SHAIKH9870 wrote:as per UKBA :
funds - all applicants
Funds already invested.
54. You may not use the same funds to score points for your funds available for investment and for maintenance funds for yourself and any dependants.
55. If you have already legally established a business in the UK while under a different immigration category, you may use this investment to claim points if it satisfies the requirements. If all of the money needed has been invested, all of the points needed for attributes can be awarded
(75 points).
56. The investment must have been made in the 12 calendar months before the date of application. Any investment made more than 12 months before your application will not be counted.
57. We recognise that, as an entrepreneur, you may have moved on to other activities and no longer be involved in the business in which you initially invested, but we still require this evidence to show that the money was invested.
Is there one who can clear the point No 54 and 56 . what does it means .
If I start export business under different Cat - and do some investment and apply for Tier1 within 12 months time limits, what I need to show ? UK Bank statement ? how they will calculate that money is already invested ? Can I issue credit notes to my client ( will it be part of investment ) like : I trade £45000 , credit to my client Receivable £ 90000 Showing rest balance £65000 out side UK account ? Acceptable ?
Please advise.Thanks
@ SHAIKH9870,
Point no 54 means that your investment funds of either 50k or 200k must be separated from your maintenance funds.
Example if you are applying under
200k category, your 200k + your £900 maintenance must equals £200,900 and not £200,000 where you will expect to use part of the 200k for your maintenance funds.
Point 56, mean that you can claim all the money you already invested in any business within the last 12months before submitting your application. Example if you are applying under 200k category and say you register your company 9months ago and wish to submit your application by dis month, then any money you have already invested in that business can be claimed as part of the 200k funds.
The issue of credit notes e.t.c you are asking is very different, HO require you to have invested cash from your own money or third party funds directly into the business and your supply credits e.t.c are completely different from cash invested into business. For example, if you have 200k in the form of director loan into your business and you use 50k out of this to supply your client, then you must have proof that you already use 50k as running cost to supply your client and the remaining 150k must be in cash in your account. Mind you the 50k you use to supply your client is still running cost for your business and if your profit from such supply runs to say 30k, then that money should be categorise as profit under your business account and you should be careful using such money as part of your available funds to invest as you still have to pay corporation tax on that 30k profit.
Another point to note is that money invested in business might be salary, running costs like rents, transport cost, business property bought, machineries bought e.t.c. and not gift to yourself from business account. Your accountant will be able to explain what is class as invested money in business.
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