Live and Invest in Melbourne, Victoria

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Business Innovation and Investment Visa Structure

The Business Innovation and Investment program has 3 subclasses:

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Comparison-Business Innovation and Investment Visas (Subclass 188)

Business  Innova,on  (Provisional)  

Investment    (Provisional)  

Significant  Investment  (Provisional)  

Point  Test    

Minimum  65  point   Minimum  65  point   N/A  

Type/Validity   Provision  /  4  years   Provision  /  4  years    

Provision  /  4  years    

Age  requirement   Below  55   Below  55    

No  age  limit  

English  Requirement   Func=onal  (Band  4.5  for  all  components)  or  pay  second  

installment  

Func=onal  (Band  4.5  for  all  components)  or  pay  second  

installment    

Func=onal  (Band  4.5  for  all  components)  or  pay  second  

installment    

Assets  Requirement    

AUD  800,000   AUD  2.25  million   AUD  5  million  

Staying  Requirement    

1  year  out  of  2  years   2  years  out  of  4  years   40  days  a  year  

Fund  transfer  requirement    

Based  on  the  respec=ve  state  requirements  

Government  Bond  of  AUD1.5  million  for  4  years  

Complying  investment  of  AUD  5  million  

Victorian  Government  Nomina,on  Requirement  

agree  to  have  available  no  less  than  AUD400,000  for  business    

ac=vity  in  Victoria.    

make  a  designated  investment  with  the  Victorian  Treasury  

Corpora=on;  and  engage  in  business  or  addi=onal  

investment  ac=vity.    

Complying  investment  of  AUD  5  million  

 

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Significant  Business  History    (Permanent)  

Venture  Capital  Entrepreneur  Stream  (Permanent)  

Type/Validity   Permanent/5  years   Permanent/5  years  Age  requirement    

Below  55   Below  55  

English  Requirement      

Func=onal  (Band  4.5  for  all  components)  or  pay  second  installment  

Func=onal  (Band  4.5  for  all  components)  or  pay  second  installment  

Assets  Requirement      

At  least  AUD  1.5  million  and  can  be  transferred  to  Australia  within  two  years  aSer  the  visa  is  granted  

NA  

Staying  Requirement   2  years  out  of  5  years   2  years  out  of  5  years  Net  Asset                

total  net  assets  of  at  least  AUD400  000  as  the  ownership  interest  in  one  or  more  qualifying  businesses  for  least  two  of  the  four  fiscal  years  

immediately  before  you  are  invited  to  apply  and  if  the  qualifying  business(es)  was  a  publicly  listed  

company,  a  shareholding  of  at  least  10  per  cent  of  the  total  issued  capital.    

NA  

Annual  Turnover        

AUD3  million  in  one  or  more  of  your  main  businesses  in  at  least  two  of  the  four  fiscal  years  immediately  before  you  are  invited  to  apply  

NA  

Victorian  Government  Nomina,on  Requirement  

Net  capital  investment  into  the  Victorian  based  business  would  generally  be  no  less  than  A$2  million.  A  further  A$500,000  is  required  for  

family  seWlement  

A$1  million  in  venture  capital  funding  from  a  member  of  the  Australian  Private  Equity  and  Venture  Capital  Associa=on  Limited  (AVCAL)  to  fund  the  start  up  or  commercialisa=on  of  a  high  poten=al,  high  risk,  high  growth  business  idea  

in  Victoria.  

Comparison-Business Talent Visas (Subclass 132)

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Permanent Business Talent Visa (subclass 132)

The 132 visa is a permanent residency visa designed for high net worth individuals who have a genuine commitment to operate a business in Australia.

This visa allows you, as a permanent resident, to•  Live and work in Australia on a permanent basis•  Study at Australian schools or universities; concessional rate for tertiary education•  Receive subsidised healthcare through Medicare and the Pharmaceutical Benefits

Scheme (PBS)•  Qualify for a Special Benefit from Centrelink if you suffer a major change of

circumstances that is beyond your control•  Become an Australian citizen (subject to Residency Eligibility Criteria)•  Sponsor eligible relatives other for permanent residency.•  Travel to and from Australia for 5 years from the date the visa is granted•  Travel to New Zealand without a visa

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Permanent Business Talent Visa (subclass 132)

Visa requirements

•  an overall successful business career•  no involvement in unacceptable business activities•  a genuine desire to own and maintain a management role in a business in

Australia.•  Be younger than 55 years of age at the time you are invited to submit your visa

application, although a state or territory can waive this requirement if your proposed business will be of exceptional economic benefit to the region where it will operate.

