₦airaland Forum

Not sure bro, I didn't put that anywhere in my application.

gabiomoesu:
That’s fine man. I hope you’re enjoying your free time so far

Yeah I wouldn’t bother with the ICO data protection either tbh

The only expense I’ve made thus far is the insurance policy I bought. I’m thinking of buying some materials as well in the first few days in January.

Regarding the issue of justifying why the company needs to hire overseas workers, do you not think I need to provide one?

No bro, I didn't provide any evidence justifying why the company needs to hire overseas workers. I think the role just needs to meet the requirements(correct occupation code, skill level rules, salary/going rate, and the person can actually do the job). You can also include an org chart if you haven't already.

Feel free to send more questions my way if you have any

Hey @gabiomoesu, sorry I've been afk due to the holidays.

I didn't add a cover letter to mine but should be fine if you do. My business proposal was focused on the business as if I was pitching it to investors. It didn not include "the reason why the company needs an overseas worker".

6.5 months salary should be fine. Do you have other business expenses like rent, etc?

No, I didn't do ICO data protection registration.

Hi bro

No need apologizing as there's no offence taken. I'm glad that you have proceeded further with your application. You seem to be right on track. By "cover letter", you mean the business proposal, right?

You shouldn't worry about the first 2 things you mentioned. I had no client and no payments received when I applied for mine. However, I had over 30k in my business account. I think the amount you have in your account might be fine but if you can bump it up, please do.

Feel free to ask if you're still unsure about anything.

Jamesclooney:
Just out of curiosity, why didn’t you offer your homeland - Nigeria - these amazing contributions? Why bless UK and Canada with your gift?

Smh, this didn’t even come across as a real question, more like a passive aggressive dig. Of everything I’ve seen in this section this week, this one is the most annoying for me. Such a silly thing to ask in that context.

bigtt76:
What if a dependent on SWV is the one running the company and wants to use this as a vehicle to sponsor the main applicant to maintain the continuous path to ILR?

That is - if the dependent is the director and self-sponsor, they lose the accumulated years to ILR and would have to restart counting?

Hmmn, I don't think that would be termed as "self-sponsorship" since the COS won't be issused to the company's director. But if you’re asking whether it can work: yes. I’ve seen small tech startups obtain a sponsor licence and successfully sponsor non-director employees.

gabiomoesu:
Bruh! Now what you said about using a home address as the primary place of business makes total sense. I’d (wrongly) assumed from the outset that anything linking the company to myself would be flagged as malpractice by HO, so I’ve done everything to distance myself from the entire thing thus far. What a shame!

Throughout my research, I’ve (again, injudiciously) disregarded content from immigration lawyers/experts. Anyways, my eyes are wide open now. The shock i dey feel no even wan make my brain process this wonderful news you tell me just now.

Yes, id assumed Monzo wouldn't bother to verify the other director if I had 100% of the shares.

Thanks a lot for your helpful response. For real, you're the best for this! Mad respect, bro!

Modified: @Brine Since I’m now getting closer to the sponsor licence application, I’m wondering what I’ll need from my AO. Will I need their ID, proof of address or any signed letter of consent? I’ve read through the gov.uk stuff but I want to understand how it works in practice, especially what the HO actually checks or requests from the AO during the application. Also do you know if I need to get a liability insurance for the company?

No worries bruv . Yes, you need to have Employers liability. I paid Axa £100.89 last year for up to £10,000,000. Pls see image below.

You don't need anything from the AO at this point. In my case, I had a copy of their ID and utility bill with me but HO never requested for any of those documents. Just remeber that it's the AO that submits the application and signs where necessary. So, when emailing your documents to HO, it needs to be from the AO's email address.

gabiomoesu:
I had no idea I could be director myself as well . Pardon my apprehension, but won’t this invite more scrutiny from the HO?

Also whilst opening your account, did HO ask you to verify any other director’s identity?

Hmmn, I'm a bit confused. If you won't be a director of the company, why would you need to write business proposals or apply for company documents?
https://www.davidsonmorris.com/self-sponsorship-visa-uk/
Quoted from the link above:

‘Self Sponsorship visa’ in the UK is a general term used to describe an immigration route that allows foreign nationals to sponsor themselves to work through their own business, without needing a traditional employer to sponsor them. This is done by acquiring or setting up a UK-based company, which then applies to the UK Home Office for a sponsor licence. Once the company is approved as a licensed sponsor, it can then assign a Certificate of Sponsorship (CoS) to the business owner, who then applies for a Skilled Worker visa.

