Introduction: the changing landscape of uk immigration for entrepreneurs
The United Kingdom continues to attract entrepreneurs seeking to establish or expand their ventures in one of the world’s most competitive economies. Traditional routes, such as employment-based sponsorships, often do not align with the ambitions of founders. A creative pathway — known as self-sponsorship — enables entrepreneurs to move to the UK without depending on an external job offer, provided they meet the strict salary and compliance requirements. This is not a separate visa category but a carefully structured use of the Skilled Worker route.
What self-sponsorship means in practice
Self-sponsorship involves creating or acquiring a UK business, obtaining a sponsor licence for that company, and then sponsoring yourself for a Skilled Worker visa. While feasible, the Home Office carefully scrutinises these applications to ensure the role is both genuine and necessary for the business. Authorities want to see that the company is trading or genuinely preparing to trade, and that the role is not fabricated solely for immigration purposes.
Why the uk attracts entrepreneurs worldwide
The UK remains a global hub for innovation, offering access to investment capital, top-tier universities, and a skilled workforce. London stands as Europe’s financial epicentre, while emerging regional clusters — from tech in Manchester to green energy in Scotland — create fertile ground for expansion. For many entrepreneurs, the UK is not only a market but a strategic base for international growth.
Eligibility criteria: who can pursue the self-sponsorship route
To qualify, an entrepreneur must:
- establish or acquire a UK company capable of obtaining a sponsor licence
- demonstrate that the sponsored role meets the required skill level (RQF Level 6 or above)
- ensure the salary offered meets the relevant minimum threshold (generally £41,700 per year or the going rate for the job code, whichever is higher, for applications made on or after 22 July 2025)
- satisfy English language and financial maintenance requirements
A particular risk arises when the entrepreneur is the sole employee of the company. While not prohibited, the Home Office examines such cases with extra caution to confirm the role is genuine and that the company can sustain operations.
Choosing the right business structure in the uk
Most self-sponsoring entrepreneurs opt to incorporate a private limited company. This structure offers limited liability, credibility with regulators and banks, and straightforward tax obligations. Partnerships and branch offices are alternatives but often less suitable for securing a sponsor licence. Proper structuring at the outset helps avoid compliance pitfalls later.
Business plan requirements and proving the genuine role
For the Skilled Worker route, the focus of the business plan is not innovation in itself but the commercial viability of the company and the genuine need for the sponsored role. The plan should include financial forecasts, operational models, and evidence that the company can generate sufficient revenue to pay the required salary. A well-prepared plan reassures the Home Office that the role exists for legitimate business reasons.
Financial considerations: salary thresholds, investment, and maintenance
Unlike some visa routes, self-sponsorship does not impose a fixed investment requirement. However, specific financial thresholds apply:
- Minimum salary: £41,700 per year or the “going rate” for the chosen occupation code, whichever is higher. This applies to applications made on or after 22 July 2025. Applications submitted before this date, or existing Skilled Workers not changing employer, may remain under the £38,700 threshold until extension or settlement.
- Maintenance funds: At least £1,270 held for 28 consecutive days prior to the application, unless the company certifies maintenance. Additional funds are required for dependants (£285 for a spouse, £315 for the first child, and £200 for each additional child).
These figures make financial readiness one of the biggest hurdles for aspiring self-sponsors.
Compliance duties as a licensed sponsor
A sponsor licence comes with ongoing obligations. The company must:
- keep accurate HR records for all sponsored workers
- report significant changes in circumstances to the Home Office
- ensure sponsored employees, including the entrepreneur, continue to meet salary and role requirements
Failure to comply can result in licence suspension or revocation, jeopardising the entrepreneur’s visa status. Robust compliance systems are therefore essential.
Benefits of self-sponsorship for entrepreneurs and their families
The self-sponsorship pathway offers entrepreneurs independence and flexibility. They can lead their own ventures rather than being tied to a third-party employer. Family members — including spouses and children — may accompany them, with full rights to work or study. In time, this route leads to settlement (after five years) and eventually British citizenship, ensuring long-term stability.
Innovator founder visa: an alternative pathway
For entrepreneurs with truly innovative, viable, and scalable business ideas, the Innovator Founder visa presents an alternative. Unlike self-sponsorship, it does not require a sponsor licence or a pre-existing role. Instead, applicants must secure an endorsement from an approved body.
Key differences include:
- Settlement timeline: Innovator Founder visa holders may apply for settlement after three years, compared to five years under Skilled Worker.
- Salary requirement: There is no minimum salary threshold, easing pressure on early-stage ventures.
- Difficulty: Endorsements are competitive, requiring a strong case for innovation and scalability.
Entrepreneurs should weigh both options: the Skilled Worker (self-sponsorship) route suits those with established or straightforward ventures, while the Innovator Founder visa is tailored to high-growth startups.
Challenges and risks to anticipate
Despite its opportunities, self-sponsorship is demanding. Key risks include:
- proving the vacancy is genuine if you are the sole employee
- meeting the £41,700 salary threshold (or the role’s going rate) in early-stage businesses
- maintaining compliance as a licensed sponsor
- financial pressures during the company’s first year of operation
Preparation and expert guidance are critical to overcoming these challenges.
Future prospects: extension, settlement, and citizenship
A Skilled Worker visa can be granted for up to five years at a time, depending on what the company requests. After five years of continuous residence, entrepreneurs may apply for indefinite leave to remain, followed by British citizenship. The Innovator Founder visa, meanwhile, offers a shorter three-year path to settlement for those who meet endorsement and business success criteria.
How Lawsentis can support your self-sponsorship journey
The self-sponsorship model demands careful planning, legal precision, and ongoing compliance. LawSentis, an IAA-regulated UK immigration advisory, specialises in guiding entrepreneurs through every stage of the process. We assist with:
- securing sponsor licences and preparing compliance systems
- ensuring the role and salary package meet Home Office thresholds
- drafting business plans that demonstrate commercial viability
- comparing the Skilled Worker (self-sponsorship) and Innovator Founder routes to identify the best fit
With LawSentis, entrepreneurs gain not only immigration solutions but a trusted partner who understands the complexities of UK business migration. Our tailored approach transforms ambition into reality — helping you build a business, secure residency, and create a long-term future in the UK.