Migrant entrepreneurs aren’t staying in NZ – the new investor visa won’t replace them

Attracting entrepreneurs to New Zealand sounds like a good idea.

The country needs innovation, economic growth, greater productivity and more jobs.

Turns out, it’s not that simple.

In August last year, the government closed the Entrepreneur Work Visa to new applicants and announced a new Business Investor Visa aimed at people willing to invest in and operate established New Zealand businesses.

The previous scheme, according to the government , had seen low application numbers, high decline rates and had not delivered strong economic impacts.

The Business Investor Visa aims instead to attract experienced business people who can bring in capital and help run and grow existing firms.

Migrants under this visa must invest at least NZ$1 million in an established local business.

Investing NZ$2 million provides a faster pathway towards residence.

But the shift of emphasis raises an important question: did the problem lie in the applicants New Zealand attracted, or in what happened to entrepreneurs after they arrived? Frustration and disappointment In our research on high-skilled immigrant entrepreneurs , we interviewed 22 people about their experiences of settling and building businesses in New Zealand.

Participants had arrived through a range of migration pathways, including student and work visas, the Entrepreneur Work Visa and the Global Impact Visa ( also now closed ).

Three of the entrepreneurs we talked to later left New Zealand.

Many others were considering leaving because they felt they could access better business support and opportunities in other countries.

Many arrived with substantial business experience, international networks and ambitions to grow their ventures.

But we found they often struggled to build legitimacy and gain access to funding, customers and business partnerships within New Zealand’s entrepreneurial ecosystem.