On 29th March 2019 the Home Office published a ‘Start-up and Innovator visas: Guidance for endorsing bodies’. The principle confirmed in the guidance is that the endorsing bodies are best placed to assess innovation, viability and scalability of the business proposals and credentials of the applicants. Endorsing bodies will develop their own processes to assess the applications for endorsements.
The lists of endorsing bodies for both Start up and Innovator visas have also now been published on gov.uk website. These bodies have been approved by the Home Office and only these authorised organisations can issue endorsements for the Start up and Innovator visa categories.
Endorsement criteria: Start-up
Applicant’s business proposal will be assessed against 3 key criteria: Innovation, Viability and Scalability that are defined for the Start up visa as follows:
Innovation: Does the applicant have a genuine, original business plan that meets new or existing market needs and/or creates a competitive advantage? The Home Office guidance to Endorsing bodies suggests some questions to establish whether this criteria is met:
Is the business offering something more than merely competing with similar local traders?
Is there a need for the business in the UK market that is not already being fulfilled?
Is the idea bringing something new to the pre-existing UK/global business market?
Viability: Does the applicant have, or are they actively developing, the necessary skills, knowledge, experience and market awareness to successfully run the business? The Home Office guidance to Endorsing bodies suggests some questions to establish whether this criteria is met:
Is there a long-term plan for the business?
Is there evidence of market research?
Does the applicant have realistic, sustainable, product goals?
Scalability: Is there evidence of structured planning and of potential for job creation and growth into national markets? The Home Office guidance to Endorsing bodies suggests some questions to establish whether this criteria is met:
Is the business likely to gain sufficient traction?
Is it a business with a potential for growth?
Would this business successfully scale to be a part of the national market?
Endorsement criteria: Innovator – new businesses
The criteria for Innovator visa endorsement are similar to Start up visa (i.e. business proposal should be assessed against 3 key criteria: Innovation, Viability and Scalability). There are, however, subtle differences in how the Innovation, Viability and Scalability criteria are described. Please see more details further below. Home Office guidance to endorsing bodies also suggests that business proposal for Innovator visa should be assessed in line with applicant’s greater level of skills and experience.
The 3 key criteria of Innovation, Viability and Scalability are defined for the Innovator visa as follows:
Innovation: Does the applicant have a genuine, original business plan that meets new or existing market needs and/or creates a competitive advantage?
Viability: Does the applicant have the necessary skills, knowledge, experience and market awareness to successfully run the business? – The difference with Start up visa is that the applicant must already have the skills.
Scalability: Is there evidence of structured planning and of potential for job creation and growth into national and international markets? – The difference with Start up visa is that there must be evidence of potential of growth into international markets.
The note reflects legal position and is for general information purposes only and does not aim to be comprehensive or to provide legal advice. We accept no responsibility for loss which may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please do not hesitate to contact Carter Lemon Camerons immigration team. The specialist team at Carter Lemon Camerons Solicitors can assist you with all immigration and business-related matters. Our years of expertise in these areas mean that we can provide tailored solutions for you. For more details, please contact our immigration team at immigration@cartercamerons.com or +44 (0)20 7406 1000.
