Yes if the subsidiary and the Canadian parent both trade, he has a continuous qualifying year abroad, and his U.S. duties are primarily executive or managerial rather than performing the operational work himself.
Ownership opens the door; duties decide the case
A founder is not excluded from L-1A by owning the companies, but ownership does not substitute for the statutory conditions. The qualifying relationship exists because the Canadian company owns the U.S. company outright. The founder’s year abroad is satisfied by his continuous service as chief executive within the last three years, provided that service is documented as employment rather than mere shareholding. The contested element in a four-person business is capacity: an executive directs the organization or a major component and receives only general supervision, while a manager supervises professional or supervisory staff or manages an essential function. If the founder would personally handle orders, pack shipments and guide trips most of the week, the position is operational. A credible plan that leaves those tasks with staff, supported by the current chart and hiring evidence, is what makes the petition approvable.
A first review maps the ownership chain, the year of foreign employment, and the proposed executive or managerial role. Share registers and governing documents settle the relationship; payroll and work records settle the year abroad; organizational evidence settles whether the new role directs an essential function or staff rather than performs routine production. L-1A requires one continuous qualifying year during the three years before filing, and L-1A stay is limited to seven years. Hypothetical example: a marine-parts distributor transfers its purchasing director to lead a U.S. branch. The job descriptions of the buyers she will supervise matter more than the senior-sounding title on her business card.