Much of our buyer enquiry is from overseas, from people hoping to purchase a business in New Zealand with a view to obtaining residency in the medium term. Motels in particular have been a popular target, offering a home and business in one. In our own home town we are aware of three UK migrant families who have become welcome NZ residents through the purchase of a motel.
However, there seems to have been a tightening of Immigration criteria in recent times. New policies took effect on April 8 this year regarding the requirement for the business to “significantly benefit New Zealand”.
When an existing business is being purchased, the business plan must set out how the business can achieve one of the required criteria (see below). The subsequent residency application must then demonstrate that a significant benefit has, in fact, been achieved.
The criteria are:
a. A business may be considered to significantly benefit New Zealand if it promotes New Zealand's economic growth through, for example
i. introducing new, or enhancing existing, technology, management or technical skills; or
ii. introducing new, or enhancing existing, products or services; or
iii. creating new, or significantly expanding existing, export markets; or
iv. creating sustainable and full-time employment for New Zealand citizens or residents; or
v. revitalising an existing business; and full-time employment.