Extension application help

[Meesha]

Dear Forum members,
For Teir 1 Ent extension application PSW £50K' approved before april2014. i have following questions. can you please help

1). Are you supposed to show investment of £50000 all spent on business. Lets say if you have invested only 20,000 during first 3 years, how will it justify 50k investment?

2). If your business is not earning anything during first 3 years, how to show that you are capable of contining for next 2 years provided you get extension? My company is working in collaboration with NHS and i have rented a place from them to carry out my work. but i am not making any profit yet. Will a letter from that laboratory, work which states that my work has potential to generate profit if continued.

Thanks a lot in advance
cheers

[Meesha]

Dear forum members,
Thanks for all of your help so far. I could have never managed to come to this point without your help. Can anyone please advise me about the following:

1). will the employes' s salary be counted as investment.

2). If you have employes but did not get insurence for them from start, can u do it later, lets say after 6months of their appointment.

3). Do you need to provide advertisement for employ seeking?

4) Other than employ passposrt front page copy, payslips made by accountant, employ's degree, what else is required to claim points for job creation.

Cheers

[CR001]

Please don't start a new thread with each question or set of questions you have on the same application. Multiple Posting (click)

[Meesha]

Please don't start a new thread with each question or set of questions you have on the same application. Multiple Posting (click)

I am sorry for this. Should i edit and merge both posts together.These are different topics though for same applicant.
Thanks for informing me about this.
cheers

[CR001]

Members cannot 'edit and merge'.

I have merged them now and removed the one duplicate post. One application, lots of questions in one thread. Keeps it simple for members when they respond and see the trail and less clutter on the forum too.

[Tier1newbie]

Hello Meesha

Have answered a few questions below but would strongly advice you to read the policy guidance carefully as it has answers to all the questions and would also help u understand the tier1 visa a bit better. Not an expert but answering out of my understanding of the rules.

Dear Forum members,
For Teir 1 Ent extension application PSW £50K' approved before april2014. i have following questions. can you please help

1). Are you supposed to show investment of £50000 all spent on business. Lets say if you have invested only 20,000 during first 3 years, how will it justify 50k investment? according to the rules you have to invest 50K in your business. There is no rule to say that the 50K that you put into the business should be all invested in 3 years. If due to the nature of your business you are not able to invest all the 50K then its alrite.

2). If your business is not earning anything during first 3 years, how to show that you are capable of contining for next 2 years provided you get extension? My company is working in collaboration with NHS and i have rented a place from them to carry out my work. but i am not making any profit yet. Will a letter from that laboratory, work which states that my work has potential to generate profit if continued. I guess about 90% of the companies here would have a slow start and not do much during the first few years. If you produce documents that you are working with the NHS and the business will grow slowly it should be fine. If you are too worried then you can possibly produce a revised plan for the next few years to show that you have revised your targets and have done more market research to Increase sales and profits. Reference letters from credible sources have a good impact, but there is no harm in putting through any reference letters with the application

Thanks a lot in advance
cheers

[Tier1newbie]

Dear forum members,
Thanks for all of your help so far. I could have never managed to come to this point without your help. Can anyone please advise me about the following:

1). will the employes' s salary be counted as investment.please do not confuse 2 different terms. Investment is the amount as director you put into the company and employee salary is a valid legal company expense which will be considered by the home office.

2). If you have employes but did not get insurence for them from start, can u do it later, lets say after 6months of their appointment.as far as the home office are concerned they need to see that you have your insurance and other paperwork required as per law in place. I suppose this insurance is renewed on a yearly basis so just need to produce the current insurance certificate during extension not all of them including the expired ones.

3). Do you need to provide advertisement for employ seeking?i do not see any requirement to show this in the guidance. You only need to provide advertisement and other marketing literature that you have done to promote your business

4) Other than employ passposrt front page copy, payslips made by accountant, employ's degree, what else is required to claim points for job creation.you need to provide year end statements showing the hours worked and pay received. Ask you accountant about it. You also need to provide a letter from the accountant confirming the number of employments that were created during this period.

