BUSINESS VISA

A Business Visa in South Africa allows foreign nationals to establish, invest in, or run a business in the country. This visa is designed to attract entrepreneurs and investors who can contribute to the South African economy, particularly by creating jobs for South African citizens or permanent residents. The Business Visa is suitable for those looking to start a new business, buy an existing business, or invest in a joint ventureThe Business Visa is an attractive option for entrepreneurs and investors looking to establish or expand their business in South Africa. It offers a pathway to permanent residence while contributing to the country’s economic growth and job creation efforts.
istockphoto-1455180758-1024x1024_cleanup
Eligibility:
Investment Requirement:
Job Creation:
The applicant must have a clear business plan and demonstrate that their business will contribute to the South African economy.
The business should align with the sectors deemed important by the South African government, such as manufacturing, information technology, agriculture, or other sectors that promote job creation and economic development.
The applicant is required to invest a minimum amount of ZAR 5 million into the business. This investment can be in the form of cash, capital contribution, or new machinery and equipment.
In some cases, the Department of Home Affairs may waive or reduce this investment requirement for businesses in certain industries or under special circumstances.
  • The applicant must demonstrate that their business will create jobs for at least 60% of the total staff complement being South African citizens or permanent residents.
  • Detailed employment plans and projections must be included in the business plan.
Business Plan:
Business Viability:
Registration and Compliance:
A comprehensive business plan is required, outlining the business model, operational plans, financial forecasts, and job creation strategies.
The business plan should show how the investment will grow the business and contribute to the South African economy.
The applicant must demonstrate that the business is viable and sustainable, with the potential for growth and long-term success.
The applicant may need to provide market research, feasibility studies, and other supporting documentation.
  • The business must be registered with the Companies and Intellectual Property Commission (CIPC) in South Africa.
  • The applicant must comply with all South African laws and regulations, including tax and labor laws.
  • Proof of registration and compliance, such as tax clearance certificates, may be required.
Business Viability:
Registration and Compliance:
Documentation:
The applicant must demonstrate that the business is viable and sustainable, with the potential for growth and long-term success.
The applicant may need to provide market research, feasibility studies, and other supporting documentation.
The business plan should show how the investment will grow the business and contribute to the South African economy.
A comprehensive business plan is required, outlining the business model, operational plans, financial forecasts, and job creation strategies.
  • A valid passport.
  • The detailed business plan.
  • Proof of the ZAR 5 million investment.
  • Proof of the business registration with CIPC.
  • Proof of compliance with tax and labor laws.
  • Medical and radiological reports.
  • Police clearance certificates from all countries where the applicant has lived for more than 12 months since the age of 18.
Validity and Renewal:
Permanent Residence:
Endorsements for Family:
The Business Visa is typically issued for a period of up to three years and can be renewed, provided that the business remains viable and continues to meet the requirements.
The renewal process involves demonstrating that the business is operating successfully, that the required investment is still in place, and that the job creation targets are being met.
After operating the business successfully for a minimum of five years, the visa holder may be eligible to apply for permanent residence under Section 26(c) of the Immigration Act, which is for individuals who have made a significant economic contribution to South Africa.
The visa holder’s spouse and dependent children may also apply for accompanying visas. These family members may need to apply for endorsements if they wish to work, study, or conduct business in South Africa.
Important Considerations:
  • Sector Preferences: The South African government has identified certain sectors that are of strategic importance to the economy. Businesses that fall within these sectors may be more favourably considered for a Business Visa. These sectors include manufacturing, agro-processing, information technology, tourism, and energy, among others.
  • Risk of Refusal: The Business Visa application may be refused if the applicant does not provide sufficient proof of investment, a viable business plan, or job creation potential. It is important to thoroughly prepare the application and ensure all requirements are met.
  • Compliance Monitoring: The Department of Home Affairs may monitor the business’s compliance with visa conditions, such as maintaining the required investment and employment levels. Non-compliance may result in visa revocation.
