ILN: ESTABLISHING A BUSINESS ENTITY: AN INTERNATIONAL GUIDE

[ESTABLISHING A BUSINESS ENTITY IN NEW ZEALAND] 370

financing

of

terrorism

considerable amount of information is required to be included in any application for consent, including information about the applicant, details of the investment, the rationale for the investment and evidence that the investment meets the relevant criteria in the Overseas Investment Act. The consent process takes, on average, three months. If the application involves Sensitive Land it will most likely be referred to the Ministers of Finance and Land Information for final approval. IMMIGRATION It is not necessary for you to have a visa to invest in New Zealand. However, should you wish to work or reside in NZ, you would require: 1. New Zealand or Australian citizenship; or 2. New Zealand or Australian residence visa; or 3. A New Zealand work visa. Available visas New Zealand’s immigration laws are regularly changing. Generally, however there are always specific work visa or residence visa categories suitable for those wishing to work or reside in New Zealand. Generally, most relevant for overseas investors are the following visa categories: 1. Entrepreneur work visa / residence visa (applicable to those seeking to ‘self - employ’ in New Zealand) 2. Investor category residence visa (applicable to those wanting to gain New Zealand residence through investment in NZ), which is subcategories into:

requirements.

OVERSEAS INVESTMENT Generally New Zealand is open to overseas investment, and restrictions and requirements on investment are much the same for overseas persons or entities as they are for New Zealand persons or entities. Recently a requirement was introduced for every person acquiring land to be registered with IRD. There are certain exceptions which require the consent of the Overseas Investment Office (‘OIO’ ), and which are set out in the Overseas Investment Act 2005 (‘Overseas Investment Act’). The Overseas Investment Act applies to three categories of investment by overseas persons in New Zealand to the following (as defined in the Act): 1. Sensitive land (which includes farmland greater than 5 ha, reserves, islands and historic land); 2. Significant business assets (generally assets, shares or securities greater than $100m); and 3. Commercial fishing quotas. The Overseas Investment Act requires consent to be obtained for a transaction before the overseas investment is given effect under the transaction. Overseas persons are all persons who are not ordinarily resident in New Zealand, any company that is not incorporated in New Zealand and any company incorporated in New Zealand the shares of which are controlled as to 25% or more by an "overseas person". Every person or associate making an overseas investment must apply to the OIO for consent to the overseas investment transaction. A

ILN Corporate Group – Establishing a Business Entity Series

Made with FlippingBook Ebook Creator