Tier 1 Entrepreneur Extension Approved w/o Interview !

By the grace of Allah my tier 1 entrepreneur extension approved in under 3 weeks time.

Application submitted: 07/01/2016
Biometric Done: 15/01/2016
Visa issued: 24/01/2016
Card received: 27/01/2016

THE KEY TO MY CASE WAS PRESENTATION & ONLY RELEVANT DOCUMENTS

I did apply for extension through 50K Route. All of the investment was made after the initial application & via bank transfer from personal to business account & as a director loan investment.

Below is the list of documents which I submitted. The relevant documents of each heading below were sent in a separate plastic transparent envelope (A4) with the title page at the top, so the case worker reads the page & finds the exact document in the envelope.

1) Application form
a. Main applicant application form with two photographs & passports
b. Dependants application forms with photographs & passports

2) Annual accounts
a. Report & accounts for first financial year 2013/14.
b. Form CT600
c. HMRC online filing log printout.

3) Annual accounts
a. Report & accounts for second financial year 2014/15.
b. Form CT600
c. HMRC online filing log printout.

4) Management accounts
a. Report & management accounts for current financial year 2015/16.
[The accounts must show the amount invested in the period of each financial year. In the application form, there is a chart given to fill out. I mentioned the accounts date & put whatever amount I invested in that particular year. E.g;
11/01/2014 £25K
11/01/2015 £15K
30/11/2015 £10K (Management accounts date)
You should not fill the form with each transaction you made through bank as my transactions were many. Also, the case worker looks at the date in the application form & will co-relate with your accounts. So, he/she will find the same dates & the same amount as in annual accounts submitted].

5) Corporation Tax documents
a. FORM CT41G
b. CT620 ACK for first year
c. CT620 ACK for second year
d. CT620 ACK for third year
e. CT610’s Corporation tax important dates (all three years)

6) Director’s Loan agreement
a. Unsecured Director’s Loan agreement
b. Letter of Investment from certified accountant
[The director loan on plain yellowish paper, dated before I started investing the money. It is always a good idea to put a witness in the letter as did I].

7) Business Bank Statement
a. Account name:
b. Account number
c. Sort Code:
[I put a sticky note on each page wherever there was a transaction from personal to business account. This would have saved the case worker from being so frustrated by finding such transactions in over 200 pages].

Current appointment report & filing History
a. Current appointment report for my company
b. Recent Filing history page
c. Certificate of incorporation of the company
[Even though I could get a free print outs of above, but I called companies house to provide me all of the above. It cost me £3 but it looked so original on the designated companies house stationary.

9) Full Payment Submission & Letter from accountant
a. RTI – Full Payment submission (FPS)
b. Letter from certified accountant confirming net creation of jobs
[Print out of all rti’s from the point your settled worker started working. These print must be signed by yourselves & if your company has an official stationary then stamp it]

10) Employee documents
a. Employee 1: Name of Employee
b. Employee Joining Statement
c. Form P60
d. Form P45
e. P11 deductions working sheets [Signed & Stamped]
f. Employee Proof of Identification [They should be the photocopy which you did for your own records before they started working for you. I did copy all ids before they started employment, signed & stamped & wrote Original documents seen & copied by (my name)]

11) Supporting documents
a. Business Insurance [all three years]
b. Recent trade contracts
c. Business Invoices
d. Online Advertisement

12) Share Certificate [Even though I did not go for the share certificate option but still I provided it]

13) Print out of Online Points Based calculator

14) Covering Letter

15) Maintenance Funds

I would like to thank all member & admin of this forum in helping me getting few answers. And now since I have found me peace, I wish you all the best if finding yours.
Questions are welcome but please make sure they are worth asking considering nature of my case. I am not a consultant but expert only on my case.

Massalam
Syed

Hi Syes
Congratulations dear and thanks for giving all the documents yous submitted and really appreciated the way you uploaded the list of documents .

By the grace of Allah my tier 1 entrepreneur extension approved in under 3 weeks time.

Hi Syed,

Congrats for your extension and Many thanks from all our members for sharing such valuable information.

Here I just want to know something -
If a Director lends 50k to the company in terms of Unsecured Director loan and submitting the Corporation tax as Company made some x amount of profit.
Does it indicates that company paid some amount of director loan to the Director ? as company made profits

Please let me know your thoughts guys,....

Hi Syed,

Congratulations!! can u share ur contact details as I have a few questions.

Does the company rent and salary paid to employees come under investment? so much confusion regarding this

Hi.

It seems it's what i have submitted for now. Still waiting for the outcome.

piyakashyap wrote:Hi Syed,

Congratulations!! can u share ur contact details as I have a few questions.

