If you think your business needs expansion or presence in the UK then why not use your entrepreneurial skills and explore UK as your best option by applying for a Tier 1 Entrepreneur visa.
To conduct business in the UK, you would be required to set up a business entity and also we aware of the UK 2018 Entrepreneur visa requirements.
Typical factors that determine what form your business enterprise would take is determined by::
- size of business activity in the UK
- associated regulatory and disclosure requirements and
- tax and commercial considerations
The principal ways for a foreign investor or company to carry on business in the UK are as follows:
1. Sole Trader
This is the simplest form of setting up business, you run your own business as an individual and are self-employed. Sole traders must register with HM Revenue and Customs (HMRC). A sole trading concern can employ staff. However as a sole trader you are responsible for:
- keeping records of your business’s sales and expenses
- sending a Self Assessment tax return every year
- paying Income Tax on profits and Class 2 and Class 4 National Insurance
- entire business debts
- bills for anything bought for business
- registering for VAT if turnover reaches the VAT threshold (Sept 2016: VAT taxable turnover is more than £83,000)
- registering with the Construction Industry Scheme (CIS) if you’re a contractor or sub-contractor in the construction industry
In the UK there are separate rules for limited liability partnerships (see LLP appended below) and limited partnerships – wherein there is at least one ‘general’ partner and one ‘limited’ partner. Being the right type of partner can make a difference to:
- liability for the partnership’s debts and
A person cannot be a general and a limited partner at the same time
3. UK establishment
A UK establishment is either a branch or a place of business. An establishment is not a separate legal entity from the overseas parent and therefore does not have limited liability in its own right.
4. Limited company
A limited company is a separate legal entity with its own limited liabilities. This is much more substantial than a UK establishment and offers greater assurance for customers and others who come into contact with the business. It also offers more flexibility of ownership than an establishment. A company must:
- Have at least one natural director;
- Appoint auditors, unless its turnover and balance sheet are below specified thresholds;
- Keep registers of members, charges, directors and company secretaries etc.;
- Deliver an annual return and statutory accounts to the Registrar of Companies, together with having the accounts approved by the directors/shareholders; and
- Have a registered office address in the UK.
The company director is responsible for the day-today management of the company and is subject to various statutory duties that, if breached, can result in personal liability. The Companies Act 2006 provides a comprehensive statement of duties.
5. Limited Liability Partnership (‘LLP’)
An LLP is a legal entity with a flexible organisational structure like that of a partnership. It must have at least two members and all members have limited liability. Designated members have responsibility for:
- Appointing an auditor (if needed);
- Signing and filing the accounts;
- Notifying Companies House of any membership changes etc.; and
- Delivering an annual return to the Registrar of Companies.
Setting up a business is in itself involves planning and huge investments, they why not prepare a tailor made Entrepreneur visa business plan which outlines your business in a detailed manner. It is always best to explore all possible options before setting up a business be it a UK investor visa or a Tier 1 UK visa.
At SmartMove2UK we have the experience to advice you on applications under the Tier 1 Investor, Tier 1 Entrepreneur, Tier 2 category for sponsor registration or applying for visa as Sole representative of an overseas business. Including applying for Indefinite Leave to Remain (ILR) and British nationality applications.
Our proven experience in processing UK Visa and Nationality applications means we can provide complete support for the entire application process from start to finish.
If you require assistance contact us on +91 98191 27002 or at firstname.lastname@example.org
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