The UK Start-up visa was once promoted as a route for ambitious first-time entrepreneurs looking to build innovative businesses in the UK. It was aimed at people with high potential but without the track record or investment funds required under other business visa categories. For years, it was a common search term among entrepreneurs worldwide seeking entry to the UK market.
However, the Start-up visa is no longer available. It was withdrawn and replaced by the Innovator Founder visa, which now serves as the UK’s main route for entrepreneurs. Despite its closure, the term remains widely searched and causes confusion for applicants who may not realise the rules have changed. For that reason, it is important to clarify what the Start-up visa involved, why it was replaced, and what options remain open for those planning to establish a business in Britain.
This guide explains the original Start-up visa requirements, how the route has evolved, and the current options under the Innovator Founder visa. It also considers the challenges applicants face in meeting endorsement and viability criteria, and what practical steps are needed to secure approval from the Home Office today.
Section A: What was the Start-up Visa?
The Start-up visa was introduced as a route for first-time entrepreneurs with high potential who had not yet built a trading track record in the UK. It replaced the Tier 1 Graduate Entrepreneur route and was designed to help founders test and develop innovative business ideas without an upfront investment requirement. Permission was usually granted for two years and, while it did not lead directly to settlement, successful founders could progress to an investment-focused category once the business had traction. Dependants could accompany the main applicant and work in the UK, and the main applicant could take other employment alongside building the venture.
1. Background
The policy aim was to back innovation, viability and scalability rather than capital alone. Applicants sought endorsement from a Home Office-approved endorsing body, typically after submitting a detailed business plan and pitch. Endorsing bodies assessed whether the idea addressed a genuine market need, had credible prospects for growth and would be led by a founder with the right skills and commitment. After approval, the endorsing body monitored progress at checkpoints during the permission period and could report concerns to the Home Office where a venture stalled or deviated from the endorsed plan.
Founders could apply as a team if each person played a distinct founding role. Each team member required their own endorsement, and each application was considered on its individual merits. The route was intended for those at the idea and early build stage, so it was available to people who had not yet set up a UK business or who had only minimal early activity.
2. Eligibility
Eligibility focused on the credibility of the business and the capability of the founder, alongside standard immigration requirements.
- Endorsement: an approved endorsing body confirmed the business was innovative, viable and scalable, and that the applicant would spend most of their working time developing it.
- Genuineness and capability: evidence showed the founder had the skills, market understanding and commitment to execute the plan.
- English language: competence at the required CEFR level for reading, writing, speaking and listening.
- Financial requirement: proof of personal maintenance funds held for the required period, with different rules for in-country switchers and overseas applicants.
- Suitability: general grounds such as criminality, immigration history and TB testing where applicable.
The route did not require a fixed investment sum. That said, endorsing bodies expected a realistic funding plan that matched the business model, whether through personal funds, seed backing or revenue generation. Dependants could apply, with the usual evidence for relationship and financial support.
3. Application process and conditions
The process ran in two stages. First, the founder secured endorsement by submitting a business plan, pitch materials and supporting documents to an approved endorsing body. Endorsement letters were time-limited and contained a reference number used in the visa application. Second, the applicant completed the online visa form, paid the application fee and the Immigration Health Surcharge, booked biometrics and uploaded supporting evidence such as identity documents, maintenance funds and English language proof. Switching from certain categories in the UK was possible, while visitors and short-term students were not eligible to switch.
Permission was typically granted for two years. Work conditions allowed the founder to build the endorsed venture and, where needed, take other employment to support themselves, provided the endorsed business remained the primary focus. Regular contact with the endorsing body was expected at set checkpoints to demonstrate progress against the plan. The route did not provide extension beyond the initial period; founders aiming to remain in the UK progressed to a category designed for scaling businesses, provided they met the relevant criteria at the time.
Section B: What Happened to the Start-up Visa?
