A member asked over 7 years ago

Setting up an Australian business whilst on a sponsored 457 Visa

I'm currently on a 457 sponsored Visa, working full time for my sponsoring employer. I run a volunteer-led initiative on the side during my nights and weekends. I'd like to apply for a grant to fund some of the work we do (workshops and events) as part of this initiative and would like to set up an Australian business entity in order to do this. 


I applied for PR 14 weeks ago and I'm awaiting approval of this. I do not plan on making any income from the business at this early stage and plan on staying in my job even when my PR status has been approved.

I would just like to know, can someone on a 457 Visa own an Australian business?

Law Advisor Research Team
Researchers at LawAdvisor

Hi there. On a 457 visa, you are technically eligible to create an Australian business, register for an Australian Business Number (ABN) and register a charity with the Australian Charities and Not-for-profits Commission. But whether you can then work for the business is a separate question. The answer will likely turn on whether the business is for-profit or a charity organisation. These restrictions will not apply once you are a permanent resident.

You mentioned you are working for a sponsor, so we assume you are the primary visa holder. A primary visa holder cannot engage in work on their own account, or undertake secondary employment unless it is undertaken for the sponsor, is consistent with the position the visa holder was approved to fill, and is incidental to their principal employment. However, unpaid work for a charity organisation is not considered to be a breach of this condition, as long as it does not interfere with the visa holder’s ability to work at their primary job. Whether your proposed business qualifies as a charity depends on whether it is non-profit, such that you (as the business owner) do not make a financial profit from the business directly or indirectly.

If you are found to be in breach of the above conditions, you and your sponsor may be subjected to sanction, and the Department of Immigration and Border Protection would seek to cancel the visa. You should also be honest and open with any government official when making enquiries, as attempting to hide information often leads to visa cancellation as well as exclusion from returning to Australia for certain periods of time.

Suggested way forward

Since it is very important to abide by your visa conditions, you should contact the Department of Immigration and Border Protection to obtain more information about your rights and restrictions under the visa. You should also speak to a professional immigration lawyer about your options for starting a business without breaching your visa conditions. By pressing the “Consult a Lawyer” button, LawAdvisor can help you search for experienced lawyers and obtain fee proposals for their services. Costs for legal advice and representation will vary between providers based on experience and the scope of services.

Answered over 7 years ago   Legal disclaimer

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