Business Migration to Australia

Transcription

1 Business Migration to Australia

2 Australian Business Migration Program The program targets migrants who have a demonstrated history of business success, and are able to make significant contributions to the growth of the Australian economy, and provide sources of investment capital. Current business visa options: Business Innovation & Investment (Provisional) subclass 188; and Business Innovation & Investment (Permanent) subclass 888 Business Talent (Permanent) subclass 132 2

3 SIV - Significant Investor Visa (as from 24 November 2012) No points test or age requirement No English language threshold requirement Must be nominated by a State and invited by DIBP to apply Must make a complying investment (can be one or more investments) for no less than $5 million, and hold the complying investment for 4 years before being eligible to apply for a permanent visa For FAQ, please see 3 Subclass 188 (Provisional) visa Subclass 888 (Permanent) visa

4 Applying for the SIV (Provisional) subclass 188 visa Submit an Expression of Interest (EOI) via SkillSelect Apply for nomination by an Australian State or Territory government Receive nomination by a State/Territory government & invitation by DIBP to lodge visa application Apply for 188 visa & invest at least $5 million into complying investment(s) before the grant of 188 visa 4

5 Pathway to Permanent Residence (subclass 888 visa) as a Significant Investor Must be nominated by an Australian State or Territory government with minimum $5m invested in complying investment(s) Continuously hold complying investment(s) for the life of the subclass 188 visa (ie. 4 to 8 yrs) Having resided in Australia for at least 160 days in 4 years Meet health and character requirements Business Innovation and Investment (Permanent) visa subclass 888 5

6 State or Territory Nominations Applicants must receive nomination by a State or Territory government before applying for subclass 188 visa Each State or Territory has their own criteria for nomination Qld state government presently accepts all Complying Investment(s) with direct economic benefit to Queensland, check: There is proposed legislation to change the complying investment requirements as from 1 July

7 What are Complying Investments? Commonwealth, a State or Territory government bond Australian Securities & Investment Commission (ASIC) regulated managed fund with a mandate for investing in Australia Direct investment into Australian proprietary companies not listed on the Australian Stock Exchange Investors may hold investments in each of the investment options and may also change between complying investments, provided that reinvestment requirements are met. 7

8 Complying Investment in ASIC regulated managed funds Complying managed funds must be regulated by ASIC The funds must be open to the general public, and the fund manager must provide a compliance declaration adhering to DIBP s investment requirements. The mandate for the managed funds must be in Australian assets only and limited to: Infrastructure projects in Australia Cash Infrastructure held by Australian projects deposit in taking Australia institutions Bonds Cash issued held by by a State Australian or Territory deposit government taking institutions Bonds or equity in Australian companies listed on the Australian stock exchange Bonds or term deposits issued by Australian financial institutions Real Bonds estate or property term deposits in Australiaissued by Australian financial institutions Other ASIC regulated managed funds that invest in the above list of assets Bonds issued by the Commonwealth, or a State or Territory government Bonds or equity in companies listed on an Australian Stock Exchange Real estate in Australia Australian agribusiness 8

9 Complying Investment in private Australian companies For direct investment into non-listed Australian proprietary companies to be classed as a complying investment, the following criteria must be met: The company must genuinely operate a qualifying business in Australia. The qualifying business is operated for the purpose of making profit through the provision of goods or services to the general public, and is not operated primarily or substantially for the purpose of speculative investment. The provision of rental property and businesses that are primarily or substantially for the purpose of speculative or passive investment are specifically excluded. Goods or services are provided for profit to more than one person or entity (not otherwise related to the operator of the business). The company must be registered with ASIC and have an Australian Business Number (ABN). The applicant must obtain an ownership interest in the company. Investment in Australian proprietary companies may no longer be considered as a complying investment after 1 July

10 Changes to SIV New Complying Investment Framework as from 1 July 2015 Significant investors can no longer invest in Government bonds or make direct investment in Australian proprietary companies Under the new complying investment framework, $5 million may be divided into 3 investment components: 1. venture capital fund ($1 million) 2. managed funds in small / macro cap companies ($1.5 million) 3. managed funds in any other type of investment ($2.5 million) Austrade will become a nominating agency in addition to state or territory governments Please note these proposed changes are NOT final as the legislation is yet to be passed. 10

11 New Premium Investor Visa (PIV) as from 1 July 2015 Premium Investor Visa (PIV) $15 million complying investment required eligible to apply for permanent residency after 12 months of PIV no residence requirement in Australia Austrade will be the only nominating agency for this type of visa Please note these proposed changes are NOT final as the legislation is yet to be passed. 11

12 Business Innovation & Investment program (as from 1 July 2012) Business Innovator (subclass 188 visa) Investor (subclass 188 visa) Permanent Residence (subclass 888 visa) Business Innovator and Investor streams require a pass mark of 65 on the Innovation Points Test The applicant must be nominated by an Australian State or Territory government, and invited by DIBP to apply for the subclass 188 business visa 12

