Urgent - Document update to HO while Application in progress

[Vish79k]

1st Limited Co ( Say Co A) Created Jul 2013. Iam the only director
I mentioned in the application that i have plans of doing a few other business activities not shown as a part of the plan on this application, separately on a hand written covering letter and I have given my reasoning. i didn’t say i will open another company. Please note this point *
Funds 50k Shown as My dad holding funds overseas.
Applied for Entrprenur Visa in Dec 2013
Congrats to me - Entrepreneur Visa Received : Feb 2014

Now the play begins:

Co A trading - No Investment done. In Sep 2014 Interacts with a client co xyz . Generates revenue. Xyz pays into Business account of 1st company. Co earns income this way for some time.

In Aug 2015 - 2nd Limited company created ( Co B). again Iam the only director just like the co A. *Please note this co B is not registered within the 6 months of entering the visa. However I did mention as a part of my previous application that I did intend to carry out other business activities which is what Iam doing in co-B. I formed this company as the nature of business activities could be kept separately and at this time I realised I can do multiple business activities by adding codes. However I had created this co by then so I continued with Co B.

I Transferred cash around 35 k from 1st Co-A to my personal bank account. This money transferred has been taxed and corporation tax paid. The money is moved to my personal account in the form of Loan from Co A : What loan is this called : Co-A to personal - Directors loan ?

Then from my personal account I transferred this to my Co-B.
Also I called in 24k funds from overseas into my personal acc and Invested that into the second .


Since my second co was opened in aug 2015 and I have done the investment the way i have explained above. Is that Okay or not ?  Its too late for me to undo this as I havent registered the co within 6 months of my visa. However My point is I have my old co to cover that up for points. However My investment is in my second co majorly.


I havent seen anywhere regarding this situation or a scenario. Nor any documentation of multiple cos like the one I have done.  Iam new to business and I got caught up in my own world keeping in mind Investment and two employees as min criteria. The two employees are in my new co-B along with me.


Please advise Am I good ? I havent seen any documentation so as to not to do the investement in a second co the way I have done. also they have specified that they understand businesses close and open but we need proof that money is invested. and also a section that the co needs to be registered within 6 months from a specified date - i meet that condition with my first co and I havent closed it. Nowhere it says you cant open a co after 6 months or so. If they understand businesses close and open they should not have a problem with me opening a new co after a year and half I suppose.


So Investment Wise as I have only called in around 25 K from overseas as opposed to 50k as shown in my initial application . Why should this be a problem if I take the funds out of Co A after paying taxes ? and a you can see I didn’t want t bother calling the rest of the funds from overseas as I got this from my own co-A.

Also someone within a circle of friends who appears to be a bit knowledgable proposed why can’t you get this done this way : as if Co A buying co-B. I can still do this as my accounts haven’t been done for the 3rd year for my first co yet.. This way It would look like Co A has brought this Co-B and the investment criteria would be met along with 6 Montsh criteria as Co A Is registered since 2013.


Please advise on all questions I may have asked above at every section . Please
Also Since only 25k Funds were called in - Will Have a problem . Say if i have a problem and I don’t get points for investment and I will be refused. One of them proposed saying within 14 /28 days whatever criteria I have make a fresh Application not for entrepreneur extension but for Initial Application for entrepreneur as the investment is already done in second co B. Is this even possible? Makes sense? Does the Entreprenur Visa initial application route still open ? If yes, Can i apply again as Honestly my funds are all stuck and I have paid a lot of taxes . I feel like a looser and this would be unfair. Ian inexperienced in this business field however i get focussed on to something , that i won’t realise the problems building up or around me until that moment comes in picture as in the case Iam right now. Also Bad experiences with people in this business world kind of slow you down - Well we try doing something with sincerity it doesn’t work I guess . I was totally ignorant about the 6 months criteria however I feel that should not apply to me as I meet the criteria with my co A but the investment has been done in co B. i can’t do anything as its too late with regards to investment . Please advise. jam really capable of pulling through despite what I have gone through . All My money is genuinely stuck and its unfair If Iam not going to be recovering .



My extension is due in 2 weeks of feb 2017. Iam tired tbh a lots of ups and downs. Mental torture.

regards
V

[Vish79k]

All respected Gurus and dear Zimba Please advise my options !!! Please

[Vish79k]

Sorry Correction Above Initially applied entreprenur Visa in Dec 2013 and I got my Visa in feb 2014

[sm12]

The requirement is that you should be active in business throughout, so you can show that you registered as a director for company A within the time period. In the guidance it says that the Home Office understands that you may move from one business to another business.

