The South Australia (SA) Government has allocated $400,000 in its 2018-19 budget to roll out a pilot program for a new visa for start-up entrepreneurs to establish a business in the state.
Foreign entrepreneurs and investors with an innovative idea and a supporting business plan will be able to apply for a temporary visa to take forward their venture in South Australia.
Source: AS government
Visa applicants will not need capital backing, unlike the existing Entrepreneur Visa which required demonstrated funding of at least $200,000 from a specified Australian third party.
The South Australian version requires applicants to have an innovative idea and strategy as to what they plan to do to further that; and to be endorsed by a South Australian government entity.
The applicants’ business proposals will be examined by the State or Federal Government and those successfully establishing their business venture in Australia will become eligible to apply for permanent residence.
The South Australia pilot will run over four years and 30 places allocated in the first year with the number of visas increasing every year.
While it’s not yet clear whether any financial requirements apply to the applicants, they must be under the age of 45 and have vocational level English which is band 5 in each of the four components of the International English Language Testing System (IELTS). They are also required to meet the health, character and financial requirements set by the Federal Government.
This visa has a much lower barrier to entry than the federal scheme, and it focuses on start-ups’ ability to “demonstrate high growth potential”.
The SA Government is encouraging more investment into growth sectors including advanced manufacturing and defence technology following the Federal Government’s decision to centre the naval shipbuilding program in South Australia.”