The Zimbabwe Exemption Permit (ZEP) has allowed Zimbabweans in SA to either work, study or conduct their own businesses, from the very first Dispensation of Zimbabwe Permit (DZP), to the Zimbabwe Special Permit (ZSP) and now the ZEP which is due to expire at the of December 2021.
With the recent decision by cabinet not to extend the ZEP permits beyond 31 December 2021, no doubt this leaves the holders of these permits with a lot of anxiety regarding their future in SA which is uncertain and more particularly, for the business owner, who now not only needs to consider his own circumstances but also the future of his business, investments, and the many employees under the business.
Having had this special permit since 2010 has accorded many Zimbabweans opportunities to establish themselves in the country and tap into some of the wonderful opportunities the country has to offer. For the businessman, this permit has given them the right to operate legally in South Africa, grow and expand their businesses, offer employment to millions of South African citizens and support local businesses as well.
However, despite these opportunities, the ZEP business permit holder finds themselves frustrated in that:
- They have faced certain limitations in conducting their businesses because of the nature of the special permit and sometimes the stigma attached to it. Therefore, business growth and opportunities reach a glass ceiling that they cannot penetrate despite having the skills, knowledge, and capacity to do so.
- Access to long-term loans has been a big challenge. The permits have been for a limited duration, and have not been issued for more than 4 years at a time, making it difficult to access long-term loans for one to grow and expand their business or purchase machinery and equipment for the business on hire purchase. Where they have managed to obtain loans, the repayment terms have been quite steep and strenuous for them. Now with the non-extension of these permits, repayment of loans is a huge challenge and the uncertainty of how the banking industry will move forward in this regard leaves one with a lot of anxiety and stress.
- Despite being in the country for more than 10 years now on the special permits, they still cannot apply for permanent residency as the nature of the special permits does not allow for one to progress towards permanent residency.
- It has been difficult to purchase property – with a fixed term permit, getting a home loan has been difficult with high interest rates.
- Not being able to renew these permits has created a lot of anxiety, stress and discomfort which negatively impacts the business and personal life. Every time the tenure of the permits has come close to the end, one has been anxious, not knowing what the future holds. This is a very uncomfortable position to be in and having had to go through this every four years has not been ideal, especially when one has a business, employees and families relying on them for their own future.
Now, what most people do not realise is that, if you are on a ZEP business permit, you can apply for a change to a normal Business Visa, provided all necessary requirements are met. The moment one gets the normal Business Visa, they can immediately apply for permanent residency. Having permanent residency will open more opportunities than one could access on a special permit.
Having a Business Visa and then ultimately permanent residency means that:
- You can stay permanently in SA with more certainty and not having to renew a permit/visa every three/four years
- You have all the benefits of an SA citizen (except the right to vote)
- You have better options for access to long-term loans for the expansion and improvement of your business
Whilst the ZEP permits have been discontinued and the future may seem uncertain for the holders thereof, one certain thing is that as a foreign business owner in SA, one needs security for their business, their employees, themselves, and their family. Therefore, obtaining a Business Visa, and ultimately permanent residency, will be life-changing for you!
TESTIMONIAL
We have a client who was on a special ZEP Business Permit. Although the permit has allowed him to legally operate his business in SA over the years, there have been many hindrances in terms of business opportunities, growth, access to benefits and business opportunities. Furthermore, his desire has always been to be a permanent resident in SA and tap into the benefits of having SA permanent residency as a business owner, but because he had the special permit which hinders one from progressing to permanent residency, he had to apply for a change from the ZEP Business Permit to a normal Business Visa, which was issued for three (3) years. Immediately upon obtaining the new Business Visa, which was issued within one year of application, he will now be proceeding with submitting with his application for PR, once the applications resume in January 2022.
He is so excited that he can now finally apply for PR and get that status which will afford him all the rights and duties of an SA citizen, and he will have access to all the opportunities to expand his business operations in SA.
If you would like to apply for a change from your ZEP Business Permit to a normal Business Visa and ultimately permanent residency, please click on the link below and provide us with your information and we will call you for a quick assessment.