For their own safety, members are very strongly advised not to post any personal contact details on the public forum due to the site being visited by spammers and scammers. Please see point 5 of the Forum Terms & Conditions (click)

Accountant Letter for Job Creation


Dated: ________


To Whom It May Concern


Dear Sirs,


Re: Company contact details


This is to confirm that we are acting as accountants for the aforesaid person and he is Director and sole shareholder of Comapny.

We confirm that there has been a net creation of more than two full time jobs of 30 working hours a week at or above national minimum wage rate. The said employments have been created as from 01 February 2014 up until now which has created an aggregate of XXX hours of employment.

The employees’ details are available in the table below.

Title
Forenames
Surname
National Insurance Number
Employment Start Date
Employment End Date
Hourly Rate (Gross)
Total Number of Hours of Employment
Hourly Rate (Gross)
Total Number of Hours of Employment
Gross Pay (£)

Total Number of Hours of Employment

Please note that our firm is Chartered Certified and we are registered with Association of Chartered Certified Accountants (ACCA) under Registration No. XXX.

In accordance with our invariable practice this information is given strictly without responsibility on the part of the writer or the firm and we cannot be held responsible for any financial liability under any circumstances.

Should you require any further information regarding the above, please do not hesitate to contact us.

Yours faithfully,







Accountant Contact details

Accountant Letter for Investment

Dated : __________



To Whom It May Concern


Dear Sirs,


Re: Company Details

This is to confirm that we are acting as accountants for the aforesaid person and the limited company, company name in which Mr. XYZ is a sole Director & holds 100% shareholding of the company.


Mr. X has invested more than £50,000.00 in the business by way of a Director’s loan during the period ________ till _________. This loan is unsecured & subordinated in favour of any third party creditors.

The annual accounts for Company dated XXX & XXX are attached. The management accounts for the current year have been prepared for the period of ___________ till ___________, please find enclosed.

As far as we know, our client is financially stable & trustworthy person. We are not aware of any facts that might prejudice our client’s ability to enter into any contract.

Please note that our firm is Chartered Certified and we are registered with Association of Chartered Certified Accountants (ACCA) under Registration No. __________.

In accordance with our invariable practice this information is given strictly without responsibility on the part of the writer or the firm and we cannot be held responsible for any financial liability under any circumstances.

Should you require any further information regarding the above, please do not hesitate to contact us.

Yours faithfully,






Accountant details

Dear piyakashyap,

Rent & wages are never an investment, they are expenses & are acceptable to HO. Investment is coming into the business, spent/expense is going out. In my case, both of them were there & HO did not challenged on these.

Many thanks & good Luck !

rajrea wrote:

By the grace of Allah my tier 1 entrepreneur extension approved in under 3 weeks time.

Hi Syed,

Congrats for your extension and Many thanks from all our members for sharing such valuable information.

Here I just want to know something -
If a Director lends 50k to the company in terms of Unsecured Director loan and submitting the Corporation tax as Company made some x amount of profit.
Does it indicates that company paid some amount of director loan to the Director ? as company made profits

Please let me know your thoughts guys,....

Dear Rajrea,

Thanks for your kind words. I am not an accounting expert but nothing is understood automatically in the business accounts, unless it is stated in them. Firstly, What does your loan agreement tell you ? Is it that the company will start repaying the loan as soon as it starts making profit or does it say that the company will start repaying after certain period of time lets say five years ? I do not know but you do. Also, your business accounts will tell that whether the director has taken part of the loan back or not, there is a director loan account in your business account compilation.

So making a profit does not automatically confirms that the director loan is being returned. My advice is to retain the profit back in the business for future growth or against any unlikely liability to third party creditors. That is exactly what HO wants you to do "Regulate the money in the economy".

Please double check against my advice above.

Congratulations


Please could you kindly share your director loan template and who was witness?

You said you created director loan before transferring funds from personal to business account, so are you saying we can create director loan based on our estimates as amount of funds we expect to transfer say £200k in 3 years?

What if you transfer more or less than what is in director loan agreement?

Thank you.

hi did you spend any of the 50k or just invested in the company and it was sitting in the company bank accountts??is there any requirement for spending it as well??or homeoffice only wants us to invest?

Dear Rajrea,

Thanks for your kind words. I am not an accounting expert but nothing is understood automatically in the business accounts, unless it is stated in them. Firstly, What does your loan agreement tell you ? Is it that the company will start repaying the loan as soon as it starts making profit or does it say that the company will start repaying after certain period of time lets say five years ? I do not know but you do. Also, your business accounts will tell that whether the director has taken part of the loan back or not, there is a director loan account in your business account compilation.

So making a profit does not automatically confirms that the director loan is being returned. My advice is to retain the profit back in the business for future growth or against any unlikely liability to third party creditors. That is exactly what HO wants you to do "Regulate the money in the economy".

Please double check against my advice above.

