Sophisticated investors test a project, a jurisdiction and a program for months. Yet many then hand the entire file to an intermediary after one meeting and a referral. That handover is often where the real exposure sits. Since 15 July 2026, Canada has enforced stronger rules for immigration and citizenship consultants. The rules include a compensation fund for clients harmed by a licensee’s dishonesty. The reform is meaningful; however, it protects only clients of licensed professionals, and only in defined circumstances. For that reason, immigration consultant due diligence deserves the same rigor as diligence on the program itself. Five checks cover most of it.
1. Immigration consultant due diligence starts at the register
In Canada, only three groups may charge a fee to advise on or prepare an immigration application. Lawyers and paralegals need a licence from a provincial or territorial law society. Consultants need a licence from the College of Immigration and Citizenship Consultants. Notaries must belong to the Chambre des notaires du Québec. Each group maintains a public directory. In particular, the College’s public register shows whether a consultant holds active status and may practise. The Government of Canada also links to every directory on its page about authorized representatives.
The check takes five minutes, yet many investors skip it. Consider a Dubai-based family office principal whom a trusted private banker introduces to “a Canadian immigration specialist”. The specialist has a polished website, a Toronto address and a confident manner. None of that amounts to a licence. Therefore, if a name does not appear on a law society directory or the College’s register, the referral no longer matters. The register has already answered the question.
The unlicensed market is also substantial. According to figures reported by Canadian HR Reporter, the College had 2,246 websites and social media pages of unauthorized practitioners shut down in 2024. Sound immigration consultant due diligence therefore begins with the register, not with the referral.
2. Know what Canada’s new rules cover, and what they leave out
The regulations in force since 15 July 2026 strengthen the College’s complaints and discipline process. They also allow higher penalties for consultants who break the rules. In addition, the Minister may appoint someone to take over the board’s duties if it fails in its responsibilities. From April 2027, the College must publish more information on its public register.
The headline measure is the compensation fund. As CIC News reports, a client may recover losses caused by a licensee’s dishonest act. Examples include theft, fraud, misappropriation of funds, and providing or counselling false information. However, the conditions are specific. The act must have occurred on or after 23 November 2021. The client must have complained through the College’s process and must not have taken part in the dishonesty. Finally, the discipline committee must issue its final decision on or after 15 July 2026. The College has not yet published payment amounts or the claims process.
What falls outside matters just as much. The fund exists for clients of the College’s licensees. For example, a Lagos-based physician who paid a five-figure retainer to an unlicensed agent has no claim on it. In short, the protection follows the licence. That is why immigration consultant due diligence begins with the licence itself.
3. Ask who compensates your advisor, and how
In investment migration, the project often pays the party that recommends it. That is not improper in itself. It becomes a risk, however, when the investor does not know.
U.S. law now addresses this directly for EB-5. As Baker Donelson describes the EB-5 Reform and Integrity Act of 2022, promoters must register with USCIS. Their agreements with issuers must also be in writing. Moreover, each investor petition must include a written disclosure of all fees, ongoing interest and other compensation paid to agents, finders or broker-dealers. LCR Capital, a regional center operator, adds a further point. If an intermediary took part but did not register or appear in the disclosure, USCIS may treat that as a material omission in the investor’s own petition.
Consider a Mumbai-based manufacturer comparing two EB-5 projects from the same intermediary. One question changes the conversation: have you registered as a promoter, and what will each project pay you if I invest? A credible professional answers without hesitation. The question also applies in every other program, even where no statute requires an answer.
4. Read every document filed in your name
A representative prepares the file, but the applicant signs it and answers for its contents. In Canada, applicants must declare every representative, paid or unpaid. The applicant also carries responsibility for the accuracy of the Use of a Representative form, even when the representative completes it. Consequently, an unauthorized paid representative, or an undeclared one, can lead to a refused application.
In practice, immigration consultant due diligence means reviewing the complete submission rather than a summary of it. For example, a Toronto-based entrepreneur in a business stream should see the final forms, the business plan and the source-of-funds narrative before filing. The source-of-funds record deserves particular attention, because adjudicators often scrutinize it closely. An intermediary who resists sharing the full file, or who suggests leaving their name off it, has given you a clear warning.
5. Apply immigration consultant due diligence to the engagement itself
The first substantive conversation usually reveals an advisor’s calibre. So, four questions are worth asking.
- Who will act as representative of record? Then ask where that person holds a licence.
- What does the written retainer contain? Scope, fees, refund terms and the holder of client funds belong on paper before any capital moves.
- What are the weaknesses in my case? A serious advisor will name them plainly. Treat any guarantee of approval or timing with caution, since governments make those decisions.
- Who else is involved? Strong files are usually team efforts: a strategic advisor, a licensed lawyer or consultant, and a tax professional. Each role needs a name, and licensed professionals should perform the licensed work.
A Vancouver couple weighing a U.S. relocation and a second residence in Europe may need three or four professionals across three jurisdictions. Their protection does not come from one person who claims to do everything. Instead, it comes from knowing who answers for each component.
Final takeaway: due diligence on your immigration consultant stays with you
Regulation is catching up with the intermediaries in this field. Canada now has a stronger regulator and a compensation fund. Meanwhile, the United States requires EB-5 promoters to register and to disclose their compensation. These measures help; still, they act after the fact and within defined limits.
The more reliable protection is the investor’s own immigration consultant due diligence. That means a licence verified at source, compensation disclosed and a file reviewed before signing. It also means clear lines between those who advise on strategy and those licensed to represent.
SMGC applies this discipline to every engagement. We provide strategic capital advisory through a network of licensed legal and financial professionals, so every role has a name and every mandate has a record. Similarly, our Capital Passport documentation framework turns a complex financial history into a reviewable source-of-funds record before anyone files.
For investors assembling a cross-border team, an independent view of who does what, and under which licence, is a prudent step before any retainer. Initiate a Confidential Review. We selectively onboard qualified investors; eligibility assessment required.
SMGC provides advisory services through a network of legal and financial professionals and does not take responsibility for advice, directly or indirectly. SMGC does not render legal or tax advice, and does not promise approvals, timelines or returns.