Australia is currently the #1 preferred destinations for high net wealth migrants (New World Wealth 2020). Effective from 1st July 2021, a set of changes to the program has recently been announced to improve the quality of investments and maximise the economic benefits of the program to Australia. While the Business Innovation pathway has a higher investment requirements, the Investment Pathway is required to follow a Complying Investment Framework.
At HKG, we understand that trying to obtain Permanent Residency in Australia can be a long and confusing process. We created the PR Pathways roadmap to assist you to understand and commence the “pathway” to residency based on your personal circumstances and goals.
On 1 July 2021 changes to the Business Innovation and Investment Program (BIIP) and the Complying Investment Framework (CIF) will take effect to support Australia’s post-COVID-19 economic recovery by maximising its economic contribution.
Australia Business Innovation and Investment Visas
The table below summarises the key changes that will come into effect from 1st July 2021.
| Business Innovation Stream (188A) | Investor Stream(188B) | Significant Investor Stream (188C) |
|
|---|---|---|---|
| Investment/ Business Amount | AU$1.25 million | AU$2.5 million | AU$5 million |
| Investment/ Business Requirements | Meet business obligations | Complying Investment Framework | Complying Investment Framework |
| Business Ownership/ Investment Experience |
Whether you have 1 or 2
businesses, you must own at least:
• 51%, of the total value of the business of a turnover less than AUD400,000/year • 30%, of the total value of the business of a turnover more than AUD400,000/year • 10%, of the total value of the business if the business is operated by a publicly listed company |
For at least 1 of the 5 fiscal years
immediately before we invite you 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% ownership interest or • a eligible investment of at least AUD1.5 million owned by you, your partner or you and your partner combined |
No requirements |
| Turnover of Business | AU$750,000 any two of the last four fiscal years. | No requirements | No requirements |
| Length of Stay | Live in Australia for at least 1 year in the 2 years immediately before you apply for subclass 888A (PR) | Live for at least 2 years in the State or Territory in which you have made the investment application. | 40 days multiplied by the number of complete years in the period in which you held a subclass 188C |
| Business Background | Have a successful business career and a genuine desire to continuously own and manage a business in Australia. |
• Have at least 3 years' experience
managing one or more qualifying
businesses or eligible investments
• have a successful record of eligible investment or qualifying business activity • Have demonstrated a high level of management skill in relation to the eligible investment or qualifying business activity |
No requirements |
| Source of Fund | Business and personal assets legally earned or acquired | Provide evidence that source of funds comes from eligible investment or business activity | Legally earned or acquired |
| Age Restriction | Under 55 | Under 55 | No requirements |
| Point Test | Minimum 65 points | Minimum 65 points | No requirements |
| Language Requirements | Minimum Functional English or pay the second instalment of the visa application charge | Minimum Functional English or pay the second instalment of the visa application charge | Minimum Functional English or pay the second instalment of the visa application charge |
| Business Innovation Stream (188A) |
Investor Stream (188B) |
Significant Investor Stream (188C) |
|
|---|---|---|---|
| Investment/ Business Amount | AU$1.25 million | AU$2.5 million | AU$5 million |
| Investment/ Business Requirements | Meet business obligations | Complying Investment Framework | Complying Investment Framework |
| Business Ownership/ Investment Experience | Whether you have 1 or 2
businesses, you must own at least: • 51%, of the total value of the business of a turnover less than AUD400,000/year • 30%, of the total value of the business of a turnover more than AUD400,000/year • 10%, of the total value of the business if the business is operated by a publicly listed company |
For at least 1 of the 5 fiscal years
immediately before we invite you 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% ownership interest, or • a eligible investment of at least AUD1.5 million owned by you, your partner or you and your partner combined. |
No requirements |
| Turnover of Business | AU$750,000 any two of the last four fiscal years. | ||
| Length of Stay | Live in Australia for at least 1 year in the 2 years immediately before you apply for subclass 888A (PR) | Live for at least 2 years in the State or Territory in which you have made the investment application. | 40 days multiplied by the number of complete years in the period in which you held a subclass 188C |
| Investment experiences and Business Background | Have a successful business career and a genuine desire to continuously own and manage a business in Australia. | • Have at least 3 years' experience
managing one or more qualifying
businesses or eligible investments • have a successful record of eligible investment or qualifying business activity • Have demonstrated a high level of management skill in relation to the eligible investment or qualifying business activity |
No requirements |
| Source of Fund | Business and personal assets legally earned or acquired | Provide evidence that source of funds comes from eligible investment or business activity | Legally earned or acquired |
| Age Restriction | Under 55 | Under 55 | No requirements |
| Point Test | Minimum 65 points | Minimum 65 points | No requỉrements |
| Language Requirements | Minimum Functional English or pay the second instalment of the visa application charge | Minimum Functional English or pay the second instalment of the visa application charge | Minimum Functional English or pay the second instalment of the visa application charge |
Investor Visa and Significant Investor Visa Stream
Speak to a Migration Agent to find out if you are eligible for the Investor Visa and Significant Investor Visa Stream. For these two streams, the investment will follow the Complying Investment Framework as below.
The Hamilton Knight Complying Investment Framework (HK CIF) is designed following the Complying Investment Framework oversight by Austrade, which came into effect on 1 July 2015. From 1 July 2021 the following Complying Investment Framework ratios will apply to both the Investor and the Significant Investor streams:
• 20 per cent Venture Capital and Private Growth Equity funds (VCPE)
• 30 per cent funds investing in Emerging Companies
• 50 per cent in Balancing Investments
Hamilton Knight
Complying Investment Frameworks
Investor Visa
AUD$2.5m
Significant Investor
Visa AUD$5m
Global Clients. Local Knowledge. Est 1994
Business Innovation Visa Stream
Speak to a Migration Agent to find out if you are eligible for the Business Innovation Visa Stream. Our Business and Investment team will be able to assist you with the updated available opportunities for this visa stream.
DISCLAIMER: The information is not intended to be a migration advice and is subject to change by the Department of Home Affairs. Speak to a Registered Migration Agent for professional migration advice.
Hamilton Knight Pty Limited (ACN 631 472 734) is the Investment Manager of the BIIF, ALF, HKT Funds and Investment Manager of HK SIV-IV Fund and is a Corporate Authorised Representative 001285745 of Wholesale Funds Management Pty Ltd (ACN 612 005 928), AFSL 000487419 . Hamilton Knight is the promoter of the Funds.
