[pjc50]

Many, many years ago I was the first non-founder employee at a UK startup. That meant hearing quite a lot (but not all) of the corporate discussions about finance, company structure etc. Fairly early on in the fundraising process we settled on "Delaware parent company, 100% owner of UK private limited company". This meant that US investors could invest in the Delaware entity happily, while the tax and employment aspects were handled locally in the UK. Stock grants were made from the US entity (under US law), but also eligible for UK tax relief (since the options were being assigned to UK residents).

While I think this was obviously more complicated than a single entity and probably required two sets of specialists rather than just one, it certainly worked and I would expect something similar is possible with Canada?

The founders were not required to move to the US, but ended up doing so anyway.