Tier 1 Entrepreneur Visa to ILR: Requirements, Process, and Tips

Tier 1 Entrepreneur Visa to ILR Requirements 2024: Transitioning from a Tier 1 Entrepreneur Visa to Indefinite Leave to Remain (ILR) in 2024 requires a thorough understanding of the post-March 29, 2019, criteria. This guide delves into key requirements such as maintenance funds, English language proficiency, the Genuine Entrepreneur Test, and job creation. Although the Tier 1 Entrepreneur Visa has been replaced by the Innovator Visa as of March 29, 2019, ILR transitions from Tier 1 are still accepted until April 5, 2025, with visa switches possible until July 5, 2027. This resource is designed to navigate you through the complexities of securing ILR under the Tier 1 pathway.


Tier 1 Entrepreneur Visa to ILR Requirements

1. Transitioning from Tier 1 Entrepreneur Visa to ILR


The journey from a Tier 1 Entrepreneur Visa to Indefinite Leave to Remain (ILR) is a crucial pathway for entrepreneurs looking to permanently establish their lives in the UK. This guide is dedicated to outlining the process of transitioning from a Tier 1 Entrepreneur Visa to ILR, covering all the necessary steps, requirements, and valuable tips to facilitate a successful application. It aims to provide comprehensive insights into the specificities of acquiring ILR status for Tier 1 Entrepreneur Visa holders.

Eligibility Criteria for Tier 1 Entrepreneur Visa to ILR

  1. Job Creation for ILR:
    • Demonstrate the creation of at least two full-time jobs for settled UK workers.
    • Each job must last 12 months and exist for two years prior to the ILR application.
  2. Financial Investment Criteria:
    • Provide proof of a minimum investment of £200,000 (or £50,000 in specific cases) in cash into UK businesses.
  3. Genuine Entrepreneur Test:
    • Showcase genuine business involvement through evidence such as contracts, invoices, and management decisions.
  4. English Language Proficiency:
    • Demonstrate English language proficiency via an approved test, an English-taught degree, or nationality from a majority English-speaking country.
  5. Life in the UK Test:

By adhering to these criteria, holders of the Tier 1 Entrepreneur Visa can effectively navigate their path to ILR, securing the opportunity to reside and work indefinitely in the UK. This guide serves as a roadmap for the transition from Tier 1 Entrepreneur Visa to Indefinite Leave to Remain, ensuring a well-informed and structured application process.

2. Requirements for ILR as a Tier 1 (Entrepreneur) Migrant


Obtaining Indefinite Leave to Remain (ILR) as a Tier 1 (Entrepreneur) Migrant involves meeting specific criteria outlined in Paragraph 245DF of the Immigration Rules. These requirements ensure that the applicant has been compliant with UK immigration laws and has actively contributed to the UK’s economy through genuine business activities. Below is a summary of these key requirements:

  • General Grounds for Refusal: Applicants must not fall under any general grounds for refusal and must not have entered the UK illegally..
  • Points Requirement: A minimum of 75 points is needed, which are scored based on criteria set out in paragraphs 35 to 53 of Appendix A of the Immigration Rules.
  • Knowledge of English and Life in the UK: Applicants must demonstrate sufficient knowledge of the English language and life in the UK as specified in Appendix KoLL.
  • Compliance with Immigration Laws: It is essential that the applicant has not been in breach of immigration laws, except in the circumstances outlined in paragraph 39E of the Immigration Rules.
  • Genuine Business Requirement: The applicant must have established, taken over, or become a director of one or more genuine businesses in the UK and must have been actively involved in running and investing in the business(es).
  • Assessment of Genuineness: The genuineness of the business will be assessed on the balance of probabilities. Factors such as the viability of the business, credibility of the financial accounts, and evidence of job creation will be considered.
  • Right to Request Additional Information: The Secretary of State may request additional information to support the assessment of the application. Failure to provide this within 28 calendar days may lead to the refusal of the application.
  • Points-Scoring Requirement Genuineness: If the genuineness of the application related to points-scoring in Appendix A is in doubt, those points may not be awarded.
  • Decision on Assessment: The Secretary of State reserves the right to conduct an assessment of genuineness at any time and may forego this assessment if the application is liable for refusal on other grounds.
  • Compliance with Interview Request: Applicants must comply with any request to attend an interview, unless a reasonable explanation is provided.

Application Deadline:

Applications must be submitted before specific deadlines depending on the applicant’s circumstances:

  • For those who had leave as a Tier 1 (Graduate Entrepreneur) Migrant, the deadline is 6 July 2027.
  • For all other cases, the deadline is 6 April 2025.

Meeting these requirements is essential for Tier 1 (Entrepreneur) Migrants to successfully obtain indefinite leave to remain in the UK, securing their right to reside permanently and contribute to the UK economy.

