Latest / Best of Business / Chris Small: ABC Business Sales Managing Director on the new Business Investor Visa

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Chris Small: ABC Business Sales Managing Director on the new Business Investor Visa · Best of Business

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  Speaker 1: You're listening to a podcast from News Talk SEDB. Follow
• 0:12
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  Speaker 2: As we've been discussing, the government is modernizing visa settings
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  Speaker 2: to attract experienced business people to help grow New Zealand.
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  Speaker 2: The New Business Investor Visa will give foreign business people
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  Speaker 2: who invest at least two million dollars into an existing
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  Speaker 2: Kiwi business a fast tracked to residency. The visa will
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  Speaker 2: come with strict rules. Applications open from November. Chris Smaller
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  Speaker 2: is the CEO at ABC Business Sales and was part
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  Speaker 2: of the Business Investor Visa Advisory Group. Morning to you, Chris,
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  Speaker 2: there you go. Now, obviously you're going to say yes,
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  Speaker 2: you know, let's approve a New Business Investor Visa because
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  Speaker 2: you need to sell businesses, don't you spot on?
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  Speaker 3: Yeah, I'm really happy with you and now but look
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  Speaker 3: want to see this is great sin he's young. I mean,
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  Speaker 3: we're built on SMI businesses and if we can bring
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  Speaker 3: more capital to that sector, it's going to create more
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  Speaker 3: jobs and really stimulate the economy. And we're not in
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  Speaker 3: a great spot at the moment. That's something we need
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  Speaker 3: so I actually do things. It's going to be great
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  Speaker 3: for New Zealand, which is what we all wanted.
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  Speaker 2: Well, we've got a lot of mum and dad businesses
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  Speaker 2: who are looking to cash up and no buyers because
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  Speaker 2: young people look at it and go, well that's too hard.
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  Speaker 2: I have to work seven days a week.
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  Speaker 4: Yeah, but it's more than that. It's more that the
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  Speaker 4: young ones there are.
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  Speaker 3: There are some young ones out there who are pretty keen,
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  Speaker 3: but they just don't have the capital. You know, they
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  Speaker 3: sort of they haven't been able to buy a house
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  Speaker 3: that get that capital gain and sort of get their
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  Speaker 3: assages under their belt. And a lot of them are
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  Speaker 3: coming out with student loans so they don't have the
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  Speaker 3: capital to buy. So you know, this hopefully is going
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  Speaker 3: to provide some succession plans for those people who have
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  Speaker 3: worked really hard on their businesses and we'll we have
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  Speaker 3: to take some captain. We've got to remember when that
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  Speaker 3: capital goes to a New Zealand business owner, that gets
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  Speaker 3: recycled back into our economy, you know, whether they leave
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  Speaker 3: it to their children, or they buy something else or
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  Speaker 3: start investing it somewhere else. So it's it's money that's
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  Speaker 3: going to come into our system and then start circulating,
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  Speaker 3: which I think is a good thing for New Zealand.
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  Speaker 2: You and I might agree, but I have to tell
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  Speaker 2: you the text machine is dead against it this morning.
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  Speaker 4: They're like, you're kidding, really deared against it.
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  Speaker 2: Are more traffic, more cues at the doctors and hospitals,
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  Speaker 2: more competition for my small business with low wage workers,
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  Speaker 2: more children with no English at schools, less kaimuana from
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  Speaker 2: our foreshores, more rental competition, higher housing prices. Sorry, Kerrie,
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  Speaker 2: I definitely disagree this time.
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  Speaker 4: Oh where a bunch of sad people these days.
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  Speaker 2: Aren't we There's a lot of them on my text
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  Speaker 2: machine this morning.
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  Speaker 4: Yeah.
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  Speaker 3: So what I'd say to those people is this is
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  Speaker 3: probably going to be I would say you might have
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  Speaker 3: between an extra one hundred and fifty and two hundred
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  Speaker 3: people in New Zealand and this visa. So that's if
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  Speaker 3: you think those sorts of numbers, two hundred people is
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  Speaker 3: going to affect all those.
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  Speaker 4: All those aspects you mentioned just before. I think we're
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  Speaker 4: all dreaming.
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  Speaker 3: So I think people are probably overestimated how many people
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  Speaker 3: are going to take on this visa and how many
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  Speaker 3: transactions are actually going to happen. My estimate is maximum
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  Speaker 3: two hundred a year, So I don't think there's going
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  Speaker 3: to put pressure on it infrastructure. So I think that's
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  Speaker 3: a fairly good answer to those people have suddenly started.