The Start-up visa was formally closed by the Home Office on 13 April 2023. The decision formed part of a wider policy overhaul aimed at streamlining business visa routes and creating a clearer pathway for entrepreneurs. While the Start-up visa had given opportunities to first-time founders, the government argued that it was underused and created too much fragmentation in the system. The replacement Innovator Founder visa was intended to combine the entry-level Start-up route with the more advanced Innovator route into a single category, making it easier for applicants and endorsing bodies to manage.
1. Withdrawal of the Route
The closure of the Start-up visa meant no new applications could be submitted after April 2023. Applicants already holding a Start-up visa were allowed to remain until their existing grant of leave expired, but there was no option to extend. Those wishing to remain in the UK to continue developing their business were required to switch into the Innovator Founder visa, provided they met the new eligibility requirements. The closure also affected educational institutions and other organisations that had acted as endorsing bodies, as they were no longer permitted to endorse Start-up applications after the withdrawal date.
2. Transition to the Innovator Founder Visa
The Innovator Founder visa replaced both the Start-up and Innovator routes. Unlike the Start-up visa, it does not limit applicants to a two-year period without settlement options. Instead, it allows successful founders to remain for up to three years initially, with the possibility of settlement after this time if their business demonstrates genuine growth and scalability. Another major change is that the £50,000 minimum investment requirement, which previously applied under the old Innovator route, was scrapped. Applicants now focus on securing endorsement that their business plan is innovative, viable and scalable, with no fixed funding threshold. Endorsing bodies continue to monitor business progress through checkpoint assessments, but under a revised and more uniform framework.
For those who once considered the Start-up visa, the Innovator Founder route is now the relevant option. It combines the entry-stage flexibility of the Start-up visa with a clearer settlement pathway, but it also comes with stricter scrutiny of business viability and founder commitment. Applicants who would previously have applied for the Start-up visa now need to plan for longer-term eligibility from the outset under the Innovator Founder rules.
Section C: Innovator Founder Visa Explained
The Innovator Founder visa is now the UK’s main route for entrepreneurs seeking to establish and grow a business. It was created to replace both the Start-up and Innovator visas, simplifying the system and providing a more realistic pathway to settlement. Unlike the closed Start-up visa, which was time-limited and non-extendable, the Innovator Founder visa allows founders to build their business with a view to remaining in the UK long term if they meet the growth and endorsement requirements.
1. Who Can Apply
Applicants must have an innovative, viable and scalable business plan that has been endorsed by an approved endorsing body. The plan must demonstrate a genuine market need and potential for growth in the UK and internationally. Unlike the former Innovator visa, there is no longer a fixed requirement to show at least £50,000 investment funds. Instead, the focus is on the credibility of the plan and the founder’s ability to deliver it. Applicants also need to meet standard immigration conditions, including English language at the required level and evidence of maintenance funds to support themselves and their dependants.
2. Application Process
The process begins with obtaining endorsement. Applicants must submit a detailed business plan and demonstrate their ability to lead and grow the venture. Endorsing bodies will assess the plan against the Home Office’s criteria and, if approved, issue an endorsement letter. The endorsement is then used to apply for the visa online through the Home Office system. Applicants pay the visa fee and Immigration Health Surcharge, provide biometric information and submit supporting evidence such as identity documents, proof of English language and financial requirements. Decisions are typically made within weeks, but processing times can vary depending on the complexity of the application and caseloads at the Home Office.
3. Costs and Fees
Applicants are required to pay a visa application fee, which is currently £1,036 if applying from outside the UK or £1,292 if switching from within the UK. In addition, the Immigration Health Surcharge is payable at the standard annual rate of £1,035 per adult and £776 per child under 18. Dependants must also pay the visa fee and the surcharge. Applicants should also budget for the costs of endorsement, as endorsing bodies may charge fees for assessing the business plan and providing ongoing monitoring during the visa period. These costs vary depending on the endorsing body.
Section D: Life on the Innovator Founder Visa
Once granted, the Innovator Founder visa gives entrepreneurs permission to live in the UK and focus on building their endorsed business. Unlike the former Start-up visa, which offered limited flexibility and no settlement route, the Innovator Founder visa provides both the opportunity to work on the business full time and a clear pathway to permanent residence if the venture demonstrates sufficient growth. The conditions attached to the visa are strict, however, and failure to comply can lead to curtailment of permission or refusal of future applications.
