requirements (Be a director of a company)

[Legal83]

• According to policy Guidance of tier 1 u must register as a director of a new or an existing business after getting visa within 6 months , it doesnt say anywhere wheter we need to be shareholder as well ? So while being a director of a company but not shareholder is it allowed to work on that company's payroll ?

[educators]

• According to policy Guidance of tier 1 u must register as a director of a new or an existing business after getting visa within 6 months , it doesnt say anywhere wheter we need to be shareholder as well ? So while being a director of a company but not shareholder is it allowed to work on that company's payroll ?

if u r investing money in that company, u will become its shareholders automatically

[rahulsingh1]

Well know you wont.

If you have invested via director's loan, then its a loan and not equity. So you wont be eligible for shares..

And hence you need not be shareholder but can still be a director.

Tot answer your second question, Share holder/director.. anyone or any combination can be an employee and work for the same company..

• According to policy Guidance of tier 1 u must register as a director of a new or an existing business after getting visa within 6 months , it doesnt say anywhere wheter we need to be shareholder as well ? So while being a director of a company but not shareholder is it allowed to work on that company's payroll ?

if u r investing money in that company, u will become its shareholders automatically

[educators]

Well know you wont.

If you have invested via director's loan, then its a loan and not equity. So you wont be eligible for shares..

And hence you need not be shareholder but can still be a director.

Tot answer your second question, Share holder/director.. anyone or any combination can be an employee and work for the same company..

• According to policy Guidance of tier 1 u must register as a director of a new or an existing business after getting visa within 6 months , it doesnt say anywhere wheter we need to be shareholder as well ? So while being a director of a company but not shareholder is it allowed to work on that company's payroll ?

if u r investing money in that company, u will become its shareholders automatically

Let me clarify what I wanted to say ......Whether you invest via shares or directors loan...at the end of 3 years you must need to show that you have invested money....Being only a director of the company will not help you to achieve your further extension. Keeping money in business bank account will also not help. Please see below on page 40 of policy guidance.....

Money deposited in a bank account, even if it is in a United Kingdom business bank account, is not counted as investment in business. The money should be used in the business to encourage growth or expansion, to improve services or products and to ensure the business is profitable.

[my_friend]

Well know you wont.

If you have invested via director's loan, then its a loan and not equity. So you wont be eligible for shares..

And hence you need not be shareholder but can still be a director.

Tot answer your second question, Share holder/director.. anyone or any combination can be an employee and work for the same company..

• According to policy Guidance of tier 1 u must register as a director of a new or an existing business after getting visa within 6 months , it doesnt say anywhere wheter we need to be shareholder as well ? So while being a director of a company but not shareholder is it allowed to work on that company's payroll ?

if u r investing money in that company, u will become its shareholders automatically

Let me clarify what I wanted to say ......Whether you invest via shares or directors loan...at the end of 3 years you must need to show that you have invested money....Being only a director of the company will not help you to achieve your further extension. Keeping money in business bank account will also not help. Please see below on page 40 of policy guidance.....

Money deposited in a bank account, even if it is in a United Kingdom business bank account, is not counted as investment in business. The money should be used in the business to encourage growth or expansion, to improve services or products and to ensure the business is profitable.

please can you elaborate as to why being a director wont help towards extension...?

[educators]

please can you elaborate as to why being a director wont help towards extension...?

Along with being a director you must also invest money in your own name either by shares capital or director's loan which should be shown in your company accounts as well in order to obtain extension.

[rehan01]

It's a million dollar question and everyone got own views about it but my understanding from policy guidance is that funds need to be transfer into business account and then invested into business in order for us to meet the requirement for extension as keeping money in business will not fulfil the requirement of investment done.

Also to be on safe side it's better to invest one way or other coz I u didn't than will be left with no choice at the time if extension apart from refusal.

Regards

[educators]

It's a million dollar question and everyone got own views about it but my understanding from policy guidance is that funds need to be transfer into business account and then invested into business in order for us to meet the requirement for extension as keeping money in business will not fulfil the requirement of investment done.

Also to be on safe side it's better to invest one way or other coz I u didn't than will be left with no choice at the time if extension apart from refusal.

Regards

It is not a question anymore. Please see below on page 40 of policy guidance.....

Money deposited in a bank account, even if it is in a United Kingdom business bank account, is not counted as investment in business. The money should be used in the business to encourage growth or expansion, to improve services or products and to ensure the business is profitable.

[alpharomeo]

can anyone please PM me the sample of directors loan agreement (unsecured).

Thanks.