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  Speaker 2: Complaining they are going to be able to bring an
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  Speaker 2: immediate family.
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  Speaker 4: All right, So two hundred times five, we're at one thousand.
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  Speaker 2: Yeap o, yep.
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  Speaker 3: I don't think you tell me it is a thousand
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  Speaker 3: going to put serious pressure on our infrastructure.
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  Speaker 4: Well.
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  Speaker 2: Also, I kind of think, you know, and I have
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  Speaker 2: been saying this morning and being roundly told off for it,
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  Speaker 2: that when we closed our borders that didn't work either,
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  Speaker 2: there were still cues. You know. The house prices have
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  Speaker 2: never been higher.
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  Speaker 4: Yeah, yeah, yeah, it was driven by low interest rates obviously. Yeah.
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  Speaker 3: But yeah, Look, honestly, I think we've got to if
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  Speaker 3: we want to be a country that's going to advance
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  Speaker 3: and be somewhere in the next ten to fifteen years,
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  Speaker 3: we've got to bring the right people. What we do
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  Speaker 3: have to bring more people. And we've got a lot
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  Speaker 3: of a lot of space in this country compared to
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  Speaker 3: internet other countries overseas, and we've got to start using
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  Speaker 3: it otherwise we'll just be stuck, stuck in the dark
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  Speaker 3: ages in fifty years time, we'll wonder what happened to ourselves.
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  Speaker 2: Our first caller this morning made the point that Canada
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  Speaker 2: and Ireland have both ended their immigrant investor programs, Canada
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  Speaker 2: because it proved to be of poor economic value, Ireland
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  Speaker 2: because of potential links to money laundering and tax avoidance.
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  Speaker 2: How do we avoid that? Here? Can we learn from
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  Speaker 2: their mistakes?
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  Speaker 3: Look, look, I think so there's reasonly strip Cuaterria here.
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  Speaker 3: You've got to be you've got to have certain amount
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  Speaker 3: of business experience, you've got to have functional English, and
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  Speaker 3: the type of businesses they're buying is a decent amount
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  Speaker 3: of capital, and you've actually got to operate the business,
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  Speaker 3: and you've be to create an extra staff member over
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  Speaker 3: a period of time. So look, I think there are
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  Speaker 3: enough hurdles in there, and I think our tax or
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  Speaker 3: our ID is reasonably good at what's the word I'll
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  Speaker 3: use at catching up with these people from what I've seen,
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  Speaker 3: especially in the smith business. And I think, look, I
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  Speaker 3: think we've got to go for this because I think
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  Speaker 3: the downside of not doing it is worse than the
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  Speaker 3: upside of doing it.
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  Speaker 2: So what do you imagine this visa? What type of
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  Speaker 2: people do you imagine this visa will attract a million dollars.
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  Speaker 2: Isn't that much these days?
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  Speaker 4: No, No, you're right, it's not.
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  Speaker 3: But they've got to actually work in the business and
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  Speaker 3: they've got to make that criteria around heaven work experience.
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  Speaker 3: But look, I suspect you're going to get people from
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  Speaker 3: the United States, people from Europe, and you're going to
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  Speaker 3: get people from Asia. You're going to be the key, key,
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  Speaker 3: key people looking at this and the infra various reasons.
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  Speaker 3: Is a lot of Americans, for obvious reasons, who are
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  Speaker 3: a little bit just change off franchise with their country.
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  Speaker 4: Same in England.
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  Speaker 3: England's going through really all the UK is going through
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  Speaker 3: a really tough economic period. And obviously, you know people
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  Speaker 3: in Asia look at countries like New Zealand, Australia is
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  Speaker 3: a really attractive place to go. So they're going to
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  Speaker 3: be the key types of people who will be coming
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  Speaker 3: to New Zealand. But you know these people from our experience,
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  Speaker 3: because we sell a lot of businesses to a lot
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  Speaker 3: of different people. From our experience, they all work damn hard.
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  Speaker 3: You can't operate a smill business working hard. So the
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  Speaker 3: types of people who are going to be attracted to
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  Speaker 3: us are generally going to be hard workers. Thanks great
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  Speaker 3: for New Zealand. It's going to increase our productivity, which
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  Speaker 3: we have a current issue with.
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  Speaker 2: All Right, you see the upside, I see the upside.
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  Speaker 2: I have to tell you overwhelmingly, the text machine, who
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  Speaker 2: has become an entity in and of itself, does not.
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