Cheers

[Meesha]

Thanks a lot for your kind help

[Meesha]

Please don't start a new thread with each question or set of questions you have on the same application. Multiple Posting (click)

Hi CR001,
If i have another question to ask after few days of first post, am i allowed to generate a new post or should i use my existing old thread, if so then there is likelyhood that it can get ignored/overlooked.

[CR001]

If it relates to the same Tier 1 Ent extension, you can ask the question in this thread rather than start a new one.

[Meesha]

Dear all,

Sorry for a long post but it is mostly copy paste from extension attributes section of application form. Need help to generate right documents to claim points for extension.

129-C. On a date no earlier than three months prior to the date of application, you were:
a) registered with HMRC as self-employed, or
b) registered with Companies House as a director of a new or an existing business. Directors who are on the list of disqualified directors provided by Companies House will not be awarded points.

Does this mean that your letter from company house should not be older than 3 months. As for extension you are registered 3 years back when you initially got your visa.

135. The amount of money invested should not:
be in the form of a director’s loan, unless it is unsecured and is subordinated in favour of the third-party creditors.

What does this mean? Will your accountant provide you some letter confirming it.

136-vii: You must also provide a legal agreement, between you (in the name that appears on your application for leave) and the company. the terms of the loan;
any interest that is payable;
the period of the loan; and
that the loan is unsecured and subordinated in favour of third-party creditors. If it is not clear from the information provided that the loan is unsecured and subordinated in favour of third-party creditors, we will not accept the loan forthe award of points.

Who will generate this contract letter for you? Accountant or Bank? Should it be generated at the start of transferring money from personal bank to Business bank or any time before you submit your extension application will be fine.

147.If the date on the Current Appointment Report was more than 8 months after your specified date we will not award any points for this section
What is this specified date meaning?

160. If you are self-employed you must employ the workers directly. If you are a Director of a business you must show that your business has created two new posts.
How to show it for LtD company? can Salaries transferred directly from business bank account be sufficient? Or letter from accountant?

Thanks in advance

[The Symbol]

Dear forum members,
Thanks for all of your help so far. I could have never managed to come to this point without your help. Can anyone please advise me about the following:

1). will the employes' s salary be counted as investment.please do not confuse 2 different terms. Investment is the amount as director you put into the company and employee salary is a valid legal company expense which will be considered by the home office.

2). If you have employes but did not get insurence for them from start, can u do it later, lets say after 6months of their appointment.as far as the home office are concerned they need to see that you have your insurance and other paperwork required as per law in place. I suppose this insurance is renewed on a yearly basis so just need to produce the current insurance certificate during extension not all of them including the expired ones.

3). Do you need to provide advertisement for employ seeking?i do not see any requirement to show this in the guidance. You only need to provide advertisement and other marketing literature that you have done to promote your business

4) Other than employ passposrt front page copy, payslips made by accountant, employ's degree, what else is required to claim points for job creation.you need to provide year end statements showing the hours worked and pay received. Ask you accountant about it. You also need to provide a letter from the accountant confirming the number of employments that were created during this period.

Cheers

Hey guys,

Apologies for bumping in the post. I just had a very quick enquiry about what's been mentioned about 'Insurance for Employees' as I didn't see it mentioned anywhere in the guidance policy. Would anyone be helpful enough to quote where is it mentioned in the policy guidance please. All I was aware of being enrolled with Pension regulator for Employees according to law.

Many thanks!

[Tier1newbie]

Hello Meesha

I would suggest you speak to an immigration lawer, a specialist and not a consultant to get advice as there are so many questions and there arechances that you might interpret something incorrectly. Go to a qualified chartered accountant and get advice from him regarding the other points related to registering yourself as director of the business and the loan agreements.

Dear all,

Sorry for a long post but it is mostly copy paste from extension attributes section of application form. Need help to generate right documents to claim points for extension.

