How to get a residence permit in Austria for investment

Step-by-step algorithm for obtaining a residence permit in Austria for investors

Step 1: choose your region of residence in Austria and your investment strategy

First you need to decide in which region of Austria you would like to live and how much you are willing to invest. From the point of view of investment, it is important to think over a strategy in advance, to decide which role you want to play in a new business, or to integrate the project into a ready-made business in another country. Both aspects are closely related to each other. An investment idea that works great in a big city may not work in the countryside at all, or vice versa.

Step 2: prepare a detailed business plan

The next step is the preparation of a detailed business plan, which explains the investment project, justifies its economic benefits for Austria, describes what jobs will be created or saved. This presentation is of the utmost importance. It is on this basis that the responsible Austrian departments will decide whether to accept or reject your proposal.

The business plan must be in German! Regional authorities and departments only accept documents in German, which is the official language in Austria.

Step 3: negotiate with the responsible persons

In theory, with a business plan in hand, you can go to the nearest Austrian consulate in your country, apply and wait for what happens. Indeed, these actions are necessary in the case of employment, i.e. for those who want to work for an Austrian company. But for an investor, this is not the most optimal procedure.

The reason lies in the different methods of assessment: for a qualified employee, this process is formal. The applicant must earn a predetermined number of "points" based on academic degree, profession, experience, language skills and age (AuslBG §12, Attachment D) and show an invitation from an employer willing to hire him.

But the investor or "self-employed top manager" as this status is officially called, should not collect any points (AuslBG §24 Abs. 1). Instead, he must bring investment capital and, most importantly, convince state authorities that his project will be beneficial for the regional economy.

For the idea to be implemented and the application for residence accepted, it is essential that all stakeholders in Austria are involved in the process from the very beginning. Therefore, it is important, at this early stage, to speak with all parties involved: mayors, the chamber of commerce (Wirtschaftskammer, WKO) and - very important - the Austrian Public Employment Service (Arbeitsmarktservice, AMS), and get their opinion on the planned projects.

Thanks to this, you can see which project will have a greater chance of success, where you can foresee the greatest support from local authorities and what needs to be changed.

Step 4: find out about subsidies and financial support

It is also important to check if government grants and financial support can be made available for the planned project. Of course, the bulk of the funds must come from investor funds. But there are a variety of government subsidies, from interest-free loans to direct grants, available through Austrian and European Union programs. This is especially true for projects located in rural areas or economically less developed regions.

Step 5: submit a documents

Finally, it is time to submit a complete set of documents, including a business plan and confirmation of funds, to the regional authorities ("Bezirkshauptmannschaft") of the region where the applicant wants to live. This step must be taken personally by the investor.

As a self-employed top manager, an investor has a big plus. He can apply directly to the relevant regional office in Austria (NAG §21 Abs. 2.7) and not only to the foreign Austrian consulate. This will significantly speed up the whole process, and save him from waiting for an appointment at the consulate.

Step 6: Pick up your residence permit

According to the law, the regional government must issue a decision within eight weeks (NAG §41 Abs. 3). During this time, the local authorities will ask for an official statement from the AMS (Austrian Public Employment Service): whether the project will have "particular macroeconomic benefits" and whether it will be useful for the local labor market (NAG §41 Abs. 2.4, AuslBG §24 Abs. 1 ).

After a positive decision, the Red-White-Red Card will be ready within a few days, the investor can pick it up at the local office.

How much and where to invest to get a residence permit

On practice, a positive decision requires a minimum of € 3-4 million investment. With this amount, you can establish or buy a significant business, especially in rural areas, employ 15-20 people there, including a manager who will conduct daily affairs. Such a project would be able to generate enough taxes to be regarded as an "economic benefit".

Business activity outside Vienna can be considered more successful. For example, if there is information that a company is laying off employees, then you can come up with a proposal to save it.