Proof of funds for the business visa (subclass 188): thresholds by stream

Business Innovation stream

This stream closed to new applications on 31 July 2024; the thresholds below apply only to applications lodged before that date. The Business Innovation stream targeted experienced business owners who wanted to establish, develop, or manage a new or existing business in Australia. The financial thresholds were based on the applicant's existing business track record rather than a fixed investment amount, and they changed on 1 July 2021.

For applicants invited to apply on or after 1 July 2021, the core financial requirements were a business turnover of at least AUD 750,000 in each of at least two of the four fiscal years immediately before the invitation to apply, and net business and personal assets of at least AUD 1.25 million, held by the applicant, their partner, or both together, that can be transferred to Australia within two years of visa grant. For applicants invited before 1 July 2021, the thresholds were AUD 500,000 turnover and AUD 800,000 net assets (Department of Home Affairs).

Ownership was assessed separately from turnover. Across the one or two qualifying businesses, the applicant (or the applicant and partner combined) had to own at least 51% of the total value of a business with turnover under AUD 400,000 a year, at least 30% of a business with turnover of AUD 400,000 a year or more, or at least 10% of a business operated by a publicly listed company. If the business provided professional, technical or trade services, the applicant had to have spent less than half their time personally providing those services rather than on general management.

The net assets figure includes both business and personal assets. It can comprise property, business equity, cash, investments, and other assets, minus liabilities. These assets must be lawfully acquired and available for transfer to Australia. Assets encumbered by loans or court orders may not count at full value.

Investor stream

This stream closed to new applications on 31 July 2024; the thresholds below apply only to applications lodged before that date. The financial bar was higher than the Business Innovation stream, and the shape of the investment itself changed on 1 July 2021.

For applicants invited to apply on or after 1 July 2021, the core requirements were a 'complying significant investment' of at least AUD 2.5 million, and net business and personal assets of at least AUD 2.5 million (Department of Home Affairs). The complying significant investment had to be split across the same categories as the Significant Investor stream, at a smaller scale: at least AUD 500,000 in venture capital and growth private equity funds, at least AUD 750,000 in approved managed funds investing in ASX-listed emerging companies, and a balancing investment of at least AUD 1.25 million (Complying Investment Framework FAQ). It had to be maintained continuously for as long as the applicant held the subclass 188 visa.

Applicants invited before 1 July 2021 instead made a 'designated investment' of at least AUD 1.5 million in a bond or similar instrument nominated by their sponsoring state or territory, held continuously for at least four years, against a lower net asset threshold of AUD 2.25 million.

Under either version, the assets and the investment must have been lawfully acquired, and the applicant must be able to demonstrate their source.

Significant Investor stream

This stream closed to new applications on 31 July 2024; the thresholds below apply only to applications lodged before that date. The Significant Investor stream (SIV) had the highest financial threshold but the fewest other requirements — there was no age limit and no English language requirement (functional English or the second visa instalment still applied). The financial commitment was the primary criterion.

For applicants invited to apply on or after 1 July 2021, the core requirement was a 'complying significant investment' of at least AUD 5 million, held continuously for the life of the provisional visa (Department of Home Affairs; Complying Investment Framework FAQ). It had to be allocated across three prescribed categories: at least AUD 1 million (20%) in venture capital and growth private equity funds investing in start-ups and small private companies, at least AUD 1.5 million (30%) in approved managed funds investing in emerging companies listed on the ASX, and a 'balancing investment' of at least AUD 2.5 million (50%) in managed funds that may invest in a range of assets including ASX-listed companies, Australian corporate bonds and annuities, and commercial real estate. Direct investment in residential real estate is prohibited outright, and indirect exposure to residential property through managed funds is strictly limited. For applicants invited before 1 July 2021, the same AUD 5 million total applied but in different proportions: at least AUD 500,000 in venture capital, at least AUD 1.5 million in approved managed funds, and a balancing investment of at least AUD 3 million.

To move to the permanent subclass 888, the investment must have been held for a continuous period of four years, and any transfer of funds between investments has to be reported to the department.

What evidence the department requires

The documentation required for a 188 visa is more extensive than for any other Australian visa category. Applicants should expect to provide audited financial statements for all businesses in which they hold an interest (covering the relevant fiscal years), company registration documents from the relevant jurisdiction (equivalent of ASIC company extract), share certificates or partnership agreements confirming ownership percentages, independent property valuations from qualified valuers for any real property included in the net assets calculation, bank statements from all accounts held by the applicant and their spouse (typically 12 months or more), brokerage and investment statements for shares, bonds, or managed funds, loan documents and mortgage statements for any liabilities that offset assets, tax returns or assessments from the applicant's country of residence (typically three to five years), and evidence of the source of wealth — particularly if assets were acquired through inheritance, sale of business interests, or other non-employment means.

For the SIV stream, additional documentation includes confirmation of the complying investment from each fund manager, evidence of the investment amounts in each of the three prescribed categories, and ongoing compliance reports as required by the state or territory.

State and territory nomination

The 188 visa closed to new applications on 31 July 2024, so this nomination step no longer applies to new applicants — it describes the process for applications already lodged. All 188 visa applicants needed to be nominated by an Australian state or territory government before they could apply. Each state and territory had its own nomination requirements, which could be more stringent than the federal requirements.

Some states imposed additional financial requirements — for example, requiring the applicant to demonstrate a higher level of net assets than the federal minimum, or requiring a commitment to invest in specific sectors or regions within the state. Others assessed the applicant's business plan and its potential economic benefit to the state.

