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what is regarded as invertment and business assets

Only for UK Tier 1 (Entrepreneur) points system. This route is now closed to new applicants.

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n8net
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what is regarded as invertment and business assets

Post by n8net » Tue Aug 30, 2016 12:47 pm

for Tier 1 Extension, there seem to be confusion as to what constitute investment.

As I understand,
a)
day-to-day expenses of running business, elec gas bills
office rent
employee wages

all considered investment

b)
and any purchase, such as property or equipment not considered investment ?

is that right ? so , does HO expect everyone to spend 200k on a) above only ?
any links to exact pages in guidance or any other doc will be helpful to understand the difefrence and prepare for my interview.

thanks

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zimba
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Re: what is regarded as invertment and business assets

Post by zimba » Tue Aug 30, 2016 1:01 pm

If you read the guide, there are clear rules on what you should NOT spend your investment money on or otherwise you will not be awarded any points.
Obviously buying assets for your business should be fine however I have heard cases which HO refused individuals who invested most of their money on company assets and left with no capital to invest in the business itself.
Simply buying stuff in order to sell them afterwards for a profit is not business investment and should not be counted for the award of points
Advice is given based on my personal research and experience only. Do NOT contact me via private message for immigration advice

n8net
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Re: what is regarded as invertment and business assets

Post by n8net » Tue Aug 30, 2016 1:41 pm

thanks Zimba,

but acn u point me to the exact pages in the guidance that says this ?

as far as I can see , only point 136
136. The amount of money invested should not:
 Include the value of any residential accommodation or property development or property
management; or
 be in the form of a director’s loan, unless it is unsecured and is subordinated in favour of
the third-party creditors.

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zimba
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Re: what is regarded as invertment and business assets

Post by zimba » Tue Aug 30, 2016 1:57 pm

Read item 46 about what does 'invested' or 'spent' mean in the context of the rules
Advice is given based on my personal research and experience only. Do NOT contact me via private message for immigration advice

n8net
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Re: what is regarded as invertment and business assets

Post by n8net » Mon Sep 05, 2016 7:08 pm

in general, that only tells about "buying something" is not investment, especially properties for which the whole money could be spent and u cannot declare urself an Enterprenauer.

but, what about buying equipment such as laptops for your business ? surely that in investment although u built up assets?

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zimba
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Re: what is regarded as invertment and business assets

Post by zimba » Tue Sep 06, 2016 9:41 am

Buying a laptop for your business is business expenses and acceptable.
Advice is given based on my personal research and experience only. Do NOT contact me via private message for immigration advice

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