EC Association Agreement

Nationals of Bulgaria or Romania wanting to come to the United Kingdom to live and start a business may qualify under the European Community (EC) Association Agreement. The business can be of any size and of any type.

This visa category is for citizens of a country which has the relevant EC (European Community) Association Agreement and who wish to come to the UK for the purposes of starting a business. There are no restrictions on the size of the business and the applicant can be the sole employee. Applicants can open any kind of business but they must work in it on a full time basis and must not take on any other employment that is not related to the business in the UK.

Eligibility

You will need to show that you are a national of Bulgaria or Romania to come to the UK under the EC association agreement.

You can apply to establish a new business as either as a sole trader, a director, or a partner in a company. In all instances there must be a genuine need for your business in the UK.

You will need to take an active role in conducting business full-time, on your own account or in partnership, or in the management of a company as a director. Other than your own business interest, you are not allowed to undertake any additional employment in the UK.

You must have a viable and thorough business plan for implementation.

You will need to have either a controlling or equal interest in the business and any level of interest cannot amount to disguised employment.

Your financial accounts will need to be prepared by a chartered or suitably qualified accountant.

The Home Office will need to be informed prior to any significant changes in business activity.

Finally, you must be able to maintain and accommodate yourself and any dependents joining you adequately without recourse to public funds.

Initially you must have adequate reserve funds until your share of the business can generate such an income.

We will guide you with all your documentary evidence requirements.

How do I apply for a visa?

For applicants who are already in the UK and wish to stay based on the EC Association Agreement we can apply to the Home Office to extend your stay under the EC Association Agreement or apply to the British Consulate in the country of your usual residence or the country of your nationality once we prepare your application for you.

A successful application will allow you to stay in the UK for an initial period of up to two years. After that you will need to apply to extend your stay.

You will have to satisfy the entry clearance officer that there are no reasons to refuse you entry on the grounds of your character, your criminal records, or your behaviour.

You will also have to satisfy the entry clearance officer that you fulfil the aforementioned criteria under the EC Association Agreement.

What evidence is required?

Your application will need to be accompanied by:

1. passports for yourself and any dependents,
2. two passport photos for each person,
3. a business plan, including:
• evidence of any funds to be invested,
• business objectives,
• assumptions and their justification, 
• your qualifications and work experience,
• planned employment creation, 
• projected balance sheet, including: 
  • financial outlay,
  • company loans,
  • company assets, 
  • company stock,
  • projected profit and loss, 
  • overheads including expenses and depreciation

Mulberry Finch will assist you in all aspects of your application. We will assist you with documentary evidence requirements, including drafting and presentation. You are advised not to proceed with an application if you are unsure whether you qualify or not. If you are interested in taking this further please contact us now.

Business plan

A business plan will be central to your application. It needs to show a detailed mission statement, ownership and accounting information, and financial projections. We will assist you in completing a successful plan based on your research and expertise. We are here to thoroughly assess and assist you in maximising the impact and effectiveness of your business plan, ensuring that it is both well thought out and realistic.

Will I be classed as self-employed?

You need to be classed as self-employed to qualify under the EC Association Agreement. Under the immigration rules, simply paying tax and National Insurance (NI) to the Inland Revenue as a self-employed person is not evidence in itself that you are self-employed.

You will usually be classed as self-employed by the Home Office if you can, during the course of conducting business:

1. correct unsatisfactory work at your own expense and in your own time,
2. provide the main items of equipment needed (excluding small items that employees regularly provide for themselves anyway), and
3. agree to do work for a fixed price regardless of how long it may take.

Otherwise you may be classed as an employee, which is a breach of the ECAA rules that can lead to your application being refused.

Can I extend my visa?

At the end of the initial period, the visa can be extended. The extension application must be accompanied by documentation showing business progress. If your business interest remains viable the Home Office will normally grant a three-year extension to your visa. If the Home Office is not satisfied that your business will meet the requirements of the rules for the following three years, or where the business has not progressed sufficiently they may extend your visa for a shorter period.

Mulberry Finch can assist you with all aspects of the application.

Can I stay in the UK after five years?

On completion of five years in the UK on your visa, you may be entitled to indefinite leave to remain (ILR), more commonly known as settlement or permanent residency, should you wish to continue your stay in the UK.

If you do not meet the criteria for ILR at the end of five years, you may be eligible for an extension of stay on your original visa.

If the Home Office is not satisfied that your business has progressed sufficiently, they may extend your visa further rather than granting ILR.

After a further year of ILR, you may be eligible for UK Naturalisation, more commonly known as Citizenship.

Who can accompany the visa holder?

A spouse or an unmarried partner, and children under the age of 18 may accompany you to the UK as dependants. Dependants are allowed to stay in the UK for the same period as the principal applicant. There are usually no restrictions on dependants working in the UK.

Dependants are eligible to free health care provided by the National Health Service. Children entering the UK as dependants are entitled to a free public school education.