The recently announced Business investor Visa (BIV) which creates two new pathways for offshore investors to gain New Zealand residency, is expected to drive tangible activity in the business sales’ sector, according to the country’s largest full-service real estate firm, Bayleys.

Under the new BIV initiative, foreign buyers can make NZD $1 million investment in an existing business with a 3-year work-to-residence pathway, or NZD $2 million investment in an existing business which offers a 12-month fast-track to residency. Providing the financial thresholds are met, either option can be achieved by acquiring a 25 percent shareholding or making an outright purchase, with both options leading to eligibility to apply for the Business Investor Resident Visa.

Buyers coming in on a BIV must actively work in the business and meet a range of conditions associated with the visa, such as English language, health, character and business experience tests.

To qualify for purchase, a New Zealand-based business needs to have been operational for five years, and must employ at least five full-time equivalent staff. There are some excluded business categories including franchises, convenience stores and fast-food outlets.

The BIV will be open to applications from November this year and replaces the Entrepreneur Work Visa which failed to gain traction and is being phased out.

William Cheong, Bayleys’ national director for business sales says since the BIV announcement was made, his team have been meeting with immigration advisors and lawyers, and expects to have a funnel of qualifying investors actively seeking business opportunities.

“As a team, we’ll be working on a pipeline of assets that meet the policy criteria, along with fostering connections and actively working with professionals in the immigration space to understand the sort of demand they are seeing and what categories of businesses will fly under the new regime.

“Whenever we get a new business asset on our books, we’ll be assessing it against the BIV criteria to see if it fits the bill.”

The BIV is aimed at attracting higher-value investment and creating sustainable economic opportunities, and it replaces the Entrepreneur Work Visa which had failed to gain traction due to eligibility hurdles.

Cheong says he understands the BIV will be easier to navigate and will resonate more with Bayleys’ business brokerage service in terms of the wide variety of business assets the firm deals in.

“The small to medium enterprise (SME) segment of the market looks set to benefit from the new BIV initiative and we think it will reinvigorate enquiry for import/distribution businesses, local manufacturing operations, construction services, retail operations, and trade-related businesses.

“New Zealand is a very small country in a global context and we need more liquidity here. Opening up business investment to a wider buyer pool with associated residency benefits will assist in getting the economic wheels turning again.

“The BIV will give foreign buyers the ability to start a new life in New Zealand and the skills and financial injection they will give to local economies has to be a good thing.”

The BIV could also give local buyers a push too, says Cheong by giving more urgency to transact off the back of greater purchaser competition in the market.

“We expect offers from New Zealand-domiciled buyers to come forward with more intent rather than simply feeling out the market, and this will drive activity in the business sales’ sector.”

As with the launch of many new policy initiatives, Cheong says the definitions and parameters of the BIV are yet to be tested in real life and he’s expecting more clarity around the policy guidelines ahead of applications opening in November.

The BIV is just one of several initiatives announced by the government this year to stimulate the economy. The Active Investor Plus (AIP) Visa was updated in April 2025 as part of a broader refresh of business immigration settings designed to attract investment and skills, and to boost the economy.

Around $1.8 billion has been committed since the AIP was launched and Cheong says as the policy beds in, Bayleys business brokers are working to identify suitable investment opportunities for offshore clients.

“Discussions with several immigration lawyers indicate that much of the interest in the AIP has been focused on investment in private credit funds. However, we also recognise the potential for business syndication products, where investment is allocated to a portfolio of businesses — an option that appeals to groups of investors seeking diversification.”