3. Document Checklist for Tier 1 Entrepreneur Visa to ILR Transition


When applying for Indefinite Leave to Remain (ILR) under the Tier 1 Entrepreneur category, ensuring you have a comprehensive set of required documents is crucial. The documents needed fall into three primary categories: personal, business, and job creation. Below is the breakdown of each category:

Personal Documents

  • Current and Previous Passports: Essential for identity verification and travel history.
  • Biometric Residence Permit (BRP): Confirms your legal immigration status in the UK.
  • Police Registration Certificate: Required if applicable, based on your nationality.
  • Proof of English Language Proficiency: Demonstrates your ability to communicate effectively in English.
  • Life in the UK Test Pass Certificate: Verifies your knowledge of British life and culture, a requirement for settlement.

Business Documents

  • Business Registration Documents: Verify the legal status and operational status of your business.
  • Financial Investment Evidence: Documents like bank statements and share certificates, proving your financial commitment to the business.
  • HMRC Documents: Records such as VAT registration, Corporation Tax, and NI contributions, underscoring compliance with UK tax laws.
  • Company Accounts and Financial Statements: Detailed financial reports showing the health and operations of your business.

Job Creation Documents

  • Employment Contracts: Documented agreements for each role you’ve created within your business.
  • Payslips and Payment Records: Prove you have met the employment requirements for ILR.
  • HMRC Documents for Employee Tax and NI Contributions: Show that all required taxes and contributions have been paid.

Tips for Document Organization and Preparation

  • Start Early: Begin gathering documents well in advance to avoid last-minute pressures.
  • Authenticity: Ensure all documents are either originals or certified copies; photocopies are generally not accepted.
  • Orderly Presentation: Use dividers or tabs to organize the documents for easy access and review during your application process.
  • Translation: Provide certified translations for any documents not in English, accompanied by the original.
  • Comprehensive Review: Double-check your documents against this checklist to ensure no necessary piece is missing.

Conclusion

A well-organized and complete set of documents is key to successfully transitioning from a Tier 1 Entrepreneur Visa to ILR. By carefully preparing and presenting all required documentation, you enhance the likelihood of a smooth and positive outcome for your application.

4. Tier 1 Entrepreneur Visa to ILR Application Process


Applying for Indefinite Leave to Remain (ILR) as a holder of a Tier 1 Entrepreneur Visa involves a structured process. Below is a detailed guide that outlines each necessary step along with information on fees and processing times to help streamline your application.

Step-by-Step Guide to Applying for ILR

  1. Eligibility Verification: Confirm that you meet all the ILR criteria, which include job creation, sufficient financial investment in the UK, and passing the Genuine Entrepreneur Test.
  2. Language and Life in the UK Tests: Ensure you meet the English language requirements and have passed the Life in the UK test, both essential for proving your readiness to integrate permanently into UK society.
  3. Document Preparation: Gather all required documents such as current passport, biometric residence permit, proof of English language proficiency, life in the UK test pass certificate, business registration documents, financial investment evidence, and job creation records. Ensure that documents are original or certified copies and translated where necessary.
  4. Application Form: Complete the SET(O) Form, which can be found on the UK government’s website. This form is crucial as it collects all your relevant information for the application.
  5. Submission and Payment: Submit your completed application form along with all supporting documents online. At this stage, you will also need to pay the application fee, which as of the latest update is £2,389 (subject to change – always check the latest fees on the UK government’s website).
  6. Biometric Information: Schedule and attend an appointment at a UK Visa and Citizenship Application Services (UKVCAS) centre to provide your biometric information (fingerprints and a photograph).
  7. Awaiting Decision: After submission, there is a typical waiting period for the Home Office to make a decision on your application. This process can take up to six months, depending on the complexity of your case and current processing times.

Fees and Processing Time

  • Application Fee: As of the most recent update, the fee is £2,389. It is advisable to verify this on the UK government’s website as fees can change.
  • Processing Time: The typical processing time for ILR applications under the Tier 1 Entrepreneur route is around six months, but this can vary based on individual circumstances and application complexity.

Tips for a Smooth Application Process

  • Early Preparation: Begin preparing your application well in advance to ensure all criteria are met and documents are in order.
  • Accuracy: Double-check your application and all documents for any errors to avoid delays.
  • Stay Informed: Regularly check for any updates on ILR requirements and fees to ensure your application remains compliant with the latest regulations.
  • Patience: Be prepared for the waiting period and keep track of your application status.
  • Professional Advice: Consider consulting an immigration expert for personalized guidance and to enhance the likelihood of a successful application.

Conclusion

By meticulously following these steps and keeping well-informed about the process, Tier 1 Entrepreneur Visa holders can significantly improve their chances of a successful transition to ILR. Patience, attention to detail, and possibly seeking professional advice are key strategies for ensuring a smooth application journey.

5. Avoiding Common ILR Refusal Reasons


Securing Indefinite Leave to Remain (ILR) as a Tier 1 Entrepreneur can be challenging due to strict criteria that must be met. Understanding the common reasons for refusal and adopting strategies to counter these issues is crucial for a successful application. Here are key refusal reasons and how to effectively avoid them:

Insufficient Evidence of Job Creation

  • Strategy: Maintain comprehensive and clear documentation of job creation efforts. This includes keeping and organizing employment contracts, payslips, and HMRC records for all employees you have hired as part of meeting the visa requirements.