1. Work and Business Conditions
Holders are permitted to establish and work for their endorsed business. They may also take on secondary employment, but only in roles that require at least RQF Level 3 skills, ensuring that visa holders are contributing at a skilled level to the UK economy. The endorsed business must remain the applicant’s primary focus, and endorsing bodies are required to check at regular intervals that the business is progressing in line with the plan. If the business is abandoned, fails to show sufficient development or no longer meets the endorsement criteria, the endorsing body can withdraw support, which will lead to visa cancellation by the Home Office.
2. Dependants
Visa holders can bring eligible family members to the UK, including a partner and children under 18. Each dependant is required to make their own application and pay the relevant fees and Immigration Health Surcharge. Dependants are granted the same period of permission as the main applicant. Partners are permitted to work in the UK without restriction, and children can attend school. Applicants must show sufficient funds to support their dependants at the application stage, with financial requirements varying depending on family size and whether the application is made overseas or from within the UK.
3. Settlement Pathway
The Innovator Founder visa provides a direct route to settlement. After three years, visa holders may be eligible to apply for Indefinite Leave to Remain (ILR), provided they meet the settlement criteria. These include continued endorsement, evidence that the business is active, sustainable and making progress against the original plan, and proof that the founder has played a leading role in its development. Additional requirements include meeting English language and Life in the UK test standards, and compliance with absence limits. Dependants may also apply for ILR if they have completed the required continuous residence period. Once ILR is secured, applicants can go on to apply for British citizenship if they meet the naturalisation criteria.
Section E: Common Challenges and Practical Issues
The Innovator Founder visa offers an attractive pathway for entrepreneurs, but in practice many applicants encounter difficulties. The most frequent issues arise at the endorsement stage, during the Home Office application process, and later when proving the business is progressing as required. These risks can cause delays, refusals, or even curtailment of permission after arrival in the UK. Understanding these challenges is vital for applicants and their advisers to reduce the chance of setbacks and protect long-term plans.
1. Endorsement Pitfalls
Securing endorsement is often the biggest hurdle. Endorsing bodies apply strict criteria to assess innovation, viability and scalability. Applications that rely on generic or copy-and-paste business plans are frequently rejected. Founders need to show unique features, credible financial forecasting and a realistic route to market. Another pitfall is underestimating the scrutiny of personal capability: endorsers look at the founder’s background, skills, and whether they have the experience to deliver. Failure to address these points in the application usually results in refusal.
2. Business Viability Issues
Even after endorsement, the viability of the business is monitored. Founders are expected to hit milestones and demonstrate consistent progress at regular checkpoints. If revenue targets are unrealistic or the business model is weak, endorsers may withdraw their support. This leaves the visa holder at risk of losing their immigration status. Common issues include insufficient funding, over-optimistic projections, and a lack of clear market differentiation. Applicants must be ready to provide ongoing evidence that the business is more than just a concept and is moving towards growth and sustainability.
3. Visa Refusal Risks
Beyond endorsement, visa refusals often occur due to documentation errors or failure to meet basic immigration requirements. Common problems include gaps in financial evidence for maintenance funds, using expired or invalid English language certificates, and inconsistencies between the business plan and supporting documents. The Home Office applies strict suitability checks, so any past immigration breaches or undisclosed criminal matters can also result in refusal. Once in the UK, failing to update the Home Office on changes to personal circumstances or business structure can trigger compliance issues and lead to visa curtailment.
Section F: Alternatives to the Start-up Visa
Since the withdrawal of the Start-up visa, entrepreneurs who may not fit the Innovator Founder criteria have looked to alternative immigration options. The most appropriate route depends on the applicant’s profile, the stage of the business and whether the priority is short-term presence, long-term settlement, or access to the UK market through employment. While none of the alternatives replicate the Start-up visa exactly, several routes provide realistic pathways depending on circumstances.