I wasn't asked to verify the other director's identity by HO but they could ask or do further checks if the application is not straightforward.

gabiomoesu:
@Brine
Bro I don come again o. I’ve been trying to open a Monzo Business account for the company but I found out they only let directors open or be added to the business account because they do a confirmation on Companies House. Since I’m not currently listed as a director on Companies House, that’s been the hurdle.

Do you think it’s alright if I just add myself as a director to get around that? I figured that might be the simplest way forward.

Modified: Hey Brine. Just wanted to call your attention to this in case you missed it. Looking forward to your guidance, please.

Yes bro, you need to be a director. In my case, I hold 100% of the shares and appointed another director to serve as the Authorising Officer. Yours can be structured differently like you owning 75% and the other director owning 25%. It's completely up to you

gabiomoesu:
Amazing stuff. Haha. I don't need an actual website, do I?

No, you don't really need a website but this is something that is business specific like If your business is building websites for clients, I would suppose you need a website(Otherwise it would be another case of yahoo boy, no laptop )


Regarding your other question, Goodenoch is right!


I didn't do that but tbh, if I did, I wouldn't admit to doing it even on a faceless forum haha.

HO doesn't have issues with you securing a loan to run a business or accepting cash gifts to run a business. They also won't be monitoring your business account every month to make sure the money remains in the account . Hopefully, that answers your question. I would suggest that you have your fnf transfer the money to your personal account and you just move all the money from your personal account into your business account.

bigtt76:
Nice and insightful, been following this with keen interest.

1. Can I please ask where the initial funding for the registered would come from?
2. Can the business owner pre-fund the company from their private savings until it starts making profit?
3. How much would be ideal to pre-fund?

Thank you for your response in advance 🙌🏾🙏🏾

Yes, the initial funding can come from personal savings. That's where mine came in from and I think they wouldn't mind it coming from other sources as long as it's legit. So, it could be from another director, a gift from family or friends or a loan from the bank.

The ideal amount depends on your business running expenses and there's no specific amount stated by HO. In my opinion, I think it's just good to show funds that can keep the business running for at least 6 months(paying yourself and any other company expenses).

gabiomoesu:
Ah bros! I already did this since. I purchased a domain name from namecheap and have already created 2 email addresses using Zoho mail with the domain name for administrative purposes already, all with the help of chatgpt. Thanks for mentioning this brother.

Nice! I use namecheap and godaddy for domains as well

gabiomoesu:
@Brine

Cheers brother. That means i wouldn't have to start paying myself yet until the SW Visa has been approved then, right? I don't know why I was of the opinion that I needed to start paying myself ahead of the sponsor licence & eventual SW Visa application. LOL

Yeah will open the Monzo account ASAP. Such a relief to learn that I can use my details for that.

Brotherly, you don’t need to pay yourself until the start date on your cos and after your visa has been approved. This is important, especially if you’re not currently sponsored by any company, as you’re not permitted to take on paid work without being under a valid sponsorship for a fulltime role. I did not trade with my company or pay myself via my company until I had gotten my visa. What I did instead was provide screenshots of email conversations with a few people who had inquired about my services when I applied for the sponsorship license.

For example, if you obtain the sponsorship licence at the end of October, you’ll likely receive 1 cos allocation. You Your authorizing officer would then log into sms which is the sponsorship management system, generate the cos, and pay the associated fee.Then, you'll likely set the start date on the cos as 1 December or 1 January to allow sufficient time for your visa application to be processed. Once your visa is approved and your cos start date begins, you can then run payroll at the end of that month.

Your authorizing officer is the person that logs into sms to generate the cos and same person that the home office will be reaching out to via email or phone in future. When they send an update on the sponsorship license application, it will be to the autorizing officer's email you provided.

Modified to include this:
If you can, can you use a custom domain email platform? So, you have email@your-company-name. They are really cheap! I would recommend having an email account opened for your authorizing officer with their name@your-company-name and avoid having them usie their private email address. Feel free to ask here or shoot me an email if anything is unclear.

gabiomoesu:
@Brine thank you, brother. I really appreciate your advice. Regarding the company's bank account, what do you reckon? Should i open it in my name, or in the name of the director I appointed? Also, do you think it’s fine to use online banks like Starling or Monzo for this, or is it better to go with a traditional high street bank?

Something else i was thinking about is how you were paid? Did you still receive your standard going rate for your SOC code during those months your company didn't have work? I assume HO will request the company to show payslips right?

