Tips on Investing in existing UK business for Tier 1 Entrepr

[GLL]

Dear members,

Working extensively with Tier 1 Entrepreneurs on investing in UK business we would like to share with you the list of tips that you should keep in mind when selecting the businesses for investment.

Choosing the option to invest in existing business is a popular ways for Tier Entrepreneurs to obtain their visas. It gives advantage to entrepreneurs who want to have an established platform and a team in place as oppose to starting everything from scratch. Setting up a business is a challenging task, and setting up a business in a foreign country and unfamiliar environment is twice as challenging.
Here are some tips that you should keep in mind:

1. Build your business case for the immigration and chose the business that matches your skills and experience. With introduction of “genuine entrepreneur” test you must demonstrate that you are genuinely intent to run business in the UK. If you have a narrow expertise and you chose the business in a different field or you have never run your own business it would be difficult to pass the test. Your business case needs to make sense.

2. Ensure that the business is genuine. This goes without saying that you need to do background checks. Ask for the incorporation documents of the company, company’s accounts. In the UK you can check information about UK companies on Companies House website at https://www.gov.uk/government/organisat ... nies-house

3. Ensure that you understand the business and the business plan. Most likely you will be asked detailed questions about your chosen business at the interview. Make sure that you are well prepared and have thorough understanding of the business.

4. Ensure that the money you invest will go for the purpose of the business development/expansion. There have been cases where the existing shareholders sold their stake in the company to Tier 1 Entrepreneurs who afterwards had issues with their visas, as the money went to the previous shareholders rather than the business.

5. Ensure that the company where you intent to invest clearly understands the visa rules, (e.g on investment, Directorship, job creation), etc. Most UK companies looking for investment are not aware of peculiarities of investment related to Tier 1 (Entrepreneur) visa and you need to have the investment conditions clearly agreed and documented.

6. Ensure that you always execute appropriate legal documentation with the company where you invest and understand your responsibilities as a Director and Shareholder.

7. Ensure that you understand how and when you can exit the business if you wish to do so and any restrictions that may be places on this.

We hope you will find below guidance helpful. If you have any questions or require assistance, do not hesitance to contact us at email removed - moderator edit - advertising is not permitted on the forum

[snapitbik]

Thank you very much.. Hope it helps other members too...

[naveediiqbal]

Dear members,

Working extensively with Tier 1 Entrepreneurs on investing in UK business we would like to share with you the list of tips that you should keep in mind when selecting the businesses for investment.

Choosing the option to invest in existing business is a popular ways for Tier Entrepreneurs to obtain their visas. It gives advantage to entrepreneurs who want to have an established platform and a team in place as oppose to starting everything from scratch. Setting up a business is a challenging task, and setting up a business in a foreign country and unfamiliar environment is twice as challenging.
Here are some tips that you should keep in mind:

1. Build your business case for the immigration and chose the business that matches your skills and experience. With introduction of “genuine entrepreneur” test you must demonstrate that you are genuinely intent to run business in the UK. If you have a narrow expertise and you chose the business in a different field or you have never run your own business it would be difficult to pass the test. Your business case needs to make sense.

2. Ensure that the business is genuine. This goes without saying that you need to do background checks. Ask for the incorporation documents of the company, company’s accounts. In the UK you can check information about UK companies on Companies House website at https://www.gov.uk/government/organisat ... nies-house

3. Ensure that you understand the business and the business plan. Most likely you will be asked detailed questions about your chosen business at the interview. Make sure that you are well prepared and have thorough understanding of the business.

4. Ensure that the money you invest will go for the purpose of the business development/expansion. There have been cases where the existing shareholders sold their stake in the company to Tier 1 Entrepreneurs who afterwards had issues with their visas, as the money went to the previous shareholders rather than the business.

5. Ensure that the company where you intent to invest clearly understands the visa rules, (e.g on investment, Directorship, job creation), etc. Most UK companies looking for investment are not aware of peculiarities of investment related to Tier 1 (Entrepreneur) visa and you need to have the investment conditions clearly agreed and documented.

6. Ensure that you always execute appropriate legal documentation with the company where you invest and understand your responsibilities as a Director and Shareholder.

7. Ensure that you understand how and when you can exit the business if you wish to do so and any restrictions that may be places on this.

We hope you will find below guidance helpful. If you have any questions or require assistance, do not hesitance to contact us at email removed - moderator edit - advertising is not permitted on the forum

Nice effort