CORPORATE VISA
A Corporate Work Visa in South Africa is a specialised visa that allows companies (corporate entities) to employ a large number of foreign workers for specific positions. This visa is particularly useful for businesses in sectors with a high demand for skilled labor that cannot be met by the local workforce. The visa is granted to the company, not the individual employees, and it allows the company to recruit foreign nationals under specific conditions.
istockphoto-1026985414-1024x1024_cleanup
Corporate Entity: The visa is issued to the corporate entity (company) rather than individual workers. The company must prove that it needs to employ foreign workers due to a shortage of skills in the local labour market.
  • Step 1: Apply to the Department of Labour for a recommendation to confirm that despite diligent search, the corporate entity was unable to find suitable citizens or permanent residents to occupy the position available in the corporate entity.
  • Step 2: If the Department of Labour issues a recommendation, the South African entity/company may apply for the Corporate Work Visa at the Visa Facilitation Centre (VFS) in South Africa with the prescribed requirements.
  • Step 3: Once the Corporate Work Visa has been issued to the South African entity, the foreign nationals may apply for their individual visas from the South African Consulate/Embassy/High Commission.
Eligibility:
Application by the Company:
Quota Determination:
Corporate Entity: The visa is issued to the corporate entity (company) rather than individual workers. The company must prove that it needs to employ foreign workers due to a shortage of skills in the local labour market.
Sector-Specific: This visa is often used by companies in sectors like mining, agriculture, engineering, and construction, where there is a high demand for skilled workers.
The company must apply for the Corporate Work Visa through the Department of Home Affairs. The application must include detailed information about the positions to be filled, the reasons for hiring foreign workers, and the efforts made to recruit South African citizens or permanent residents.
The company must also provide proof that it has tried to find local workers for the positions and that the foreign workers will not displace South African workers.
The Department of Home Affairs, in consultation with the Department of Employment and Labour, will determine the number of foreign workers (the quota) that the company is allowed to hire under the Corporate Work Visa.
The quota is based on the company’s specific needs, the nature of the industry, and the availability of local workers.
Corporate Worker Certificates:
Validity and Renewal:
Compliance and Reporting:
Once the Corporate Work Visa is approved, the company can issue Corporate Worker Certificates to individual foreign employees. These certificates allow the employees to apply for individual work visas linked to the company’s corporate visa.
The Corporate Worker Certificates are valid for the duration of the Corporate Work Visa and specify the job positions, conditions of employment, and the duration of employment.
The Corporate Work Visa is typically issued for a period of up to three years but can be renewed if the company continues to meet the visa conditions and the need for foreign workers persists.
Renewal applications must be submitted before the visa expires and include updated information on the company’s labour needs and compliance with visa conditions.
The company must comply with all South African labor laws, including fair wages, working conditions, and employee benefits. It must also ensure that the employment of foreign workers does not negatively impact South African workers.
The company is required to regularly report to the Department of Home Affairs on the employment of foreign workers, including their roles, the duration of their employment, and efforts to train South African workers to eventually take over these roles.
Individual Employee Rights:
Termination of Employment:
Assessment by Authorities:
Foreign employees working under a Corporate Work Visa have the right to work in South Africa under the terms and conditions specified in their Corporate Worker Certificates.
However, their work rights are tied to the specific employer and position outlined in the Corporate Worker Certificate. If the employee wishes to change employers, they would need to apply for a different type of work visa.
If the employment of a foreign worker is terminated, either by the employer or the employee, the company must notify the Department of Home Affairs. The worker’s visa may then be canceled, unless they apply for a different visa or find alternative employment that sponsors a new visa.
The application is assessed by the Department of Home Affairs, in consultation with the Department of Employment and Labour, to determine the validity of the company’s request and to establish the quota of foreign workers allowed.
The company’s compliance with labor laws and its commitment to training South African workers are key factors in the assessment.
Issuance of Corporate Work Visa:
Individual Employee Visa Application:
Monitoring and Compliance:
If approved, the company receives a Corporate Work Visa and is allowed to issue Corporate Worker Certificates to individual foreign employees. These certificates enable the employees to obtain their work visas.
