Business Visa for South Africa: A Comprehensive Guide

Applying for a South Africa Business Visa

Foreign nationals who are interested in investing in the South African economy by either establishing a new business or investing in an existing business must apply for a Business Visa. This visa is designed to facilitate foreign investment and promote economic growth in the country. As part of the application process, applicants are required to make a prescribed financial capital contribution, which is determined by the South African government. Below is a detailed breakdown of the requirements and procedures for obtaining a Business Visa in South Africa.

Key Requirements for a Business Visa

1. Financial Investment Requirements
   Applicants must demonstrate that they have the financial capacity to invest in South Africa. This includes:

   • A minimum cash amount to be invested in the Republic, as determined by the Minister of Home Affairs in consultation with the Minister of Trade and Industry.

   • Alternatively, a combination of cash and capital contributions, as specified by the Minister.

   To prove this, applicants must submit a certificate issued by a chartered accountant registered with the South African Institute of Chartered Accountants (SAICA). This certificate must confirm that the applicant has the required funds available for investment.

2. Employment Requirements
   Applicants must provide an undertaking that at least 60% of the total staff complement employed in the business operations will be South African citizens or permanent residents. These employees must be permanently employed in various positions within the business.

3. Registration with Relevant Authorities
   Applicants are required to commit to registering their business with the following South African institutions:

   • South African Revenue Service (SARS) for tax purposes.

   • Unemployment Insurance Fund (UIF) to ensure employee benefits.

   • Compensation Fund for Occupational Injuries to cover workplace injuries.

   • Companies and Intellectual Properties Commission (CIPC), where legally required.

   • Relevant professional body, board, or council recognized by the South African Qualifications Authority (SAQA), if applicable.

4. Police Clearance Certificate
   Applicants must provide a police clearance certificate from every country they have resided in since the age of 18, including South Africa. This is to ensure that the applicant has no criminal record that could pose a risk to national security.

5. Letter of Recommendation from the Department of Trade and Industry (DTI)
   A letter of recommendation from the DTI is required, which assesses:

   • The feasibility of the business and its potential for success.

   • The contribution of the business to the national interest of South Africa, such as job creation, skills development, or economic growth.

6. Health Requirements
   Applicants must submit:

   • Medical and radiology reports to confirm their health status.

   • A yellow fever vaccination certificate, if they have traveled or intend to travel through a yellow fever endemic area.

Reduced or Waived Capital Requirements

In certain industries or sectors, the prescribed capital investment requirements may be reduced or waived entirely. These industries are considered strategic for economic development and include:

• Information and Communication Technology (ICT)

• Clothing and Textile Manufacturing

• Chemicals and Biotechnology

• Agro-processing

• Metals and Minerals Refinement

• Automotive Manufacturing

• Tourism

• Crafts

Applicants in these sectors may benefit from more flexible financial requirements, making it easier to establish or invest in businesses that contribute to these key areas.

Additional Requirements for Existing Businesses

If the Business Visa application is for an existing business, the following additional documents must be submitted along with the temporary residence application form (Form BI-1738):

1. Financial Statements for the preceding financial year, to provide evidence of the business’s financial health and performance.

2. Proof of Contribution to National Interest, demonstrating how the business has contributed or will contribute to the national interest of South Africa.

Application Process

1. Complete the Form BI-1738 (Temporary Residence Application Form).

2. Gather all required documents, including the chartered accountant’s certificate, police clearance certificates, medical reports, and the DTI recommendation letter.

3. Submit the application and supporting documents to the nearest South African embassy, consulate, or Department of Home Affairs office.

4. Pay the applicable visa application fee.

5. Await processing, which may include additional verification or interviews.

Conclusion

The South African Business Visa is an excellent opportunity for foreign investors to contribute to the country’s economy while establishing or expanding their business ventures. By meeting the financial, employment, and regulatory requirements, applicants can secure a visa that not only benefits their business but also supports South Africa’s national interests. For further assistance, applicants are encouraged to consult with immigration experts or legal professionals to ensure a smooth application process.

If  the business falls in line with one of the following industries, a capital waiver may be requested. This would mean a decrease in the required investment sum.

The industries are wanted in South Africa :

(a) Agro-processing
— Fisheries and aquaculture, i.e. freshwater aquaculture and marine culture
— Food processing in the milling and baking industries
— Beverages viz. fruit juices and the local beneficiation, packaging and export of indigenous teas
— High worth natural fibres viz., organic cotton and downstream mohair production
— High value all-natural food for the local and export market
— Biofuels production viz. bio ethanol and bio gas.
— Processing of seed oils: tea infusions, including buchu, honey bush: and another petroleum derivatives (avocado, amarilla etc.)
— Diversification / beneficiation of biomass sources, i.e. sugar, maize
(b) Business Process Outsourcing and IT Enabled Services
— Call centers
— Back Office Processing
— Shared Corporate Services
— Enterprise alternatives e.g. fleet management and asset management
— Legal process outsourcing
(c) Capital / Transport equipment, metals and electric machines and gear
— Basic iron and steel
— Basic precious and non-ferrous metals
— Casting of metals
— Other fabricated metal products: metalwork service tasks
— General purpose machines
— Tooling production
— Foundries
— Electric motors, generators and transformers
— Electricity distribution and control equipment
— Insulated wire and cable
— Accumulators, primary cells and original batteries
— White goods and related components
(d) Electro Technical
— Advanced telecommunications
— Software development
— Software and mobile programs
— Smart metering
— Embedded software
— Radio frequency identifications
— Process control, measurement and instrumentation
— Security and tracking alternatives
— Financial software
— Manufacturing detectors
— Digital TV and Set-Top Boxes due to migration to complete digital television

