Re: Extension

My accountant says he has done atleast 12 extension applications accounts and there is no need for directors loan agreement if the investment has been fully made. I am on a 50k investment and getting confused by what people are saying. Please shed some light.

n_3 wrote:My accountant says he has done atleast 12 extension applications accounts and there is no need for directors loan agreement if the investment has been fully made. I am on a 50k investment and getting confused by what people are saying. Please shed some light.

You should not seek immigration advice from an accountant. You must only follow the immigration rules and provide evidence as required by HO. It is VERY CLEARLY written in the rules that you MUST provide the loan agreement (if invested as director's loan), otherwise your extension will be refused as you score zero points for investment. A loan agreement has NOTHING to do with your accountant and must be prepared by you or your business solicitor.

The evidence for investment does NOT need to be submitted ONLY AND ONLY if you scored points for it in your previous application (you previously submitted the accounts, the agreement, statements, etc)

n_3 wrote: My accountant says he has done atleast 12 extension applications accounts and there is no need for directors loan agreement if the investment has been fully made. I am on a 50k investment and getting confused by what people are saying. Please shed some light.

Mate Director loan agreement is must if you are the director of the company. Please read the guidance that is enough to enlighten you.

thank you so much..zimba, you seem to be very helpful to very one around here. Your are very kind. Yes i have now booked an appointment for tomorrow with the solicitor. This is my third solicitor. one of them took £400 and gave little information. He just told me that the investment should be in the form of a directors loan. Now the one i will be seeing tomorrow was the one i used for my initial application but they are a bit expensive. However they seem to be good. I am really getting mad reading various post. Zumba do u have any idea if salary paid to the staff count towards investment. The account says according to HO it is not an investment. Also the money that the business generates won't be counted a investment if used for investment purpose.
Aby00156, thanks to you as well. I will update more once i been to the solicitors.

I personally do not believe a solicitor can add much value to most extension cases I read here. It seems like that everyone relies on them for advice and most I've seen so far have been inaccurate or completely wrong.

do u have any idea if salary paid to the staff count towards investment. The account says according to HO it is not an investment. Also the money that the business generates won't be counted a investment if used for investment purpose.

Money invested in a company can be used to pay for company expenses including employee/staff salaries. However any remuneration/salary paid to you as the director will NOT counted towards investment.
Also profits generated will not count as investment.