Hi Syed,

Thanks for your response - My loan agreement says that company will start repaying the loan after 6 years which is unsecured and in favour of third party creditors. I haven't taking any profits from the company accept Director salary. I've spoken to one of my personal solicitor about the same and he confirms same. You are right and Thanks Once Again for your valuable suggestion

Hello M Syed,

Congratulations for success in 50K extension.

I have got very simple question here for you to answer if possible.

I have transferred 50K in four installment from personal to business account.

Do I have to make only one director loan agreement before first transfer? or should I make four individual director loan agreement for each transfer??

Your response will be appreciated.

nasiaziz wrote:hi did you spend any of the 50k or just invested in the company and it was sitting in the company bank accountts??is there any requirement for spending it as well??or homeoffice only wants us to invest?

Dear friend,

I invested 50K but my business expenses were around £175K. This is because there was some business income as well.

Its a good idea to not hold the money in the bank but use it.

Many thanks,

helpingperson wrote:Congratulations


Please could you kindly share your director loan template and who was witness?

You said you created director loan before transferring funds from personal to business account, so are you saying we can create director loan based on our estimates as amount of funds we expect to transfer say £200k in 3 years?

What if you transfer more or less than what is in director loan agreement?

Thank you.

Dear helpingperson,

The witness could be anyone who you are signing before. I requested a British doctor.

For director loan, you must not fall below 50k or 200k as the requirement is not met if it is less. So, on the director loan, i stated that I will be investing MINIMUM 50K into my business. but physically I invested 62K because of the requirements of the company. By writing "minimum" i was covered for both, HO requirement & if my company needs more than the same loan agreement remains valid.

Thank you Syed for you valuable information

Hello Syed,

Thank you.

As we don't have director loan yet, can we backdate it and make it for minimum £200k?

Then another question is do we need to mention this in accounts? If yes, where?

Our accounts are already done for 2 years.

Congratulations, well done!

Hi M Syed
I desperately need your help how can i manage to reach you mate are you on social media if you can share your name so i could find you there or moderators please help me to contact Mr Syed as i am under extreme pressure due to rough accountant and i desperately need consultation in intense mode
So moderators please help me may God ease your hardships as you ease the hardships of its people

Moderators i am quite desperate please help me as i am in need of it.
thanks
Asim

Hi M. Syed

thanks for helping all of us.

Can I please ask two questions regarding my visa extension (50K route)?

1) Can you please confirm if it is a requirement to submit 3 years accounts to HO?

In my case (visa dates: March 2013 - March 2016), I transferred 50K into my business account in fiscal year 2014 - 2015 which has now been spent in full by the company. In my opinion, we only have to submit the accounts including the time when investment was made and also when it was spent by the company. Please correct me if I am wrong.

2) Regarding wage slips of employees, is it OK to submit photo copies of original wage slips or do I have to get Duplicate wage slips from my accountant?

Actually my accountant changed his software and lost most of his data. He may have to create all of wage slips again in case if photo copies can not be submitted to HO.

Thanks

Asimnasimkhan wrote:Hi M Syed
I desperately need your help how can i manage to reach you mate are you on social media if you can share your name so i could find you there or moderators please help me to contact Mr Syed as i am under extreme pressure due to rough accountant and i desperately need consultation in intense mode
So moderators please help me may God ease your hardships as you ease the hardships of its people

Moderators i am quite desperate please help me as i am in need of it.
thanks
Asim

You will have to be a little patient.
Members naturally all have lives/families to take care of.

All communications with members should be via the board, there is no other way.

No doubt member M.Syed will be back when s/he has free time.

Other knowledgeable members may also be able to answer.

Dear
About Duplicate wage slip UkVI precisel stated in guiadance that Duplicate wage slip is acceptable but need all period employment duration.

fzp83 wrote:Hi M. Syed

thanks for helping all of us.

Can I please ask two questions regarding my visa extension (50K route)?

1) Can you please confirm if it is a requirement to submit 3 years accounts to HO?

In my case (visa dates: March 2013 - March 2016), I transferred 50K into my business account in fiscal year 2014 - 2015 which has now been spent in full by the company. In my opinion, we only have to submit the accounts including the time when investment was made and also when it was spent by the company. Please correct me if I am wrong.

2) Regarding wage slips of employees, is it OK to submit photo copies of original wage slips or do I have to get Duplicate wage slips from my accountant?

Actually my accountant changed his software and lost most of his data. He may have to create all of wage slips again in case if photo copies can not be submitted to HO.

Thanks

Dear Friend,

You should sent all three years accounts (2 submitted & 1 management accounts) even though you invested whole amount in first year. All three accounts will certify your continued business activity which they give you points for.

I submitted photocopies of the payslips covering whole period of employees for settles workers.

Many thanks