The consultants at Breytenbachs Immigration increasingly see that the way South Africans think about emigration is changing. Where the focus in the past was on a permanent move overseas, the thinking has now shifted towards mobility in the global village and expanding businesses into the European market.
Theresa May, Prime Minister of the United Kingdom (UK), earlier this year stressed the fact that the UK Government considers businesses large and small as the backbone of the UK economy, and a reason why the UK will always be open for business. This, of course, bears excellent news for the increasing number of South African businesses looking to expand overseas.
At present there is some uncertainty in the UK market about the effect that Brexit may have on the economy and job opportunities. The flipside of the coin is that the departure of some EU nationals and businesses from the UK may result in more business opportunities for South Africans.
Business emigration routes to the UK
South Africans have a number of business emigration routes to the UK. Every route has very different criteria and offers different advantages.
Most of the business emigration routes lead to Indefinite Leave to Remain, and ultimately UK citizenship. Fortunately for South Africans, there is no need to forfeit one’s South African citizenship to obtain UK citizenship, as South Africans can hold dual citizenship if they follow certain processes. The dual nationality, of course, offers the benefit that an individual can comfortably move between the two countries and do business without any visa worries.
Most other UK immigration categories, except the family or ancestral routes, require the involvement of a UK employer or sponsor. In this article, we focus on business emigration routes that do not require the involvement of a UK employer or sponsor.
Tier 1 Entrepreneur
The Tier 1 Entrepreneur immigration category offers a safe and sensible opportunity to invest monies in the UK in a business that you set-up or that is already a going concern. Applicants in this category must be actively involved in the running of the one or more businesses in the UK.
This route has different eligibility requirements, depending on whether the applicant has access to investment funds of £50 000 or £200 000.
One of the advantages of this emigration route is that it offers the option to form an entrepreneurial team with one other Tier 1 Entrepreneur applicant. The investment funds can thus be shared, subject to strict criteria. Be very careful not to invest in businesses that you have not properly vetted yourself. We have noted that there are unscrupulous companies that offer clients the option of investing into a business that they will “source” – be vigilant as this is often nothing but a money making scheme for fraudsters.
Tier 1 Investor
The Tier 1 Investor category requires a very substantial financial investment in the UK. Although a very advantageous UK immigration route, the high level of investment is often a barrier for many South African business people.
The applicant has to have money of his/her own, under his/her own control, held in a regulated financial institution and disposable in the UK, amounting to no less than £2 million. The applicant also needs to have opened an account with a UK-regulated bank for the purposes of investing no less than £2 million in the UK, with a choice of various instruments that can be invested in.
Tier 1 Graduate Entrepreneur
This is a little-known and very exciting emigration route available to non-EU graduates. Recent graduates who have genuine and credible business ideas for the UK can apply under this route. The applicant has to follow a process to get endorsed by the UK Department of International Trade (DIT) or by an authorized UK higher education institution.
Sole Representative visa
The popularity of the Sole Representative visa can be found in the fact that there is no need for the involvement of a UK employer or specific start-up capital to qualify.
This route allows South African companies to send one key individual to the UK to establish a wholly-owned subsidiary or UK branch. This employee must be a senior employee and intend to be employed full time, with full authority to take operational decisions on behalf of the firm. The applicant may be a shareholder in the overseas firm, but not a majority shareholder.
If you are interested in obtaining more information about business migration routes to the UK, please feel free to visit our website at http://www.bic-immigration.com/ or email our business emigration expert JP Breytenbach at info@bic-immigration.com.
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