1. Skilled Worker Visa
The Skilled Worker visa is a popular alternative for those able to secure employment with a licensed sponsor. Rather than focusing on starting a business, this visa enables migrants to take up a skilled job in the UK with a sponsoring employer. It offers a settlement route after five years and the ability to bring dependants. While it does not allow business creation on the same terms as the Innovator Founder visa, it can provide a stable base of residence in the UK for those who wish to combine employment with future entrepreneurial plans.
2. Expansion Worker Visa
Part of the Global Business Mobility routes, the Expansion Worker visa is designed for overseas businesses looking to establish a UK presence. It allows a senior manager or specialist employee to come to the UK to set up the branch or subsidiary. Although it does not lead directly to settlement and has a time limit, it offers a practical option for entrepreneurs operating through an existing overseas business who want to test the UK market before committing to a long-term relocation or Innovator Founder application.
3. Global Talent Visa
The Global Talent visa may suit entrepreneurs with a strong track record in their field. Applicants endorsed as leaders or emerging leaders in areas such as digital technology, science or the arts can work freely in the UK without sponsorship. This route allows maximum flexibility, including the freedom to establish a business. It also provides a settlement pathway, usually after three or five years depending on the endorsement. For highly skilled entrepreneurs with recognised achievements, it can be a more flexible option than the Innovator Founder visa.
4. Graduate Visa
For international students completing a degree in the UK, the Graduate visa offers an option to remain for two or three years depending on qualification level. Although it does not lead to settlement, it allows time to build a business concept, gain UK experience and prepare for switching into the Innovator Founder visa or another settlement route. Graduates can work in any role without sponsorship during this period, providing flexibility to build funds and evidence for a future application.
5. Family and Other Routes
Some entrepreneurs may qualify to remain in the UK under family-based visas, such as spouse or partner visas, which permit full access to employment and business activities. There are also temporary worker categories that can support short-term business activity in limited circumstances. While these are not tailored to entrepreneurship, they may be relevant depending on personal circumstances.
Ultimately, while the Start-up visa is no longer available, the UK immigration system continues to provide different options for entrepreneurs and business-minded migrants. The most appropriate route depends on whether the goal is to launch a new venture, test the market, pursue skilled work, or maintain flexibility while building towards settlement.
Section G: Summary
The UK Start-up visa, once a route for first-time entrepreneurs, was withdrawn in April 2023 and replaced by the Innovator Founder visa. The Start-up visa had offered a two-year grant for those with innovative business ideas but did not lead to settlement, requiring founders to later switch to a different category. Its closure reflected government aims to simplify business immigration and focus on ventures with stronger growth potential.
The Innovator Founder visa is now the main option for entrepreneurs. It removes the old £50,000 minimum investment requirement and instead centres on endorsement from an approved body to confirm innovation, viability and scalability. Applicants can apply for settlement after three years if the business meets growth milestones and endorsement is maintained. Visa conditions allow limited supplementary work at skilled levels, dependants can join the main applicant, and there is a direct pathway to Indefinite Leave to Remain and citizenship.
Common challenges include securing endorsement, producing credible business plans, evidencing financial support, and complying with ongoing monitoring by endorsing bodies. Refusals frequently occur where documentation is incomplete or business models lack viability. Alternatives to the Innovator Founder visa include routes such as Skilled Worker, Expansion Worker and Global Talent, depending on the applicant’s profile and objectives.
Section H: Need Assistance?
If you are exploring options to establish a business in the UK, it is important to work with the current rules. The Start-up visa has closed, and the Innovator Founder visa is now the main route for entrepreneurs. Success depends on the strength of your business plan, securing endorsement and meeting all Home Office requirements. Errors or weak evidence can mean delays, refusals or loss of permission.
Our business immigration specialists advise entrepreneurs and companies on all aspects of Innovator Founder applications and alternative visa options. We provide clear guidance on eligibility, preparing endorsement applications, and meeting settlement requirements. Contact us for a fixed fee consultation to discuss your plans in confidence and understand your options.
