Who can be a Sole Representative of an overseas business?

Right Employee

You can apply to come to the UK as a representative of an overseas business if you’re from outside the European Economic Area (EEA) and Switzerland and you’re either:

  • the sole representative of an overseas company planning to set up a UK branch or a wholly owned subsidiary for an overseas parent company
  • an employee of an overseas newspaper, news agency or broadcasting organisation posted on a long-term assignment to the UK

Sole representatives must have been employed by the company directly at the point at which initial entry clearance is applied for. The UK Subsidiary can employ a sole rep at a later date however if they are employed in a role which means they no longer have sole executive responsibility for the direction of the subsidiary they will need to switch into a Tier 2 visa route under the points-based system.

Authority of sole representative

The sole representative must have the authority to take the majority of key operational business decisions locally. They can have responsibility for establishing and operating a restricted branch or wholly owned subsidiary of the company abroad. However, it is unreasonable to expect them to take unilateral decisions on all matters. When considering this, the entry clearance officer takes account documents that detail:

  • the applicant’s contract of employment
  • the applicant’s job description
  • the employer’s business plans
  • other confirmation from the employer that, whilst in the UK, the applicant will have authority to take business decisions on behalf of the company, to establish and operate a registered branch

Salary threshold

The salary and other benefits must be appropriate for a senior employee in the company and relatively higher than other employees’ salaries.

Sole representatives may be offered a remuneration package that consists of a basic salary and commission. This is acceptable as long as the salary element is enough to support the applicant and their family without recourse to public funds.

Working Hours

Sole representatives must work full-time but this does not need to be linked to a set number of hours a week. The parent firm must be paying a full-time salary, for example, that is enough for the sole representative to support and accommodate themselves and any dependants without taking other work or recourse to public funds.

Can a sole representative be a shareholder?

An applicant who holds over 50% share in the parent company are not eligible for entry as sole representatives.

Disclaimer:

The information in this blog is for general information purposes only and does not purport to be comprehensive or to provide legal advice. Whilst every effort is made to ensure the information and law is current as of the date of publication it should be stressed that, due to the passage of time, this does not necessarily reflect the present legal position. Connaught Law and authors accept no responsibility for loss that may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please don’t hesitate to contact Connaught Law. Legal advice is only provided pursuant to a written agreement, identified as such, and signed by the client and by or on behalf of Connaught Law.

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