies interested in establishing operations in the Québec City region.

For a foreign company choosing between Montréal and Québec City, the appropriate location depends on the sector, labour requirements, suppliers, customers, real-estate needs and existing ecosystem connections.

Investissement Québec for Foreign Investors

Investissement Québec International is the international division of Investissement Québec responsible for attracting foreign investment and supporting Québec companies expanding internationally.

Its services for international companies can help investors during the exploration, planning and establishment phases of a project.

What Investissement Québec International Can Help With

• Assessing Québec as an investment location
• Understanding local markets and industries
• Identifying potential business partners
• Connecting companies with Québec suppliers
• Understanding the Québec economic ecosystem
• Supporting business-establishment projects
• Helping international companies expand their Québec operations
• Connecting companies with relevant government and economic-development contacts
• Providing sector-specific expertise

Investissement Québec reports that its teams have completed more than 500 projects involving new ventures and international business expansions in Québec over the past five years.

For 2024–2025, Investissement Québec International reports $6.1 billion in investments in Québec by international companies and 99 projects by foreign companies resulting from its prospecting activities.

How Can a Foreign Investor Invest in Québec?

A foreign investor can enter the Québec market through several different structures. The appropriate structure depends on the investment strategy, liability, tax situation, financing, ownership and whether the investor is creating a new business or acquiring an existing company.

1. Establish a Québec Corporation

A foreign investor can establish a Québec corporation when creating a new business or local subsidiary.

A Québec corporation has its own legal identity and can enter contracts, employ workers, own assets and conduct commercial activities.

2. Register an Existing Foreign Company

A company incorporated outside Québec can register to conduct business in Québec. The Québec government has a specific registration process for legal persons that were not constituted under Québec law.

A foreign legal person carrying on activities in Québec generally has registration obligations with the Registraire des entreprises.

3. Establish a Subsidiary

A foreign corporation may create a Québec subsidiary to conduct Canadian operations. This can provide a separate Canadian corporate structure while maintaining ownership by the foreign parent company.

4. Acquire a Québec Business

Foreign investors can consider acquiring an existing Québec company rather than building an operation from the beginning.

An acquisition may provide existing employees, customers, facilities, intellectual property, suppliers and market relationships, although legal, tax, financial and regulatory due diligence is essential.

5. Invest in a Québec Startup

Foreign investors can also invest in Québec startups and technology companies. Investissement Québec's startup investment strategy focuses on areas including life sciences, technology, innovation and impact, and industrial and manufacturing companies.

Registering a Foreign Company in Québec

Foreign companies should determine whether they are carrying on activities in Québec that create registration obligations.

The Québec government states that most enterprises operating in Québec must register with the Registraire des entreprises when required.

For a legal person not constituted in Québec, the government provides a dedicated registration process.

If a foreign legal person has no domicile address, business address or establishment in Québec, it must generally declare a mandatary in the Québec enterprise register to act on its behalf in Québec.

A legal person not constituted in Québec that carries on an activity in Québec must file its declaration of registration within 60 days of commencing activities in Québec.

Once properly registered, the Registraire des entreprises assigns a Québec enterprise number (NEQ).

Foreign companies should obtain professional legal and tax advice before deciding whether to operate through a subsidiary, branch, partnership or another structure.

Foreign Investment Regulations in Québec and Canada

Foreign investment in Québec is subject to both Québec and Canadian laws. The exact requirements depend on the type of business, transaction, ownership, industry and investment amount.

Investment Canada Act

The federal Investment Canada Act applies to non-Canadians who establish certain new Canadian businesses or acquire control of Canadian businesses. The Act provides for notification requirements and, for certain significant transactions, review for likely net benefit to Canada.

The Act also allows investments of any size to be reviewed on national-security grounds.

Therefore, a foreign investor should not assume that a transaction is automatically outside the federal review framework simply because it is taking place in Québec.

The applicable requirements depend on the investment structure and circumstances.

2026 Investment Canada Act Thresholds

For 2026, the Investment Canada Act review threshold for certain private-sector WTO investments by non-state-owned investors is $1.452 billion in enterprise value.

Different thresholds apply to other categories of investors and transactions, including certain trade-agreement investors, state-owned enterprises and cultural businesses.