I used Monzo and opened it using the company name via the app. They'll ask for details of the directors(You can use yours). You should open the bank account as soon as you can as you'll need at least 1 month statement of account.

I'm paying myself higher than any of the rates for my SOC code the last time I checked. You'll have to pay yourself the specified amount on the COS(you'll generate a COS after your sponsorship license has been approved) every month even if the company is not making profit. HO do not request to show payslips but you need to keep all the records properly incase they ever ask. You just need to pay yourself the correct amount and do a Full Payment Submissions(FPS) to hmrc(I use quickbooks for my payroll) https://www.gov.uk/running-payroll/reporting-to-hmrc

@gabiomoesu, you don’t have to wait until you hit the 85k threshold; you can register voluntarily at any time. You get to reclaim VAT on startup costs and appear more established. The VAT certificate is also listed as one of the (4-5)acceptable documents you can submit for the sponsor licence application. You can always cancel your VAT registration later on.

Re address issue, you could try checking with your landlord to see if you’re able to use your home as your office address. I’ve seen quite a few people do this, myself included, without any issues. If HO were to request for a utility bill or request a visit, it wouldn't be an issue since it's where you operate from. You could also look into renting a serviced office desk. That would work too but will add extra cost. If you use your family's friend office address, it might work but I'm not sure of what document they will require from you and most importantly if the person would be willing to provide you with such document.

gabiomoesu:
Many thanks for your response, brother. As for the address, I’ve been using the virtual address I purchased throughout the process, since I don’t want to bother the kind person who agreed to be my director. That's what I've used for my companies house, to set up PAYE etc. LOL.

I did consider using my home address like you did, but I was worried it might raise concerns with the Home Office, since that same address would also appear on my CoS. How come that didn’t trouble you in your case?

As for the company plan, thanks for the link, I’ll start working on it ASAP!


Edit: Brine, sorry to bother you bro. Just thought I'd call your attention to this incase you missed it.

No worries bro Using your home address is fine, as long as the type of work you’re doing can reasonably be carried out from there. In my case, I just set aside a spare room as my office. If you own the property it's much easier as you’ll just need to provide proof of ownership (suchh as the title deed or mortgage statement). If you’re renting, I think you may need written permission from your landlord confirming that you’re allowed to use it as an office.

So long as it’s genuine and makes sense for the nature of the business, they don’t usually raise concerns.

gabiomoesu:
Hey bro. Sorry for sending this here, PM doesn’t seem to be working.

Just to update you. I’ve opened my company, created the business address, appointed a director, created work emails and phone number, and also registered for PAYE and Corporation Tax. Also, will start receiving payments for services very soon.

That's awesome! Will you be registering for VAT? I registered for VAT and I would suggest registering for VAT if you haven't.

gabiomoesu:
- How did you handle the application for a sponsor licence? Did they come to visit your place? I’m using a virtual address, so I’m wondering how to deal with verification checks if they want to visit.
- About the business plan, how should I go about writing one at this stage?

Thanks in advance for your help brother.

No, they didn't come to visit. I used my house address. I'm not sure if it's advisable to use a virtual address but I guess it depends on the nature of your business. If your application raises any concerns, it could lead to delays, and they may either visit your office location or schedule an online meeting with you and your authorizing officer. If possible, I’d recommend avoiding a virtual address.

Yes, you can start writing the business plan now as you'll need to include that with your application. You'd write the business plan as if you wanted to pitch your idea to investors to invest in your business. Try to include market analysis and financial projection amongst others in your business plan. There are several examples online and here's a guide that you might find useful https://getsling.com/blog/restaurant-business-plan/

gabiomoesu:
Thanks a lot for your answers. That means the business plan must be quite elaborate then. I'll definitely bear that in mind. And I'm sure that trading with my company will be another plus as well. I hope you don't mind me asking but when did you make your application? Was it before or after April 2024?

I did mine few months after that. No worries and I wish you all the best my fellow nairalander(UK chapter)

gabiomoesu:
Makes sense to pay that extra £500. To be honest, waiting two weeks for such life changing news would seriously stress me out.

It's 10 working day(2 weeks) for priority service and it's 8 weeks for the standard process. Also, they can change an existing priority to standard application(without refund) if the application is not straight forward.

See the answer to your questions below:
- Yes, you can use your home address. I used mine as I have an extra room that I use as my office space.
- At the time I applied, I had zero clients becuase I was already made redundant at my previous job and trading my company would be illegal. What I had were potential clients.
- I handle accounting myself using quickbooks. Although I am thinking of switching to Xero. I paid an accountant about 80pounds once to have a look at the amount I was paying myself because I thought I was doing it wrongly and this was after I had already gotten the sponsorship license.
- Yes, I consulted with an immigration lawyer before I started but I didn't go ahead with him.