•  Have functional English. This requirement may be waived on payment of additional fee to the immigration authority

•  Obtain visa nomination from a state government •  Satisfy all health and character requirements

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Permanent Business Talent Visa (subclass 132) Significant Business History Stream (Subclass 132A)•  You, your partner, or you and your partner combined must have all of the

following:•  total net assets of at least AUD400 000 as the ownership interest in one or more

qualifying businesses for least two of the four fiscal years immediately before you are invited to apply and if the qualifying business(es) was a publicly listed company, a shareholding of at least 10 per cent of the total issued capital 

•  net business and personal assets of at least AUD1.5 million that are legally acquired and can be transferred to Australia within two years after the visa is granted

•  a total annual turnover of at least AUD3 million in one or more of your main businesses in at least two of the four fiscal years immediately before you are invited to apply

•  ownership of at least:–  51 per cent of a business with turnover of less than AUD400 000 per year–  30 per cent of a business with turnover of more than AUD400 000 per year, or–  10 per cent of a publicly listed company

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Permanent Business Talent Visa (subclass 132)

Victorian nomination requirements (subclass 132A)

•  Intention to reside in Victoria and establish a business which delivers ‘exceptional’ economic benefit to the state.

•  Eligible business activity supported by comprehensive market research that includes an evaluation of the business’s potential to deliver an ‘exceptional’ contribution to the economy of Victoria.

Elements taken into account when assessing the ‘exceptional’ economic benefit of the business include:•  introduction of new/improved technology•  job creation/retention•  expanding exports of value added goods and services•  introduction of new skills•  increasing competitiveness•  import replacement•  the particular industry sector involved, and•  the geographic location of the business.

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Permanent Business Talent Visa (subclass 132)

Victorian nomination requirements (subclass 132A)•  Net capital investment into the Victorian based business would generally be no less than A$2

million. A further A$500,000 is required for family settlement.

•  It is expected that the applicant will have visited Victoria and undertaken detailed market research, and where appropriate, consultation with relevant government agencies.

•  Business activity deemed ‘ineligible’ for nomination include: passive investment, general importing, exporting of commodities and smaller project based property development.

•  If the applicant has identified a business partner or an existing business in Victoria then that business partner will be expected to present a separate business submission to the Skilled and Business Migration office.

•  Twenty four months after activation of a business talent visa the principal visa holder’s activities will be monitored by both the state and Australian government authorities.

•  The visa holder must own or hold a ‘significant’ portion of an ‘eligible’ business and be able to provide evidence that they have invested their own time and continuously utilized their own skills by actively participating at a senior level in the day-to-day strategic management of that business.

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Permanent Business Talent Visa (subclass 132) Venture Capital Entrepreneur Stream (Subclass 132B)•  You must have received at least A$1 million in funding from an Australian

venture capital firm.

•  The funding must be for the start-up, product commercialisation or business development of a promising high-value business idea.

•  The venture capital firm must be a member of the Australian Private Equity and Venture Capital Association Limited (AVCAL).

•  You must have entered into a formal agreement with the venture capital firm for the funding.

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Permanent Business Talent Visa (subclass 132)

Victorian nomination requirements (subclass 132B)

•  Secured A$1 million in venture capital funding from a member of the Australian Private Equity and Venture Capital Association Limited (AVCAL) to fund the start up or commercialisation of a high potential, high risk, high growth business idea in Victoria.

•  Hold the rights to an idea, product or technology that requires additional funding in order to advance its commercial potential.

•  The ‘eligible’ business must:–  be high risk/have high growth potential–  be engaged with a unique, innovative, product or service–  have the potential to make a substantial benefit to the Victorian economy

•  The business activity must involve the early phase start-up or commercialisation of an ‘eligible’ business.

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Permanent Business Talent Visa (subclass 132)

Victorian nomination requirements (subclass 132B)

•  Investment in property development, land ownership, finance or construction as the predominant activity will not be considered for Victorian visa nomination.

•  The applicant must be the person who has entered into the legally enforceable agreement with the venture capital company to receive venture capital funding. 

