About Business Innovation and Investment (Provisional) visa 188

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Business Innovation and Investment (Provisional) visa 188

Basic Information: Relevant to Intending Business Migrants
Visa Duration: 4 Years and 3 Months

 

This Provisional visa (subclass 188) is part of the Business Innovation and Investment Programme. You must submit an Expression of Interest (EOI) and be nominated by a state or territory government or Austrade on behalf of the Australian government before being invited to apply for this visa. This visa allows you to:

• own and manage a business in Australia (the Business Innovation stream)
• conduct business and investment activity in Australia (the Investor stream, the Significant Investor stream and the Premium Investor stream)
• undertake an entrepreneurial activity in Australia (Entrepreneur stream)

The five visa are summarised below:

Business Innovation stream: for people with business skills who want to establish, develop and manage a new or existing business in Australia. Applicants must be nominated by a state or territory government

Investor stream: for people who want to make a designated investment of at least AUD1.5million in an Australian state or territory and maintain business and investment activity in Australia. Applicants must be nominated by a state or territory government

Significant Investor stream: for people who are willing to invest at least AUD5million into complying significant investments in Australia and want to maintain business and investment activity in Australia. Applicants can be nominated by a state or territory government or Austrade on behalf of the Australian government

Premium Investor stream: for people who are willing to invest at least AUD15million into complying premium investments in Australia and want to maintain business and investment activity in Australia. Applicants must be nominated by Austrade on behalf of the Australian government

Entrepreneur stream: for people who have a funding agreement from a third party for at least AUD200 000 to undertake a complying entrepreneur activity that is proposed to lead to either the commercialisation of a product or service in Australia or the development of a business in Australia. Applicants must be nominated by a state or territory government

Note: Holding this visa is the first stage to qualifying for a Business Innovation and Investment (Permanent) visa (subclass 888).

Eligibility

General
• you are nominated by a state or territory government or Austrade on behalf of the Australian government
• you are invited to apply
• you (and all your family members) meet certain health and character requirements
• you meet the additional requirements for the stream in which you apply

Other Requirements

• An Expression of Interest (EOI) must be submitted

Health

• You must meet certain health requirements. The results are usually valid for 12 months. This also applies to all dependent family members included in your application, whether they are migrating or not

Character

• You must meet certain character requirements. You must be prepared to provide a police certificate from each country you have lived in for 12 months or more during the past 10 years after you turned 16 years of age. Do not arrange for police certificates until we ask you to.This applies to you and all the dependent family members listed in your application, whether they are migrating or not. For each person included in the application aged 16 years or older you will need to complete: Form 80 – Personal particulars for assessment including character assessment
• If you have served in the armed forces of any country, provide certified copies of military service record or discharge papers
• Sign the Australian values statement. If you are 18 years of age or older, you must sign an Australian Values Statement to confirm that you will respect the Australian way of life and obey Australian laws. The statement is included in the visa application form. You must have read, or had explained to you, the Life in Australia book before you sign the statement

Debts to Australian Government

• You must have no outstanding debts to the Australian Government or have arranged to repay any outstanding debts to the Australian Government before this visa can be granted

Benefits

• Enables you to establish a new or develop an existing business and/or invest in Australia, make a designated investment with an Australian state or territory government, make and maintain complying investments in Australia or participate in a complying entrepreneurial activity in Australia
• travel in and out of Australia for the life of your visa
• bring family members with you to Australia (Note: to gain entry with you qualifying family must be included in your application)
• seek permanent residence by applying for a Business Innovation and Investment (Permanent) visa (subclass 888).

Obligations

• You and your family must comply with all visa conditions and Australian laws

Government

Visa Fees

• 1st instalment is payable when you are invited
• 2nd instalment is payable before visa is granted
• Cost: From AUD 600

• You might have to pay other costs, such as the costs of health assessments, police certificates, or any other certificates or tests. You are responsible for making the necessary arrangements. There is also a fee for additional family members who are coming to Australia with you.