I was going through the skilled worker sponsor list one day and noticed businesses near me like barbershops, hair salons, small phone repair shops and I said Bleep this, if these small businesses can get a sponsorship licence, then so can I. I think my business plan might have helped. It was very detailed and included forecasted revenue. I also think putting in a decent amount in the bank account also helps. I put in about 40k into the business account.

gabiomoesu:
Wow! Your company got the licence in just one day? That’s amazing!

Yes, I paid an extra £500 for priority processing, which usually takes less than 2 weeks for a straightforward application.

gabiomoesu:
I’ve even put together some notes I can share with them that explains what the role involves, the documents they’ll need to sign at the beginning, as well as what the company would need to have in place by the time I’m ready to apply for the sponsor licence. Stuff like how to avoid raising eyebrows with HMRC or the Home Office, the implications of what they’re signing up for, and the possible legal consequences if anything goes wrong or if certain duties aren’t carried out properly. Basically, anything that could put the company’s sponsorship licence at risk.

That's a smart move! Whoever you are using as your authorising officer needs to be fully aware of the entire process. Your authorising officer is the person they will contact by email or phone if needed. For some applications that aren’t straightforward, they may schedule a zoom call with you and the authorising officer, or even visit your business premises.

gabiomoesu:
I've got a few questions I’d love to ask. Let me know if that’s okay with you to ask here or if you’d prefer we take it to DMs instead.

Which ever works best for you

gabiomoesu:
Hi guys. I’m hoping to get advice on starting a company in the UK this July, doing genuine business (i.e. trading), applying for a sponsor licence, and eventually sponsoring myself, ideally by November or December this year. I’m wondering if anyone here has experience with something like this, or even just running a small business in the UK.

A bit of background to explain why I’m considering this route. I’m currently on a Graduate Visa and my SOC code has a high going rate that most companies only pay to mid-to-senior level employees with 3+ years of experience. Because of this, it’s been hard to find sponsorship, and I don’t qualify as a “new entrant”, having been in the country for more than 4 years now, so I have to meet the standard going rate.

Right now, I work in construction under a CIS/self-employment arrangement with a small company. They don’t have a sponsor licence and prefer hiring self employed workers to avoid obligations like holiday pay, pensions etc

I’ve spoken with my boss about opening a limited company and invoicing him through it. He’s open to that. In the next few months, I should be able to invoice at a rate that almost meets my SOC salary threshold. I say "almost" because after accounting for employer National Insurance, corporation tax, pension contributions and so on, I’ll still be short about £223/month. That’s not even including other overheads like accountant fees etc.

I’m still deep in research, but it’s honestly driving me crazy that I don’t know anyone here in the UK who owns a company, talk less of someone who has gone this sponsorship route.

So I figured I should ask here:

Has anyone tried this approach before, or know someone who has?
Or even just general advice about setting up and running a small business in the UK would really help.

Thanks in advance.

Yes, I had to follow a similar path.Your ltd company can be your sponsor, it's termed unofficially as "self sponsorship". However, you'll need an authorizing officer that is either british or has ILR to be a director or a paid stafff. You'll need at least 5 of the documents below:
Companies House certificate of incorporation
Evidence of Employer’s Liability Insurance
VAT registration certificate
Proof of Business Premises(receipts for office space or deed if using your own house).
PAYE registration
Bank statements
Latest audited or unaudited accounts. (Please do your own research on these documents as things might have changed)

I also added screenshot of emails from clients requesting for my service and I did a report pitching my idea and why I needed the sponsorship license. Entire process for me was about 4months. I got the sponsorship license the next day after I submitted.

Tbh, this is not a route I’d recommend to someone planning to do it for a full 5 years. I’d only suggest it for someone who has about 1 or 2 years left before applying for ILR but hasn’t been able to secure a COS after being made redundant. You’ll need to pay yourself a salary and cover both employer and employee taxes every month, even if your company isn’t making any profit. If you’re able to keep generating income through your company, there will be much more peace of mind for you, since you obviously can’t fire yourself

I almost forgot, there's no amount specified for the bank statement but I'd suggest putting in something reasonable that'll show that you are able to pay yourself for several months.