Get in touch with our team today to start your application with the right advice and strategy.
Section I: FAQs on the Start-up Visa UK
Is the Start-up visa still available?
No. The Start-up visa was closed on 13 April 2023. It is no longer possible to make a new application under this route. Existing Start-up visa holders were permitted to remain until the end of their permission but cannot extend. Those wishing to stay on have to switch to another route, typically the Innovator Founder visa.
What replaced the Start-up visa?
The Innovator Founder visa replaced both the Start-up and Innovator visas. It offers a direct settlement route after three years, removes the £50,000 minimum investment requirement, and places emphasis on endorsement of an innovative, viable and scalable business plan. Applicants must secure endorsement from an approved body and meet the English language and financial requirements.
What is the difference between the Start-up and Innovator Founder visas?
The Start-up visa was a two-year route with no extension option and no direct settlement pathway. It allowed first-time entrepreneurs to test an idea before moving into a different category. The Innovator Founder visa combines the features of Start-up and Innovator into one category. It allows entrepreneurs to build their business and apply for settlement after three years if they meet the growth and endorsement criteria, with no fixed investment requirement.
Can I switch from a Start-up visa to an Innovator Founder visa?
Yes. Start-up visa holders who remain in the UK can apply to switch to the Innovator Founder visa if they meet the eligibility and endorsement requirements. The business plan must be endorsed by an approved endorsing body under the new criteria. Switching ensures continuity of residence and allows applicants to work towards settlement.
Does the Innovator Founder visa lead to settlement?
Yes. Successful applicants may qualify for Indefinite Leave to Remain after three years if they meet the settlement criteria. These include continued endorsement, proof of genuine and sustainable business progress, meeting the English language and Life in the UK test requirements, and compliance with absence rules. Dependants can also apply for settlement after completing their continuous residence period.
Section J: Glossary
| Term | Definition |
| Start-up visa | A former UK business visa route for first-time entrepreneurs, closed in April 2023 and replaced by the Innovator Founder visa. |
| Innovator Founder visa | The current UK visa for entrepreneurs establishing innovative, viable and scalable businesses. Provides a settlement route after three years. |
| Endorsement | Approval given by a Home Office-approved endorsing body confirming that a business plan is innovative, viable and scalable, and that the founder can deliver it. |
| Indefinite Leave to Remain (ILR) | Also known as settlement. Grants the right to live and work in the UK without time limits or visa restrictions. |
| Immigration Health Surcharge (IHS) | A mandatory annual fee paid by visa applicants to access the UK’s National Health Service during their stay. |
| Dependants | Family members who can accompany or join the main visa applicant in the UK, typically a partner and children under 18. |
| Endorsing body | Organisations approved by the Home Office to assess business plans and provide endorsement for Innovator Founder visa applicants. |
| Life in the UK test | A compulsory test on British history, culture and society that applicants must pass to qualify for settlement or citizenship. |
Section K: Additional Resources
| Resource | Link |
| UK Government Innovator Founder visa guidance | https://www.gov.uk/innovator-founder-visa |
| Immigration Health Surcharge information | https://www.gov.uk/healthcare-immigration-application |
| English language requirements for UK visas | https://www.gov.uk/english-language |
| Indefinite Leave to Remain guidance | https://www.gov.uk/indefinite-leave-to-remain |
| UK visa and immigration fees | https://www.gov.uk/visa-fees |
Author
Founder and Managing Director Anne Morris is a fully qualified solicitor and trusted adviser to large corporates through to SMEs, providing strategic immigration and global mobility advice to support employers with UK operations to meet their workforce needs through corporate immigration.
She is recognised by Legal 500 and Chambers as a legal expert and delivers Board-level advice on business migration and compliance risk management as well as overseeing the firm’s development of new client propositions and delivery of cost and time efficient processing of applications.
Anne is an active public speaker, immigration commentator, and immigration policy contributor and regularly hosts training sessions for employers and HR professionals.
