Points Based System – UK Tier 1 Entrepreneur
The UK’s position, both geographically and financially, puts it at the center of a diverse collection of markets and sectors. As a result, there is an increasing demand for entrepreneur visas to the UK. The UK has options for investors as well as for entrepreneurs under the Tier 1 visa. The UK investor visa is the Tier 1 Investor which requires an investment of £ 2 M. The Entrepreneur visa for the UK is referred to as the Tier 1 Entrepreneur visa. The Tier 1 Entrepreneur visa UK is a visa category under the points-based system that allows you to live in the UK if you’re setting up, taking over, or actively involved in running a business in the UK or in other words the Tier 1 Entrepreneur visa UK is the route for entrepreneurs who would like to start a new business in the UK or join an existing business there. The UK’s open market and diversified economy present opportunities for new investors to access a domestic market and to use the location as a gateway to the rest of the world. The Tier 1 Entrepreneur visa is a kind of UK investor visa as applicants under this visa category are not allowed to take employment.
One of the major requirements of the Tier 1 visa category involves having access to funds of £50,000 or £200,000 (depending on your circumstances) to invest in your business in the UK. In addition to the appropriate investment funds, you would also need to submit a business plan of your intended entrepreneurial activity and might be asked to show that you are a genuine entrepreneur.
Based on a World Bank Business survey, the UK has consistently ranked amongst the top in Europe and the world in terms of ease of doing business, over the last decade. It offers a number of competitive advantages as a hub for investors to conduct their business. The Tier 1 visa UK is a route for businesspersons, high net worth individuals, entrepreneurs who want to obtain residence and settlement in the UK through investments.
Initial Entry Clearance as Tier 1 Entrepreneur
The UK Tier 1 Entrepreneur visa of the points-based system is for non-EEA migrants who want to invest in the UK by setting up or taking over, and being actively involved in the running of, a business or businesses in the UK. Applications for Tier 1 visa UK require the applicants to have access to at least £ 200,000 for investment in the UK (or £ 50,000 for applicants applying as Tier 1 Graduate Entrepreneur).
The Tier 1 Entrepreneur visa is intended to bring in applicants who would be able to add value to the UK economy by bringing in the capital and generating full-time employment. As part of the enhanced screening process, the Home Office has also introduced a ‘test of genuineness’ to ascertain if the applicant is a genuine entrepreneur.
As part of this evaluation, the Home Office takes into account various factors including (but not limited to)::
- Credibility of the investment funds for UK investor visa and for UK entrepreneur visa;
- Submission of entrepreneur visa business plan;
- The extent of market research undertaken by the applicant;
- Relevant experience in the field;
- Immigration background of the applicant (both the applicants if forming an entrepreneurial team)
This visa category also allows the applicant to form an ‘entrepreneurial team’ with one other Tier 1 Entrepreneur visa applicant and share the same investment funds.
Requirements for £50,000 investment funds:
You can apply for a Tier 1 using the £50,000 investment funds if you are able to secure funding from one of the following sources.
- Funds from a Department for International Trade (DIT) approved seed fund
- UK Government or devolved government department
- Venture capital fund registered with the Financial Conduct Authority (FCA)
You can also make an application based on £50,000 of investment funds if you have already invested £50,000 in a UK business in the last 12 months.
Besides, if you were last granted leave as a Tier 1 (Graduate Entrepreneur) and are applying for leave to remain from within the UK, you can apply based on the £50,000 investment funds.
English Language Requirement:
You need to meet the English language requirement for the Tier 1 visa application. This includes either of the following.
- Passing an approved English language test with at least CEFR level B1 in reading, writing, speaking and listening; or
- Holding a degree taught in English, which is equivalent to a UK bachelors degree, masters degree or PhD.
At SmartMove2UK our UK Immigration solicitors work with Entrepreneurs and Entrepreneurial teams to advise them on the feasibility of applying for a Tier 1 Entrepreneur visa to the UK.
You can contact us us if you are seeking legal help from UK visa consultants in relation to the UK Tier 1 Entrepreneur visa.
Switching to Tier 1 Entrepreneur
You can switch into the Tier 1 Entrepreneur Visa category from inside the UK if you have permission to stay in the UK under any one of the following categories:
- a highly skilled migrant;
- a Tier 1 (General) migrant;
- a Tier 1 (Investor) migrant;
- a business person;
- an innovator;
- a student;
- a student nurse;
- a postgraduate doctor or dentist;
Extension of Tier 1 Entrepreneur Visa
If you are in the UK on a Tier 1 Entrepreneur visa you can apply to extend your visa if you meet the eligibility requirements, which state that the applicant:
- must be registered as a director or as self-employed no more than 6 months after the date you were given permission to stay in the UK under a Tier 1 Entrepreneur visa
- can prove you’ve been self-employed or working as a director of a business 3 months before you apply
- created at least 2 full-time jobs that have existed for at least 12 months
To qualify for an extension, the applicant must demonstrate that they have invested into 1 or more UK businesses either through:
- £200,000 in cash
- £50,000 in cash if your initial application was based on having funds from an approved funding source
The Extension for Tier 1 Entrepreneur applications is done by post from within the UK and takes about 8 weeks for the application to be assessed. Once you’ve applied, you can stay in the UK until you’ve been given a decision, if you applied before your last visa expired.
Indefinite Leave to Remain as Tier 1 Entrepreneur
Applicants can apply for an Indefinite Leave to Remain in the UK as a Tier 1 Entrepreneur. From the 6th April 2011, Tier 1 (Entrepreneur) Migrants have been able to apply under the provisions for accelerated settlement. This means that some applicants are eligible to apply for indefinite leave to remain after 3 years’ continuous lawful leave in the UK.The applicant can apply for accelerated settlement if they can show that they have been able to create at least 10 full times jobs or the business has, had an income from business activity of at least £5 million. For applicants who do not meet the requirements for the accelerated route for settlement, the specified period of continuous leave for settlement is 5 years.
Dependents of Tier 1 Entrepreneur
A Tier 1 (Entrepreneur) visa will allow the main applicant to bring their dependants to the UK. This visa can also be extended from within the country and it is possible for the main applicant and their dependants to obtain settlement based on the same. You should include any dependants who are on your current visa on your application for extension – including children who have turned 18 during your stay.
If you would like to ascertain your eligibility for an entrepreneur visa UK, you can book an appointment for initial consultation with our UK Immigration experts. Call us on +91 98191 27002 or email us at firstname.lastname@example.org.
We understand that applying for an entrepreneur visa UK can be challenging given the vast amount of information on the topic. You can take away the hassle by opting for a full representation service
It’s best to seek professional advice before you proceed, to save unnecessary loss of time and expense.
At SmartMove2UK our immigration solicitors have provided expertise to numerous applicants seeking to apply for a UK Tier 1 Entrepreneur visa.
Call us on +91 98191 27002 or email us at email@example.com to book an initial consultation with our UK Tier 1 Entrepreneur Visa Consultants based in Mumbai | Delhi | Gurgaon | Chandigarh | Bangalore.
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Tier 1 Investor visas (‘golden visa’) to the UK were suspended effective 7 Dec 2018, which meant no applications would be accepted as of date in this category. Any applications under process before this date [...]