Since 06 April 2015 it is mandatory to include a business plan when making an initial application as a Tier 1 Entrepreneur.

As any business-person knows, a business plan never works exactly as written on paper. There are too many assumptions for it to work, especially the sales targets. However, writing one helps you to clarify your business idea for both yourself (and business partners if any) and for the visa officers.

You may have a brilliant idea and extensive experience in the area but how do the visa officers know that?

A business plan is your thoughts on what you are going to offer your clients, how much you are going to charge, how you are going to promote your products, how you are going to be working (at an office or at home), how much money you need, what you need to buy and so on.

The Home office has to believe that your intentions are genuine. The business plan has to contain relevant information that you may be asked for at an interview.

The aim of asking for the business plan for the Home office is to determine if the business idea is viable and also to get to know you well. It gives the Home Office the opportunity to see if they can identify potential problems with your business that may cause you to become indebted to people in the UK.

Again, the business plan can be used to gauge if you have knowledge about your target location. This includes such issues as regulation and laws governing business practices, employment and pricing among others.