The concept of a working holiday visa has long been in use, allowing visitors to enjoy their holiday, explore new countries and cultures, and at the same time, gain limited work experience. But, can this visa be used to open a company in Australia?
In the past, applying for a working holiday visa meant acquiring the traditional backpacker visa which allowed the visitor to stay in Australia for one year and work in the same sector for three months. Although this visa has been used by a small number of individuals to establish businesses in Australia, due to changes in the visa’s application process – notably the introduction of the Subclass 417 visa – such use is no longer possible.
As such, the traditional backpacker visa cannot be used to open or operate any kind of business venture in Australia. Adam Germick, an immigration lawyer based in Melbourne, explains: “The subclass 417 visa is specifically designed to enable international visitors to undertake short-term, paid work in Australia. It does not extend to business operations”.
However, the Subclass 462 visa, also known as the Work and Holiday visa, does offer a more viable option for those wishing to open a business in Australia. This visa enables the applicant to work and travel in Australia for up to one year and allows them to hold multiple positions of employment or one full-time job. In addition, applicants may engage in ‘ business activities’, such as establishing and running a business venture.
It is important to note that this visa is still limited in scope, and applicants are subject to strict criteria. The visa must be applied for before entering Australia, and applicants are required to have tertiary qualifications, a working knowledge of English, and must demonstrate sufficient funds to cover daily living costs. In addition, each applicant is restricted to a maximum of six months work in the same sector. But, for those who successfully meet all of the criteria, the Subclass 462 visa can be a great opportunity to open a business in Australia.
Rebecca Jones, a recent Subclass 462 visa holder, attests to this. With a background in marketing and a desire to start her own business, Rebecca applied for the visa and was subsequently granted permission to stay for one year in Australia. She explains her experience: “It was a daunting experience at first, but I was able to find support from the visa specialists who helped guide me through the process”. With support and working hard, Rebecca was able to turn her dream of opening a business into a reality. She adds: “ I have been able to use the skills and knowledge I have built up over the past few months to open a successful business here in Australia.”
Do You Need A Business Visa To Open A Company In Australia?
If you are considering entering into business in Australia, then the answer is yes – you will need to obtain a business visa in order to do so. Australia has a range of business visas available, many of which are tailored to different types of business activities that are likely to be undertaken. The type of business visa that you will require will depend on the nature of your business venture, the activities you will be undertaking, and the length of your stay. Generally speaking, a business visa will require an individual to prove financial stability and demonstrate a commitment to the business activities specified in the application.
For those intending on setting up a business in Australia for the first time, a business skills visa may be of benefit. Under this visa, individuals must meet the requirements, such as demonstrating a business background and financial resources, among others. Once approved, applicants are granted a temporary stay of four to five years, with the possibility of a permanent residence visa.
Alternatively, the Business Talent visa is an option for individuals who wish to set up a business and invest substantial funds, or who have already proven business success. This visa requires the applicant to nominate an Australian business which they are legally associated with. If approved, this visa offers the potential of a permanent residence visa following the establishment of the business in Australia.
Ultimately, Australians have an entrepreneurial spirit, which their diverse range of business visas attest. With such options available and the necessary due diligence, anyone can find the ideal business visa and open a successful business in Australia.
How Does Immigration Work In Australia?
Australia has a strong and well-funded immigration system, which has allowed the country to become a popular destination for business and employment related purposes.
Any individual looking to move to, or do business in Australia, is required to abide by the relevant visas and visa rules. This means submitting relevant documentation and information for the assessment of their visa application. The application processes vary and depend on the type of visa you are applying for, and the particular rules relating to your chosen visas – such as the duration and conditions they come with.
Generally speaking, it is important to have reliable legal advice when undertaking any visa application, as failing to fully adhere to any visa requirements can result in a rejected application and steep financial and penalty implications. The Department of Home Affairs offers free advice on a range of topics, with particular emphasis on general migration enquiries, the visa application process, and which type of visa is best suited to your needs. This advice is easily accessible and reliable.
It is worth noting, however, that in addition to the visa application process, there are other aspects of immigration that must be taken into account – such as international health care requirements and other financial implications such as taxes and finance. As such, it can be beneficial to enlist the services of immigration specialists to show you the best way to set up a company in Australia.
What Support Is Available For Setting Up A Business In Australia?
The Australian government is committed to creating an environment conducive to business in Australia, which is why a comprehensive range of start-up and small business support is available.
The Australian Small Business and Family Enterprise Ombudsman (ASBFEO) is the primary body for the provision of advice and services to small businesses. It can provide advice on topics such as setting up a business, developing business plans, finding the right financial product, dealing with tenancy arrangements, and so on.
In addition, local state and business chambers such as the Business Chamber of Victoria and Sydney Business Chamber are great resources for start-up entrepreneurs, offering events, programmes, and helpful advice focused on creating and sustaining a business in Australia.
There is also an abundance of business resources available online which offer helpful guidance on the topics such as finding investors, creating marketing strategies, and understanding the tax obligations of a business in Australia. These can all be found through a simple internet search.
Overall, the wealth of support offered can be invaluable for those looking to set up and run a business in Australia. There is an abundance of help and advice available, and with a little bit of research, anyone can find the assistance they need to ensure their business venture gets off the ground.
What Are The Legislative Requirements For Opening A Business In Australia?
It is crucial to understand the legislative requirements for setting up a business in Australia. These are designed to protect and support businesses, as well as ensuring that businesses act lawfully in all areas of their operations.
For example, starting a business in Australia requires you to register your business with the Australian Securities and Investment Commission (ASIC). This is a body responsible for regulating and enforcing the law in relation to companies in Australia. Additionally, if your business employs staff, it is essential that you have an employer identification number registered with the Australian Taxation Office (ATO), and may require you to consider registering for GST, or goods and services tax.
Furthermore, it is important to be aware of the legal obligations placed upon businesses when entering into contractual agreements and dealing with employees. The Fair Work Ombudsman is responsible for ensuring compliance with minimum wage and other employment conditions in Australia.
It is worth noting that whilst the regulations and guidelines involved in setting up a business in Australia may appear daunting, many of the procedures are relatively straightforward and should not be seen as an obstacle to setting up a business.
Obtaining relevant advice from those with experience of business setup in Australia can help to ensure the venture is carried out in an efficient and law-abiding manner.
What Are The Tax Implications For Setting Up A Business In Australia?
One of the most important considerations for setting up a business in Australia is understanding the tax implications associated with the venture.
In Australia, businesses are taxed according to the type of legal entity they are registered under. For example, sole traders are taxed as individuals, whilst companies are taxed separately. Additionally, the size and structure of the business determines the taxes the business pays – with businesses operating in certain specified industries or those carrying out certain activities paying specific types of taxes.
Goods and services may also be subject to different taxes, depending on the type of product or service being sold. There are also specific taxes around land, property, and investment income, as well as taxes on imports and exports. An important point to consider when setting up a business in Australia is the required stage-by-stage registration and filing of relevant tax returns with the Australian Taxation Office. These returns are required for all businesses operating in Australia, regardless of their size.
Finally, any profits made by a business must be reported as part of annual tax returns for the business. It is important to note, however, that effective tax planning can help to reduce the amount of tax payable.
Overall, taxation remains one of the most complex aspects of business setup in Australia, and it is important to ensure that all legal and financial obligations are fully understood before launching a business.