13 Comparing the Significant Investor stream with existing streams SIGNIFICANT INVESTOR BUSINESS INNOVATOR INVESTOR Nomination by State government Required Required Required Must be under 55 Not required Required Required Minimum investment or business requirement in Australia complying investment of $5 million net business value in Australia $200,000 (2 F/T) designated investment of $1.5 million Minimum personal and business assets for transfer to Australia $5 million $800,000 $2.25 million 13

14 Requirements for subclass 888 visa SIGNIFICANT INVESTOR BUSINESS INNOVATOR INVESTOR Must satisfy residence requirement of 160 days in 4 years, 240 days in 6 years, 320 days in 8 years immediately before 888 application. Must have held complying investment(s) throughout the time of holding subclass 188 visa Must not have a history of involvement in business or investment activities that are generally unacceptable in Australia. Must have strong commitment to continue business and investment activities in Australia Must have held the provisional 188 visa for 2 years & lived in Australia for at least 1 year in the 2 years immediately before application Must show direct and continuous management of business in Australia, with min $300k turnover, 2 F/T employees & $200k in net business value throughout 12 mths immediately before application Must not have a history of involvement in business or investment activities that are generally unacceptable in Australia. Continue to have ownership interest in the actively operating Australian business 14 Must have held provisional visa for 4 years & lived in Australia for at least 2 of the 4 years immediately before application Must have held a designated investment with a State or Territory government for at least 4 years Must not have a history of involvement in business or investment activities that are generally unacceptable in Australia. Must have strong commitment to continue business and investment activities in Australia

15 Business Talent (Permanent) subclass 132 visa Significant Business History Stream For high calibre business people with outstanding business records, ie annual turnover of no less than $3m for 2 out of the last 4 fiscal years; net business value of $400k or more; net personal and business assets of $1.5m or more available to transfer to Australia within 2 years, under 55 years of age Venture Capital Entrepreneur Stream Must have entered into a legally enforceable agreement for at least $1 million with an Australian company to receive venture capital funding for the early-phase start-up, or commercialisation, or development, or the expansion of a business in Australia 15

16 Criteria for Business Talent (Permanent) subclass 132 visa Must be nominated by a State or Territory government & invited by DIBP to apply for visa. Must not have a history of involvement in business or investment activities that are of a nature that is not generally acceptable in Australia (applicable to applicant and spouse) Genuinely has a realistic commitment to establish or participate in an eligible/qualifying business in Australia, maintain a substantial ownership interest in such business, and maintain a direct and continuous involvement in the management of such business on a day-to-day basis 16

17 Criteria for the Business Innovator stream & the Investor stream Common Criteria Must be nominated by a State or Territory government & invited by the Minister to apply for visa Be less than 55 years old (unless business is of exceptional economic benefit) Must score at least 65 points on the Innovation Points Test Must not have a history of involvement in business or investment activities that are of a nature that is not generally acceptable in Australia (applicable to applicant and spouse) Business and personal assets are lawfully acquired, available to transfer to Australia within 2 years after receiving 188 visa 17

18 Criteria for the Business Innovator stream & the Investor stream Business Innovator Stream For 2 out of the last 4 fiscal years, minimum annual business turnover of $500,000 Minimum net business and personal assets of $800,000 for establishing or conducting business in Australia, plus further sufficient funds to settle in Australia No designated investment required Genuine and realistic commitment to run qualifying business in Australia and to maintain substantial ownership interest in the business with direct and continuous involvement in the day-to-day management of the business 18 Investor Stream For 1 of the last 5 fiscal years, min 10% ownership interest in the total value of business being no less than $1.5 million, with direct involvement in managing the qualifying business Minimum net business and personal assets of $2.25 million for 2 fiscal years immediately before invitation to apply for visa Designated investment of $1.5 million in the name of applicant or spouse into State bonds, eg Queensland Treasury Corporation. Assets are lawfully acquired and available to transfer to Australia within 2 years after receiving 188 visa Genuine and realistic commitment to maintain business or investment in Australia after making the designated investment

19 Innovation Points Test General Requirements Age points points points points points English language Vocational (IELTS 5) Proficient (IELTS 6) 5 points 10 points State or Territory nomination Special endorsement 10 points (limited spaces) Qualifications Recognised Bachelor degree or Australian trade certificate/diploma etc Bachelor Degree in Business, Science or Technology 5 points 10 points Business experience (Business Innovator Stream only) Greater than 4 years Greater than 7 years 10 points 15 points Investment experience (Investor Stream only) Greater than 4 years Greater than 7 years 10 points 15 points 19

20 Innovation Points Test Financial and Innovation Metrics Net business and personal assets (available for transfer to Australia within 2 years) $800,000 5 points $1,300, points $1,800, points $2,250, points Annual business turnover for 2 out of 4 fiscal years before 188 application $500,000 (*mandatory requirement) 5 points $1,000, points $1,500, points $2,000, points 20 Innovation Registered patents Evidence of trademarks Joint Venture agreements Evidence of export Gazelle business Recipient of grants or VP funding 15 points 10 points 5 points 15 points 10 points 10 points