UK Residence Permit by Company Formation 2025

September 19, 2025 |

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Company Formation and Residency in the UK

The UK is an attractive center for entrepreneurs with its strong economy, international trade network and ease of doing business. Many investors from Turkey and around the world are establishing companies in the UK, expanding their businesses and expanding into global markets.

So, is it possible to get a residence permit in the UK just by establishing a company?

Answer: No. Establishing a company alone does not provide a residence permit. However, it is possible to obtain a residence permit through certain visa categories by establishing a company and submitting a business plan.

👉 For general framework see: UK Business Startup and Investment Visas


Can I Get a Residence Permit by Establishing a Company?

Merely registering a company in the UK through Companies House does not entitle you to a residence permit. Foreign nationals can set up a company in the UK, but they must apply for an appropriate visa to live and work in the country.

Here are the three most current options for this:

  1. Innovator Founder Visa
  2. Global Talent Visa
  3. Scale-up Visa

Related Visa Types

Innovator Founder Visa

  • It requires an innovative, scalable and sustainable business idea.
  • The business plan must be approved by an “endorsing body” authorized by the Ministry of Interior.
  • After 3 years, you can apply for permanent residence (ILR).

👉 For details see: UK Innovator Founder Visa


Global Talent Visa

  • Awarded to individuals who have demonstrated international achievement in the fields of science, technology, arts and academia.
  • No sponsorship or job offer required.
  • After 5 years, it grants indefinite leave to remain (ILR).

👉 For details see: UK Global Talent Visa


Scale-up Visa

  • It requires a job offer from a fast growing company in the UK.
  • For the first 6 months it is compulsory to work with a sponsoring employer; after that there is freedom.
  • After 5 years, it grants indefinite leave to remain (ILR).

👉 For details see: UK Scale-up Visa


Visas Closing

Some visas that entrepreneurs used in the past have now been closed:

  • Tier 1 Entrepreneur Visa → High investment requirement (200,000 GBP) was required.
  • Tier 1 Investor Visa → There was a minimum investment requirement of GBP 2 million.
  • Start-up Visa → A 2-year period was given for new entrepreneurs.

⚠️ These visas are no longer available. Innovator Founder, Global Talent and Scale-up visas are used as alternatives.


Company Formation Process

Here are the basic steps for those who want to set up a company in the UK:

  1. Determination of Company Type
    • The limited liability company (Ltd) is the most common choice.
    • Companies House registration is mandatory.
  2. Registration Procedures
    • Select the company name.
    • Address and director details are reported to Companies House.
  3. Tax Registration (HMRC)
    • The company is registered with the tax office (HMRC).
    • VAT number can be obtained.
  4. Opening a Bank Account
    • In order to operate in the UK, a bank account is opened in the name of the company.

⚠️ However, none of these steps alone will provide a residence right; it must be supported by an appropriate visa. You can contact us for detailed information about UK company formation.


Benefits and Risks

Advantages

  • Starting a business in the UK and accessing the global market.
  • Opportunity for permanent residence and citizenship with the right visa.
  • Possibility to bring family members with you.

Risks

  • Establishing a company alone does not provide residence.
  • Wrong visa category selection → application rejection.
  • Missing or incorrect documents may prolong the process.

Legal Basis


Case Study

Situation: An entrepreneur living in Istanbul wants to start a technology company in the UK.

  • Innovator Founder has prepared a business plan for the Visa application.
  • The business plan has been accepted by the notified body.
  • A 3-year visa was granted and the entrepreneur settled in the UK with his family.
  • After 3 years, he/she is entitled to apply for indefinite leave to remain (ILR).

Question and Answer Blocks

Does just setting up a company in the UK give you a right of residence?

Short Answer No.

Detail: It is possible to set up a company, but you need to apply for the appropriate visa for residence.

Which visas are available for establishing a company?

Short Answer: Innovator Founder, Global Talent and Scale-up.

Detail: Residence is possible through these visas with a business plan and activities.

Can I still apply with the Start-up Visa?

Short Answer No.

Detail: Start-up Visa has been closed; Innovator Founder Visa is used instead.


Frequently Asked Questions (FAQ)

Is it difficult to set up a company in the UK?

No, it can be done quickly through Companies House.

Is it enough to establish a company for citizenship?

No, it is possible in combination with a visa granting residence rights.

How long does it take to get a residence permit?

Depending on the type of visa chosen, the right to permanent residence arises after 3-5 years.


Conclusion and Professional Legal Support

Establishing a company in the UK does not provide a right of residence on its own. However, it is possible to obtain a residence permit by establishing a company through Innovator Founder, Global Talent or Scale-up visas.

MFY Legal | Law Firm manages your application in the right way with UK immigration and commercial law experts.

👉 Contact MFY Legal for customized legal support.

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This Briefing is for Informational Purposes; it is not Legal Advice. If You Have any Questions, Please Contact Us. All Rights Reserved.

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