Things have become more difficult for international students who plan to launch their business in the UK and want to join the community of entrepreneurs in the United Kingdom. Visa changes and post- Brexit economy can scupper the plan of such students.
The UK government is not restricting overseas students from starting a business, but because of changes in certain rules, there is a sharp decline in a number of international students starting a new business in the UK since the EU referendum.
According to a report, most of the successful businesses in the UK are owned or founded by overseas students, and the rapid decline in the number of students setting up a new business is affecting the UK economy adversely.
UK Government has changed the Visa scheme a few months back. This replaced the old tier 1 entrepreneur visa with the new startup visa scheme. This new scheme is greatly beneficial for international students as it lifted many of the previous restrictions.
This allows non-graduates to apply for a visa, no early funding is now required, and additional organizations can now endorse visas to the international students. These new policies are surely beneficial and will encourage overseas graduates to set up business in the UK, but there are some other rules which act as a barrier and restrict the same.
UK government has also made certain changes to its policies which will restrict many students from staying in the UK and setting up a business after their graduation. UK Government now wants students to come up with innovative ideas that are both viable as well as scalable. The government now craves for high-value growth and hi-tech businesses that benefit it.
This greatly disadvantages the social enterprises as they are generally less scalable because they are based locally. The government should understand that setting up a business in a foreign country is a really difficult task for overseas graduated and these new set of rules is adding to their difficulty.