From 188 to 888 PR: nomination, residence, and business performance thresholds
The subclass 888 is the permanent stage of Australia's business migration pathway. Each 188 stream has distinct 888 transition requirements — turnover, investment maintenance, or funding milestones — and a state nomination process. This article maps the thresholds for each stream.
The Subclass 888 Business Innovation and Investment (Permanent) visa is the permanent-stage endpoint of Australia’s BIIP migration pathway. A 188 provisional visa holder does not automatically transition to PR — they must lodge a separate 888 application that demonstrates they have met the stream-specific performance thresholds, maintained their investment or business activity, and continued to reside in the nominating state or territory for the requisite period.
The 2024 BIIP reforms raised the transition thresholds for the 188A and 188B streams and increased the scrutiny applied to the residence requirement. This article breaks down the 888 criteria for each stream, the state nomination re-assessment, and the practical timeline from 188 grant to 888 grant.
Stream-by-stream 888 transition requirements
888A: Business Innovation transition
The 188A holder must demonstrate that they have established and operated a qualifying business in Australia. The performance thresholds:
- Ownership interest. Held a direct and continuous ownership interest in at least one actively operating business in Australia for at least two years immediately before the 888 application
- Annual turnover. The business (or businesses combined) generated an annual turnover of at least AUD 300,000 in the 12 months immediately before the application (the 2024 reforms raised this from AUD 200,000)
- Business assets. Net business assets of at least AUD 200,000 (raised from AUD 100,000 in the 2024 reforms)
- Employment. The business employed at least two eligible employees who are Australian citizens, permanent residents, or eligible New Zealand citizens (not family members), or the business and personal assets requirement of AUD 600,000 applies as an alternative
- Residence. Resided in Australia for at least one year in the two years immediately before the 888 application
- State re-nomination. Obtained a further nomination from the same state or territory government that nominated the 188 visa, confirming that the applicant has complied with the undertakings given at the 188 stage
The employment threshold is the most common point of failure for 888A applicants. The two-employee requirement is not satisfied by employing family members, part-time casual staff, or independent contractors who are not treated as employees. The Department examines employment records, PAYG withholding statements, and superannuation contributions.
888B: Investor transition
The 188B holder must demonstrate that the designated investment has been maintained continuously for the duration of the provisional visa:
- Investment maintenance. The AUD 2,500,000 complying investment (or equivalent at the time of the 188B grant) has been held continuously for at least four years
- Residence. Resided in Australia for at least two years in the four years immediately before the 888 application
- State re-nomination. Confirmation from the nominating state government that the investment was maintained in accordance with the original nomination conditions
888C: Significant Investor (SIV) transition
The SIV transition pathway has the most flexible residence and business requirements:
- Investment maintenance. The AUD 5,000,000 complying investment has been held continuously for the duration of the 188C visa
- Residence. The primary applicant has resided in Australia for at least 40 days per year (averaged over four years), OR the secondary applicant (spouse) has resided for at least 180 days per year
- No other business or employment requirement. The SIV does not require the applicant to establish a business, generate turnover, or employ staff
888D: Entrepreneur transition
- Funding milestones. The business has received at least AUD 200,000 from the qualifying entity and has achieved the milestones set out in the funding agreement
- Business activity. The business has been actively operating in Australia and the applicant has maintained a 30% ownership interest
- Residence. The applicant has resided in Australia for at least one year in the two years before the 888 application
888E: Premium Investor transition
The 888E transition is straightforward but the 188E stream has no places available in the current program year.
State re-nomination: the hidden hurdle
A second nomination from the sponsoring state or territory government is required for all 888 applications. This is not a formality. The state government assesses whether the applicant complied with the undertakings given at the 188 nomination stage — for example, the location of the business, the industry sector, the investment vehicle, or the job creation commitments.
A common failure mode: the 188A applicant nominates a business in regional Victoria but relocates the business to metropolitan Melbourne during the provisional visa period. The Victorian government’s re-nomination assessment will note the non-compliance with the original undertaking and may refuse to re-nominate, effectively blocking the 888 application.
Applicants who need to change the location, nature, or other parameters of their business activity or investment during the 188 period should seek the state government’s approval before making the change, not after.
Timeline
| Stage | Typical duration |
|---|---|
| 188 provisional visa grant to eligible for 888 | 2–4 years (varies by stream) |
| 888 application processing | 6–12 months |
| Total from 188 grant to PR | 3–5 years |
The total migration pathway from first expression of interest to permanent residency typically spans 4–7 years, making the BIIP one of the longest pathways to Australian PR.
Comparison: BIIP vs skilled migration for business owners
A business owner who qualifies for both the 188A and a skilled visa (e.g., Subclass 190 State Nominated, covered in /pathways/190-state-nominated/) faces a strategic choice:
| Factor | BIIP (188A → 888A) | Skilled (190) |
|---|---|---|
| Cost | AUD 6,270 (188A VAC) + AUD 2,735 (888A VAC) + business establishment costs | AUD 4,640 (190 VAC) |
| Processing time | 4–7 years total | 6–11 months from invitation |
| PR on grant | No (provisional first) | Yes (direct PR) |
| Ongoing obligations | Business operation, turnover, employment | Reside in nominating state for 2 years |
| Geographic freedom after PR | Unrestricted | Unrestricted |
For a business owner under 45 with an occupation on the CSOL (Core Skills Occupation List) and adequate points, the skilled migration pathway is almost always faster, cheaper, and simpler than the BIIP. The BIIP is primarily relevant for applicants over 45 — who are ineligible for the points-tested skilled visas — or those whose business profile is stronger than their occupational profile.
Recent changes
2024 AAT backlogs. A significant volume of 188 refusal appeals accumulated at the AAT during 2020–2024, particularly from the 188A stream. The Department has been processing these cases with increased resources, and the backlog is expected to reduce through 2026.
Transitional arrangements. The 2024 reforms introduced transitional arrangements for 188 holders whose visa is expiring and who have been unable to meet the 888 criteria because of business disruption (e.g., COVID-19, changes in state government policy). A two-year extension of the 188 visa may be available in these circumstances, though this is discretionary and must be applied for before the 188 expires.