(e) Textile, Clothing and Leather
— Spinning, weaving and finishing of textiles
— Knitted and crocheted fabrics and articles
— Wearing apparel except fur apparel
— Dressing and dying of fur
— Leather skins and hides beneficiation
(f) Consumer goods
— White goods and related components
(g) Boatbuilding
— Boatbuilding and affiliated services sector
— Engines and engine systems
— Marine gear and accessories
(h) Pulp, paper and Furniture
— Manufacture of wood and products of wood and cork
— Manufacture of articles of straw and plaiting materials
— Manufacture of paper products: publishing, printing and reproduction
— Paper and paper products and furniture
(i) Automotives and Components
— engines, radiators, filters and parts thereof
— air conditioners / climate control systems
— alarms and Tracking devices
— axles, transmission shafts
— body parts and panels
— catalytic converters, silencers and exhaust systems and parts
— seats and components thereof, seatbelts, leather covers
— suspension and shock absorbers, springs and parts thereof
— steering wheels, columns and boxes
— ignition, starting equipment, gauges and instrument components
— lighting gear
— wiring harnesses, instrument panels vehicle interiors, electronic drive train parts,
— body parts
(j) Green Economy Industries
(jj)Power generation:
— Independent electricity generation, energy infrastructure and alternative energy
— Nuclear Build Programme i.e. joint ventures, consortiums and the establishment of new companies to grow South Africa’s nuclear production capacity and nuclear supply industry to supply into the nuclear build programme
(jjj) Renewable Energy:
— Onshore wind power – production of turbines/blades
— Solar PV and Concentrated Solar Power manufacture/assembly
— Biomass
— Small hydro
— Energy efficiency and energy preserving industries
— Solar water heaters
— Waste Management and Recycling
— Reducing landfill
— Lowering greenhouse gas emissions from landfill sites

(k) Advanced Manufacturing
— Nano-materials
— High performance materials based on natural resources (advanced bio-composites
— Advanced materials, polymers and composites
— Medical devices, diagnostics and complexes
— Space e.g. satellite manufacturers etc. and astronomy e.g. SKA, telescopes, dishes etc.
— Composites (intelligent cloths used in medical, building and construction sectors)
— Continuous fibre reinforced sort complexes
— Biochemical and biologics for applications in agriculture, industry and health/medical sectors
— Electricity demand Site Management Solutions to boost electricity efficiency use
— Lasers and laser-based additive manufacturing various applications
— Advanced Robotics Mobile Intelligent Autonomous Systems
— Applications in the mining sector, data collection and analysis
— Bio – making – Biochemical and biologics for uses in agriculture, business and health/medical
— Fuel cells and Technology
(l) Tourism infrastructure
— lodging – hotels, boutique hotels, lodges and resorts
— urban incorporated tourism/ entertainment precincts
— adventure, – eco-, sport-, convention- and cultural tourism
— infrastructure developments
— leisure complexes and world class golf courses
— harbour and waterfront developments
— trans frontier conservations areas
— Tourism transportation – air travel, rail, cruise liners etc.
— green building and green technologies for tourism
— interests and action – based tourism
— museums and heritage
(m) Chemicals, plastic manufacture and pharmaceuticals
— basic compounds
— water treatment chemical products
— man-made fibres
— plastic products: polypropylene and polyvinylchloride
— medical (drips and syringes), production of active pharmaceutical ingredient
— (APIs) for essential anti retrovirals (ARVs)
— Manufacture of reagents for AIDS/HIV diagnostics
— Production of vaccines and biological medications
(n) Creative and Design Industry
— Film studios, treaty film co-production ventures, distribution infrastructure
— Servicing of foreign creations
— Production of film and documentaries, commercials, stills photography and
— Multi-media
— Post production
— Design
— Jewellery production and layout
— Fashion design
(o) Oil and Gas
— Maintenance boat and rig repair
— Fabrication – gear and specialized components
— Specialised services – training and accreditation
— Specialised services – non-descriptive testing, review services, SHEQ services
— Exploration – practical services: seismic surveys, logging, environmental impact assessments, etc.
— Exploration – overseas
— Exploration – onshore shale gas
— Exploration – onshore coal bed methane and underground coal gasification
— Infrastructure – refineries (Petroleum and GTL)
— Infrastructure – terminals LPG/LNG import, storage and distribution
— Infrastructure – ports and associated infrastructure
— Infrastructure – storage
— Logistics – pipeline
(p) Mineral beneficiation
— Downstream processing and value addition
(q) Infrastructure Development
(r) ICT
— IT
— Wireless and Telecom
— Electronics
— Geometrics and Digital media
— Software Development
— Advanced programming

Record of unwanted Business in South Africa

— Businesses that import second hand motor vehicles into the Republic of South Africa for the point of exporting to other markets outside the Republic of South Africa
— The exotic entertainment industry
— Security Industry