Self Sponsorship
UK Self Sponsorship - A commercial route to permanent UK residency
What is Self-Sponsorship?
To whom is this addressed?
- You wish to own a business in the United Kingdom.
- You want to lead, manage, and grow your UK Company.
- You want to be free of the anxiety of losing your UK visa.
- Who would be eligible?
- Has experience, skills, or qualification(s) in the field of the business they intend to start. Has a business concept or has found a pre-existing UK firm to take over.
- Has sufficient resources to support its projected business in the United Kingdom.
- Please keep in mind that there are no minimum or maximum investment requirements for your business endeavors. It depends on your company's needs and might range from £25,000 to £50,000 or more.
- Has a person who is settled in the UK or has a British citizen to take on the Authorizing Officer's responsibilities.
- Has the capacity to sit for and pass a Level B1 English language test*
Which businesses are eligible for self-sponsorship?
In what ways is self-sponsorship preferable?
If you wish to start a business or expand your current international operation to the UK, the Self Sponsorship route may be the ideal way to work and live there. It is critical to understand that there is no such thing as a “Self Sponsorship Visa,” but rather a route to enter the UK through the Skilled Worker Visa category. The Self Sponsorship Visa UK will enable you to establish a UK company that will sponsor your entry and employment in The UK (with the assistance of a UK resident Director). Unlike the Innovator Visa, you can hold stock in the company and there is no minimum investment limit.
One of the major advantages of self-sponsorship is that it allows company owners to operate and manage their businesses in the United Kingdom without fear of having their visas cancelled. This visa option is best suited for seasoned entrepreneurs or those who have investigated the UK market and seen an opportunity to establish a new firm here. You must first get a Sponsor License before the Company may sponsor you.
StatsRef:
The number of visas granted in 2021 was 1,311,731, with the skilled worker visa route, which was established in late 2020, accounting for 148,240 or 62% of all work-related visas issued and 98% of all skilled worker grants.
However, currently, only a tiny percentage of innovator-endorsing bodies accept open applications for endorsement, with 33 UK groups granting endorsements. Many of them have very little information about their procedure which is publicly accessible, and many of them only accept applications from people who are already part of their group. As a result, the great majority of prospective applicants are virtually barred from applying. Some certifying bodies have confessed that they are either not prepared, where they do not have the relevant documentation or are not yet ready to begin accepting applications for endorsement. Prior to the establishment of this approach, the Home Office provided many endorsing bodies with limited guidance about their responsibilities.
What are the eligibility criteria for a UK self-sponsored visa?
- The applicant should have some expertise, skill, or qualification in the industry in which they wish to establish their business.
- Keep in mind that there is no minimum or maximum amount that must be invested in your business venture. It might be as much as £25,000, depending on your company's needs.
- The applicant is acquainted with a British national who is a resident of the United Kingdom and is capable of performing the responsibilities of the Authorizing Officer.
- The applicant must have the financial means to conduct their intended business in the United Kingdom.
- The applicant must take and pass the approved English language test at Level B1.
- The candidate must have a business idea or have discovered an existing firm in the UK that they wish to expand.
The pros and cons of the Self-Sponsored visa UK route compared to that of the Innovator or Start-up visa
Here’s a table of contents:
| Self-Sponsorship Route | Start-up Visa | Innovator Visa |
|---|---|---|
You can be the only director and owner of your firm. | While there is no shareholding requirement for these visa routes, certain endorsing bodies need certain shares in the company before giving a visa endorsement for Start-Ups and Innovators. | Although no ownership is required for these routes, applicants should be aware that many endorsing organizations for the Start-Up and Innovator visas need a part of the firm’s equity before providing an endorsement. |
Any company can qualify for self-sponsorship. | This business is for first-time entrepreneurs. | This business is for experienced businesspersons. |
No Endorsement letter required | Endorsement letter is required | Endorsement letter is required |
No possibility of visa termination as you’ll be your own sponsor. | If your endorsement is revoked, your visa might terminate. | If your endorsement is revoked, your visa might terminate. |
You can apply if you are a successful businessperson, and you have identified a business opportunity in The UK. | You cannot join a business that is already trading | You cannot join a business that is already trading |
Valid for 4 years as per the conditions of The UK Skilled Worker visa | Valid for 2 years | Valid for 3 years |
What is the process of Self-Sponsorship?
- Stage 1: Form a corporation in the United Kingdom and apply for a Sponsor Licence.
- Your UK Corporation can be registered with the assistance of a licensed UK accountant.
- Note: If you are not a UK resident, you must first choose a UK-based Director.
- Estimated time frame: 6 to 8 weeks.
How do I apply for a Sponsor License?
Your UK Corporation must produce at least four of the following documents:
- Most recent UK bank statement, showing funds in the account (the amount required will depend on the type of business you are planning to run)
- Employer’s Liability Insurance
- VAT certificate
- PAYE and Accounts Reference Number
Other information
- A working website (if relevant)
- An email address for the firm
- If the company is in its early stages, a business strategy is required.
- An organizational chart displaying existing employees and open positions.
- A letter having the data about your company, such as business details, working hours, open positions, and the amount you will be paying yourself.
Stage 2 – Create and distribute a Human Resources package to your UK organization.
You must verify that your firm has the required policies and processes in place to sponsor you as a skilled worker as part of the process of applying for a sponsor license.
Timeline: About two days.
Stage 3 – Receive a Certificate of Sponsorship and we will assist you with the process of obtaining a Skilled Worker Visa. After your UK firm Sponsor license is approved, you will need a Defined Certificate of Sponsorship.
Timeline: 4 to 12 weeks.
What is the required investment for my UK business?
There is no minimum or maximum investment; it can range from £25000 or more.
Do I have the right to become a 100% shareholder and director of the UK business?
Do I need to demonstrate the funds by a certain date?
Yes, you have to demonstrate the funds before the sponsor license is submitted to the Home Office.
What will my role be in the UK Company?
How much is a Skilled Worker Visa?
Can I take on other employment in the UK?
How will your visa or sponsor license be affected if the business does not perform well over the 5-year period?
What can Global Solicitors do to assist you in obtaining self-sponsorship?
We can:
- Introduce you to strategic partners that can assist you in reaching your goals, such as an accountant, a web designer, and a sales/marketing consultant.
- Creating a business strategy for your company
- Advice on how to create a business bank account
- Prepare and provide advice on your company's sponsorship license application.
- Plan ahead of time and teach your Authorizing Officer
- Prepare your Skilled Worker Application and submit it.
- Provide you with hands-on assistance throughout your UK immigration procedure.