Who Qualifies as Investment Migration Client: Understanding Eligibility

Investment migration encompasses a wide array of residency and citizenship by investment programs. These programs all have one thing in common: They reward successful applicants legal status in exchange for economic contribution. We can divide different programs into three main categories:

Citizenship by investment
Residency by passive investment (usually dubbed Golden Visas)
Business immigration programs

To truly understand who qualifies for each category of programs then, we have to do a deeper dive into the qualification criteria for each. However, there are some main points that an applicant for any of these programs must achieve, which are:

Be an adult (above 18 years of age)
Have a clean criminal record
Have sufficient financial means to contribute to the economy

Each program has its own sub-criteria for each of these three main elements. For example, minimum investment amounts can differ wildly, ranging between €50,000 (Latvia’s Golden Visa) to $1,000,000 (Jordan’s citizenship by investment program) and above. Another example is the physical residence requirement. Some programs, such as Canada’s Provincial Nominee Programs (PNPs), require residency holders to live as tax residents (six months a year), while others, such as the Portuguese Golden Visa only require applicants to reside seven days a year. Other programs do not have a residency requirement at all.

It is these small details that can make a big difference when applying for a citizenship or residency by investment program.

Citizenship by Investment qualification

When it comes to citizenship by investment, the main core of programs are located in the Caribbean. Antigua & Barbuda, Dominica, Grenada, St Kitts & Nevis, and St Lucia operate some of the most popular citizenship by investment programs worldwide. They are joined by Turkey, Malta, Vanuatu, Cambodia, Jordan, Egypt, and Pakistan. Citizenship by investment programs (excluding Malta) do not require any physical residence, and to qualify for them, an investor must meet the three main criteria mentioned above as well as:

Making an eligible economic contribution based on approved investment routes
Holding on to that investment (depending on the asset class) for a specific period
Proving the source of funds for the investment amount
Proving source of wealth
Maintaining a clean criminal record

Citizenship by investment programs are typically designed to be straightforward and quick, meaning that they rely heavily on governmental due diligence and the qualification of the investment amount.

Residency by Investment

Residency by investment programs, or Golden Visas, come in all shapes and sizes. Many of the popular ones are located in Europe, such as Greece’s Golden Visa; in the Middle East, such as UAE’s Golden Visa; and in South America, such as Paraguay’s and Uruguay’s permanent residency programs. The number of residency by investment programs is much higher than that of citizenship by investment programs, so the qualification criteria can differ wildly depending on the program. Here are some of the criteria investors may have to meet to qualify for a residency by investment program, but this may vary from one country to the next:

Making a qualified investment
Holding on to the investment for a specific period or as long as the investor maintains their residency permit
Physical residence, either minimal or as a tax resident
Maintaining a clean criminal record
Paying taxes
Maintaining an address
Proving source of funds

Some other criteria may apply (or not apply) depending on the program.

Business immigration

Among all these options, business immigration is the most complex because most (excluding just a handful) countries in the world have a version of business immigration. Basically, business immigration refers to when an entrepreneur establishes a company in a foreign nation and obtains a residence permit, either through a stable, defined business immigration program or through work permit sponsorship. The criteria are too numerous to list, but here are some of the main elements to consider:

An applicant must establish or acquire a business
An applicant must actively run the business
The business owner may have to hire a specific number of local employees
The business may have to operate within a specific set of industries or key sectors
The business may have specific tax, operational, or recruitment restrictions or obligations
The applicant may have to meet certain human capital criteria such as education, experience, etc.
Source of funds may be required (for example, Canada’s Provincial Nominee Programs)

Business immigration is usually a by-product of business expansion and not an all-out immigration route due to its complexity. That being said, there are some countries with simplified business immigration routes that allow investors to expand their business and gain residency without any unnecessary complications, such as Serbia.

Who are migration investors?

Investment migration programs attract a diverse range of clients, each with their own unique motivations and goals. Here’s a closer look at some of the common categories of investment migration clients:

High-net-worth individuals (HNWIs)

HNWIs, often defined as those with a net worth of at least $1 million, are a significant segment of investment migration clients. They may pursue these programs for various reasons:

Mobility: Alternative residence or citizenship can provide greater travel freedom, allowing easier access to business or leisure destinations.

Tax optimization: Some HNWIs seek to minimize their global tax burden by relocating to jurisdictions with favorable tax regimes. Lifestyle benefits: HNWIs may be drawn to certain locations for their quality of life, climate, culture, or amenities.

