On large scales a nonlinear transformation of matter density field can be viewed as a biased tracer of the density field itself. A nonlinear transformation also modifies the redshift space distortions in the same limit, giving rise to a velocity bias. In models with primordial nongaussianity a nonlinear transformation generates a scale dependent bias on large scales. We derive analytic expressions for the large scale bias, the velocity bias and the redshift space distortion (RSD) parameter β, as well as the scale dependent bias from primordial nongaussianity for a general nonlinear transformation. These biases can be expressed entirely in terms of the one point distribution function (PDF) of the final field and the parameters of the transformation. The analysis shows that one can view the large scale bias different from unity and primordial nongaussianity bias as a consequence of converting higher order correlations in density into 2-point correlations of its nonlinear transform. Our analysis allows one to devise nonlinear transformations with nearly arbitrary bias properties, which can be used to increase the signal in the large scale clustering limit. We apply the results to the ionizing equilibrium model of Lyman-α forest, in which Lyman-α flux F is related to the density perturbation δ via a nonlinear transformation. Velocity bias can be expressed as an average over the Lyman-α flux PDF. At z = 2.4 we predict the velocity bias of -0.1, compared to the observed value of -0.13+/-0.03. Bias and primordial nongaussianity bias depend on the parameters of the transformation. Measurements of bias can thus be used to constrain these parameters, and for reasonable values of the ionizing background intensity we can match the predictions to observations. Matching to the observed values we predict the ratio of primordial nongaussianity bias to bias to have the opposite sign and lower magnitude than the corresponding values for the highly biased galaxies, but this depends on the model parameters and can also vanish or change the sign.