The nomination process involved a separate application to the state or territory, which set and charged its own nomination fee, and a separate assessment of the applicant's financial capacity.

Handling assets across multiple countries and currencies

Most 188 visa applicants hold assets in multiple countries. A Chinese business owner may have a manufacturing business in Guangdong, an investment property in Shanghai, cash in a Hong Kong bank, and shares in a US brokerage account. Demonstrating the value and accessibility of all these assets requires careful documentation.

Currency conversion is applied at the prevailing exchange rate at the time of assessment. Exchange rate movements between application and assessment can push the total above or below the threshold, so applicants should account for that movement rather than sitting exactly at the published minimum.

For countries with capital controls (China, India, South Africa, among others), the applicant must demonstrate not only that the assets exist but that they can be transferred to Australia. A letter from the relevant bank or financial institution confirming the ability to make international transfers, or evidence that previous international transfers have been completed, helps address this concern.

Assets held through complex corporate structures (trusts, holding companies, multi-layered entities) require additional documentation to establish the applicant's beneficial ownership and the accessibility of the assets. Independent legal opinions or accountant's reports may be needed.

Independent valuations and audits

The department may commission its own independent assessments of the applicant's declared assets, particularly for high-value applications. This is separate from any valuations the applicant provides and may involve Australian-based valuation firms assessing overseas assets.

Applicants should ensure that their own valuations are conducted by qualified, independent valuers — not by parties related to the applicant or their business. Valuations from internationally recognised firms carry more weight than those from local or unrecognised firms.

Audited financial statements must be prepared by a qualified auditor recognised in the relevant jurisdiction. For businesses in countries where auditing standards may not align with international norms, applicants may need to provide additional evidence or have the accounts re-audited by a firm using International Standards on Auditing (ISA).

Pathway to permanent residency and ongoing financial obligations

The 188 visa is a provisional (temporary) visa. To transition to permanent residency (subclass 888), the applicant must meet additional requirements depending on their stream.

In the 24 months before applying for the 888, Business Innovation stream holders must show their main business (or businesses) had an annual turnover of at least AUD 300,000, plus at least two of: AUD 200,000 net value in the business, AUD 600,000 in combined personal and business assets, or the equivalent of two full-time employees who are Australian citizens, permanent residents or New Zealand citizens (Department of Home Affairs). Investor stream holders invited before 1 July 2021 must maintain their AUD 1.5 million designated investment for a continuous four years; those invited on or after 1 July 2021 must maintain their AUD 2.5 million complying significant investment for the whole time they hold the subclass 188 visa. SIV holders must maintain their AUD 5 million complying investment for a continuous four years.

These ongoing financial requirements mean the applicant's financial obligations do not end when the provisional visa is granted — they continue through the provisional period and are reassessed when the permanent visa is applied for.

Given the financial complexity and the amounts involved, applicants for any stream of the 188 visa should work with a registered migration agent experienced in business visas and a qualified accountant or financial adviser familiar with cross-border asset documentation. The cost of professional advice is small relative to the investment at stake.

Once the visa is lodged: moving the money

Proof of funds shows the money exists on a date. Moving it is a separate step with its own clock: a specialist provider will ask for source-of-funds evidence on a large amount (the same sale contract or savings statements you gathered for the visa), a forward contract can fix the exchange rate for a settlement or arrival date up to 12 months out, and your bank reports every international electronic transfer to AUSTRAC automatically at any amount — there is no AUD 10,000 threshold for wires and nothing for you to file. The large-transfer guide covers the mechanics; the tax-implications guide covers what changes if the money lands before or after you become an Australian tax resident.

Can the AUD 5 million SIV investment include residential property?

Direct investment in residential real estate is prohibited outright under the Complying Investment Framework. The balancing investment category can include commercial real estate through approved managed funds, but any indirect exposure to residential property through those funds is strictly limited — it is not a route to counting a residential purchase toward the AUD 5 million.

Do I need to live in Australia full-time on the 188 visa?

It depends on the stream, and specifically on whether you're applying to move from the provisional 188 to the permanent 888. Business Innovation stream holders invited before 1 July 2021 must show 1 year of physical presence in Australia in the 2 years before applying for the 888; those invited on or after 1 July 2021 need 1 year in 3 years. Investor stream holders need 2 years in the 3 years before applying (post-2021 invitees) or 2 of the 4 years before applying (pre-2021 invitees). The Significant Investor stream carries no equivalent physical-presence requirement — the investment must be held for a continuous 4 years, but there's no minimum number of days the applicant has to spend in Australia during that time.

What happens if my investment loses value during the four-year period?

Complying investments are subject to audit under the Complying Investment Framework, and any transfer of funds between investments must be reported to the department. Home Affairs' published eligibility criteria and the Complying Investment Framework FAQ don't set out a specific rule for a shortfall caused by market movement — anyone in this position should check directly with Home Affairs or a registered migration agent rather than assume a fixed grace period.

Can my spouse's assets count toward the net asset threshold?

Yes. The net asset calculation includes the combined business and personal assets of the applicant and their spouse or de facto partner. Both partners' assets are assessed together for the purpose of meeting the threshold.

How long does the 188 visa take to process?

Home Affairs' published processing-time data (period ending 30 June 2026) covers only the Business Innovation stream separately: 43 months at the 25th percentile, 52 months at the median, 56 months at the 75th percentile and 59 months at the 90th percentile — reflecting the backlog of applications lodged before the stream closed. Investor and Significant Investor processing times aren't published as separate figures; check the department's visa processing time guide tool for the current position.