Job Creation - Existing Business

[londonexpert1]

Hi All,

I am new to this forum and wanted to clarify the job creation requirement if I am investing in an existing business.

If the existing business lets say have 7 full time staff already, if I add another 2 full time staff and these 2 staff stay for 12 months or longer, I understand this should satisfy there requirements. However what happens if these 2 new staff do stay for 12 months, but the 1 or more of the existing 7 staff leaves the company and not subsequently replaced?

or I basically need to ensure at a minimum of 12 months during the initial 3 years and 4 months I have in total 9 Full time equivalent positions. Also EACH individual positions needs to add up to 12 months.

Because my concern is the more employees the company has at the start of my investment/Tier 1 application approved, then the more employees I needed to ensure I can keep for 12 months?

Thanks all in advance for your help

[marcnath]

Hi All,

I am new to this forum and wanted to clarify the job creation requirement if I am investing in an existing business.

If the existing business lets say have 7 full time staff already, if I add another 2 full time staff and these 2 staff stay for 12 months or longer, I understand this should satisfy there requirements. However what happens if these 2 new staff do stay for 12 months, but the 1 or more of the existing 7 staff leaves the company and not subsequently replaced?

or I basically need to ensure at a minimum of 12 months during the initial 3 years and 4 months I have in total 9 Full time equivalent positions. Also EACH individual positions needs to add up to 12 months.

Because my concern is the more employees the company has at the start of my investment/Tier 1 application approved, then the more employees I needed to ensure I can keep for 12 months?

Thanks all in advance for your help

The requirement is to have a NET increase of two JOBS.
You have submit all employee records for 12 months before you joined the business.
Though this is not clearly stated, my interpretation is that they will look at employee records for the 12 months before and expect that you have created two additional jobs after that.
So, in your example, if an existing employee leaves, the expectation would be that they should also be replaced to meet the requirement as you stated in the highlighted portion above.
The 12 month requirement is only for the new jobs created.

[londonexpert1]

Hi All,

I am new to this forum and wanted to clarify the job creation requirement if I am investing in an existing business.

If the existing business lets say have 7 full time staff already, if I add another 2 full time staff and these 2 staff stay for 12 months or longer, I understand this should satisfy there requirements. However what happens if these 2 new staff do stay for 12 months, but the 1 or more of the existing 7 staff leaves the company and not subsequently replaced?

or I basically need to ensure at a minimum of 12 months during the initial 3 years and 4 months I have in total 9 Full time equivalent positions. Also EACH individual positions needs to add up to 12 months.

Because my concern is the more employees the company has at the start of my investment/Tier 1 application approved, then the more employees I needed to ensure I can keep for 12 months?

Thanks all in advance for your help

The requirement is to have a NET increase of two JOBS.
You have submit all employee records for 12 months before you joined the business.
Though this is not clearly stated, my interpretation is that they will look at employee records for the 12 months before and expect that you have created two additional jobs after that.
So, in your example, if an existing employee leaves, the expectation would be that they should also be replaced to meet the requirement as you stated in the highlighted portion above.
The 12 month requirement is only for the new jobs created.

Thanks so much for your prompt reply. Really useful to know. So I really have to be careful how many employees the business has. So basically I need to ensure within a 12 months period the business has a total of 9 employees full time (the existing 7 employees + the 2 new hire). If anyone leaves, I must make sure there are replacement to fill up the 12 months requirement.

Also I wanted to confirm the actual DATE used to determine when the net increase starts.

I haven't submitted the tier 1E application yet, however I am about the make an initial investment of money into this company. The existing owners have already appointed me as a company director with Companies House. I am planning to submit the application in the next 1-2 months or so and hopefully be in the UK straight after that.

If they now employ 2 staff, can these count as the net increase or it must be from the date the Tier 1e application is approved?

[marcnath]

Thanks so much for your prompt reply. Really useful to know. So I really have to be careful how many employees the business has. So basically I need to ensure within a 12 months period the business has a total of 9 employees full time (the existing 7 employees + the 2 new hire). If anyone leaves, I must make sure there are replacement to fill up the 12 months requirement.

Also I wanted to confirm the actual DATE used to determine when the net increase starts.

I haven't submitted the tier 1E application yet, however I am about the make an initial investment of money into this company. The existing owners have already appointed me as a company director with Companies House. I am planning to submit the application in the next 1-2 months or so and hopefully be in the UK straight after that.

If they now employ 2 staff, can these count as the net increase or it must be from the date the Tier 1e application is approved?

The date of joining is the date you become a Director.

But that is obviously in the case where you join after you get the visa. While your scenario is not explicitly stated, you should assume that they will take your grant date or director appointment date, whichever is later.