Tier 1 (Entrepreneur) Migrant “Genuine Entrepreneur” Test

Why is the Genuine Entrepreneur Test Required?

On the 30th January the Immigration Minister Mr Harper laid before Parliament a written ministerial statement setting out the changes to the Tier 1 (Entrpreneur) Migrant route with effect from the 31st January 2013. Following the tightening of other migration routes the Entrepreneur route is apparently targeted by applicants who are recycling funds amongst different applicants and creating artificial businesses. Mr Harper stated that he was introducing a “genuine entrepreneur” test which will give UK Border Agency caseworkers the ability to test the credibility of suspicious applicants.

One of the main changes is that the UKBA make ask for verification that funds claimed to be available in the application are still available at a later date. The funds can be in the applicant’s own possession or in the financial accounts of an incorporated business of which the applicant is a director or available from the third party or parties named in the application. The viability and credibility of the applicant’s business plans and market research into their chosen business sector will be assessed. Their previous educational and business experience, immigration history and previous activity in the UK will also come under scrutiny. The introduction of these tests will inevitably lead to delays for applicants.

The Immigration Minister Mark Harper is confident that students will still want to come here to study. Figures released by UCAS showed an increase in applications to study at UK universities by non-EEA students. The most significant figures were a 9.9% increase in application from China and a 19.3% from India. He said “This shows that despite rhetoric to the contrary, students continue to want to come to the UK to study in our world class universities.” However, these students had applied before Mr Harper changed the rules.

In the Spectator on January 25th it was reported by Alex Massey that Canada  has just announced a program that will grant immediate permanent residency to qualifying entrepreneurs from 1st April 2013. The Canadian Immigration Minister Jason Kenney plans to recruit the super bright foreign nationals from Asia who are working in technology in the US but may have to leave before they can get the US Green Card.

Barack Obama possibly had this on his mind when, in his Immigration Speech on the 29th January 2013 in Los Vegas as reported in the Washington Post, he said
“Now is the time to do this so we can strengthen our economy and strengthen our country’s future. Think about it. We define ourselves as a nation of immigrants. That’s who we are, in our bones. The promise we see in those who come here from every corner of the globe, that’s always been one of our greatest strengths. It keeps our workforce young. It keeps our country on the cutting edge. And it helped build the greatest economic engine the world has ever known.”

Later he added “We’re giving them all the skills they need to figure that out. But then we’re going to turn around and tell them to start that business and create those jobs in China or India or Mexico or someplace else. That’s not how you grow new industries in America. That’s how you give new industries to our competitors. That’s why we need comprehensive immigration reform. Now…”

Will the UK match Canada in offering permanent residency to high flyers? We will have to wait and see. In the meantime our partners at Commonwealth Contractors have experience in helping entrepreneurs, both with visa applications and in some cases with funding.

Contact us:

  • for tier 1 entrepreneur visa help
  • if you would like to meet similar individuals to make up an entrepreneurial team
  • for help with funding if you have a proven ability for your business to generate revenues of > £200k pa.

To find out more call Commonwealth Contractors now on 0330 390 9021 or Submit your details now and we will get right back to you. Please be prepared to send a copy of a recent CV so that we can pass to interested partners.