•  The venture capital investment must have been raised from funds that are not connected with the individual seeking the venture capital funding. 

•  All applications must outline the benefit that the business proposal will provide to the Victorian economy and the entrepreneurial skill that the applicant will bring to Victoria.

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Australia’s Significant Investor Visa (Subclass 188C) Visa requirements

•  Obtain visa nomination from a state government or Austrade

•  Invest at least AUD $5 million over four years in complying investments

•  No upper age limit

•  No English language requirements

•  Have genuine intention to reside in the sponsoring State or Territory

•  Satisfy all health and character requirements

•  Funds for SIV must be unencumbered and lawfully acquired and no ‘loan back’

arrangements allowed.

•  Visa holders must reside in Australia for a minimum of 40 days a year over 4 years or their

partner can meet 180 days per year

•  Can apply for permanent residency after 4 years or extend the provisional visa for a

maximum of two additional visas, bringing the maximum total period on a provisional visa

to 8 years

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Australia’s Significant Investor Visa Complying Investment from 1 July 2015

From 1 July 2015, complying investments for applicants for Significant Investor Visa include:

•  At least $500,000 in eligible Australian venture capital or growth private equity fund(s) investing in start-up and small private companies;

•  At least $1.5 million in eligible managed fund(s) or Listed Investment Companies (LICs) investing in Emerging Companies;

•  A ‘balancing investment of up to $3 million in managed fund(s) or LICs that invest in a combination of eligible assets including real property (subject to 10% limit on residential estate)

Visa applicants may change between complying investments, provided they continue to meet the proportions outlined above and meet specified reinvestment requirements

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Significant Investor Visa Grants�

SIV Lodgments and Grants (primary) 24 November 2012 (SIV commencement) to 31 May 2015

0

50

100

150

200

250

Lodged Granted

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SIV Applications by State 24 November 2012 (SIV commencement) to 31 May 2015

345 384 441

500 575 620 663 706 747 774

835 869 906 951 1045

1190

267 289 306 321 337 352 380 397 410 432 465 491 515 545 609 649

90 99 102 107 115 123 129 135 143 151 212 167 184 190 202 212

0

200

400

600

800

1000

1200

1400

Feb 14 March 14

April 14 May 14 June 14 July 14 August 14

Sept 14 Oct 14 Nov 14 Dec 15 Jan 15 Feb 15 Mar 15 Apr 15 May 15

VIC

NSW

ALL OTHER

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�Significant Investor Visa Grants�

68 83 100 124

142 171

193 221

252 271

327

371 399

428 459

490

56 65 76 92 102

126 146

162 181 186 201 213 222

245 257 279

20 26 32 39 42 46 47 53 57 60 89

67 74 78 86 89

0

100

200

300

400

500

600

Feb 14 March 14 April 14 May 14 June 14 July 14 August 14 Sept 14 Oct 14 Nov 14 Dec 15 Jan 15 Feb 15 Mar 15 Apr 15 May 15

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NSW

ALL OTHER

Total 858 visa grants over 2.5 years

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Significant Investor �Source Country in South East Asia

Source: Victorian Government Nomination Data (April 2015)

Region  China  &  Hong  Kong 1686 South  East  Asia 34 North  Asia  exclude  China 6 Africa  &  Middle  East 6 Australia 5 South  Asia 4 Europe 2 North  America 1 La=n  America 1 Total 1745

SIV  Nomina=ons  by  the  Victorian  Government    Nov  2012  –  Apr  2015    

Malaysia,  17  

Vietnam,  8  

Cambodia,  4  

Indonesia,  2  

Singapore,  2  East  Timor,  1  

South  East  Asia  

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�Victoria’s visa nomination policy �

Investment contributes to the Victorian economy

Flexibility and choice for applicants

Priority processing Support services

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Victoria’s visa nomination application�

Assessment

•  All applications assessed on their individual merits

•  Economic benefit to Victoria generated directly/indirectly by the �$5 million ‘complying’ investment

•  Applicant’s settlement intentions and association with Victoria

•  Applicant’s business background, and medium to longer term business aspirations

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Assessment

Submit EOI to DIBP through

SkillSelect and nominate

State

Apply for

State nomination

Lodge

188 visa application to DIBP through

SkillSelect

Make A$5

million investment

after receiving DIBP invite

Visa grant

�Victoria’s visa nomination application