129-C. On a date no earlier than three months prior to the date of application, you were:
a) registered with HMRC as self-employed, or
b) registered with Companies House as a director of a new or an existing business. Directors who are on the list of disqualified directors provided by Companies House will not be awarded points.

Does this mean that your letter from company house should not be older than 3 months. As for extension you are registered 3 years back when you initially got your visa.

135. The amount of money invested should not:
be in the form of a director’s loan, unless it is unsecured and is subordinated in favour of the third-party creditors.

What does this mean? Will your accountant provide you some letter confirming it.

136-vii: You must also provide a legal agreement, between you (in the name that appears on your application for leave) and the company. the terms of the loan;
any interest that is payable;
the period of the loan; and
that the loan is unsecured and subordinated in favour of third-party creditors. If it is not clear from the information provided that the loan is unsecured and subordinated in favour of third-party creditors, we will not accept the loan forthe award of points.

Who will generate this contract letter for you? Accountant or Bank? Should it be generated at the start of transferring money from personal bank to Business bank or any time before you submit your extension application will be fine.

147.If the date on the Current Appointment Report was more than 8 months after your specified date we will not award any points for this section
What is this specified date meaning?

160. If you are self-employed you must employ the workers directly. If you are a Director of a business you must show that your business has created two new posts.
How to show it for LtD company? can Salaries transferred directly from business bank account be sufficient? Or letter from accountant?

Thanks in advance

[Tier1newbie]

Hello Symbol

There is no requirement written in black and white but business owners in the UK have to take out employer liability insurance which covers a range of claims against the business by employees while they are on premises working otherwise you or the company will have to foot the heafty bill and can be fined on top for not having one. It is under the companies law of 1969 where if you establish a business and have employees working for you and if something goes wrong you will be fined for not having employers liability insurance.

It is not too expensive, there are basic insurance that are available for about £10 per month if you have a simple office setup with 2 employees.

Dear forum members,
Thanks for all of your help so far. I could have never managed to come to this point without your help. Can anyone please advise me about the following:

1). will the employes' s salary be counted as investment.please do not confuse 2 different terms. Investment is the amount as director you put into the company and employee salary is a valid legal company expense which will be considered by the home office.

2). If you have employes but did not get insurence for them from start, can u do it later, lets say after 6months of their appointment.as far as the home office are concerned they need to see that you have your insurance and other paperwork required as per law in place. I suppose this insurance is renewed on a yearly basis so just need to produce the current insurance certificate during extension not all of them including the expired ones.

3). Do you need to provide advertisement for employ seeking?i do not see any requirement to show this in the guidance. You only need to provide advertisement and other marketing literature that you have done to promote your business

4) Other than employ passposrt front page copy, payslips made by accountant, employ's degree, what else is required to claim points for job creation.you need to provide year end statements showing the hours worked and pay received. Ask you accountant about it. You also need to provide a letter from the accountant confirming the number of employments that were created during this period.

Cheers

Hey guys,

Apologies for bumping in the post. I just had a very quick enquiry about what's been mentioned about 'Insurance for Employees' as I didn't see it mentioned anywhere in the guidance policy. Would anyone be helpful enough to quote where is it mentioned in the policy guidance please. All I was aware of being enrolled with Pension regulator for Employees according to law.

Many thanks!

[The Symbol]

[quote="Tier1newbie"]Hello Symbol

There is no requirement written in black and white but business owners in the UK have to take out employer liability insurance which covers a range of claims against the business by employees while they are on premises working otherwise you or the company will have to foot the heafty bill and can be fined on top for not having one. It is under the companies law of 1969 where if you establish a business and have employees working for you and if something goes wrong you will be fined for not having employers liability insurance.

It is not too expensive, there are basic insurance that are available for about £10 per month if you have a simple office setup with 2 employees.


Hello Tier1newbie,

Thank you for your response.

I was aware of the Public Liability and Professional Indemnity insurance but not about Employers Liability insurance. Thanks you for updating me. Appreciate it.