These thresholds can change, so investors should verify the current federal rules before completing a transaction.

Regulated Industries

Additional federal or Québec rules can apply to regulated activities. Examples can include financial services, insurance, securities, telecommunications, transportation, health-related activities, energy and other strategic sectors.

An investor should identify all sector-specific licences, registrations and approvals before making a final investment decision.

Taxes and Investment Incentives in Québec

Tax treatment is an important part of evaluating an investment in Québec. However, there is no single "foreign investor tax rate" that applies to every project. The tax result depends on the legal structure, type of income, ownership, business activity, location and applicable federal and Québec measures.

Québec Corporate Tax

The general Québec corporate income-tax rate is currently 11.5%. Eligible corporations may qualify for reduced rates under the Québec small-business deduction and other measures when the applicable conditions are met.

The Québec government announced changes in 2026 that increased the small-business deduction rate for qualifying corporations in specified circumstances.

Research and Development

Québec provides tax measures and other forms of support for eligible research, development, innovation and commercialization activities.

These measures can be particularly relevant to technology, life sciences, advanced manufacturing and other R&D-intensive foreign investors.

Investment and Productivity Incentives

Investissement Québec identifies refundable tax credits and other measures supporting eligible purchases of equipment and technology assets, productivity improvements, innovation and R&D.

The exact incentive available depends on the project, industry, eligible expenses, location and other conditions.

Major Investment Projects

Québec also provides measures intended to support major projects involving areas such as job creation and increased production capacity.

Foreign investors should evaluate incentives before finalizing the investment structure because some programs require applications, eligibility tests or other conditions.

Foreign Investment in Québec Startups

Québec has an active startup and innovation ecosystem, particularly in artificial intelligence, deep technology, life sciences, clean technology, industrial technology, agtech, fintech and quantum computing.

Investissement Québec's startup investment strategy specifically identifies:

• Life sciences
• Technology
• Innovation and impact
• Industrial and manufacturing
• Deep tech
• Clean tech
• Agtech
• Artificial intelligence
• Quantum computing
• Fintech

Foreign investors can therefore consider Québec not only as a location for traditional business operations but also as a source of technology companies, intellectual property, research partnerships and startup investment opportunities.

Foreign Investment in Québec Real Estate

Real estate can be another area of interest to international investors, including residential, commercial, industrial, hospitality and development projects.

However, foreign ownership of Canadian real estate is subject to federal and provincial rules that can vary according to the type of property, buyer, purpose of acquisition and location.

Investors should distinguish between:

• Buying commercial property
• Buying industrial property
• Developing real estate
• Investing through a corporation
• Buying residential property
• Investing in real-estate businesses

Buying an Existing Business in Québec

Acquiring an established Québec company can be an alternative to starting a new business from zero.

Potential acquisition targets can include:

• Manufacturing companies
• Technology companies
• Software businesses
• Professional-services firms
• Food businesses
• Industrial suppliers
• Tourism businesses
• Healthcare and life-science companies
• Financial-services businesses
• Established small and medium-sized businesses

Due Diligence Before Buying

A foreign investor should normally conduct legal, tax, financial and commercial due diligence before completing an acquisition.

Important areas can include:

• Financial statements
• Tax liabilities
• Existing debt
• Contracts
• Employees and employment obligations
• Intellectual property
• Real estate leases
• Environmental obligations
• Licences and permits
• Customer concentration
• Supplier relationships
• Pending litigation
• Regulatory requirements

A Canadian or Québec lawyer and tax professional familiar with cross-border transactions can help structure and review the acquisition.

Foreign Investors and Immigration to Québec

Investing in a Québec business and immigrating to Québec are related but separate questions.

A foreign company can potentially invest in Québec without the foreign owners becoming permanent residents. Conversely, a foreign entrepreneur who wants to live and work in Québec must examine Canadian and Québec immigration requirements in addition to the business requirements.

Canada and Québec have specific immigration pathways for eligible business immigrants, entrepreneurs and self-employed people. The requirements and availability of programs can change, so investors should verify the current program rules before making an immigration plan based on an investment.

For current immigration information, consult the Québec and federal government immigration authorities rather than relying on older investment-program information.