Update: 23 Sep 2018
Information Source: Australian Government – Department of Home Affairs

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Business Innovation Stream

General
• You must:
• be under 55 years of age, although a state or territory can waive this requirement if your proposed business will be of exceptional economic benefit to the nominating state or territory
• score at least 65 on the points test. Please see the Points test tab on this webpage for further information
• for two out of the four fiscal years immediately before you are invited to apply, have had an ownership interest in an established business or businesses that had at least AUD500 000 turnover in each of those years
• own at least one of the following percentage of your nominated main business:

• 51 per cent, if the business has a turnover of less than AUD400 000 per year
• 30 per cent, if the business has a turnover of AUD400 000 or more per year
• 10 per cent, if the business is a publicly listed company

• have an overall successful business career
• have a genuine desire to continuously own and maintain a management role in a business in Australia

Other
• If your nominated main business provides professional, technical or trade services, you must have spent no more than half your time providing those services, as opposed to general management of the business
• At the time of invitation, you, your partner, or you and your partner combined must have total net business and personal assets of at least AUD800 000 that are lawfully acquired and available for legal transfer to Australia within two years of the visa being granted
• You and your partner must have had no involvement in unacceptable business or investment activities

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Investor Stream

General
• You must:

• be under 55 years of age, although a state or territory can waive this requirement if your proposed investment will be of exceptional economic benefit to the nominating state or territory
• score at least 65 on the points test. Please see the Points test tab on this webpage for further information.
• have a high level of management skill in relation to the eligible investment or qualifying business activity
• have at least three years’ experience of direct involvement in managing one or more qualifying businesses or eligible investments
• have an overall successful record of eligible investment or qualifying business activity
• have a genuine and realistic commitment to continuing your business and investment activity in Australia after the original investment has matured
• have a genuine intention to live for at least two years in the state or territory in which you have made a designated investment

Other
• You, your partner, or you and your partner combined must:

• for at least one of the five fiscal years immediately before you are invited to apply, have directly managed one of the following:
• a qualifying business in which you, your partner or you and your partner combined had at least 10 per cent ownership interest, or
• eligible investments owned by you, your partner or you and your partner combined of at least AUD1.5million
• during the two fiscal years immediately before you are invited to apply, have legally acquired net business, investment and personal assets of at least AUD2.25 million that are available for legal transfer to Australia within two years of the visa being granted
• make a designated investment of at least AUD1.5 million in a state or territory government security using unencumbered funds accumulated from qualifying businesses or eligible investments and be prepared to hold that investment for at least four years from date of issue in your nominating state or territory
• have had no involvement in unacceptable activities

• Income that you earn from your designated investment in Australia is subject to tax under Australian taxation law

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Significant Investor stream

General
• Please note that the rules that were in force at the time that you applied for your Significant Investor visa will continue to apply for the duration of your provisional visa, including any Extension stream visas you apply for that relate to that provisional visa
• You must have a genuine and realistic commitment to:

• reside in the state or territory whose government agency nominated you,
• continue your business and investment activity in Australia after the conclusion of your provisional visa,
• live in Australia for at least 40 days per year (calculated cumulatively) for the duration of your provisional visa, or your spouse to live for at least 180 days per year (calculated cumulatively) for the duration of your provisional visa
• You, your partner, or you and your partner combined must have net assets of at least AUD5 million that are legally acquired, unencumbered, and available to be used to make the complying investment in Australia
• You and your partner must not have been involved in unacceptable business or investment activities
• You, your partner and other family members aged at least 18 must agree not to bring any action against the Commonwealth for any loss relating to your complying investment
• Income that you earn from your complying investment in Australia is subject to tax under Australian taxation law
• You must also make a complying investment or a complying significant investment of at least AUD5 million over four years

• Important: You might want to seek independent legal advice in relation to ensuring that an investment made for the purpose of this stream is a ‘complying significant investment’. It is your responsibility to ensure your investment options comply

Other
Complying Significant Investments for applications made after 1 July 2015 you must make a complying significant investment of at least AUD5 million over four years in the following proportions:

• At least AUD500 000 in venture capital and growth private equity funds which invest in start-ups and small private companies
• At least AUD1.5 million in approved managed funds investing in emerging companies listed on the Australian Stock Exchange
• A ‘balancing investment’ of at least AUD3 million in managed funds that may invest in a range of assets, including ASX-listed companies, Australian corporate bonds or notes, annuities and commercial real estate.
• Direct investment in residential real estate continues to be prohibited and indirect investment in residential property through managed funds is now strictly limited
• Investments must not be used as security or collateral for a loan

• More detailed information about complying significant investments is available at Austrade

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Premium Investor Stream

General
• The Premium Investor stream is by nomination of Austrade on behalf of the Australian government only. You must make a complying investment of at least AUD15 million in any of the following options:

• Australian securities exchange listed assets
• Australian government or semi-government bonds or notes
• Corporate bonds or notes issued by an Australian exchange listed entity (or wholly owned subsidiary of the Australian listed entity) or investment grade rated Australian corporate bonds or notes rated by an AFS licenced debt rating agency
• Australian proprietary limited companies
• Real property in Australia excluding residential property
• Deferred annuities issued by Australian registered life companies
• State or territory government approved philanthropic contribution

Other
• Income that you earn from your complying investment in Australia is subject to tax under Australian taxation law.
• You must also have a genuine and realistic commitment to continue your business and investment activity in Australia after the conclusion of your provisional visa
• You, your partner (spouse or de facto), or you and your partner combined must have net assets of at least AUD15 million that are legally acquired, unencumbered, and available to be used to make the complying investment in Australia
• You and your partner must not have been involved in unacceptable business or investment activities
• You, your partner and other family members aged at least 18 must agree not to bring any action against the Commonwealth for any loss relating to your complying investment

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Entrepreneur stream

General
You must:
• be under 55 years of age, although a state or territory can waive this requirement if your proposed complying entrepreneur activity will be of exceptional economic benefit to the nominating state or territory
• have competent English and be able to provide evidence of this at the time you are invited to apply for the visa
• be undertaking or proposing to undertake a complying entrepreneur activity in Australia and have a genuine intention to continue this activity

• A Complying Entrepreneur Activity is an activity that relates to an innovative idea that will lead to the commercialisation of a product or service in Australia, or the development of an enterprise or business in Australia
• This activity must not relate to any of the following excluded categories:

• Residential real estate
• Labour hire
• Purchase of an existing enterprise or a franchise in Australia

• An activity is a complying entrepreneur activity if all of the following requirements are met:
• you have one or more legally enforceable agreements to receive funding with a total of at least AUD200 000 from one of the following entities:

• Commonwealth Government agency
• State or Territory Government
• Publicly Funded Research Organisation
• Investor registered as an Australian Venture Capital Limited Partnership or Early State Venture Capital Limited

Partnership
• Specified Higher Education Provider:

• under the agreement at least 10 per cent of the funding must be payable to the entrepreneurial entity within 12 months of the day the activity starts to be undertaken in Australia;
• You held at least 30 per cent interest in your entrepreneurial entity when you entered into the agreement
• You have a business plan for the entrepreneurial entity noting how your innovative idea will lead to the commercialisation of a product or service in Australia, or the development of an enterprise or business in Australia.

MIGRATION LAWYER | MIGRATION AGENT

Shanthi Silva was admitted as a Lawyer in the Supreme Court of the State of New South Wales, Australia in February 2010. Shanthi is also qualified as a Bachelor of Business with major studies in Industrial Relations and Human Resource Management. Having worked in Government, Industry and Corporate sectors her legal experience includes Compliance law, Industrial Relations and Employment law, and Migration law.

Qualifications
LLB, Grad. Dip Legal Practice
B.BUS (Industrial Relations & Human Resource Management)

LICENCE

Migration Agent

Note: The Australian Government grants Migration Agent Licences to individuals, not corporations. The Migrations Services provided are under the authority of the Migration Agent Licence held by our principal Migration Lawyer, Shanthi Silva.