Inadequate Proof of Investment

  • Strategy: Organize and present detailed financial documents that demonstrate your investment in the business. This includes bank statements, invoices, receipts, and any other financial documentation that clearly shows your financial contributions to the business.

Failing the Genuine Entrepreneur Test

  • Strategy: To pass this critical assessment, provide a detailed business plan, financial forecasts, and evidence of market research. Show active and ongoing involvement in the management of your business, and be prepared to discuss the operations and strategy during any interviews.

Failing English Language or Life in the UK Test

  • Strategy: Dedicate sufficient time to prepare for these tests. Consider enrolling in English language courses if necessary and study the official materials provided for the Life in the UK test thoroughly.

Incomplete or Inaccurate Application

  • Strategy: Double-check your application for any errors or missing information. It may be beneficial to seek professional assistance to review your application before submission to ensure it is complete and accurate.

By being proactive and implementing these strategies, you can enhance your chances of successfully securing your Indefinite Leave to Remain in the UK. For further guidance consider visiting this resource: common reasons for Tier 1 Entrepreneur Visa to ILR refusal.

6. Alternative Routes after Tier 1 Entrepreneur Visa


For Tier 1 Entrepreneur Visa holders who may be exploring alternative immigration options due to ineligibility for ILR or other reasons, several visa categories are available. Each offers different requirements and benefits suited to varying professional goals and situations.

Alternative Routes after Tier 1 Entrepreneur Visa

Innovator Visa

The Innovator Visa is designed for those looking to establish a business in the UK with a new idea. Applicants need an endorsement from an approved body and at least £50,000 in investment funds, although certain visa holders may be exempt from this requirement. This visa allows you to stay in the UK for up to 3 years, with the possibility of extending it. You may also be eligible for ILR after three years if you meet specific criteria. More about Innovator Visa.

Innovator Founder Visa

This visa category is similar to the Innovator Visa but does not require a minimum investment, making it accessible for entrepreneurs at different stages of their business development. It also provides a pathway to ILR after three years under similar conditions. More about Innovator Founder Visa.

Start-up Visa

Ideal for those at the beginning stages of establishing a business, the Start-up Visa requires no initial investment. Applicants must have an innovative, viable, and scalable business idea endorsed by an approved body and demonstrate English proficiency at the B2 level. This visa is granted for two years and does not directly lead to ILR but can be a stepping stone to the Innovator Visa. More about Start-up Visa.

Global Talent Visa

For individuals recognized as leaders or emerging leaders in their respective fields, the Global Talent Visa requires endorsement from a UK recognized body. It allows a stay of up to 5 years and can be extended. Holders may apply for ILR after 3 or 5 years, depending on their qualifications. More about Global Talent Visa.

Scale-up Visa

Targeted at those offered a job by a recognized UK scale-up company, this visa requires a salary of at least £33,000 per year and B1 level English proficiency. It allows an initial stay of up to 2 years, with the possibility of extension and eligibility for ILR after five years. More about Scale-up Visa.

Tier 1 Investor Visa

This route is suitable for high-net-worth individuals able to invest at least £2 million in the UK. It offers an initial stay of up to 3 years and 4 months, with the option to extend. ILR can be achieved after 2, 3, or 5 years, depending on the amount invested. More about Tier 1 Investor Visa.

Transitioning from Tier 1 Entrepreneur Visa to Other Visa Categories

When considering a transition from a Tier 1 Entrepreneur Visa to another category, it is crucial to evaluate each option’s requirements and benefits to determine the most suitable visa route based on your specific circumstances and future aspirations in the UK.

7. FAQs on Tier 1 Entrepreneur Visa to ILR


  1. Can My Dependents Apply for ILR with Me?

    Yes. Dependents (spouse/partner, children under 18) can apply alongside you, provided they fulfill the necessary requirements including proof of relationship and continuous UK residence.

  2. What is the Tier 1 Entrepreneur Visa to ILR Application Processing Time?

    Typically, 6 Months. Most applications are processed within this timeframe. Ensure your application is complete and well-organized to facilitate smoother processing.

  3. What is the impact of Time Spent Outside the UK on ILR Application?

    Possible with Conditions. You’re eligible if absences don’t exceed 180 days in any 12-month period during your qualifying residence. Document and explain any absences in your application.

  4. What If My ILR Application Is Refused?

    Review or reapply. You can request an administrative review for errors or reapply for ILR. Exploring other visa categories is another option to continue your UK stay.

  5. Can I Work in the UK While Waiting for ILR Decision?

    Yes. You can continue working as long as your Tier 1 Entrepreneur Visa is valid.

  6. Are the Life in the UK Test and English Language Requirement Necessary Again for ILR?

    Yes. These requirements for ILR are separate and must be met independently, even if previously completed for the Tier 1 Entrepreneur Visa.

  7. What is the Success Rate for Tier 1 Entrepreneurs Achieving ILR?

    Varies Annually. From 2008-2017, there were 819 settlements under Tier 1 Entrepreneur and pre-PBS categories. The number of grants increased steadily from 2012, peaking at 414 in 2017, predominantly among Pakistani, Chinese, and Indian nationals.