Each foreign employee must apply for a work visa using the Corporate Worker Certificate issued by the company. The individual visa is tied to the specific job and employer.
Each foreign employee must apply for a work visa using the Corporate Worker Certificate issued by the company. The individual visa is tied to the specific job and employer.
The company must adhere to all conditions set by the visa and regularly report to the Department of Home Affairs on its foreign workforce. Failure to comply can result in the revocation of the Corporate Work Visa.
Important Considerations:
  • Sector Preferences: The Corporate Work Visa is more likely to be granted in sectors where there is a proven shortage of skilled workers and where the employment of foreign workers will contribute positively to the South African economy.
  • Skills Transfer: Companies are often required to implement skills transfer programs to ensure that South African workers can eventually fill the positions occupied by foreign workers. This is particularly important for long-term visas and renewals.
  • Risk of Non-Compliance: Companies must comply with all visa conditions, including fair labor practices and regular reporting. Non-compliance can lead to penalties, including the revocation of the visa and legal action.
Intra Company Transfer Work Visa
The Intra-Company Transfer (ICT) Work Visa in South Africa is designed for employees of multinational companies who are being transferred from a foreign branch to a South African branch, subsidiary, or affiliate of the same company. This visa allows employees to work in South Africa for a limited period without needing to apply for a new job or go through the standard work visa processes.
case-img3
Eligibility:
Purpose of Transfer:
Duration:
The applicant must be employed by a foreign company and be transferred to a branch, subsidiary, or affiliate of that company in South Africa.
The employee must have been employed by the foreign company for at least six months prior to the transfer.
The transfer should be for a specific purpose, such as to fulfill a specialized role, provide training, or support the South African branch with skills and expertise that are not readily available in the local market.
The Intra-Company Transfer Work Visa is valid for a maximum period of four years. This visa is non-renewable, meaning that once the four-year period is over, the employee must return to their home country or apply for a different visa if they wish to remain in South Africa.
If the employee is transferred to South Africa for less than four years, the visa will be issued for the specific duration of the assignment.
Conditions and Compliance:
No Pathway to Permanent Residence:
Documentation:
The visa is granted based on the specific job and role the employee will perform in South Africa. The job description and the role in the South African branch must align with what the employee was doing in the foreign branch.
The employee must remain employed by the same company throughout the duration of the visa. Changing employers or job roles without approval is not permitted under this visa.
The South African company must ensure that the employee's stay and work in South Africa comply with all relevant labor and immigration laws.
The ICT Work Visa does not provide a direct pathway to permanent residence in South Africa. Since the visa is intended for temporary transfers, it is expected that the employee will return to their home country after the assignment is completed.
  • A valid passport.
  • Proof of employment by the foreign company for at least six months.
  • A letter from the foreign employer confirming the transfer and specifying the duration, job title, and responsibilities in the South African branch.
  • A letter from the South African company confirming the employee's role and responsibilities.
  • Evidence that the applicant has adequate health insurance coverage for the duration of their stay in South Africa.
  • A contract of employment that complies with South African labor laws, including terms of employment and conditions such as salary and benefits.
Family Accompaniment:
Non-Renewable:
Important Considerations:
The employee's immediate family members, such as a spouse and dependent children, can apply for accompanying visas to stay in South Africa during the employee’s assignment. However, family members will need to apply for separate visas if they wish to work or study in South Africa.
The ICT Work Visa is strictly non-renewable. If the company wishes to extend the employee's stay beyond the four-year period, a new application for a different type of visa must be made, such as a General Work Visa or Critical Skills Visa.
  • Role-Specific: The visa is tied to the specific role and employer mentioned in the application. If the employee’s role or job location changes, this may require notification to the Department of Home Affairs or a new visa application.
  • Training and Knowledge Transfer: Often, the employee is expected to transfer skills and knowledge to the South African branch, particularly if they are in a senior or specialized position. This aspect may be emphasized in the visa application.
    • Compliance with South African Laws: The company must ensure that the employee’s employment complies with all South African labor laws, including minimum wage requirements, working conditions, and tax obligations.