How to Become an Approved Sponsor in Australia — 2026 Guide

A guide for businesses wanting to sponsor overseas skilled workers

Australia's skilled migration program allows businesses to sponsor overseas workers to address skill shortages. If your business cannot find qualified local employees, becoming an approved sponsor gives you legal access to recruit from overseas.

This guide covers the eligibility requirements, application process, sponsorship types, obligations, and common reasons for refusal.

What is an approved sponsor?

An approved sponsor is an Australian business or organisation that has received formal approval from the Department of Home Affairs to sponsor skilled workers under specific visa programs. Approval allows the business to nominate overseas workers for relevant visa subclasses.

Sponsorship types and associated visas

Standard Business Sponsorship (SBS) — for sponsoring workers under:

• Subclass 482 Skills in Demand (formerly TSS) Visa
• Subclass 186 Employer Nomination Scheme (ENS) Visa

Temporary Activities Sponsorship — for sponsoring workers under:

• Subclass 407 Training Visa
• Subclass 408 Temporary Activity Visa

Labour Agreement Sponsorship — for employers entering formal labour agreements with the Australian Government when standard sponsorship doesn't meet specific needs (including DAMA agreements for regional areas).

Eligibility criteria

To qualify as an approved sponsor, a business must:

• Be lawfully operating in Australia with appropriate business registration
• Have a strong record of compliance with immigration and workplace laws
• Demonstrate a genuine need to employ skilled workers from overseas
• Provide evidence of financial capacity and business viability
• Meet specific obligations for the visa subclass involved

The application process

Step 1: Assess business needs

Determine which visa subclass suits your hiring needs. Short-term gaps may suit Subclass 482; occupational training suits Subclass 407; long-term recruitment suits Subclass 186.

Step 2: Set up ImmiAccount

Create an ImmiAccount on the Department of Home Affairs website. This is the platform for lodging sponsorship applications.

Step 3: Prepare documents

• Australian Business Number (ABN) or Australian Company Number (ACN)
• Business Activity Statement (BAS) for the past 12 months
• Organisational chart or staffing plan
• Financial records (profit and loss, bank statements)
• Evidence of genuine business activity

Step 4: Lodge the application

Apply through ImmiAccount under the relevant sponsorship category. The current government fee for Standard Business Sponsorship is approximately AUD $420 (subject to change — verify at immi.homeaffairs.gov.au).

Step 5: Await approval

Processing typically takes 1–3 months depending on the quality of the application and whether further information is requested.

Sponsorship obligations

Once approved, the business is legally bound to:

• Cooperate with the Department when required
• Provide equivalent terms and conditions to those offered to Australian workers
• Keep records and provide information as required
• Notify the Department of material changes (e.g., when a worker ends employment)
• Not recover sponsorship or nomination costs from the visa applicant (Migration Regulation 2.87)

Common reasons for refusal

• Incomplete documentation or inaccurate information
• Non-compliance with previous sponsorship obligations
• Insufficient evidence of genuine business activity
• Lack of financial capacity to support workers

After approval: nomination and visa application

Once sponsorship is approved, the business can nominate specific overseas workers. Each nomination and visa application is a separate step with additional documentation and fees. For Subclass 407 nominations, a Training Plan is required.

Frequently asked questions

How long does it take? On average, 1–3 months depending on documentation quality and Department workload.

Can a small business become a sponsor? Yes, provided it can demonstrate genuine need, business activity, and capacity to support a worker.

Do I need to sponsor full-time employees only? Generally, sponsored positions must be full-time. Part-time roles are not commonly approved unless under exceptional circumstances.

What happens if I breach my obligations? Penalties can include fines, cancellation of sponsorship, and bans from future sponsorship.

If you'd like to discuss your sponsorship situation, please contact us or call 02 8188 1887. MARN 1576536.