There are two routes available for overseas (non-EEA/Swiss) nationals to apply as an entrepreneur to gain entry into the UK. One route requires a business investment of £50,000.00 and directed at graduate entrepreneurs, while the other one requires an investment of £200,000.00 and directed at serial entrepreneurs. Here we focus on the advantages of the latter route.
1. An Opportunity to Own a Business in the UK
There is a number of other competitive jurisdictions around the globe that encourages the opening of the business ventures.
However, the investor and the business owner is never the true owner of their own business. For instance, certain jurisdictions require a degree of local ownership, which can be a profit sharing requirement up to 50% and higher.
In the UK, if benefitted under this scheme and the investment of £200,000.00 is large enough to start or buy a local business, the business ownership is 100%.
2. An Investment Team of Two
The investment may be shared between the investment team of two. This serves two advantages. The main advantage is that one does not necessarily need to come on their own to the UK to start a new business.
They are also eligible to bring their family members. The concept of the ‘family members’ is defined in very strict terms. Namely, a family member is regarded a partner or a spouse and the children up to 18 years old or if children remain dependants over the age of 18 (normally, students).
This means that one would not be able to bring their parents, sisters or brothers together with them. Therefore, this is where the second advantage comes in. For instance, if your parents or siblings share your passion for entrepreneurship, this may be one of the ways for the extended family to stay together.
As a matter of caution, in the case of polygamous marriages, the UK recognises only one spouse for immigration purposes. Therefore, in all circumstances, one will be limited to bringing a single spouse to live in the UK.
3. The Entrepreneurial Spirit
In 2017, the entrepreneurial ecosystem in the UK is ranked as one of the top ten countries out of the 137 worldwide. In 2014, the UK ranked as the fourth entrepreneurial system in the world.
It is widely recognised that the UK should do more to improve its business environment. However, a government programme, such as, Tier 1 Entrepreneur visa is an invitation to all entrepreneurs worldwide to come and make business investments in the UK.
The UK recognises the benefits of independent businesses and created an immigration framework for doing so.
4. Availability of the Funds and the Business Plan
Initially, it is sufficient to demonstrate that the applicant or a team of applicants have access to the required amount of funds.
This means that the individual is ‘safe’ enough to test the grounds of acceptability within the UK’s immigration rules before making any significant investments.
It was our experience that some applicants were prepared to invest significantly more than the set current threshold currently requires.
The business plan assists the decision-maker to understand the vision and carry out the initial assessment that the foreseen project may be a success.
5. High English Language Requirement
The language requirement for this immigration route is set at B1 under the CEFR. If one consults the self-assessment grid published by the Council of Europe, one can appreciate that this requirement may be a tall order.
However, the wish and the capacity to improve at each new task and opportunity is the trait of an entrepreneur. This requirement is further devised to assist the entrepreneur’s integration and to make sure that the entrepreneur is able to communicate with the local workforce in English.
In spite of this, if one consults the top ten entrepreneurial rankings globally, again, one can clearly see that the major English-speaking countries in the world comfortably share the ranking of top ten global economies.
The Tier 1 Entrepreneur visa route permits the nationals of the USA, Canada and Australia to realistically consider this immigration route.
6. The Benefits of Operating an English Company
The entrepreneurial activity covered under this immigration route, may take the form of self-employed or a body corporate. A body corporate is an establishment of a distinct legal entity that is separate from the person concerned.
It has been in our experience that the establishment of the English legal entity (a company) led to the ability to reap the benefits and rewards of English legal jurisdiction worldwide.
Normally, it is much easier to conduct the business worldwide through an English company than any other medium.
Should you require any information or guidance on Tier 1 Entrepreneur visa or any other immigration route to the UK, please feel free to contact us on: email@example.com or 0203 286 4887.
We are uniquely positioned to guide you through the immigration process and setting up a business through a specialised complimentary practice.