New Zealand Business

Changes to Investor 2 Policy - Overview

On 22 May this year, some changes were made to the Investor 2 policy to create incentives for applicants to invest more of their funds in growth investments.

See the changes to the policy below:

Before 22nd May After 22nd May
Minimum investment amount $1.5million $3million
Settlement funds $1million $0
Time required to be spent in New Zealand after the grant of a visa 40% of each of final 3 years of investment period (146 days per year) • 40% of each of final 3 years (146 days per year); or
• 438 days over 4 years if minimum of $750,000 is invested in ‘growth investments’ (investments other than bonds or philanthropic investments)
Investment amount Nominated amount ($1.5m or greater) Nominated amount ($3m or greater).
If $1.5 million of nominated amount is placed in ‘growth investments’ then the overall amount can be reduced by $0.5 m
Additional evidence you must supply Evidence supporting the claims you made in your expression of interest with regards to:
• English language
• business experience
• investment funds
• 3 years of business experience
• meeting minimum English language requirements (an IELTS overall score of 3.0)
• investment funds as claimed in your expression of interest, if you claimed more than $3 million

Please be aware that any Investors and/or representatives of Investors in process have been contacted about this directly. All applications must now be submitted under the new instructions. 

For those who have an ITA but have not yet applied, they have a month added to the expiry of their original ITA. 

BMB have no ability to extend these application deadlines.

For more information, visit the New Zealand Immigration website. 

 

Shortage of workers prompts massive employment drive in NZ

Construction, manufacturing and other industries in New Zealand are finding it increasingly difficult to recruit suitable workers, which has prompted a huge hiring drive across the country. 

According to Civil Contractors New Zealand (CCNZ), the construction industry will need another 30,000 workers in two years' time. Chief executive Peter Silcock said his group's attention was turning heavily towards training and recruiting a more diverse workforce.

"We need more skilled workers and the reality is that a lot of the training will need to be done on the job, which means that people can earn as they learn." 

A labour crunch in construction were also highlighted in Statistics NZ figures last month, which showed that almost 80 per cent of construction firms reported vacancies in 2016.

If you want to apply your skill set to a working life in New Zealand, complete our free initial visa evaluation form to discover your eligibility.  

Read more about the Civil Contractors New Zealand's findings here

Top line job trends from NZ Ministry of Business, Innovation & Employment

New Zealand's Ministry of Business, Innovation & Employment released some interesting results in their June Jobs Online Report.

The monthly report measures changes in job vacancies advertised on three internet job boards, and found that over the past year job vacancies increased by 13.5 per cent.

The headlines were:

  • Vacancies increased in all occupation groups. The largest increases were for machinery drivers and operators (up 2.8 per cent) and technicians and trades (up 2.1 per cent).
  • Vacancies increased in all skill levels. Vacancies for semi-skilled jobs had the biggest increase (up 2.1 per cent), followed by low skilled and unskilled job vacancies (both up 1.8 per cent).
  • Vacancies increased in all ten regions. Over the past month, vacancies grew strongest in Bay of Plenty region (up 2.6 per cent).

Do you want to make the most of the opportunities in these industries? Here are some next steps:

1. Complete a free initial NZ visa evaluation form - this gives our advisers the information they require to assess your chances of Visa Migration. 

2. Attend a New Zealand Lifestyle Seminar happening across the UK in September. Find one near you: Bristol, Birmingham, Manchester and London

3. Get in touch with New Zealand Skills In Demand who are NZ construction recruitment specialists and can help you with your job search. Contact mark.morrison@nzskillsindemand.co.nz 

To view the full report click here

New Zealand Residence Programme - Investor (Investor 2 category)

The selection of Expressions of Interest (EOI) under the Migrant Investment Category, Investor (Investor 2 category), happened on Wednesday the 11th of May 2016.
20 EOIs were selected from the EOI pool which claimed between 78 and 85 points.

Please note that the next draw will take place on the 25th of May 2016.

The table below provides an indication on how many remaining EOIs are left in the pool after the draw has taken place.

< 60 pts 60-64 65-69 70-74 75-79 80-81 83-89 > 90
13 3 11 8 12 0 0 0

the number of EOIs remaining in the pool = 47

Buying a Business in New Zealand

by Richard O’Brien – Director of Business for Sale site nzbizbuysell.co.nz

New Zealand is a great place to be in business. The 2008 World Bank survey ranked New Zealand as the number two country for ease of doing business, second only to Singapore. If you’re looking to start, buy or invest in a New Zealand business then you will need to check out how best to obtain your New Zealand Business Visa and commence the journey.

Owning and operating a business often takes up a significant chunk of your time, so when searching for a business, look for something that you will enjoy doing. Secondly, if you have specific skills then immediately you are adding value to the business – although some skills can be learnt on the job or imported.

Before embarking on the process of buying a business, there are a number of things consider. 

Are you ready to own a business?

Build a profile of the key things you enjoy doing and your strengths – your ideal business will contain many of these. Also list the things you don’t enjoy doing and any weakness. When you are looking, you will be asking yourself; is this something I'm interested in? Have I the appropriate skills, knowledge, and ability? If not, are these available within or outside the business? Determine how much you are prepared to risk, the hours you will work, and its impact on your lifestyle. Write these down, they will help you stay focused in searching through the many possibilities. Find out if you are a business owner ready.

Why buy an existing business?

Statistically a large number of start-up businesses fail, with those surviving often being sold to have their new owners make the real gains. So let the hardened entrepreneurs take the risk, develop the market, and find out what works and what doesn't.

In buying an existing business you are getting;

  1. An existing customer base which means cash flow from day one.
  2. Products and/or services that have already been developed, trialled and proven.
  3. Experienced and skilled staff who understand the business and it’s customers.
  4. Operating Systems that keep the customers coming and the cash flowing?
  5. History where you are able to see the financial records, it’s cash flow, sales and expenses.

It always pays to look at a number of business for sale opportunities, so you get a feel for the market and know what to expect from having done your homework.

How much will I need?

This will be determined by your ability to manage the businesses monthly cash flow, your cash reserves, the equity you may borrow against, and potentially the bank or vendor finance. Exercise care in not taking on too much debt, and ensure you allow for working capital and some cash reserves. The best position is to reduce your risk. Don’t spend the lot, struggle to keep things afloat, and then risk loosing it all. Exercise common sense, spending less will reduce your risk. Develop a budget for buying a business that best suits your needs.

When purchasing any business always seek professional advice. For further details visit NZ Business for Sale website

If you would like to obtain a Comprehensive New Zealand Visa Evaluation to see if you would be eligible for a business visa please contact us.