“Plan B”: HNWIs understand better than most, the value of keeping as many doors and options as possible wide open, due mainly to geopolitical instability.

Successful Business owners

Entrepreneurs and business owners may look to investment migration to support their commercial interests, such as: Market access: Securing residence or citizenship in a strategic location can open up new markets and business opportunities. “Plan B”: Some business owners view investment migration as a backup plan, providing a safe haven in case of political, economic, or social instability in their home country. Talent acquisition: Businesses may use investment migration to facilitate the hiring and relocation of key foreign talent.

Families

Many investment migration clients are motivated by the desire to provide a better future for their families, particularly their children. They may seek: Educational opportunities: Parents may want their children to have access to world-class education systems or prestigious universities. Career prospects: Alternative residence or citizenship can open up new job markets and career paths for the next generation. Quality of life: Families may be drawn to countries with high living standards, safety, and social stability.

Retirees

Retirees are another significant category of investment migration clients. They often seek: Desirable location: Retirees may pursue investment migration to spend their golden years in a country with a pleasant climate, scenic beauty, or cultural richness. Healthcare: Access to high-quality, affordable healthcare is a key consideration for many retirees. Financial benefits: Some retirees look to optimize their wealth and pensions by relocating to countries with favorable tax treatment or lower costs of living. These categories are not exhaustive, and many investment migration clients have multiple, overlapping motivations.

Choosing the right program

Since the criteria across RCBI programs does overlap, choosing the right program may prove a challenge. The best way to do so is by working with NTL Trust. NTL Trust’s team analyzes each investor’s case and provides them with the best possible option that fits their needs, objectives, and budget. Below are some case studies of clients we had that were unsure of which programs suited them best:

Case Study 1: Business In The EU

One of our clients wanted to expand their business into the EU. The Indian national, who imported F&B goods from the EU to the GCC region, wanted to optimize his supply chain by setting up a warehouse and packaging hangar in an EU country. His initial thought was to set up a business in the Netherlands, where he imported most of his goods. However, after talking to NTL Trust and discovering the complexities of getting a residence permit in the Netherlands as a self-employed person (due to complex criteria and an intricate point-based system) as well as the high corporate tax of 25.8% and high-income tax, he wanted to look at other options. Although this client was seemingly a business immigration client, we proposed the Greek Golden Visa. The client purchased an industrial property to use as the hangar and then established his business without any strict capital or financial regulations or any physical residence restrictions. Greece also provided a lower corporate tax rate of 22%, and by utilizing the non-dom tax regime, he capped his income tax in Greece to just 7%, providing him with a more profitable and comfortable foothold in the EU. Due to both Greece and the Netherlands being part of the EU (and the client’s supply chain), the only difference in cost was a slight increase in road transport, but he saved much more in initial business capital and taxes, which proved a much better option.

Case Study 2: Retiring Somewhere Sunny

A Canadian client came to NTL Trust wanting to plan for her and her husband’s retirement. She was still a few years away but wanted to straighten everything out and was looking for a place that had a low cost of living but high-quality infrastructure and, most importantly, sunny, tropical weather. Her initial thoughts were the Maldives or Bali, but she wasn’t aware of the complexity of immigration and the high cost of the countries for residents. We provided her with an alternative solution, which was Paraguay. By having to prove financial means without making any significant investment to obtain a permanent residency, she was able to set up her retirement plan in a low-cost, tax-friendly location with astonishing weather and a tropical climate.

Case Study 3: Yachting is a lifestyle

One of NTL’s oldest clients is an Australian citizen who has always wanted to retire aboard his yacht in a laid-back, naturally stunning region. His destination of preference was the Caribbean but he wanted to set up a permanent base outside the hurricane belt.

Those criteria aligned perfectly with Grenada’s citizenship by investment program. The investor would become a citizen of Grenada and the CARICOM, allowing him to move freely on his yacht between 14 Caribbean countries.

He would then anchor in Port Louis Marina, an award winning yacht marina in Grenada, which is situated outside of the hurricane belt, and enjoy life as a citizen of the country, not having to worry about renewing his residence permit or whether his retirement plan will be abruptly interrupted.

How to start

The best way to find out which program suits you and your family best is to contact NTL Trust today to book a comprehensive consultation with one of our experts. We will analyze your case and provide you with the best options that meet your needs.