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Guest House sharing investement

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

Moderators: Casa, John, ChetanOjha, archigabe, CR001, push, JAJ, ca.funke, Amber, zimba, vinny, Obie, EUsmileWEallsmile, batleykhan, meself2, geriatrix

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Sarah2017
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Guest House sharing investement

Post by Sarah2017 » Wed Apr 12, 2017 6:56 am

Good Morning,

This is my first post in this great board,

I'm planing to apply for entrepreneur visa, and my business will be investing 200K with one of my friends who already own and running successfully a guest house in Edinburgh, so my investment will be to sharing with her 40% of the guest house she already own and run,

Does this investment by shares in an existing guest house will be acceptable to the HO as an investment for Tier 1 Entrepreneur visa application?

My study background is pharmacist, but i have a relevant experience to run a guest house,

FYI, I'm applying from outside UK, and the 200k are in a joint account with my husband (in a recognized bank outside UK), we will not apply as a team,

My business plan will include details about my friend guest house and our plan for increasing the employment and also to expand and buy an run more guest houses,

Looking forward to hearing from you you valuable advice,

Regards,
Last edited by Sarah2017 on Wed Apr 12, 2017 7:06 am, edited 1 time in total.

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CR001
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Re: Guest House sharing investement

Post by CR001 » Wed Apr 12, 2017 7:04 am

Sarah2017 wrote:This is my first post in this great board,
Really? You are posting from the same IP address as member Diving4ever (click) :?:
Char (CR001 not Casa)
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Please DO NOT send me a PM for immigration advice. I reserve the right to ignore the PM and not respond.

Sarah2017
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Re: Guest House sharing investement

Post by Sarah2017 » Wed Apr 12, 2017 7:10 am

CR001 wrote:
Sarah2017 wrote:This is my first post in this great board,
Really? You are posting from the same IP address as member Diving4ever (click) :?:
Yes, this is our laptop, and he is my husband, and we changed the plan, and he no longer will apply,

Waiting for your advice

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CR001
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Re: Guest House sharing investement

Post by CR001 » Wed Apr 12, 2017 7:24 am

So I can deactivate his account then?
Char (CR001 not Casa)
In life you cannot press the Backspace button!!
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Sarah2017
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Re: Guest House sharing investement

Post by Sarah2017 » Wed Apr 12, 2017 7:32 am

CR001 wrote:So I can deactivate his account then?
If this is something against the board rules that both husband and wife have an account in the immigration board, so you can deactivate his account in that case,

Waiting for your advice.

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zimba
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Re: Guest House sharing investement

Post by zimba » Wed Apr 12, 2017 10:27 am

There is no specific rules to make it possible to answer this question with certainty. :!:
We simply know that property investment and management is not accepted or in general any form of investment where your intentions will be to generate profits or gains in future through rent/resale. HO might view your investment as a way to keep your money safe and then recover it (even with some gains) whenever your immigration is sorted through resale, an easy way to avoid business failure and the associated risks as the property market in the UK is quite lucrative and safe.

I am personally inclined to say that such an investment plan will not be viewed favourably by HO as a genuine business proposition but as a safe and easy attempt to come to the UK via investment in property market under the banner of a guest house business. This is obviously my personal opinion on this
Advice is given based on my personal research and experience only. Do NOT contact me via private message for immigration advice

seasky
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Re: Guest House sharing investement

Post by seasky » Wed Apr 12, 2017 4:20 pm

zimba88 wrote:There is no specific rules to make it possible to answer this question with certainty. :!:
We simply know that property investment and management is not accepted or in general any form of investment where your intentions will be to generate profits or gains in future through rent/resale. HO might view your investment as a way to keep your money safe and then recover it (even with some gains) whenever your immigration is sorted through resale, an easy way to avoid business failure and the associated risks as the property market in the UK is quite lucrative and safe.

I am personally inclined to say that such an investment plan will not be viewed favourably by HO as a genuine business proposition but as a safe and easy attempt to come to the UK via investment in property market under the banner of a guest house business. This is obviously my personal opinion on this
I like Zimba can only lend -opinion- and a contrarian view. If you can frame your BP mostly about the non property aspects of the business, you are in the hospitality business (which unlike property is a risky business). It could be accepted. Be clear how you will make it grow and your passion for this business.

It would help a lot if the biggest costs are not the property but the rest of the service. (In my company, we rent space of course and are not a property business because of that).

I fully agree with Zimba that it could easily be construed a property market investment. The onus is on you to strongly convey that is not the case

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