As for company A buying Company B, that seems far too complicated and I don't think it will help. I don't understand why you think you should apply for an initial application once again?

As for whether it is ok to take funds out as loan from company A and transfer them to company B as investment- well, this is a tough one. You are required to invest your personal funds into the business. I think the better option would have been to take dividends from profits or even a salary, rather than a loan, to transfer the funds to yourself. Maybe a senior member can advise. I'm not sure about this one.

[seasky]

1. I did not understand your story at all. Very incoherent writing style

2. You can register within 6 months in company A as a director. Then do all your business in company B. Even close down company A.

[Vish79k]

Thank you @sm12 for your contribution. The company A buying company B is just an Option we are looking at : if HO refuses and my case doesnt stand a chance either on investment grounds or in any other ways. So If Iam good with claiming points to be in business since I started of 2013 with CO A till present and if it is accepted, Knowing the fact that CoB is registered i AUg 2015 which is way after 6 months of entering the route, then Iam should be okay on this point as I have not closed co A and is active. So to satisfy 2 points as coA being registered within 6 months (Buys co B) and secondly The investment of 50K , is an option being looked at but tbh Iam not sure taht is why Iam asking if its possible. However I dont have to do this if HO is okay to go ahead wuth CoA regsitration and ignore the fact CoB was registered over a year.

Yes with regards to Investment a part of the funds have been taken as Dividends and the rest as a loan as I guess the accountant says the max you can take dividends is a figure he gave me which is around 8 to 9 K I guess into my personal accounts. So In my personal tax I have those funds as DIvidends Plus Loan.
Any extra advice will be much appreciated. Thank you again

Hi @seasky than you for your contribution . Iam sorry as I have written this in a bit of rush and Iam so desperate as well as you can see I dont have time. Thats great on your point no2 . I have been registered on Co A and I have done business on Co B which was opened after a year and a half.
The initial application is a suggestion done by someone who thinks If the case gets rejected on grounds of investment in some way or the other as in the initial application the funds were mentioned as coming from overseas and currently the funds are coming in from co A as loans you see. So if it gets rejected he said try looking from this perspective to reapply as Initial application as my 50 K investment has already been done and that way a possibility exists . Tbh I dont know if its possible or why not . Iam only trying to get things clarified . This scenario comes after me applying as extension and then HO refuses later. Any extra advice will be much appreciated. Thank you again


Dear Sr members Please advise and Dear Zimba88 please advise Thank you in advance

[Vish79k]

Hello Is there anyone please advice thanks

[sm12]

Yeah, I think it is ok to claim registration within six months for company A and investment in company B. Would be best to submit Current Appointment Reports for both the companies.

I think there shouldn't be an issue with the reinvestment of the dividend.

Is there any possibility of transferring the balance amount (after dividends and the original 25K investment), from your original funds that you showed with your initial application? Though this will require you to get management accounts made to show the investment.

Just suggesting options because I don't know whether taking a loan from one company and transferring it to another would be acceptable.

[Vish79k]

Its too late as I never gave a thought in that direction at all to get the investment at this stage. Thanks again sm12,

@ Zimba where are you please. What are your thoughts on the case as I have to get my 3rd year accounts done and submit. Thanks

[sm12]

Have you approached a lawyer about this?

[Vish79k]

I had asked someone about this long time ago . I gota response saying as long as its genuine its okay. But Iam not sure if they really paid attention to details.

Very recently as i mentioned one of the scenarios saying that you apply as initial application if refused was suggested by an immigration expert. so ambiguity is high !

[sm12]

What is the amount of the loan? Can you see it in your Company A accounts clearly saying you took out a loan?

[zimba]

To be honest your post is incomprehensible.
- You can claim points from company A for being registered within 6 months, no issues
- You can invest taxed money from your company A and invest it in company B, no issues
- You can have as many businesses as you want, no issues
- You can claim points for investment/jobs across multiple bushinesses if you were a director, no issues

[Vish79k]

Hi The total amount the way its being transferred is

24 K from over to personal account to co B

rest of the transactions are from CO A to personal and then to co B . They are all identifiable transactions. I might mentioned ref loan on few transactions.

[Vish79k]

Thank you Zimba . I know its incomprehensible. However you have nailed it all to one liners and looking at the way you have mentioned it seems like what i have done is okay and acceptable. i shall mention a cover letter explaining your points as summary.

I shall go forward with this.

