The General Requirement for a Sole Representative and Settlement

In order to qualify for an extension, the UK branch or subsidiaries and the applicant must satisfy the specific conditions.

• The company headquarters and principal place of business must remain outside the UK.
• The applicant has established and is in charge of the overseas entity’s UK branch or wholly-owned subsidiary.
• The UK branch or subsidiaries generated business, principally with businesses in the UK.
• The applicant is employed full-time as a representative of the overseas entity and is still required for the employment.
• Applicants can maintain and accommodate any dependants adequately without recourse to public funds.

Despite the fact that the representative has met the requirement in a prior application and that there has been little change, this does not guarantee that the application for an extension or settlement is secure.

Immigration Rules related to Sole Representative Overseas Business visas are applied more strictly and new interpretations are also made. In general, it is also not accepted if the company has a lack of trading, or shareholding issues, or is affected by the COVID-19 pandemic. Due to numerous detailed requests from decision-makers for additional information and evidence, it may take several months longer than expected to decide.

If the visa is refused, you can challenge the decision through administrative or judicial review, but costs may apply and there is no guarantee that you will be successful in administrative or judicial review.

If a company or applicant considering a Sole Representative Overseas Business visa extension or settlement does not have ample evidence to show that each requirement, other alternative options should be considered.

The General Requirement to switch to a Skilled Worker Visa

UK branches and subsidiaries of overseas businesses can apply for a Skilled Worker sponsor license for their Sole Representative Overseas Business visa holder to switch to a Skilled Worker visa.

The conditions for application are as follows:

• Condition A: Applicant’s permission to stay has not expired.
• Condition B: The company should have a Skilled Worker sponsor license.
• Condition C: The company must issue a Confirmation of Sponsorship (CoS) to enable the applicant to apply for a Skilled Worker visa.
• Condition D: Applicants must have English language skills of at least CEFR level B1 (equivalent to IELTS 4.0).

What the UK company needs to consider

Mandatory Documents

To apply for Skilled Worker sponsorship, the company must show that they are a genuine business and the bank document and HMRC document is mandatory. Please note that the process of issuing or collecting these documents may take longer than expected. Where the UK entity is not yet trading, it will be necessary to provide clear evidence of its viability, including evidence of available investment funds, evidence of upcoming contracts or invoices, a business plan and similar. The particular evidence necessary is very specific to the business in question.

Authorising Officer Appointed

In order for a company to apply for Skilled Worker sponsorship, companies need a UK-based British or settled worker employee who can take key personnel roles for the license. If the UK branch or subsidiary is still a one-person, the company structure will need to change before a licence application.

Minimum Salary Level

There is no minimum salary requirement for Sole Representative Overseas Business. On the other hand, Skilled Worker visas must meet complex salary requirements, and from April 2024, the level is due to increase significantly in some circumstances.

If all other requirements for applying for settlement are met, the time spent in the UK as a Sole Representative Overseas Business and the time spent as a Skilled Worker can be combined to calculate the period of continuous residence requirement when applying for settlement. This means that if you have stayed in the UK for 3 years as a Sole Representative Overseas Business, you can apply for settlement after staying for 2 years as a Skilled Worker.

If the company does not have a skilled worker visa sponsorship license, it is necessary to begin this process well before your Sole Representative Overseas Business expires. It may take one to two months to prepare the sponsor license application.

The Home Office’s published processing time is 8 weeks. However, you can also select for a 10-day priority service by paying an additional £500. With the upcoming increases to the Skilled Worker general salary threshold, many companies may apply for sponsorship before the salary level increases, which may delay the decision time.

It is recommended that a business starts the procedure at least 6 months before the Sole Representative's current permit expires, although it may be expedited and completed in 3-4 months if necessary.

To avoid a negative decision on the Sole Representative Overseas Business extension or settlement application, the applicant might consider switching to a skilled worker status. This change would not affect the UK branch or subsidiary's operations and will ensure the applicant's permission to stay.