Hiring Employees for a Foreign-Owned Company in Québec

A foreign-owned company operating in Québec can hire local employees and build a Canadian workforce.

Depending on the sector, companies can recruit professionals in:

• Software development
• Artificial intelligence
• Engineering
• Finance and accounting
• Manufacturing
• Life sciences
• Marketing and sales
• Research and development
• Cybersecurity
• Business administration
• Supply-chain management

Québec also has a large university and college system that supplies graduates to technology, engineering, business, healthcare and other sectors.

Foreign employers should understand Québec employment standards, payroll obligations, tax withholding, workplace rules and language requirements before hiring employees.

How to Invest in Québec: Step-by-Step

Frequently Asked Questions About Foreign Investment in Québec

Can foreigners invest in Québec?

Yes. International companies and non-Canadian investors can establish businesses, acquire Canadian businesses or make other investments in Québec, subject to applicable Canadian and Québec laws.

Can a foreign company open a business in Québec?

Yes. A company incorporated outside Québec can establish operations in the province. Depending on its activities and structure, it may need to register with the Québec enterprise register and satisfy federal and provincial tax, employment and regulatory requirements.

Does a foreign company need to register in Québec?

A foreign legal person carrying on activities in Québec may have to register with the Registraire des entreprises. Québec provides a specific registration procedure for legal persons not constituted under Québec law.

What is Investissement Québec?

Investissement Québec is a Québec government economic-development organization. Investissement Québec International focuses on attracting foreign investment and supporting Québec companies internationally. Its international teams also help foreign companies establish and expand operations in Québec.

What industries are attractive for foreign investment in Québec?

Important sectors include digital technologies, artificial intelligence, aerospace, life sciences, health technologies, financial services, insurance, manufacturing, clean technology, agrifood, defence, cybersecurity, videogames and other advanced industries.

Is Québec good for technology investment?

Québec has established technology ecosystems in artificial intelligence, digital technologies, microelectronics and quantum technologies, together with universities, research organizations and a skilled workforce.

Can foreigners invest in Québec startups?

Yes. Foreign investors can participate in Québec's startup ecosystem, subject to the applicable investment and securities rules. Investissement Québec's startup investment activities include technology, life sciences, deep tech, clean tech, AI, quantum computing, fintech and industrial innovation.

Is Québec City good for foreign investment?

Québec City has established ecosystems in insurance and financial services, information technology, life sciences, clean technologies, manufacturing, biofood, IoT, applied technologies and videogames. Québec International specifically promotes the greater Québec City region to international investors.

Are there tax incentives for foreign investors in Québec?

Québec has various tax measures, financing programs and incentives that may support eligible investment, innovation, R&D, productivity and major projects. Eligibility depends on the company, project, sector and applicable rules. Foreign ownership does not by itself guarantee access to a particular incentive.

What is the Investment Canada Act?

The Investment Canada Act is federal legislation governing certain investments in Canadian businesses by non-Canadians. New Canadian businesses and acquisitions of control can create filing obligations, while certain significant transactions can require review for likely net benefit to Canada. Investments can also be reviewed for national-security reasons.

Do foreign investors need to live in Québec?

Not necessarily. Investing in a Québec business and obtaining Canadian immigration status are separate matters. A foreign company can have Québec operations without every foreign owner becoming a Québec resident.

Can foreign investors buy Québec real estate?

Real-estate rules depend on the type of property, the investor and the purpose of the purchase. Federal restrictions can apply to certain residential purchases by non-Canadians, while commercial and other real-estate transactions can have different rules. Current legal advice should be obtained before completing a purchase.

Do foreign businesses need French in Québec?

Québec has French-language requirements affecting businesses. The enterprise-name rules, for example, require compliance with the Charter of the French Language. Other requirements can depend on the company's activities and communications.

How much money do I need to invest in Québec?

There is no universal minimum investment amount for every foreign business project. The required capital depends on the business model, industry, premises, employees, equipment, working capital and growth plan.

How can I find business opportunities in Québec?

Investors can research Québec companies, industry associations, startup ecosystems, economic-development organizations, suppliers and business-for-sale opportunities. Investissement Québec International and Québec International can also provide information about Québec sectors and business ecosystems.