The full name of 457 business visa is Class: UC (Temporary Business Entry); Subclass: 457 (Business Long Stay) Visa. It aims at attracting overseas business people to conduct business activities or overseas professional talents to work in Australia so as to prosper Australia's economy. The Subclass: 457 visa is a business (working) visa whose grant is based upon the business/employment background and qualifications of the application. Its validity period varies from 3 months up to 4 years.

The Subclass: 457 Visa can mainly be divided into three categories:

THE FIRST CATEGORY:

Sponsorship by overseas companies (any company outside Australia) (It is unnecessary to apply for sponsorship in advance)

Requirements: The applicant must

• be sponsored by a sizeable overseas company which has, or is intending to, set up its subsidiary in Australia;
• conduct business activities in Australia as a senior executive in the subsidiary;
• have certain managerial experience and relevant qualifications;
• in certain circumstances the applicant can be a representative of an overseas services seller who will represent the overseas service seller in negotiations, or signing contract for the supply of those services in Australia.

Characteristics: The sponsoring company does not need to apply for sponsorship in advance. Either private, or collective-owned, or state-owned businesses has the right to sponsor. The application can be made either outside or in Australia. The representative of the Service Seller cannot be involved in the actual supply of the particular Service their overseas employer provides. The validity term of this visa can last up to 4 years.

THE SECOND CATEGORY:

Sponsorship by local companies in Australia

Requirements: There are two kinds of business sponsors in this regard: standard or pre-qualified business sponsors.

A standard business sponsor indicates how many employees they wish to nominate when they apply for sponsorship status. There is no sponsorship fee, but a nomination fee is paid to each nomination.

Pre-qualified business sponsors can nominate any number of activities and employees, over a two year period from the date of approval. A sponsorship fee has to be paid initially and for any extensions, but there is no fee for each nomination.
In each applicant the sponsoring company must be able to provide evidence of lawfully operating in Australian and be operating profitably enough to be able to afford the overseas employee.

The applicant must

• be sponsored by a Australian company which is lawfully operating in Australia and financially profitable;
• possess the necessary skills and/or qualifications to perform the nominated activity
• conduct business activities in Australia as a skilled employee in the company;
• have certain managerial experience and relevant qualifications;

Characteristics: Once a sponsoring company obtains pre-qualified business sponsorship, it can nominate any number of overseas workers within the period of sponsorship validity. The application can be made either outside or in Australia. The visa permits the holder to remain in Australia for up to 4 years.

THE THIRD CATEGORY:

Supported by Labour Agreement or Regional Headquarters Agreements

Requirements: The application must

• include a nomination of the applicant by a party to the Labour Agreement, and;
• identify the approved Sponsorship of the particular activity the application is based upon, and;
• provide details of the specific Labour Agreement to which the application is based upon, and;
• provide evidence the employment will comply with all the relevant Laws and requirements of the Labour Agreement, or;
• identify the specific Regional Headquarters Agreement the application is based upon, and;
• identify the specific activity the applicant will perform and its acceptance under the regional headquarters Agreement;

Characteristics: The Labour or Regional Headquarters Agreement is a formal agreement between the Unions and a particular industry/overseas company to allow certain skilled workers entry into Australia to perform certain occupations and activities on behalf of an Australian, or Australian based, employer. The Agreements must have unanimous agreement by all parties before they can be used to sponsor/nominate any applicant. They are, in most cases, initiated by the employer/industry body seeking the Skilled employees.