Lexusgs430:
SFS don dey manage my account o...... 😂🤣

This our thread, is priceless...... 😆😂

Has anyone here tried a dollar fund? My main concern with naira-based funds is the ongoing depreciation of the currency. I'm close to setting up a dollar fund with Gtfundmanagers. Any advice on this will be appreciated.

SerendipityHere:
Hi everyone.
I have a few questions please.

How do we pay house rent as a couple in order for it to reflect on our credit score? Do we split it in half and pay our halves to the agent individually or one person makes the total transfer?

How do we make it reflect on a rental exchange partner like Canopy or Credit Ladder?

Also on Council Tax, We both have a total of 174 to pay how do we pay it? One person transfers or we split it and each of us make the payment to the council account individually?

Please help me out on these questions. Thank you

Open a joint account. It'll help improve your score ONLY if you use experian booster or rent reporting agencies.

lavida001:
Make sense now. But i have a question is this job of yours tech related ?

Yes, software development.

Solumtoya:
£2,400 annually on clothing. Some people might be spending more here but don't know. The issue is that many folks don't closely track their expenses and would be in for a shocker if they do.

Exactly! I was only able to figure this out by looking at outgoings at the end of each year. I'm certain people spend more than that here. It might not be on clothes. It might be gadgets, vacations, etc.

hustla:
Well, you guys are rich kids

LOL, not really that. Priorities just differ. Some people send £150/hr just to get 1 hour time with escorts but they wouldn't come out to say they spend that.

I was spending so much back then on food because I was doing my normal 9 - 4:30 job in the UK and another 6pm - 2am job in the US(contract). I barely had time to cook and besides what's the point of spending 1-2hrs cooking when my 1 hour pay out of the about 17hours I was working could get me already prepared meal? However, those days are behind me now. I have returned to solely focusing on my regular job in the UK, allowing me to allocate more time to my family, personal growth, and pursuing my own projects.

hustla:
Too many lies and exaggeration on this thread

People claiming £200 per month for recurring cloth purchases etc

Yes, that's actually very possible. I don't buy clothes monthly but I know I spend more than that (£200 x 12) yearly on clothes and shoes. I looked at a food delivery app I used some time ago and I discovered I spent roughly £12k on takeaways between Jan 2020 - Dec 2022 alone!

heroshark:
Unfortunately education alone is not a good enough ties to Nigeria, considering that she has families in the UK. She is unemployed and have no source of income and to cap it up, she is still quite young.
The rule of the thumb is to treat every application as a potential "immigration risk" until to applicant successfully proves otherwise.

The sudden £500k credit looks suspicious, and normally she should have submitted 3-6months statement.

What you should have done is to make a monthly payment of 100k into her account for 3-5months label it as her upkeep. She will declare it as income of 100k per month from family for upkeep.

This will show that she has enough money back home in Nigeria and not a potential economic migrant.

Spot on! This was what myself and my mum did for my younger sister and she was granted the visa few months ago. We were both sending upkeep money into her account and she had to print the bank statement along with her transcripts, letter from School, School fees receipt and letter from my mum.

Is the dyson tower fan worth it https://www.dyson.co.uk/air-treatment/purifiers/cool-auto-react/white-nickel ? Any advice on how to survive this heat, please?

Teedol:
Am happy you are doing fine. All the same It's alright and OK to earn minimum wage, don't give people high blood pressure, if we all become dev ops and IT experts, who would teach your kids or take care of you when you are sick, it's OK to be a middle income earner, as long as you can provide for yourself and family, this same mentality is why Nigeria has refused to develop everybody wants to earn the highest hence lots of corruption in the land. Be OK and contented with what you've got, millions have less.

Excuse me sir/ma but it appears you quoted the wrong person. I didn't say I was earning that amount; My only comment was the NHS part and YES, not everyone works with the NHS and it's unrealistic to use that as a yardstick for everyone. I do not earn up to that amount monthly from my 9 to 5(If that helps with the high blood pressure) BUT I'm not limited to my monthly pay.

Cheers.

Teedol:
Na wah for these orisrisi salaries pple are brandishing anyhow. Average take home in the UK is £3k and that's the truth, where I work presently I earn more than my ogas becos I add more weekend hrs, and all these guys own new cars and houses, don't let anybody fool you with fake salaries. Go and check Band 7 NHS take home.

Not everyone works with the NHS. Think outside the box!

Seriously @seun, please consider upgrading Nairaland's search functionality.

What's the best way to travel with palm oil from Nigeria via British Airways? My friend is coming to the Uk in 3weeks and we are trying to figure the best way to bring palm oil and other food items from Nigeria without having it seized.