Investment versus existing business

[zamanam]

Thanks

Even if I pay for freehold property but if its going to previous owner it wont be counted?

[zimba]

Thanks

Even if I pay for freehold property but if its going to previous owner it wont be counted?

Any money that eventually goes to the previous owner

[zamanam]

Thanks for your reply.

Strange doesnt make sense!

Even if i buy a shop and start fresh money will go to previous owner, unless they are expecting us to find a piece of land and start fresh!! in that case for those who are new to country its not easy to get lease / loan / recommendations etc and anyways its time consuming!!

Someone with no business sense created these rules or aim is for these business to fail - simply they just need our money but dont want to give us visa.!!

Is franchising allowed even now in 2016? as I think now franchise fees and good will is not allowed?

Please let me know.

[zimba]

Thanks for your reply.

Strange doesnt make sense!

Even if i buy a shop and start fresh money will go to previous owner, unless they are expecting us to find a piece of land and start fresh!! in that case for those who are new to country its not easy to get lease / loan / recommendations etc and anyways its time consuming!!

Someone with no business sense created these rules or aim is for these business to fail - simply they just need our money but dont want to give us visa.!!

Is franchising allowed even now in 2016? as I think now franchise fees and good will is not allowed?

Please let me know.

It is not strange. Money must be invested in a business you own, so if you spend a money to purchase a business then you did not technically invest in your business and money never came in your business. You can purchase a business as you wish however you still need to invest min 50/200K in it after such a purchase is complete.

[zamanam]

tHanks but this mean instead of buying I lease a premises and pay rent that is a buisness expenditure but money going to landlord (previous owner) at market rent - it will be counted.

Thanks

A

[zimba]

tHanks but this mean instead of buying I lease a premises and pay rent that is a buisness expenditure but money going to landlord (previous owner) at market rent - it will be counted.

Thanks

A

Yes, renting allowed but purchasing a whole business from someone is not

[zamanam]

Perfect thanks

[nasiaziz]

You cannot buy an existing business where the money ultimately goes to the previous owner or buying existing assets..
cases has been refused before please be carefull as investing huge sum and then not getting results would hurt.
regards

[zamanam]

HI

Recently I came across an opportunity where a bank is selling a non-trading freehold hotel which was closed few years ago and need refurbishment to open

If I buy this will this and do the needful refurbishment and start trading by hiring 5 staff – will both money to buy the freehold asset from bank and refurbishment money be counted towards investment? I know staff cost will be counted so no issues there.

Please rely.

Thanks

A

[zimba]

HI

Recently I came across an opportunity where a bank is selling a non-trading freehold hotel which was closed few years ago and need refurbishment to open

If I buy this will this and do the needful refurbishment and start trading by hiring 5 staff – will both money to buy the freehold asset from bank and refurbishment money be counted towards investment? I know staff cost will be counted so no issues there.

Please rely.

Thanks

A

No. Money paid to buy a business does not count as investment. You need 200K on top of that in YOUR OWN BUSINESS to score points for investment

[zamanam]

Thanks and not even the refurbishment money count toward investment, thanks

[awan905]

HI

Recently I came across an opportunity where a bank is selling a non-trading freehold hotel which was closed few years ago and need refurbishment to open

If I buy this will this and do the needful refurbishment and start trading by hiring 5 staff – will both money to buy the freehold asset from bank and refurbishment money be counted towards investment? I know staff cost will be counted so no issues there.

Please rely.

Thanks

A

Home office does not accept this as an investment for tier 1 entrepreneur category, I have had similar case where I bought the commercial lease and several items and home office didnot accept it. Start a company and open a business bank account and do transaction from there in order to score points for this.

[zamanam]

Thanks as i said it is closed hotel which bank is selling so they dont have any running business.

I already have my own company - my own bank and my own business - question was the cost which I will incur in refurbishment will be counted or not but you answer somehting else.

Its not leased! Which you're answering.

[zimba]

Thanks as i said it is closed hotel which bank is selling so they dont have any running business.

I already have my own company - my own bank and my own business - question was the cost which I will incur in refurbishment will be counted or not but you answer somehting else.

Its not leased! Which you're answering.

Refurbishment costs could be counted as investment given they are the expenses of your business (and work involves no residential property) but not the any of the purchase costs.

[noajthan]

To avoid confusion & jumbled responses, I have moved this series of posts to its own thread (this one) as it has nothing to do with original topic (job creation).

[zamanam]

Thanks and can you please provide a link to this new thread as its not coming up in search! Thanks

A

[zamanam]

Sorry I didnt realise that this is actually a new thread! Thanks