But Just a question. In case if something happens :

as someone suggested if refused they asked me to see if I can apply for a fresh initial application within the 14/28 day provided I havent disturbed my maintenance funds. Is that possible that I can apply for a different tier 1 from scratch as initial l application as my investment is done. Just checking if this makes sense

[samaygrg]

Thank you Zimba . I know its incomprehensible. However you have nailed it all to one liners and looking at the way you have mentioned it seems like what i have done is okay and acceptable. i shall mention a cover letter explaining your points as summary.

I shall go forward with this.

But Just a question. In case if something happens :

as someone suggested if refused they asked me to see if I can apply for a fresh initial application within the 14/28 day provided I havent disturbed my maintenance funds. Is that possible that I can apply for a different tier 1 from scratch as initial l application as my investment is done. Just checking if this makes sense

If you are eligible to switch into the category you aim to, you can [provided you applied in time for this application (pretty sure you'll do this), can reapply to any eligible ones within 14 days].

[Vish79k]

Hello Samaygrg

If you are eligible to switch into the category you aim to, you can [provided you applied in time for this application (pretty sure you'll do this), can reapply to any eligible ones within 14 days].

Yes Iam eligible to apply, with my given situation as I mentioned. Iam running short of time to complete my application. Iam unorganized in life and and it always catches up with me . Thank you for your contribution. I shall give my best shot and I shall post my results a soon as I get any information.

Thanks
V

[samaygrg]

All the best, buddy!
We wish to hear good news from you soon. Keep updating.

Hello Samaygrg

If you are eligible to switch into the category you aim to, you can [provided you applied in time for this application (pretty sure you'll do this), can reapply to any eligible ones within 14 days].

Yes Iam eligible to apply, with my given situation as I mentioned. Iam running short of time to complete my application. Iam unorganized in life and and it always catches up with me . Thank you for your contribution. I shall give my best shot and I shall post my results a soon as I get any information.

Thanks
V

[Vish79k]

Than you Samaygrg. I will definitely let you guys when I hear from HO. best of luck to you as well
.

[Vish79k]

Updating Timelines
Application Posted : 18 Feb 2017 Saturday by post
Application received by HO : 21 Feb 2017 Tue
Payment Cleared by cheque: Feb 28 2017.
Bio Letter received on 12 March 2017 dated 10 March 2017.
Biometric done : March 23 2017
Exceptionally complex , require more time - letter received dated 29 March 2017.
Decision : Nothing yet . WIll complete 8 weeks on 18 April 2017.

Bottom line - Iam in a Limbo !

[seasky]

Updating Timelines
Application Posted : 18 Feb 2017 Saturday by post
Application received by HO : 21 Feb 2017 Tue
Payment Cleared by cheque: Feb 28 2017.
Bio Letter received on 12 March 2017 dated 10 March 2017.
Biometric done : March 23 2017
Exceptionally complex , require more time - letter received dated 29 March 2017.
Decision : Nothing yet . WIll complete 8 weeks on 18 April 2017.

Bottom line - Iam in a Limbo !

So far your timeline is standard, everyone is waiting a lot these days. In your case, you actuall are 'exceptionally complex' and I hope you explained everything well in cover letter

best of luck!!

[Vish79k]

Thank you seasky. tbh believe it or not , my cover letter just explains the documentation structure as I really was running short of time due to my last minute application. Iam not sure where Iam going with this nor what to expect. Its quite possible Iam due for the following :- an unpleasant news or an interview or some delay which would be a drag, all far from ideal expectations. So just thought I would update it anyways so it would help someone.

[annoyedatukba]

Updating Timelines
Application Posted : 18 Feb 2017 Saturday by post
Application received by HO : 21 Feb 2017 Tue
Payment Cleared by cheque: Feb 28 2017.
Bio Letter received on 12 March 2017 dated 10 March 2017.
Biometric done : March 23 2017
Exceptionally complex , require more time - letter received dated 29 March 2017.
Decision : Nothing yet . WIll complete 8 weeks on 18 April 2017.

Bottom line - Iam in a Limbo !

Just letting you know that I received the "exceptionally complex" letter as well, but I received my decision just shy of 10 weeks from date of application.

[Vish79k]

Thanks for the update annoyedatukba. If thats the case, the month end could be a possiblity for me. So point is uncertain. one can expect anything any moment. I hope you had a positive one, which Iam assuming you have so congrats.

[CR001]

Thanks for the update annoyedatukba. If thats the case, the month end could be a possiblity for me. So point is uncertain. one can expect anything any moment. I hope you had a positive one, which Iam assuming you have so congrats.

User 'annoyedatukba' visa extension was refused.
uk-tier-1-entrepreneur-visas/50k-extens ... 26273.html