T1E 200k usage check

[Lusokeung]

Hi

I was invested GBP200K into the UK company under share capital. One of the shareholder’s lent GBP38k to the company for company funding to help and run the business before I invested into the company. The loan had been recorded in the management report properly. The company used my investment fund to return this loan to this shareholder.

May I know if HO will concern and challenge this GBP38k loan reflected in my accounting report of this 200k investment? Should I explain upfront to HO this loan was also for the company business during my extension application?

Look forward to your reply. Thanks a lot.

[marcnath]

No, this would have nothing to do with your visa or extension

[Lusokeung]

Hi

Thank you for reply. Some people mentioned the investment fund should be spent in meaningful way to your business development. That’s why I have a bit worry.

[Manu_cal]

Hi

Thank you for reply. Some people mentioned the investment fund should be spent in meaningful way to your business development. That’s why I have a bit worry.

Dont worry too much about it mate. They have a pre prepared script to follow and only thing which they will look in your accounts is your name and details of that share capital with value of shares. they are not concerned about your profit and loss as long as you prove the business is genuine.
good luck

[Lusokeung]

Thank you for your reply.
May I know if I need to prepare 2 sets of accounting reports and present to HO:
- one is pure my £200k how it spent, and
- another is my company accounting report including my £200k

My accountant now provides me a cash flow statement purely for my 200K. It is able to show how money spent. But the company also provides P&L, balance sheet and cash flow statements of the company. Should I provide all of them to HO. Really quite confused. Thanks for everyone help!!

[marcnath]

Thank you for your reply.
May I know if I need to prepare 2 sets of accounting reports and present to HO:
- one is pure my £200k how it spent, and
- another is my company accounting report including my £200k

My accountant now provides me a cash flow statement purely for my 200K. It is able to show how money spent. But the company also provides P&L, balance sheet and cash flow statements of the company. Should I provide all of them to HO. Really quite confused. Thanks for everyone help!!

You only need the annual company accounts.

[Lusokeung]

Thanks!
I know that my investment fund cannot be used for my salary. I haven't received salary so far although I am working for my company. In my case, my £200k almost all spent out. We are looking for new funding. Can I have my salary later? If so, do I need to prove and separate an account to show my salary comes from? Thanks!

[marcnath]

Yes, you can pay your salary out of any other funding that you receive including sales, grants, other investors, etc. There is no need to show or prove anything unless HO asks you specifically.